Migros Company Visit Research Proposal 4 pages

Migros Company Visit

Introduction number of corporations of all types have discovered that adopting so-called “green” or environmentally friendly and socially responsible business practices can pay large dividends in terms of more efficient operations and engendering consumer good will, but grocery retailers have largely been absent from this movement with a notable exception. The Swiss grocery retailer, Migros, has been in the vanguard of corporations that have focused on improving the quality of life for its partners and the customers it serves through such practices, which is a truly remarkable approach to doing business for grocery stores which traditionally have been compelled to compete using razor-thin profit margins in a highly competitive environment. While these business tactics have not always worked out the way the company envisioned or desired, to its credit, Migros continues to adhere to these socially responsible business practices today and expects them to help fuel its continued growth into new markets in the future. To determine what factors have played a role in the company’s growth to date, this paper provides an overview of the company’s history, some key facts and figures about Migros, its corporate strategy/philosophy and current and past issues that have affected the company. A summary of the research and lessons learned are provided in the conclusion.

Review and Discussion

History of the company.

Established in 1925 by Gottlieb Duttweiler, Migros has grown from its humble origins operating from a few Model T. trucks and 16 employees in Zurich to emerge as a major grocery retailer and employer in Switzerland today (About Migros, 2009). According to Migros’ corporate Web site, “With a starting capital of 100,000 francs, Gottlieb Duttweiler bought five Model T. Ford trucks and stocked them with six basic products (coffee, rice, sugar, pasta, coconut oil and soap) which he offered at up to 40% cheaper than his competitors” (About Migros, 2009, p. 1). Opening its first self-service store in 1948 (About Migros), Migros has diversified from these six basic products over the years and now offers its customers a one-stop shopping experience that rivals American-based Wal-Mart. According to Migros’ corporate Web site, “Whatever you think Migros is, you are right because Migros is as versatile as hardly another company in Switzerland: it’s shopping centers, publishing, travel, banking, industrial management, sponsor, culture and photographic processing, airline services, bakery good and even a lot more” (About Migros, 2009, p. 2).

Key figures and facts.

Today, Migros is the largest retailer in Switzerland as well as being one of the 500 largest companies in the entire world (About Migros, 2009). According to Reinhardt and his associates, “Primarily a retailer for foods and near-foods products, the cooperative Migros, with close to 600 retail outlets in Switzerland (but only four outside its domestic market), is facing stiffer competition, both from existing competitors (such as Coop) and new arrivals (such as hard discounters Lidi and Aldi)” (p. 37). The company employs almost 80,000 people and has annual revenues in excess of 20 billion francs (About Migros). Further, in 2007, Migros purchased a 70% share one of Switzerland’s other leading retailers, Denner, which specializes in the sale of alcohol and cigarettes (Swiss retail market consolidates, 2007). According to this report, “Both companies said the deal would secure the long-term future of the discount chain at a time of increased competitiveness since the arrival of foreign retailers in the Swiss market, such as Germany’s Aldi, and France’s Carrefour” (Swiss retail market consolidates, p. 3).

Strategy/philosophy.

One of the key strategic approaches being used by Migros is expanding its operations into European countries that until recently were either closed to such expansion or were deemed unsuitable for the company’s corporate philosophy. Things have changed today, though, and according to Sternquist and Kacker (1999), “Backed by long experience in international retailing, mature European retailers such as Migros would want to get more involved in the historic task of privatizing and rebuilding retailing activity in these countries. To many of them, it is a challenging opportunity and a great learning experience experimenting with hitherto successful concepts in an unfamiliar and often unpredictable environmental setting” (pp. 163-164). Likewise, Reinhardt et al. (2005) report, “In October 2005, Urs Riedener, head of marketing at Swiss retailer Migros, is contemplating the company’s competitive position. Riedener and Migros management have so far always had faith in Migros’ position in the marketplace, built around its governance structure (the customers were also the owners, creating a close link between the retailer and the market) and its emphasis on never selling harmful products” (p. 37). Indeed, the company’s emphasis on so-called “social clauses” (discussed further below) has been at the forefront of its corporate philosophy: “Socially, ecologically, and ethically produced products were key aspects of Migros’ product offering. Riedener knows that Migros benefited from a unique position — and he wants to make sure that Migros defends it from both new and old competitors” (Reinhardt et al., p. 37).

Current and past issues.

The company faces some profound challenges in its efforts to grow its business in the future but has continued its corporate philosophy of socially responsible corporate citizenship (Reinhardt, Dessain, & Sjoman, 2005). The company’s management has been examining ways to assist emerging economies in the countries where it competes or intends to expand to facilitate it future growth while helping improve the quality of life for the residents in these regions. In this regard, Sternquist and Kacker note that, “Many Eastern European countries today are in dire need of basic down-to-earth retailing know-how, not necessarily the sophistication offered by world class chains of specialty stores like IKEA and Benetton. Migros, for example, was involved in 1990 in a project that sought to improve the potato storage capabilities in Sosnogorsk in Russia. With simple measures and little investment, the coop played a significant role in this part of the world. It helped reduce the storage losses to the extent of 30%, something that benefited people immediately and directly” (p. 187). It is reasonable to suggest that these types of corporate initiatives will go a long way in establishing good will among current and potential future customers.

