Preview

Tesco vs Sainsbury's Comparative Financial Analysis

Powerful Essays
Open Document
Open Document
2035 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Tesco vs Sainsbury's Comparative Financial Analysis
Introduction

The financial report that follows sets out to analyse and compare the current financial and
Market position of Sainsbury’s against Tesco.

The report covers five areas of financial and market review, namely;
• Situation Analysis
• Proposed Recovery Plan
• Investment Appraisal of recommended Investment Projects
• Risk Assessment
• Sources of Finance

Recommendations made within this report are made with the intention of increasing Sainsbury’s market share over the next 5 years.

Executive Summary Format / Template
 Company needed to move from a Task focused to a Customer Service focused organisation and prepare for substantial future growth
 Training Department established in 1998
 Induction Training course designed using latest training methodology and technology
 Fully developed in-house – 100% relevant to the company and the business
 Induction Course requirements – task training, system training, product training and customer service training
 Training Manual and keying instructions developed
 Courses geared towards 80/90% knowledge retention
 Coaching and Mentoring strategy in place
 Policy of continuous improvement monitored by a process of on-going evaluations and assessments
 Training Course Evolution – web based skills acquired – Intranet facility and online training
 Tangible Commercial Benefit – a saving of xxxx over a three year period
References

http://en.wikipedia.org/wiki/Image:Market_Share_top_supermarkets.jpg http://www.igd.com/search/index.asp?sc=supermarket+value&ns=1 http://www.tescocorporate.com/page.aspx?pointerid=A8E0E60508F94A8DBA909E2ABB5F2CC7 http://www.sainsburys.co.uk/aboutsainsburys http://www.morrisons.co.uk/Corporate/Investors/ http://www.about-asda.com/inside-asda/our-history.asp http://www.investorcentre.tescoplc.com/ http://www.jsainsburys.co.uk/?pageid=204 http://en.wikipedia.org/wiki/Economy_of_the_People%27s_Republic_of_China



References: In analyzing the profit records of Sainsbury’s and Tesco over the same five year period (2003 – 2007) the shear gap is equally as alarming as the differences highlighted in sales.

You May Also Find These Documents Helpful

  • Satisfactory Essays

    the main purpose of the report is to provide the year’s financial data, which comes from the corporation’s…

    • 453 Words
    • 2 Pages
    Satisfactory Essays
  • Powerful Essays

    Over the five year period, we can see that Sainsbury’s sales are on the rise. It has increased by 23.90%. Sainsbury’s have released new schemes to increase sales in the past five years; undoubtedly this will be the main reason for the increase of sales. To maintain their growing sales, Sainsbury’s should keep their prices competitive to other supermarkets. Also they should continue to release new ideas to maximise sales and profit. Sainsbury’s could open new stores – this would help them hugely. They can also;…

    • 1765 Words
    • 8 Pages
    Powerful Essays
  • Good Essays

    In reality even the smallest of actions can create monstrous consequences, which in literary pieces can be supported through literary devices. In “A Sound of Thunder”, written by Ray Bradbury, the story shows the main character, Eckels joining a dinosaur hunt by traveling back in time with a time machine. Traveling back in time can tamper with the future with minute changes to monstrous repercussion. While not many people realize the consequences of their actions, even the most trivial of blunders can cause disastrous aftermaths as is demonstrated by the literary devices foreshadowing, simile, and imagery in “A Sound of Thunder.” Literary devices such as foreshadowing demonstrates that even a single misstep can cause a disaster.…

    • 247 Words
    • 1 Page
    Good Essays
  • Good Essays

    Introduction: Below I have written about how Sainsbury’s met their sales targets. How the price war of the supermarket has affected Sainsbury’s and what they have changed to fight back. How Sainsbury’s have capitalized on their sales. How they are opening even more stores within different areas and how their profit is rising.…

    • 703 Words
    • 3 Pages
    Good Essays
  • Good Essays

    Unit 4 P2

    • 627 Words
    • 2 Pages

    This task is part of p2 where I will be writing a brief written report on the financial performance of Tesco. The information I have obtained is from the Tesco annual report 2012-13 which I obtained online through the Tesco site.…

    • 627 Words
    • 2 Pages
    Good Essays
  • Powerful Essays

    The purpose of this report is to conduct a comparative ratio analysis of the financial statements of J. Sainsbury PLC and Tesco PLC for the year-ending 2013. The financial information that is provided from each company’s annual report and the comparison between them will help possible users of this analysis to understand not only the differences between these two companies but also each company’s weaknesses and strengths. Below, the profiles of the two companies will be referred as well as eight accounting ratios for each company will be presented in order to have the appropriate financial information to analyse. Furthermore, the possible users of this analysis will be identified and all their differing information requirements will be mentioned. Finally, there will be provided a short discussion on the importance of supplementing financial analysis with non-financial considerations and a general conclusion will be made which will contain a summary of the main findings of this report.…

