Using the Manifesto and the case study as references, identify the following items as a suggestion for Eataly's leadership: vision statement, mission statement, values statement, and goals/objectives.By using How the vision, mission, values promote their success, to make them unique, satisfying customers, employees, shareholders, community
Eataly: Reimagining the Grocery Store Courseware #9-515-708 Exhibit 2. Grocery and Retail Supermarket Industry The global grocery retail industry was estimated to be about $6 trillion in 2013.' In the U.S., the industry had $650 billion in revenues in 2013, up from about $630 billion in 2012. However, supermarkets faced strong competition from non-traditional food stores, such as wholesale clubs, dollar stores, mass merchandisers, as well as convenience stores, restaurants and bars (see Table 1). Table 1 The U.S. Food Retailing Industry, 2013 Type of Store Revenue ($ billion) Number of Stores Grocery & Supermarkets 650 40,000 Nontraditional Stores 435 57,000 Convenience Stores 176 155,000 Restaurants & Bars 552 990,000 Source: http://www.plunkettresearch.com/food-beverage-grocery-market-research/industry-and-business-data Outside the U.S., major retailers such as Walmart and Carrefour as well as convenience stores such as 7-11 were growing. However, in many emerging markets the family run mom-and-pop stores still dominated the grocery retail market. By 2014, the industry was characterized by slow growth and intense competition that led to thin margins with net profits after tax of less than 2-3%.3 Table 2 shows the key financials of major players in this industry. Table 2 Grocery and Food Retail Companies' Summary Financials, 2013 Total Gross Profit Operating Profit Sales per ROIC ROA Revenue ($B) ($B) %) ($B) (%) sq. ft ($) (%) (%) Walmart (US) $476 $115 24% $26.8 6% $433 9% 8% Carrefour (France) $99 $19 19% $3.0 3% $643 8% 3% Kroger (US) $98 $20 21% $2.7 3% $611 13% 5% Tesco (United Kingdom) $96 $6 6% $4.0 4% $872 12% 2% Seven & I (Japan) $55 $19 34% $3.3 6% NA 14% 4% Costco (US) $103 $11 11% $3.1 3% $1,158 9% 7% Aeon (Japan) $50 $13 27% $1.9 4% NA 9% 1% Rewe (Germany) $56 $14 25% $0.6 1% $58 6% 1% Woolworths (Australia) $57 $15 28% $3.5 6% $1,903 19% 10% Ahold (Netherlands) $43 $11 27% $1.6 4% $856 11% 5% Whole Foods (US) $13 $5 36% $0.9 7% $937 15% 10% Source: Compiled by casewriters from various published sources and annual reports. Note: Operating profit refers to earnings before interest and tax (EBIT). ROIC refers to the return on invested capital. ROA refers to the return on assets. Source: Euromonitor International. 2 Source: http://www.plunkettresearch.com/food-beverage-grocery-market-research/industry-and-business-data, accessed August 5, 2014 Source: http://www.fmi.org/research-resources/ supermarket-facts and "Supermarkets & Grocery Stores in the US," IBISWorld Industry Report, April 2014
