CONTENTS PAGE

1. EXECUTIVE SUMMARY 2
2. INTRODUCTION 2 2.1 Picard overview 4

2.2 Picard´s corporate strategy 5

2.3 SWOT analysis 6

3. PEST ANALYSIS 6
4. PORTER´S FIVE FORCES Analysis of entering the UK Market 7
5. CONCLUSION 11
6. BIBLIOGRAPHY 12
7. APPENDICES 13

1. EXECUTIVE SUMMARY

The aim of this report is to analyse Picard´s market performance as well as challenges in its operating market using the PEST analysis tool, in order to identify if the company has prospects of entering and succeeding in the UK based on Porter´s five forces model.

Picard is a French frozen food retailer focusing exclusively on its own brand product lines. The company has grown to be France´s leading frozen food specialist capturing 20% market share with a network of over 800 stores, and it is also the largest specialised network of frozen food in Italy. Picard also offers a leading home delivery service from internet and telephone orders, including in other countries such as Spain, Luxemburg and Belgium.

The retailer´s overall strategy is characterised as a premium proposition with a vision of convenience, quality and innovation, firmly positioning itself on the high end of the market. Picard currently aims to continue opening approximately 50 new stores per year given its successful and consistent performance, allowing the company to potentially expand further overseas.

Using the PEST analysis tool it was identified that Picard´s major challenges in its operating market are the increased competition with other retailers in the convenience sector, the extent to which the products are adapted for each country, the frozen food quality perception and association to a premium offering, and the lack of a loyalty card scheme.

It was identified in this research that the level of competition in the UK frozen food sector was intermediate