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Swot Analysis Of Sainsburys

1823 Words8 Pages

I. Introduction
Sainsbury’s was founded in the UK in 1869 and a leader in supermarkets in the UK. Sainsbury’s Group owns different industries: Banking, Property, Entertainment and so on. The company expanded its business overseas, including Egypt. However, the cultural difference caused some difficulty in operation in a new market. This report is aimed to analyze the internal cultural operation to see if the differences influence strategies in the new market and what Sainsbury’s should do next to operate its business efficiently in Egypt.
II. GLOBE Analysis and Further Discussion
1. Cultural Difference
The Global Leadership and Organizational Behavior Effectiveness (GLOBE) Study was created by Robert Junior House in 1991 (House, 1991, cited …show more content…

al, 2004; 2006). The result from GLOBE Study shows the equivalence that both Egypt and England scored (4.15 for Egypt and England at 4.16). Culture with high performance orientation reflects on the effectiveness of leaders and leadership (Grove, No date). Focusing on ‘training and development’, ‘competitiveness and material’, formal feedback for improvement on performance and direct communication are characters that describe this dimension clearly. The operation of Sainsbury’s in Egypt (Sebora, Rubach, Cantril, 2014) is a good example. The company invested on expatriates for extensive training. In additional, it was stated out from Sainsbury’s market research is that Egyptian consumers enjoy a great competition over …show more content…

al (2004; 2006) as the degree to which higher levels of neither an organization or government holds the power. This can be identified by the difference in classes, power provide social order, limit in ‘upward social mobility’, a few available resources and localized information (Grove, No date). The operation strategy of Sainsbury’s clearly shows characters in high power distance. By using the hierarchy system, it reflects all power and decision making controlled by the head quarter and all information is strictly transferred through the top expatriate management to the head quarter. Comparing to England, this dimension is fairly high in Egypt-at 4.76 (House et. al, 2004; 2006) and is not a great different to how England’s society

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