The former farm boy and Jurong Vocation Institute graduate-turned-supermarket tycoon once recalled about his childhood:
It acts as a one stop shop for the shoppers looking for convenient shopping option of their groceries. It was listed on Singapore exchange in and over time it has introduced around 10 house brands too in its portfolio.
Being third largest chain of supermarket in Singapore after NTUC and Giant DFI group it is competing not just against these brick and mortar stores but also the upcoming e-commerce players.
Unlike its peers its focus is not on providing different goods but on providing goods at low prices. Look at figure 1, which talks about how the company is placed as compared to its competitors in low cost segment but with industry wide product range. The company has been expanding since inception and is keen on expanding further by looking for more retail spaces to increase its presence in the country.
It has been reporting good financial performance which has kept the sentiments pretty positive on their stock. PESTEL framework It is a tool of relevance that helps us understand the environment in which organization is operating in better with major focus on the country of operations.
Our focus would be onn Singapore, the country of operations of Sheng Siong. Political Aspect For an organization politics of the country it is operating in plays a big role in smoothness of its operations. The intervention of Government of the country is an area of concern as that decides how the companies are controlled and are affected.
Singapore is a stable company and democratic in nature with very low political risk. But recently some laws have come up which restricts the Non-Singapore people hiring and has led to increase in the labour cost at Sheng Siong and other rivals.
All suppliers need to adhere to regulations of import and export. Government is providing subsidy to e-commerce activities in the form of direct subsidy and fiscal incentives like eBusiness industry development scheme.
It will strengthen adoption of e-Business also help in increasing electronic transactions among businesses in Singapore.
But the business model depends on Brick and Mortar stores which need big investment in space as well as labour.Sheng Siong Group Ltd.(Chinese: 昇菘集团) is the parent company of Sheng Siong Supermarket Pte Ltd, commonly known as Sheng Siong, the third largest chain of supermarkets in Singapore.
3 reviews of Sheng Siong "Great place to get almost anything and everything - spices, vegetables, meat, etc. I love this Supermarket as it really does have the cheapest prices in Singapore - compared to NTUC and Shop N Save.
Some things might be /5(3).
Sheng Siong Group Ltd.(Chinese: 昇菘集团) is the parent company of Sheng Siong Supermarket Pte Ltd, commonly known as Sheng Siong, the third largest chain of supermarkets in Singapore. 2 reviews of Sheng Siong Supermarket "It all began with a serious late night craving for clams and mussels. A serious craving for a specific type - bucket-load - of shellfish for a total binge-out. Whenever this happens, I avoid seafood spots /5(2). Sheng Siong's dividend yield isn't high either and the investors seem to be willing to pay a premium for these profitable businesses. NTUC Fairprice is a big competitor to these listed companies and hence I have included it in this comparison study.
At present, Sheng Siong’s key competitors include Dairy Farm International Holdings which operates Cold Storage, Giant, and 7-Eleven in Singapore, and NTUC Fair Price Co-Operative which operates FairPrice stores in Singapore.
SINGAPORE - Supermarket chains NTUC FairPrice, Sheng Siong and Prime Supermarket are removing all Asia Pulp & Paper Group (APP) products from their shelves. The Dairy Farm group, which operates. Sheng Siong also seems to offer good variety for its baking products, and Japanese food products and sauces.
The downside is that it offers quite limited or fewer brands compared to the other online supermarkets. Sheng Siong's dividend yield isn't high either and the investors seem to be willing to pay a premium for these profitable businesses.
NTUC Fairprice is a big competitor to these listed companies and hence I have included it in this comparison study.