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Unit 32 - D1 (Food Retailing) Btec Business Level 3
- Module
- Unit 32 - Food Retailing
- Institution
- PEARSON (PEARSON)
This distinction task D1 of Unit 32 has been marked by official teachers. Properly work done.
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Unit 32 (D1) – Analyse how developments in the consumermarket have impacted on a food retailer.
In this assignment, I will be analysing how developments in the consumer market
have impacted on food retailers. I will also discuss the benefits and limitations of
each of the developments explained for consumers and business.
Increased mobility
This is the movement of people from one place to another. This can include from one
state to another or from another company. The people then bring in their food
lifestyle along with themselves and as the number increases, retailers have to keep
their food in-store so they can keep the business running and increase their sales.
United Kingdom is Multi-Cultured therefore there are different culture, religion, race
and much more. This is the point where food retailers need to increase the need to
have different types of food that cater the versatile cultural backgrounds. Tesco has
adapted to these cultural and religious festivals very well as some Tesco stores
provide HALAL meat/chicken that caters the growing population of Muslims in the
UK as well as Diwali (A Hindu festival) where Tesco provides food specific to their
needs.
Apart from this Tesco also provides seasonal products such as on RAMADHAN,
they will provide Dates and other fast food products
that are only seasonal. By doing this Tesco not
only favours the general public but it also builds a
strong relationship with customers as they are
Unit 32 D1 Food Retailing 1
being looked after. Apart from this Tesco
experience an increase in sales as they meet the
need of their consumers which hence increase
profits. Tesco also offers seasonal sales and other
promotional offers that customers can find cheap
and useful. Tesco also benefits a lot as they are
able to sell out their unsold items that creates place
for new products that can be useful along with the
increased revenue. But however, there are
limitations too as same foods do not match the
consumers taste and hence it’s unsold. This utilises place for the business as well as
reduced revenue as they can’t sell out the product and can’t sell new products as it
has occupied space. These way customers are unsatisfied as their needs are not
met.
A benefit of increased mobility on food retailers such as Morrison’s is increased
sales and therefore an increase in profits. The increase in sales came as a result of
the business selling products which catered to a wide demographic in the UK with
137.9 million passengers arriving in the year ending March 2018. A benefit to
consumers being able to purchase international goods from supermarkets such as
Morrison’s is they now have access to products they did not have access to prior to
supermarkets selling the goods. Additionally, consumers can purchase goods at a
cheaper price in comparison to independent shops because large supermarkets are
able to purchase in bulk and therefore pay a lower price per good.
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, The limitation of the impacts caused by increased mobility is supermarkets
occasionally receive backlash regarding products such as meals prepared by Tesco.
For example, Jerk chicken inspired dishes which according to the opinion of those
originating from Jamaica taste nothing resembling the traditional dish. The Limitation
of the impact on consumers is not all supermarkets sell international products. For
example, Morrison’s sells international health & beauty products, whereas The Co-
operative Food only sells international food in a ready meal format and even then the
range is limited, unlike other supermarkets.
Attitudes to environmental issues
Attitudes to environmental issues regards people in society’s focus on improving the
environment and finding ways to sustain the environment. Supermarkets have had to
adapt to changing attitudes by reducing their use of plastic in their packaging, using
less energy and installing self-closing chiller doors. A benefit to the adaptation on
food retailing is businesses such as Sainsbury’s have begun saving money as a
result of their changing of materials and installing of energy saving chillers. The
doors close themselves when consumers and employees forget to close the door,
which ensures energy isn’t wasted which by a further result decreases energy bills. A
benefit to the adaptation on consumers is there is a large amount research regarding
the environment and the affect humans are having on the environment. Therefore,
food retailers such as Sainsbury’s taking active steps to improve the affect they have
on the environment will mean the earth will still be habitable for consumers in the
future.
Unit 32 D1 Food Retailing 2
A limitation to the adaptation on food
retailers is retailers such as The Co-
Operative need to find alternative
substitute for plastic in their packaging due
to the fact that the government is putting
more pressure on businesses to decrease
their use of plastic, as are environmental
groups. Businesses which do not attempt
to change can have their brand perceived
negatively in the eyes of consumers. A limitation to the adaptation on consumers is
as a result of the government enforcing laws regarding plastic the price of bags has
increased from its previous free price to 5 pence and will increase to 10 pence in
2019. Supermarkets are legally obliged to charge consumers the price set by the
government. However, consumers pay does not increase to adapt to the
governments increase in price. Therefore, consumers will have less money to save.
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