A fall in demand of its bread products, as it lost market to Kingsmill and Warburtons.
This is an example of price elasticity.
The exact definition of price elasticity is "the change in demand for a product when the price of the product changes".
There are two key terms, PRICE ELASTIC and PRICE INELASTIC.
Price elastic is when there is a major change in demand for the product following a change in price.
Example: Flight tickets. If the price of a flight ticket to UK is increased, there will be a sudden decrease in the demand for it, because there is a limited market who can afford to go for holidays.
Example: Petrol. Not much changes will happen even if the price of petrol is increased, because there isn't an alternative fuel to petrol. We'd still have to stick with it no matter how much the price goes up.
Riley, Jim. A Good Example of Price Elasticity of Demand. 4 March 2008. 12 January 2013 <http://www.tutor2u.net/blog/index.php/business-studies/comments/a-good-example-of-price-elasticity-of-demand>.
tutor2u. Price Elasticity of Demand. 12 January 2013 <http://www.tutor2u.net/economics/gcse/revision_notes/finance_elasticity.htm>.