Peapod Case Situation Analysis

In response to your request for a thorough analysis of Peapod and the stage setting in which it operates, a function analysis has been performed and the results ar trivial in the ensuing remarks. headspring Economic ad transmittal line Characteristics Market sizing: In 1999 online food point of intersection gross revenue amounted to approximately $235 million, less(prenominal) than 0.25% of wide-cut supermarket industry sales. ·         Forrester look predict online market sales to reach $3 billion by 2003 and mayhap $85 billion by 2007. ·         CDC forecast that online consumer-direct marketplace sales would deem for between 8 and 12 percent of the total grocery store market sh be by 2010. Market harvest-tide Rate: Online grocery sales expected to scram at a quick pace as: ·         companies reform their do and selection, ·         PC perceptiveness of households rises, and ·         consumers become to a greater extent change to make purchases online. Position in the life cycle: Infancy. follow of Rivals: 45 companies but entirely Peapod, HomeGrocer.com and Webvan appear to dominate. Profitability: No guild has yet to be profitable due to senior high school start-up and run costs and lower-ranking sales volumes. Customer Characteristics: Consumers are extremely price-sensitive when it comes to buying groceries.

Five-forces vex of the online grocery business contest Among the Online Grocers ? A weak to weaken competitive force ·         Rivalry, at present, exists notwithstanding in those locations where theres much than one online grocer. There are only a hardly a(prenominal) such locations: The San Francisco/San Jose area (Peapod and Webvan), Dallas (Peapod and Albertsons), and peradventure a few others. To slightly extent, rivalry is a plus calculate because of the extra assist that it draws to help make more concourse aware of the online grocery shopping option. This is an emerging and comparatively unvalued industry. In a very real way, the more companies there are in the industry and the more they push and rear their offerings, If you want to realize a full essay, influence it on our website: Orderessay

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