TESCO ANALYSIS

Tesco Analysis

Tesco Analysis

Objective of the Report

The objective of this to conduct the structure and business environmental analysis of the Tesco. The paper will discuss the internal and external environmental analysis of the Tesco. Tesco is one of the few companies that appear to have incorporated this insight in to its international strategy. Tesco has followed a deliberate expansion path, entering relatively few countries, but building scale in those where it has entered.

Furthermore, the paper will discuss the PESTEL Analysis, SWOT Analysis and Tesco's Strategies in a Global Marketplace. Finally, the recommendations will be proposed for the adoption of effective strategies to achieve a competitive edge in a global marketplace.

About Tesco

Tesco came into existence in 1919. It was Jack Cohen's idea that gave rise to such a huge and gigantic organization. Tesco is involved in grocery and general merchandising retailing. Tesco is considered as the number three largest retailer in the world if we gauge its position in terms of revenue. First store of Tesco started its operation in 1929. Tesco is one of the companies that are listed in London Stock Exchange. Tesco has diversified both geographically and into areas such as retailing of books, clothing, electronics, furniture, finance, telecom and music download. Tesco is operating over 3,700 stores globally and employing over 440,000 people. Tesco operates in 13 countries outside the UK, Republic of Ireland, Hungary, Czech Republic, Slovakia, Turkey and Poland in Europe; China, Japan, Malaysia, South Korea, Thailand and India in Asia, and the U.S.

Tesco is the most recognizable name in the retail industry as it is counted in one of the leading food retailers in U.K, an estimated 15.5% share of the total market. Tesco is also designed to increase their share of non-market. The two most important factors for the success of Tesco in listening are to customers and learning from mistakes. Offering quality products at low prices and put local people first in the way they conduct their business as their main strategy. The British supermarket company Tesco is now the fourth largest retail chain in the world, employing 450 000 people and has a growth rate of 13% annually. However, things were not always smooth sailing for the big retail in 1992 was forced to shift its strategy, focusing squarely on the shopper (Rejer 2000, pp. 206).

SWOT Analysis

Strengths

Tesco is the third biggest food shop retail business in the world, functioning over 4,331 shops mainly inside the USA, Europe and Asia. The business apprehended 30.7% share of the UK food shop retail market in 2010. A powerful financial performance has been shown by the business over the years, which underscores its strategic capabilities. According to, Tesco is a £ 54billion revenue business notes a boost of 14.9% when in evaluation to 2008. The foremost scheme that has been taken up by the business is the product and services customization in agreement with the market demands. Tesco power in the retail grocery effortlessly provides it to compete with businesses for example Sainsbury, ASDA ...