FINANCIAL REVIEW
RISK TREND
UNIQUE COMPETITOR RISK
Opportunities
Risk Events
� Aggressive and unsustainable market penetration strategies by
competitors.
Description
The group operates in a competitive environment. Innovation and
market penetration strategies throughout the agricultural value
chain on the part of our competitors (local and international), could
have an adverse effect on market share and the group’s results.
Mitigation and Control
Senwes is exposed to competitors and innovative strategies and
capital investments have been made in order to retain and grow
market share.
� Development and roll-out of tailor-made solutions (products
and services) which ensure a competitive advantage.
� Continuously evaluate partnerships (e.g. suppliers, joint
venture partners, etc.) across the group and consider the
impact on the group’s competitive advantage if it decides
to opt for a selection of key, preferred partners (a house
of premium brands/partners).
� Optimise the balance between defensive and attack strategies.
� Increased participation in the parts of the value chain
where the group has never been involved and which
could aid in mitigating unique competitor risk.
Strategic focus areas triggered
� Diversification, horizontal integration and consolidation.
� Internal integration of the customer.
� Reorganisation of business models.
� Unlocking value synergies.
� Increased investment in efficiencies within the value chain.
� Externalisation.
For more info on the group strategy see p. 44
SENWES INTEGRATED REPORT 2020
93