Strengths:

Shoprite prioritises organic goods compared to other discount stores

Shoprite provides other amenities such as pharmacies and liquor stores

Shoprite offers a large variety of products, and product mix options that cater to various customer segments in the retail industry

Shoprites lowest price promise provides customers with the lowest prices in quality food, as well as other products -such as liquor and medication, as well as in-store services that provide customers with a convenient shopping experience

Shoprite has strong brand recognition

Weaknesses:

The business model of Shoprite Holdings Limited can be easily imitated by competitors

Shoprite faces difficulties in sustaining its pharmacy business

ShopRite has limited retail formats, specifically in South Africa, and an increased dominance of companies like Amazon -that have a strong online presence- pose a threat to both physical and online stores.

Shoprite Holdings history of coming up with new innovations, and subsequently driving down prices in the supply chain has resulted in a low loyalty among its suppliers

Customers are not able to easily navigate Shoprite Holdings website and find desired information in just a few clicks

One thing to take note is

that a customer is not able to navigate easily and find the information they are looking for with a

few clicks.

One thing to take note is

that a customer is not able to navigate easily and find the information they are looking for with a

few clicks.

One thing to take note is

that a customer is not able to navigate easily and find the information they are looking for with a

few clicks.

Opportunities:

Increased demand for organic food segments

e-retailing and retail franchising

Shoprite can use advances in digital technology to deliver more value to customers

Shoprite Holdings can capitalise on the accelerated technological innovations and advances -that are improving industrial productivity- to significantly venture into adjacent products.

Social commerce can be used to promote and sell Shoprite Holdings products and services

Threats:

Dedicated stores for organic products, pharmacies, toy stores, etc

Highly competitive market in food retail business

Stores with greater online presence

Changing demographics can pose a threat to Shoprite Holdings Limited as people are becoming more open to experimentation, and thus less brand loyal

Commoditization of the product segment

QUESTION 2

Using the SWOT analysis above develop a SPACE Matrix for Shoprite Holdings Limited. Include at least 4 variables that fit under the four dimensions, namely, financial strength, competitive advantage, environmental stability, and industry strength. Then allocate a value ranging from 1 (worst) to 6 (best) to each of the variables.