INTERNATIONAL BUSINESS IN FOCUS

International business in focus

International business in focus

Introduction

In today's competitive environment, strategic management plays a vital role for organisation's success and future stability. Successful organisations are able to sustain and obtain its resources and capabilities which leads to competitive advantage, strategic management is referred to process of evaluating organisation resources, evaluating external an internal environment and developing strategies accordingly to sustain in a competitive environment with edge (Harrison & St John, 2009, pp.4).

(Hill & Jones, 2007, pp.6-7) Argues that strategies are not developed, under consideration of organisation. Managers develop strategies for their companies in order to retain customers and add potential customers from their competitors. And in this tough competition winner is the one, who implemented best strategy. This gives such organisations competitive advantage over their competitors. They further discussed the organisation may attain sustained competitive advantage by implementing strategies, which gives them above average profit.

Therefore, the organisations with better and profound strategies can have a distinction over their competitors.

It is noted that before 10 or fifteen years, global business was majorly operated by giant companies only. However, small and medium business focused their concentration on local markets in which they operate or operated one or two neighbouring countries. But now, even small businesses have realized the importance global presence. Now a day, a large number of companies are effectively competing in global markets.

TESCO

Tesco is largest retailer in UK and also among largest retailers around the globe. Tesco is operating its retail business through various store formats comprising on small convenience store to hypermarkets to cater the needs of his customer. Tesco's multi theme stores include Tesco supermarket, Tesco Extra hypermarket, Tesco Express convenience store and Tesco Metro city centre store. Tesco store offers different grocery and merchandise items. Company also offers non food items which includes electrical items etc (Tesco PLC, 2013).

Tesco starts it business in 1919. Tesco introduced its own brand name in 1920 by introducing tea packets with Tesco name. After successful business in UK, Tesco expanded it business into international market by entering in Poland in 1990s (Tesco PLC, 2013).

Tesco is currently operating in two business lines which are its retail operations and Tesco Bank. Currently Tesco's major market is UK; there are 2,979 stores at the end of FY 2012.

Currently Tesco is operating in 14 countries located in three continents North America, Europe and Asia. In Asia, Tesco is currently operating in China, Thailand, Malaysia, South Korea, and India. In India, Tesco has a joint venture with Trent which is the retail subsidiary of Tata Group. Also, Tesco has a joint venture with Samsung in South Korea. Tesco is operating its business in various regions with different names such as Star Bazar in India and Tesco Lotus in Thailand. In U.S, at the end of FY 2012 there were total of 185 stores operated by Tesco. In Europe, along with UK, Tesco is operating in Ireland, Poland, Czech Republic, Turkey, Slovakia, and Hungary (Tesco PLC, ...