TESCO

Tesco

Tesco

Introduction

Tesco is a significant international retailer. As a global business, the company perceives itself as having a vital role to play in helping to minimize its environmental impacts. Although based in the United Kingdom, Tesco PLC has developed into an international grocery and general merchandising chain, employing 440,000 staff worldwide and with sales exceeding £59 billion (in the year ending February 2009). Operating income exceeded £3 billion. These figures make Tesco the largest British retailer in terms of both combined sales and domestic market share, and the third largest in the world after Wal-Mart (United States) and Carrefour (France). It has claims that £1 in every £7 of UK retail sales goes the way of Tesco.

What is their Order potential Order Winner/Qualifier?

The order winner of a company is its ability to gain success in the market. It is known as a criteria used by the customers, through which they make differentiation between the services and products of a company from other companies. The order winner of Tesco is the cost of the product and dependability.

On the other hand, order qualifiers are the performance dimensions of a company. These are the performance dimensions expected by customers as the minimum benchmark of performance. It is the minimum requirement that customers expect from a company while purchasing a product. The order qualifiers of Tesco are flexibility and speed.

Cost of the product and dependability are order winners of Tesco (Achrol, 2003, p. 146). As mentioned above, order winners are the characteristics of a company which the other companies do not have. The cost of product can be classified as the order winner of Tesco because Tesco is very famous for its pricing. Tesco provides the best quality in very reasonable prices. Another order winner of Tesco is dependability, which means that the customers of Tesco are very much dependant on its products. This helps Tesco in gaining the competitive edge (Sharoon, 2003, p. 889).

The order qualifiers of Tesco are flexibility and speed. When the customers come to Tesco to purchase the product, they believe set the flexibility and speed of Tesco's services as the minimum performance level. They purchase Tesco's products keeping in mind that at least Tesco's services have the flexibility and speed factors.

4 Vs of Operations

In order to define the order winner and order qualifier of Tesco, 4 Vs of operations are important factors. The four Vs of operations are volume, variety, variation in demand and variability.

Volume

The volume indicates that whether the quantity of specialist's items produced by the company is in a large amount or small. If the company is producing high volume, this means that the company is producing the product repeatedly. When it comes to Tesco, the volume of Tesco is high, which means that it is the order qualifier of Tesco, not the order winner. This is order qualifier in such a way that it is the minimum service expected by the customer's of Tesco (Sam, 2011, p. 23). They have the belief that the volume of Tesco's ...