SWOT analysis Auchan

Auchan is an international hypermarket network, headquartered in Lille, France.

Auchan is controlled by the Mulliez family and is present in several countries around
the world such as France, Italy, Spain, Portugal, Luxembourg, Poland, Hungary,
Russia, Morocco, China, Taiwan, and Romania.
The Auchan stores are operated by MGV Distri-Hiper, founded in 2005, which is
wholly owned by Auchan. Annually Auchan hypermarkets have a turnover of about 3
billion euros.
SWOT analysis is the most important managerial technique used
to understand the strategic position of an enterprise/organization. The SWOT analysis
starts with writing a list of current points: points of strength but also points
weakness, about the state of an enterprise/organization
Pricing and promotion policy are two of the most important strengths of the firm,
which outlined the lasting relationship with customers. Practicing favorable prices has
been the step towards attracting customers, and their promotion has been favored.
These two tactics of the firm are the focus of the whole business: focusing on the needs
of consumers. And also unbeatable promotions (eg Auchan - branded products, priced
up to 30% lower, where you buy so cheaply - the baby world: Come to Auchan, for two
weeks put your baby on the top!)

Auchan's main weakness is the distribution and relationship with suppliers. In some
situations, suppliers fail to meet the terms and conditions of delivery of the products,
and the company faces an inability to meet the demand from customers. In the long run,
this may lead to the loss of part of the customers and the overall inefficiency of the
business.

The analysis of the company's economic environment highlights another aspect

related to the increase in the consumption of the population and the tendency to allocate
the largest part of the food and non-food incomes. This favorable conjuncture, related
to the consumption of the population, represents an opportunity for the company, and
the offering of a variety of food and non-food products is the key to the company's
success.
The main factor of the threats is the inflation rate, which, although decreasing
compared to the period, will have a direct impact on the growth of prices for services. In
the coming period, due to rising inflation, Auchan will face difficulties in working if it
does not take into account this forecast.
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