TESCO is World's fourth largest and UK's # 1 Grocery Retailer. It has 5380 stores alone in UK and dozens more under the fresh banners in three continents namely, Europe, Asia and North America. It has diversified portfolio of companies in different industries. Tesco Plc was founded by Jack Cohen in 1919, and opened its first store in 1929 in Middlesex (TESCO, 2009). It is a UK-based public company, and the largest retailer in the UK. The company operates a large number of stores across the world, although UK sales account for around 75% of the group's sales. Tesco was originally set up as a UK-focused grocery retailer, although over the years it has diversified its offering immensely. Its business interests currently span food, electrical, entertainment, clothing, telecommunications, home furnishings, toys, fuel, broadband, banking facilities, insurance, technical support, tyres, a record label, a film studio and a gold exchange, and in 2011 it added beauty salons to its long list of services (TESCO, 2009).
Tesco stores operate under six formats: Tesco Metro, Tesco Superstore, Tesco Extra, Tesco Homeplus, Tesco Express, and Tesco One Stop. This grants it access to a wide geography, with the company widely present throughout the country, from city centres and their outskirts through to the countryside (TESCO, 2009). The company's roots, however, are in London, which has resulted in the company having a particularly dense store network in the southeast of the country.
Tesco continues to invest in low prices and increased promotional activity. It launched its Discount Brands private label line in order to help families with limited budgets during the recession. This range was launched to directly compete with discounters such as Aldi and Lidl. The goods on offer within this range are priced at a higher level than Tesco's Value line, but at a cheaper level than its Finest line. This was an effort to showcase three-tiered private label offerings, which helps to attract a wider consumer base. Tesco also offers Healthy Living, Organic and Whole foods ranges, with these aimed at more health-conscious consumers (TESCO, 2009). Tesco is also looking to gain market share in the telecommunications business. The company operates a joint venture alongside O2 in the mobile phones business that boasts some 2 million customers (TESCO, 2009). Table presented below shows the products categories that are offered by the Tesco.
Primary and Secondary Data
Primary is information about the object of the study, obtained directly from the source (at the time of occurrence) as a result of specially conducted to address specific problems of so-called field of marketing research. Secondary data is used in conducting the so-called armchair market research to understand information about the object of research, previously collected from internal and external sources for purposes other than to a specific market research. Sources of secondary information are divided in relation to the company for internal and external. The quality and reliability of the primary data is certainly dependent on the results of the analysis and also the secondary data is ...