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ACTIVITY PROFILE AND POLARITY PROFILE

The company “A” operates on the Ukrainian market since 1998. It is a big supermarket, which specializes in food products trade. Its total area is more than 3,500 sq. m. Firm «A» is placed in a quiet area of the city. The company employs more than 250 people. Personnel turnover ranges from 13 to 17% annually. In 2011, in the same area appears the company «B», which also specializes in food products trade. Activity of “B” is rapidly developing and is in demand. Company «B» is a direct competitor of company «A». Managers of company “A” decided to analyze the competitive position of company “A”.

#

INDICATORS

«A»

«B»

1

Sales volume, thousand UAH.

11000

6250

2

Gross margin, thousand UAH.

1670

1200

3

Profit (loss), thousand UAH.

12

– 5

4

Operating expenses, thousand UAH.

1554

800

5

The level of profitability,%

0,8

2

6

Commodity stocks turnover, times

12

8

7

The efficiency of labor, UAH.

27

38

8

Trade area, sq. m.

3500

450

9

The average monthly salary per worker, UAH.

2000

2095

10

The market share of the company in the city turnover,%

0,01

0,003

TASKS:

  1. Construct an “activity profile” of each company (Annex A).
  2. Construct a “polarity profile “.
  3. Analyze the competitive position of the company and make recommendations for its improvement (in a form of a document).

Annex ?

Scale of indicators estimation

#

INDICATORS

Scale of points

1

2-4

5-7

8-9

10

1

Sales volume, thousand UAH.

up to 2000

2000- 4000

4000- 6000

6000- 8000

8000 and more

2

Gross margin, thousand UAH.

up to 500

500-1000

1000-1500

1500-2000

2000 and more

3

Profit (loss), thousand UAH.

up to 20000

20000-40000

40000-60000

60000-80000

80000 and more

4

Operating expenses, thousand UAH.

4000 and more

4000-3000

3000-2000

2000-1000

up to 1000

5

The level of profitability,%

up to 0

0-2

2-4

4-5

5 and more

6

Commodity stocks turnover, times

up to 10

10-20

20-30

30-40

40 and more

7

The efficiency of labor, UAH.

up to 20

20-30

30-40

40-50

50 and more

8

Trade area, sq. m.

up to 500

500-1500

1500-3000

3000-4500

4500 and more

9

The average monthly salary per worker, UAH.

up to 1500

1550-1700

1700-1900

1900-2000

2000 and more

10

The market share of the company in the city turnover,%

up to 0,05

0,04-0,03

0,03-0,01

0,01-0,1

0,1 and more

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