Development of the Strategy for the X5 Packaging Business Line

X5 Group, the largest grocery retailer in Russia, is seeking to expand its presence in the ready-to-eat market. As part of this initiative, the company is launching a new direction "X5 Packaging", which will centralize the purchase of disposable packaging. The aim of the project is to develop strategic recommendations for the new direction "X5 Packaging" in the perimeter of the Block "X5 Food". The value of packaging is an essential element of product promotion, accounting for 30% of the total cost of finished products. Thus, optimization of packaging purchases can significantly affect profitability. The organizational structure of the X5 Packaging direction will combine the purchase of disposable packaging for all retail chains and mini partner factories cooperating with X5 Group. This will optimize the procurement process, reduce costs and improve the quality of packaging. Economic efficiency in the allocation of a separate direction "X5 Packaging" is expedient and economically profitable, since it will allow: • Reduce the cost of production by combining purchases. • Improve the efficiency of the procurement process. • Reduce financial losses and increase profits. The X5 Packaging direction will contribute to the achievement of the following strategic goals of the company: • Maintaining a leading position in the ready-to-eat market. • Improved operational efficiency. • Reduction of the ecological footprint. A unified packaging concept will be developed to ensure maximum procurement efficiency. This concept will include: packaging design, quality standards, environmental requirements. The project implementation will include the following stages: development of a strategy and business plan, creation of an organizational structure, development of a unified packaging concept, optimization of the procurement process, financial evaluation of the results. The X5 Packaging direction will become a key element in the X5 Group's growth strategy in the ready-to-eat market. It will allow the company to increase efficiency, reduce costs and strengthen its position in the industry. The implementation of the project will bring significant economic benefits and will help the company achieve its strategic goals.