Not all of the company’s social improvement initiatives have experienced this level of success, though. As Brysk (2002) points out, “A prime example of a relatively successful ‘social clause’ experiment, begun in 1987, is between the Swiss supermarket chain Migros and Del Monte pineapple farms in the Philippines” (p. 108). The clause in question stipulated that, “The [Filipino] supplier hereby guarantees Migros that the production methods for the workers, in terms of social as well as economic conditions, are above average” (quoted in Brysk at p. 108). In support of this initiative, Migros maintained that “prices have to tell the truth and reflect the ecological and social costs incurred in production, otherwise someone else has to pay later, usually the innocent public through the insurance system, the public welfare system, and the international community” (quoted in Brysk at p. 108). As a direct consequence of this social clause initiative, though, the price of pineapples grown in the Philippines increased 15-20% beyond those being grown in Thailand, Malaysia, or South African and Thailand’s exports of pineapples increased 250% as a result (Brysk). This author adds that, “More significantly, Migros itself had to offer a second, discounted line of pineapples without the favorable ‘social label’ to cater to buyers who did not really care. Happily, Migros reported, shoppers continued to purchase the more expensive ‘labeled’ goods” (Brysk, p. 108).

Conclusion and Lessons Learned

The research showed that in its 85-year history, Migros has been transformed from its modest beginnings selling basic food and non-food products from the back of Model T. trucks to become the largest employer in Switzerland and one of the largest companies in the world. Retail managers of all types could learn much from this company and its focus on shortening the supply chain as much as possible to bring the products it offers to its customers as quickly and efficiently as possible. Likewise, other retailers could probably stand a healthy dose of the type of corporate citizenship that has fueled Migros’ growth over the years as well. It is unclear, though, whether such a socially responsible approach to doing business is viable in an increasingly competitive globalized marketplace for retailers competing in other countries, but it is clear that Migros has made it work to its advantage and it is reasonable to conclude that this company will maintain this course in the future.

References

About Migros. (2009). Migros. [Online]. Available: http://www.migros.ch/DE/.

Brysk, a. (2002). Globalization and human rights. Berkeley, CA: University of California Press.

Reinhardt, F.L., Dessain, V. & Sjoman, a. (2005, December 14). Migros case study. Harvard Business Publishing.

Sternquist, B. & Kacker, M. (1999). European retailing’s vanishing borders. Westport, CT: Quorum Books.

Swiss retail market consolidates. (2007, January 12). SwissInfo.ch. [Online]. Available: http://www.swissinfo.org/eng/front/detail/Swiss_retail_market_consolidates.html?siteSect=105&sid=7423697.

Get Professional Assignment Help Cheaply

Are you busy and do not have time to handle your assignment? Are you scared that your paper will not make the grade? Do you have responsibilities that may hinder you from turning in your assignment on time? Are you tired and can barely handle your assignment? Are your grades inconsistent?

Whichever your reason is, it is valid! You can get professional academic help from our service at affordable rates. We have a team of professional academic writers who can handle all your assignments.

Why Choose Our Academic Writing Service?

• Plagiarism free papers
• Timely delivery
• Any deadline
• Skilled, Experienced Native English Writers
• Subject-relevant academic writer
• Adherence to paper instructions
• Ability to tackle bulk assignments
• Reasonable prices
• 24/7 Customer Support
• Get superb grades consistently

Online Academic Help With Different Subjects

Literature

Students barely have time to read. We got you! Have your literature essay or book review written without having the hassle of reading the book. You can get your literature paper custom-written for you by our literature specialists.

Finance

Do you struggle with finance? No need to torture yourself if finance is not your cup of tea. You can order your finance paper from our academic writing service and get 100% original work from competent finance experts.

Computer science

Computer science is a tough subject. Fortunately, our computer science experts are up to the match. No need to stress and have sleepless nights. Our academic writers will tackle all your computer science assignments and deliver them on time. Let us handle all your python, java, ruby, JavaScript, php , C+ assignments!

Psychology

While psychology may be an interesting subject, you may lack sufficient time to handle your assignments. Don’t despair; by using our academic writing service, you can be assured of perfect grades. Moreover, your grades will be consistent.

Engineering

Engineering is quite a demanding subject. Students face a lot of pressure and barely have enough time to do what they love to do. Our academic writing service got you covered! Our engineering specialists follow the paper instructions and ensure timely delivery of the paper.

Nursing

In the nursing course, you may have difficulties with literature reviews, annotated bibliographies, critical essays, and other assignments. Our nursing assignment writers will offer you professional nursing paper help at low prices.

