TESCO PLC

Investing in Tesco Plc



To: Mrs. Nikki Watson

From: Financial Advisor

Investing in Tesco Plc

With reference to your request to prepare a report for answering your questions and advising you as to whether invest in Tesco plc or not. This report will serve you in answering you all queries as an investor. This is comprehensive report, which includes ethical practices, retail industry analysis, auditor's opinions, accounting policies and financial analysis of the Tesco Plc.

Ethical practices

Tesco Plc is a global business with a well-built name for providing high quality services and products. Code of Conduct establishes Tesco's dedication to subsequent ethical business practices. It details the fundamental principles of ethical business behaviour and defines the accountabilities of directors, employees, officers and Company representatives.

Corporate governance

Tesco Plc is devoted to the highest standards of corporate governance as they are acquainted with strong corporate governance that is crucial to help the business to convey its scheme, breeding stock holder value and protecting companies stockholders' long-term interests.

Corporate Social Responsible

Being a global company, Tesco plc is fulfilling its responsibility to help minimise global climate. Therefore Tesco plc has following future plans:

• To help its customer to reduce carbon footprint up to 50% by

• It aims to become a zero-carbon company by 2050

• plummeting the emissions of the products

Human rights

In Tesco's there are nearly 300,000 employees.  Tesco praise them for their good work. They treat all employees fairly and provide opportunities to take further training. 

Retail Industry, Tesco and Global Financial Crises

To face hard time Tesco has planned to expand its market and it expects that new market will earn sufficient profit for its share holders. Tesco decided to expand into the highly competitive US market as the company has had an International development strategy in place for the past ten years and also due to the fact Tesco is currently the 4th largest retailer in the world and is currently the UK's most successful supermarket it is a natural progression for the Board of Directors to continue to try to grow and expand the business and to strive to capture a share of the large market that exists within the United States thus enabling them to lead the industry in growing market share . As the company has been extremely successful within the United Kingdom, Central and Eastern Europe and the Far East and also due to the dwindling opportunities existing within the United Kingdom, they now have the ambition and a business model to enter the US market. Due to the detailed market research undertaken Tesco hope to aim their product at both higher and lower income families, within a multi-cultural society and to introduce a store where the consumer can purchase all their products under one roof and due to this research Tesco have the opportunity to succeed where other major British companies have failed.

Auditors Report

The report of the auditors on Tesco financial statements was unqualified, it says that financial statements did not contain an emphasis of matter paragraph and did not ...