Problem definition - Assignment Example

Task: Safeway Safeway is among the largest supermarket that exists in the United s, Canada Chicago, Texas and in Mid Atlantic region. As the second largest supermarket, it is well established with 1725 branches in the two countries. Safeway specializes in selling consumer products such as food to consumers. These supermarkets are under the brand names like Dominick’s, Vons, Safeway and Randall’s. It has a Blackhawk subsidiary network that makes it the best distributor of gift cards. They offer brands such as iTunes, home depots, Barnes and Noble.

The profit margin of the supermarket recently dropped because their products were highly priced making people seek alternatives (Seth & Geoffrey 63). The main competitor of the Safeway is Wal-Mart, an external force that affects any grocer. The supermarket offers quality goods and affordable prices. The prices usually drop by a reasonable percentage in every market that Wal-Mart enters (Seth & Geoffrey 178). Wal-mart focuses on economies of scale to enhance their market share. The growth of the Blackhawk network is evident in the expansion of Safeway.

It is important to remove the personalized price and replace it with a reasonable price to favor diverse consumers. It is also necessary to maintain the quality. The customer service must be improved to favor the people from all the classes. Apart from the high prices, many customers have complained of the decline of the customer services. Food such as sandwiches takes long getting prepared. Consequently, it is important to train the personnel to improve their work rate. Works CitedSeth, Andrew.

and Geoffrey, Randall. The Grocers: The Rise and Rise of the Supermarket Chains. London: Kogan Page, 2011. Print.