MARKETING MANAGEMENT

Marketing Management

Marketing Management

Introduction to Company

Tesco Plc is a British is a general merchandise retailer and a chain of multinational grocery stores based in the state of Chesnutt in United Kingdom. All across the world, Tesco is the third-largest retailer in terms of its revenues, and is followed by Carrefour and Wal-Mart; the company is also the second-largest with respect to its annual profits and is followed by Wal-Mart in ranking. Tesco own its stores in approximately 14 countries spread across Europe, Asia, and North America. It is also the market leader in grocery markets in Malaysia, United Kingdom having a market share of approximately 30%, Thailand and the Republic of Ireland (Tesco, 2012).

It was in 1919 that Jack Cohen had founded the company in the form of a group of market stalls. Later, the business saw a quick expansion and by the year 1939, Tesco was spread all over the country in the form of 100 Tesco stores. Initially built as a UK-focused grocery retailer, The Company has been subject to increased geographical and segmental diversification since the 1990s. At present, Tesco operates in clothing, books, furniture, electronics, petrol and software; internet and telecoms services; financial services; music downloads; and DVD rental (MarketLine, 2011, pp45).

Macro Environment

The operations of the company are highly dependent upon the external forces that tend to affect the working condition, culture and environment of the organization. These influential factors are described and categorised as per the Pestle Analysis (Cheverton., 2005, p. 71).

Political Factors

The political dynamics in any country have strong effects on the organization that can lead a strong change. The key players of political factors are United Nations, World Trade Organization and European Commission that have the right to implement or amend any new or existing policy or rule regarding trade and retailing, which can affect the normal operation of the superstore market. The government of UK is primarily responsible for health and safety of population, therefore they are liable to scrutinize the food and other utilities provided to them in market. That's why government is implementing the policy measures namely the responsibility deal that is aimed to carry out a detailed observation and analysis of process utilized by businesses to produce food related items. All involved companies are liable to corporate and comply with this policy (Aaker, 2009, pp. 137).

Tesco is functioning well and providing services with its stores all around the world. For the legislations of employment, the government promotes retailers to supply a blend of job openings from low paying stretchy and locally-based jobs to centrally-located, skilled and high paying jobs in order to meet the needs of the students, working parents and senior citizens. Being an innately local and labor concentrated sector, Tesco realizes that selling has a huge impact on people and the jobs factors. It often hires students, aged and disabled people at lower wages, and in an industry with characteristically soaring staff revenue, these employees proffer a higher level of allegiance and consequently symbolize sought-after ...