Mercadona and the Challenge of 2020

  • Reference: P-1176-E

  • Year: 2020

  • Number of pages: 17

  • Geographic Setting: España

  • Publication Date: Oct 31, 2019

  • Source: IESE (España)

  • Type of Document: Case

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Description

After various decades of uninterrupted growth, Mercadona was completing its expansion in Spain and Portugal. Faced with this situation, it was natural in which direction the company strategy should head. Should it continue its expansion process into other countries, such as Italy? If so, what impact would the recent change of model from "integrated suppliers" to "totalers" have on the process?

Learning Objective

The case is focused on the analysis of the Mercadona business model, a win-win approach with suppliers in a sector where the retailer has traditionally "squeezed" the supplier. The model reveals itself inductively during the session, reaching generality from the specific facts. The case is well-suited to any program with a generalist scope: MBA, EMBA, PDD, PDG.

Keywords

integrated supplier Internationalization Mercadona Retail totaler