Gregg’s: Food on the GO Harvard Case Solution & Analysis

Gregg’s: Food on the GO Case Study

Question: 01

Area 01: History of Company

Greggs was established in the year 1939 by John Gregg. Greggs is a most desirable bakery in the market of the United Kingdom comes under the food industry. In 1964, the founder of the bakery died and now his son operate the operations of the bakery with the help of his brother. The first shop of bakery was opened in the year 1951 in the market of New castle. (Travers, 2005)The company rebranded its hundred shops of bakers as Greggs of Midland. In the 2008, company again rebrand its 165 bakeries as Gregg’s shops. This time, the aim of the company to rebrand was that all the shops take benefit from Gregg’s national advertisement campaign. In the year 2009the company plans for the more 600 Greggs shops. After three years of rebrand, the company opened its huge store in New York in 2011 month of March. In the 2013 the current CEO left the company and the new CEO of the company become Roger Whiteside. The company wants to increase the products as fast food items. In 2020, the headquarters of the company will be moving. The entry of corona virus affects the business completely. In March, because of the worst of the Pandemic situation in England, all the stores of the Greggs will be closed. In June 2020, the company opens its 800 shops by following government policies of social distancing, sanitization and wearing masks to employees, cooks and customers. (Hinder, 2012)The company added some products in June 2020. The company fire over 800 employees in Covid-19  because of reduction of sales.

Current Operations of the Greggs

Gregg’s now making plan to open 250 stores with Eco-friendly essentials by the ending of year 2022 and the company also wants to implement this structure to the 25% divisions of the company by year 2025. The current operation of the company is to fulfil the needs of customers by offering delicious, fresh and healthy food products through their multiple stores. The company has created great value for the customers in the marketplace. No third party is involved in the company’s outbound and inbound operations. During the Pandemic, the company faces a lot of challenges but they overcome all the issues and sustain their position in the market. From 1930 the company moves towards growth and that single bakery store expands to 2500 stores which produce the fresh food nationwide. In the time of Corona, the people of United States purchase food items from Gregg’s store because they know the company offer hygiene food, which is good for everyone. The company is strong in manufacturing, Services, customer relationships and quality of fresh products. The Gregg’s motivates all the employees to accomplish the future objectives for growth of the company and the company also focuses on reducing the wastage which create during production.

Current Challenges

The Gregg’s is facing some challenges which directly affect the operations of the business. Some issues are discussed below.

  • Business Issues
  • Cultural Issues
  • Political Issues

Business Issues

In the Business Issues of Greggs, the Industry life cycle, is to be analyzed because this life cycle have some challenges which affect the revenue and market share of the company for the longeron, so the company must consider the factors and eliminate the issues.

Industry Life Cycle

The industry life cycle has 04 phases, starting from the introduction phase to the declining phase. In this analysis, we can easily understand the life cycle of Gregg’s store opened in 2019. In this whole cycle, the three major factors are to be measured: the market share, profitability and growth of the Gregg’s Stores. (Zhang, J., & Wedel, M. (2009))

Graphically Representation of Industry Life Cycle

Introduction Phase

This is the initial phase of the industry life cycle of Gregg’s. In this phase, the company introduces the new store into the market with additional products and value propositions. The expense in this phase is very high and revenue is very low because in this phase the company has higher production and promotion costs. In this phase, the company earns a tiny revenue.

Growth Phase

After introducing new store and products into the market by Gregg’s the growth increases with passaging time. The consumers again and again purchase the products from the store to satisfy their utility. In this phase, the growth rate is increasing in a constant flow. The market value, profitability, and growth are the highest in this phase.

Maturity Phase

After growth the Gregg’s store reach at the maturity phase on which initially the growth was high, but after some time the growth goes down in the year of 2020 by introduction of Corona Virus in the United Kingdom Markets.

Decline Phase

In the year 2020, the company faces the decline phase because Corona Virus fully affects the markets on a global level. In 2020, the company closes all its stores according to government policies for safety measures. The company fire over 800 employees in that year because the growth of the company decline and the profitability also decreases.

Organizational Culture

The organizational culture of the Gregg’s is very stable and motivated for the employees because the vision statement of the company is very clear and brief, which everyone follows for growing the company. The briefs, values, expectations and policies of the company are unique and attainable.

Cultural Issues

In reality, the Gregg’s is no more cultural issues because the culture of the company is completely towards the satisfaction of customers. The Gregg’s States that the Employees and Customers are the heart of my business. The unethical products or not sell by the company. And all the employees of the company are like the family, so the rate of conflicts is also very low.

Political Issues

The pricing regulations, Rate of Taxation, changing in government and mandatory policy of employee’s benefits are the major political issues faced by the company. As the portfolio of the company is huge, so the taxes are also increasing. Changing in government also affects the company negatively because new policies affect the production of the company by changing suppliers according to new policies.

Stakeholders Matrix

The stakeholder’s matrix for the Gregg’s company has o4 portions. Keep Satisfied, Manage Closely, Monitor and Keep Informed.

In the growth of Company the Stakeholders Satisfaction and involvement is also very important. Gregg’s must improve the weak point of stakeholders’ matrix for attract more stakeholders towards the bakery.

Area 02: External Analysis

To analyze the External factors which affect the operation of Gregg’s company, the PEST Analysis is to be used in which we understand the Political, economic, Social and technological factors which affect the Gregg’s company.

PEST Analysis

Political Factors

The pricing regulations, Rate of Taxation, changing in government and mandatory policy of employee’s benefits are the major political issues faced by the company. Changing in government also affects the company negatively.

Economic Factors

The purchasing power of customer, exchange rate and the infrastructure of stores also affect the business of the company. Higher the purchasing power of customers is beneficial for the company. Increase in exchange rate affect negatively on company because company is to doing business nationwide. Infrastructure attract the new customers towards the store as good the infrastructure the more customers like to use the store.

Social Factors

The major social factor which affect the Gregg’s is customer’s perception about healthier and hygienic food. The different taste of flavours of different customers, their needs from basic products and gender, these all factors affect. The company built a good trust with customers so customers of UK have priority to consume fresh products from Gregg’s Stores.

Technological Factors

The advancement in technology and the authority of taking decisions to value chain partners are the prime technological factors which affect the Gregg’s. The company adopts the new technologies for increasing the productivity.

Target Market

The Gregg’s Company did not target a particular segment of the market. All age and gender categories are desirable for the products offered by the company. In recent 2020, the data shows the customers above 40 years purchase more products from the stores. The company states that we are the brand for everyone means the Gregg’s follows the undifferentiated marketing strategies.


The Gregg’s company has differentiation when compared with other bakers of United Kingdom. The company has a variety of products which are sold by nationwide and also in the two markets of Belgium. The company has differentiation in taste of products, prices of products and the services provided by the employees of stores are also very satisfying.


The position of the company in the market of the United Kingdom is also very strong with the value propositions offered by the company. The company’s main aim is to build higher customer loyalty with a strong brand image. The value propositions of the company’s products are of higher quality with reasonable prices, respectable services from all the stores and the fresh baked items which change the mood of the buyer.....

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