Question
From its origins in 1914 as a Western Australian farmers' co-operative, founded with the intention of assisting farmers and growing and marketing their produce through
From its origins in 1914 as a Western Australian farmers' co-operative, founded with the intention of assisting farmers and growing and marketing their produce through co-operative action, Wesfarmers Ltd has grown into one of Australia's largest listed companies. Some of its acquisitions include the home improvement retailer Bunnings in 1994, the Curragh coal mine in 2000, and the Coles Group Ltd in 2007. Wesfarmers also sold a number of its business units, such as the rural business Landmark in 2003, the Australian Railroad Group in 2006, and Premier Coal in 2011. With headquarters in Western Australia, its diverse business operations cover: supermarkets, liquor, hotels and convenience stores; home improvement; office supplies; department stores; and an industrials division with businesses in chemicals, energy and fertilisers, industrial and safety products and coal. Wesfarmers is one ofAustralia's largest private sector employers with around 220,000 employees and has a shareholder base of approximately 530,000. Kmart, a department store that belongs to Wesfarmers, operates in the clothing, homewares and general merchandise retail sector both locally and internationally. This sector is competitive and comprises department stores, specialty retailers and a growing online channel. Kmart operates 220 stores throughout Australia and New Zealand, offering customers a wide range of apparel and general merchandise products at low prices, every day. Sales growth is driven by increased customer transactions and higher units sold per customer. Coles operates in Australia's highly dynamic and evolving food, grocery, liquor and convenience sector. It is one of Australia's largest retailers with more than 21 million customer transactions, on average, each week through the national store network and online platforms. It has an extensive store network of 801 supermarkets, 883 liquor stores, 89 hotels and 702 convenience outlets across the nation, from as far west as Geraldton in Western Australia to as far east as Ocean Shores in the Northern Rivers region of New South Wales.
Required:
(a) Identify the corporate-level strategy used by Wesfarmers Ltd. Ensure you identify the specific options in the strategy type. Provide evidence from the case to support your answer.
(b) Identify the business-level strategy used by the Kmart business. Provide evidence from the case to support your answer.
(c) Describe the Boston Consulting Group (BCG) Matrix approach to portfolio management. Using the BCG Matrix, classify the Coles business into one of the four (4) categories of business conditions and justify your choice.
I need understand corporate level of strategy for final exam. I'm not sure how used by this company. Can someone answering this question?
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