Asda Porter's 5 Forces Analysis
1 power of suppliers
Asda is putting the squeeze on suppliers by demanding lower prices to boost its fire power in an intensifying price war with rivals such as Tesco.
The supermarket has embarked on a round of "tough" negotiations with all major suppliers, including multinationals such as Unilever. The pricing terms of nearly all 30,000 products in its stores are under scrutiny with suppliers asked to offer better terms. http://www.guardian.co.uk/business/2009/mar/22/asda-supermarkets Meaning that the power of suppliers is not as strong as it used to be since they can make them lower their prices, Therefore the demand is also bigger.
2 power of buyers
Asda been reducing it prices to get its customer attention by decreasing over 3000
Asda is putting the squeeze on suppliers by demanding lower prices to boost its fire power in an intensifying price war with rivals such as Tesco.
The supermarket has embarked on a round of "tough" negotiations with all major suppliers, including multinationals such as Unilever. The pricing terms of nearly all 30,000 products in its stores are under scrutiny with suppliers asked to offer better terms. http://www.guardian.co.uk/business/2009/mar/22/asda-supermarkets Meaning that the power of suppliers is not as strong as it used to be since they can make them lower their prices, Therefore the demand is also bigger.
2 power of buyers
Asda been reducing it prices to get its customer attention by decreasing over 3000