Sociology

Truth be told, sociology papers can be quite exhausting. Our academic writing service relieves you of fatigue, pressure, and stress. You can relax and have peace of mind as our academic writers handle your sociology assignment.

Business

We take pride in having some of the best business writers in the industry. Our business writers have a lot of experience in the field. They are reliable, and you can be assured of a high-grade paper. They are able to handle business papers of any subject, length, deadline, and difficulty!

Statistics

We boast of having some of the most experienced statistics experts in the industry. Our statistics experts have diverse skills, expertise, and knowledge to handle any kind of assignment. They have access to all kinds of software to get your assignment done.

Law

Writing a law essay may prove to be an insurmountable obstacle, especially when you need to know the peculiarities of the legislative framework. Take advantage of our top-notch law specialists and get superb grades and 100% satisfaction.

What discipline/subjects do you deal in?

We have highlighted some of the most popular subjects we handle above. Those are just a tip of the iceberg. We deal in all academic disciplines since our writers are as diverse. They have been drawn from across all disciplines, and orders are assigned to those writers believed to be the best in the field. In a nutshell, there is no task we cannot handle; all you need to do is place your order with us. As long as your instructions are clear, just trust we shall deliver irrespective of the discipline.

Are your writers competent enough to handle my paper?

Our essay writers are graduates with bachelor's, masters, Ph.D., and doctorate degrees in various subjects. The minimum requirement to be an essay writer with our essay writing service is to have a college degree. All our academic writers have a minimum of two years of academic writing. We have a stringent recruitment process to ensure that we get only the most competent essay writers in the industry. We also ensure that the writers are handsomely compensated for their value. The majority of our writers are native English speakers. As such, the fluency of language and grammar is impeccable.

What if I don’t like the paper?

There is a very low likelihood that you won’t like the paper.

Reasons being:

• When assigning your order, we match the paper’s discipline with the writer’s field/specialization. Since all our writers are graduates, we match the paper’s subject with the field the writer studied. For instance, if it’s a nursing paper, only a nursing graduate and writer will handle it. Furthermore, all our writers have academic writing experience and top-notch research skills.
• We have a quality assurance that reviews the paper before it gets to you. As such, we ensure that you get a paper that meets the required standard and will most definitely make the grade.

In the event that you don’t like your paper:

• The writer will revise the paper up to your pleasing. You have unlimited revisions. You simply need to highlight what specifically you don’t like about the paper, and the writer will make the amendments. The paper will be revised until you are satisfied. Revisions are free of charge
• We will have a different writer write the paper from scratch.
• Last resort, if the above does not work, we will refund your money.

Will the professor find out I didn’t write the paper myself?

Not at all. All papers are written from scratch. There is no way your tutor or instructor will realize that you did not write the paper yourself. In fact, we recommend using our assignment help services for consistent results.

What if the paper is plagiarized?

We check all papers for plagiarism before we submit them. We use powerful plagiarism checking software such as SafeAssign, LopesWrite, and Turnitin. We also upload the plagiarism report so that you can review it. We understand that plagiarism is academic suicide. We would not take the risk of submitting plagiarized work and jeopardize your academic journey. Furthermore, we do not sell or use prewritten papers, and each paper is written from scratch.

When will I get my paper?

You determine when you get the paper by setting the deadline when placing the order. All papers are delivered within the deadline. We are well aware that we operate in a time-sensitive industry. As such, we have laid out strategies to ensure that the client receives the paper on time and they never miss the deadline. We understand that papers that are submitted late have some points deducted. We do not want you to miss any points due to late submission. We work on beating deadlines by huge margins in order to ensure that you have ample time to review the paper before you submit it.

Will anyone find out that I used your services?

We have a privacy and confidentiality policy that guides our work. We NEVER share any customer information with third parties. Noone will ever know that you used our assignment help services. It’s only between you and us. We are bound by our policies to protect the customer’s identity and information. All your information, such as your names, phone number, email, order information, and so on, are protected. We have robust security systems that ensure that your data is protected. Hacking our systems is close to impossible, and it has never happened.

How our Assignment  Help Service Works

1.      Place an order

You fill all the paper instructions in the order form. Make sure you include all the helpful materials so that our academic writers can deliver the perfect paper. It will also help to eliminate unnecessary revisions.

2.      Pay for the order

Proceed to pay for the paper so that it can be assigned to one of our expert academic writers. The paper subject is matched with the writer’s area of specialization.

3.      Track the progress

You communicate with the writer and know about the progress of the paper. The client can ask the writer for drafts of the paper. The client can upload extra material and include additional instructions from the lecturer. Receive a paper.

4.      Download the paper

The paper is sent to your email and uploaded to your personal account. You also get a plagiarism report attached to your paper.

PLACE THIS ORDER OR A SIMILAR ORDER WITH US TODAY AND GET A PERFECT SCORE!!!