    • 2657 Words
    • 14 Pages
    Powerful Essays
  • Satisfactory Essays

    Increase/(decrease) on previous year (%) 28.4 42.3 7.2 n/a (62.4) (2.9) Earnings per share Basic (pence) 19.1 19.2 3.8 4.1 3.5 20.7 (Decrease)/increase on previous year (%) (0.5) 405.3 (7.3) n/a (83.1) (12.7) Underlying basic (pence) 19.6 14.7 10.5 8.3 9.0 23.4 Increase/(decrease) on previous year (%) 33.3 40.0 26.5 n/a (61.5) (3.3) Proposed dividend per share (pence) 5 12.00 9.75 8.00 7.80 7.80 15.69 Retail statistics for UK food retailing Number of outlets at financial year-end including checkout space 6 Sainsbury’s…

    • 462 Words
    • 2 Pages
    Satisfactory Essays
  • Best Essays

    The rivals of Sainsbury’s have recently turned up the heat on the store by increasing their like for like sales from last year. Reports suggest that both Waitrose and Morrisons have out stripped Sainsbury’s sales for the year, with 11.7% and 8.4% respectively (Brummer, Alex 2009) However in response to this Sainsbury’s announced that they made a pre-tax profit of £342m putting them 33% up on sales from last year from the 28weeks until 3rd October (BBC, 2009) These figures saw the new clothing range and electrical items out sell food by two and a half times. This could be explained by the opening of the 24hour stores across the country (Steiner, Rupert 2009).…

    • 1976 Words
    • 8 Pages
    Best Essays
  • Powerful Essays

    Sainsbury aims at building on and stretching the lead in food. By sharing customers’ passion for healthy, safe, fresh and tasty food, Sainsbury’s will continue to innovate and provide leadership in delivering quality products at fair prices. Sainsbury will continue to accelerate the development of non-food and service following the principles of quality and to provide a broader shopping experience for customers. Sainsbury commits to reach more customers through additional channels, and it commits to manage its business with integrity.…

    • 3343 Words
    • 14 Pages
    Powerful Essays
  • Good Essays

    Due to the mature and competitive nature of the UK retail market the Sainsburys Board of Directors has asked me, the Head of New Market Development,…

    • 3201 Words
    • 13 Pages
    Good Essays
  • Powerful Essays

    Sainsbury Operations

    • 2417 Words
    • 10 Pages

    This report provides a view on operations of SAINSBURY’S , the third largest supermarket chain across United Kingdom. SAINSBURY’S , in spite of being the longest standing retail chain has been facing stiff competition from rivals like TESCO , MORRISONS. The competitors seemed to have developed at a faster pace since SAINSBURY’S has been through a difficult time in recent years and TESCO is now twice the size in terms of turnover.…

    • 2417 Words
    • 10 Pages
    Powerful Essays
  • Powerful Essays

    Marks and Spencer Group (M&S) is the premier retailer in clothing, foods and home ware within the United Kingdom. The company’s commitment to quality, value, service, innovation and trust is a key contributor to their success as a high street retailer in the UK. Their current core UK operations centre around three divisions, food, general merchandise (including clothing and home ware), and the financial services industry. Therefore Tesco plc is the prime UK retailer to analyse and compare growth, financial performance and the financial status of M&S Plc in line with other competitors within the same industry.…

    • 3962 Words
    • 16 Pages
    Powerful Essays
  • Satisfactory Essays

    Taking a closer look at Harris Academy Peckham and Tesco’s business strategies it is noticeable that both are different businesses and fall under entirely different business sectors. Harris Academy Peckham falling under the public sector whilst Tesco falls under the private sector. Both businesses have a different concentration. HAP provides more of a service rather than a product and only aims their services at children. Whereas Tesco aims their goods and services to just about everyone. A major difference between both businesses is the methods they use to advertise their business. Both businesses have different but similar ways of advertising. Seeing as HAP’s funds are lower than Tesco, and also the fact that they are a public business they have to improvise and use advertising methods like Banners and leaflets. Tesco being a private business they can afford many other methods to advertise their business such as television advertisements. Tesco was established mainly to make profit whereas Harris Academy Peckham is a non profit charity organisation.…

    • 174 Words
    • 1 Page
    Satisfactory Essays
  • Satisfactory Essays

    In order to remain relevant with the training needs of the society, the institute initiated training programmes in the fields of paramedical, Information Technology, and Business and Entrepreneurship education in the year 2002.…

    • 622 Words
    • 3 Pages
    Satisfactory Essays
  • Powerful Essays

    Training contents educational is a system, which, with the use of educational technology, textbooks tutorial and student-centered learning, reduces student necessity to attend classes and courses. In fact, in this type of training, taught classes can be effectively replaced with revisal over the course and troubleshoot classes. Advantages of this system consists of student-centered teaching, possibility of independent study, comprehensive coverage, offering courses in less time in terms of student attendance and, consequently, reduced costs and less dependence on the educational requirements than traditional methods, and yet , effectiveness of Training.…

    • 925 Words
    • 4 Pages
    Powerful Essays