Afbs

In: Business and Management

Submitted By usama12
Words 2377
Pages 10
FOUNDATION TO BUSINESS STRATEGY
ALDI
ALDI is one of the world’s leading grocery retailers with more than 7,000 stores across 70 countries. The company originates from Germany, where it was founded in 1913 as one of the first retailers to offer self-service. Since opening its first store in 1913, ALDI has established itself as a reputable retailer operating in international markets including Germany, Australia, UK, and the U.S. What distinguishes ALDI from its competitors is its pricing strategy without reducing the quality of its products. In fact, in some cases ALDI’s products are 30% cheaper than those offered by its competitors. ALDI can do this because the business operates so efficiently. ALDI has operated in the UK since 1990, and now has over 500 stores in the UK and Ireland employing in excess of 20,000 people.
ALDI’S POLICIES:
ALDI does not have a clear defined Vision and mission statements, however it has clearly defined policies based on which it could create its competitive position in the market.
ALDI’S Policies are based on ‘What if a grocery store challenged the typical retail business model?’ALDI’s business model enables to provide the customers the highest quality products at the lowest possible prices. This value stems from the numerous efficiencies and innovations instituted at every level of ALDI’S operation. The following are the cost saving strategies that ALDI adopts: * Customers bring their own bags or buy our reusable bags to save money * Modest store size, plus eliminating non-essential grocery store services means ALDI captures the very essence of conservation and savings for customers * In-house distribution network streamlines operations and maximizes efficiencies, resulting in even greater savings for customers * Not operating 24 hours a day lowers labor, energy & rent costs, with savings passed on to…...

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