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Dixons Retail PLC Customer Service and Logistics Costs Hannah Sugrue
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Content Overview. Challenges. Analysis. Summary.
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Overview Number 2 retailer of electrical and electronic goods in Europe. Approximately 36,000 employees. 1,100 UK stores. Multichannel retailer across 15 countries. Main competitors: John Lewis; Argos; Amazon; Tesco, Apple.
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Overview
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Challenges On-time delivery Minimum cost Intensive technical support
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Challenges Customer
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Challenges ? Chief Executive Sebastian James (Dixons) Deputy Chief Executive Andrew Harrison (Carphone) Finance Director Humphrey Singer (Dixons) Chairman Sir Charles Dunstone (Carphone) Deputy Chairman Roger Taylor (Carphone) Deputy Chairman John Allan (Dixons)
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Challenges ? Chief Executive Sebastian James (Dixons) Deputy Chief Executive Andrew Harrison (Carphone) Finance Director Humphrey Singer (Dixons) Chairman Sir Charles Dunstone (Carphone) Deputy Chairman Roger Taylor (Carphone) Deputy Chairman John Allan (Dixons) Post transaction Components Transaction components Before During After Pre-transaction components
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Challenges Customer
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Analysis Substitutes biggest threat. Risk of new entrants and rivalry decreased due to merger. Threat of suppliers slightly increased.
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Analysis
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Strengths and OpportunitiesWeaknesses and Threats Service propositions. Top heavy management. Dixons Carphone merger. Winning new revenues. Dixons Carphone merger. Customer expectations. Reverse logistics in house. Returns and repair lead times. Increasing financial stability. Shareholder Performance.
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Summary Merger with Carphone Warehouse. New management structure. Complicates established infrastructure. Opens new opportunities. Knowhow. Full package. Great potential versus online offerings. Poor Shareholder Return Omni-channel retailing. Re-distribute investment.
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References Marketline (2014) Dixons Retail PLC company profile [online]. Available from: Marketline Advantage Database. [Accessed: 15/11/14]. MarketLine (2014). United Kingdom – Computer Hardware industry profile [online]. Available from: Marketline Advantage Database. [Accessed: 15/11/14]. Mintel (2014) E-Commerce- UK [online]. Available from: http://academic.mintel.com [Accessed: 15/11/2014]. Mintel (2014) Electrical Goods Retailing - UK [online]. Available from: http://academic.mintel.com [Accessed: 12/11/2014]. Harrison, A. (2008) Putting the End-Customer First. In: Harrison, A and van Hoek, R. Logistics Management and Strategy : Competing Through the Supply Chain. 3rd ed.,: Prentice Hall Financial Times, Ch.2, p 53. FAME (2014). Company report: Dixons Retail PLC [online]. Available from: FAME [Accessed 17/11/14]. Thank you for listening
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