History of TANSAŞ Established in 1973, Konak, Izmir .

2. History of TANSAŞ • Established in 1973, Konak, Izmir. • Theaim of TANSAŞ thatprovidingcheepmeat & coaltoconsumers. • In 2002, TANSAŞ incorporatedMacrocentertoincrease service qualityandproductivity. • In 2005, Koç CorporationandMigrosacquiredshare of Tansaş. • Inconclusion, Tansaş has branchedout in daybyday.

3. POSITION OF TANSAŞ IN ITS INDUSTRY • In 1986, the number of stores of TANSAŞ was 12. • After that TANSAŞ set up more 18 stores. • In 2007, total numbers of stores reached to 253. And also total fields of activities accessed 330,870 m2. • Therefore, Tansaş has provided customers with quality service in the five regions of Turkey since 2007 such as Aegean Region, Central Anatolia Region, Mediterranean Region, Marmara Region, and Western Black Sea.Moreover, TANSAŞ waslocated in 26 variouscities in today. • Now, TANSAŞ has 265 stores ( 128 mini, 91 midi, 46 maxi). • In addition, TANSAŞ has continued to set up new stores every passing days and also it targets to branch out on country-wide.

4. Table 1 : TANSAŞ stores by floor size, 1996

5. About sales volumeof TANSAŞ increasedto 327 trillion TL in thebeginning of 2003. • At theend of 2003, itssalesvolumereached 480 million USD. • Inaddition, TANSAŞ targetstoachieveitsprobability 5,5 million USD. • TANSAŞ has 4.800 employees. • 80% foodproduct, 14% detergent, cosmetics, andpaper, 6% non-foodproduct. • 6.5 % privatelabel ( Tansaş ).

6. VISION TANSAŞ is more different than its’ competitors. Because TANSAŞ has: fresh products, economical brands, standard store formats, unique services and modes of communication.

7. MISSION TANSAŞ is in higher position than its competitors according to variety, economic, quality, and freshness.

8. VALUES TANSAŞ is a family which is resistant against to intense work pressure and focused on its customers.

9. SWOT ANALYSİS TANSAŞ is a companywhich has a strongfinancialstructureand is institutional. Also it aimstoconsistentlyexpand. Strengths: a strongfinancialstructure, thestrength of Doğuş Group, thefacilities of rawmaterial, expertingandexperience, providing a strongcustomerrights.

10. Opportunities: customers’ expendituregrowth, desire of impulsebuyingbecause of customers’ lack of time, protectcustomers’ rights, potentialgrowth in retailingsector. Weaknesses: lowmarketshare, adoptionapparence of stores. Threats: Sabancı Group, enteringforeigncapital in market, decreaseprofitbecause of competitors, customers’ pricesensitivitybecause of increasingsubstitutegoods.

11. STRATEGIES TANSAŞ has differentfeatures of strategiesagainsttoits competitors: • Differentation • the concept of fresh product, • private label, • the concept of new store, • the importance of customer right, • good communication skill. • Segmentation • fourtypes of store format ( mini, midi, maxi, andexclusivesuch as macrocenter ), • targetcustomer ( A – D1 Social-Economical-StatusGroups), • regionalorientation (Aegean Region, Central Anatolia Region, Mediterranean Region, Marmara Region, and Western Black Sea).

12. OperationalProductivity • specialization, • economies of scale, • standardization, • growth, • multiplexing. TARGET MARKET Consumerswhowantto buy qualityproductand do not careaboutpackagingaretheagehighaverage.

13. LocationStrategy It is one of the most important decision for a firm. It is significant impact on fixed and variable costs. If the firm selects the wrong location, it may not have enough access to customers, workers, transportation, materials, etc.

14. Therefore, selecting right location affects the company’s profit and overall success. Since, customers pay attention to convenience to do shopping. On the other hand, searching optimal location should be determined according to company’s needs and goals in order to maximize profit also at the same time minimizing costs such as establishing warehouses. In conclusion, TANSAŞ applies these strategies about its own location.

15. PricingStrategy Reducing price is not a strategy but it is a tactic. It means that if the company wants to use ‘ reducing price’ as a strategy, it should enter to the market with low prices such as BIM, A-101,.. In contrast, using promotion, periodic reducing prices are used for a tactic. That’s why TANSAŞ uses reducing prices ( promotions ) as a tactic to decrease its stocks and increase profit. In addition, TANSAŞ presents private labels to customers with low prices. Private labels provide low costs for TANSAŞ without shelf payment and by a single packaging.

16. CommunicationStrategy Communication plays important role for between companies and customers. TANSAŞ communicates to its customers with advertisments ( tv, internet, billboards, posters, ect. ), promotions, junk mails, and campanies. In addition, customer services of TANSAŞ are great. For example; it facilitates to find goods for customers.

17. StoreAtmosphericsStrategy Store Atmospherics is another significant strategy for retailer. Inside and outside of stores should be attractive for consumers in order to do shopping easily. TANSAŞ focuses on store atmospherics strategy. For instance; it provides refreshing, warm, hygineical stores.

18. COMPARISON WITH THE COMPETITORS WITH REGARD TO STRATEGIES Table 2: Structure of Market before 2005 Table 3: Structure of Market in 2005

19. Table 4: The Definition of Markets

20. AccordingtoStatistics, InMigrosandTansaş, theaverage of customers’ ages is morethantheircompetitors. Socialresponsbility is moresignificantforTansaş. Foodexpenditure is muchmore in Şok. Dia sellsmoreprivatelabelproductsthanothers. Consumers of CarrefourSAareinterested in stockproducts. TescoKipa is a retailerwhich is done thehighestexpenditurebycustomers. Theconsumersmostlypreferto buy FMCG (fastmovingconsumergoods ) from BIM. TescoKipa has themostloyalcustomers in theretailing market.

21. CarrefourSA/Gima • Beinghighconcentration of geographicalmarkets; • Ankara, Istanbul, Izmit, Bursa, Mersin. Migros/Tansaş • Beinghighconcentration of geographicalmarkets; • Çeşme, Edremit, Kuşadası, Nazilli, Marmaris.

22. Migros/Tansaş • Tansaş is a leader in Aegean Region. • Migros is following to leader in Aegean. • Tesco Kipa works based on Izmir. • Tansaş is a strong firm in Aegean Region. • CarrefourSA and Gima are vital competitors of Migros/Tansaş throughout Turkey.

23. Our General Evaluation • Tansaşshouldtakemeasures in time againtsitscompetitors sothatTansaşgetscompetitiveadvantages. Therefore, it should spendmuchmore time in ordertorecognizeitscompetitorssuch as BIM, Kipa, DiaSA, Pehlivanoğlu, etc. Inconclusion, Tansaş can followcompetitors’ strategies. Forinstance, Tansaşshould pay attentiontoprivatelabelproducts. • Tansaşshouldextendrange of productssoconsumers can findwhat ever theywant. • Tansaşshouldestablishtheshopping-mall ( likeKipa) and it shouldtakepart in theseplaces. • Tansaşoughtto set up Mini Tansaşin neighbourhood. (Kipa Express, BIM)

24. Tansaş should focus on standardization because of economies of scale, increasing productivity, decreasing stocks and reducing costs. THEEND

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26. THANK YOU FOR LISTENING & WATCHING… Neslihan SEZER 20070205062 Deniz ATAYİĞİT 20070205013