NUST Business School
MGT-120 – Introduction to Business
TESCO Case Study
Submitted to;
Ms. Nida Karim
Submitted by;
Maroon-5
BS ACF 2K17 B
Date: 08 October, 2017.
Q1. How should Tesco sustain the advantage of being the first global multi-brand retailer to be allowed to invest in India?
Answer: Tesco should collaborate with credible local organizations and suppliers that would gain from complementary offerings and avoid competition from other foreign companies wanting to invest in India. It would help Tesco in using their customer base influence along with being flexible to the wants and needs of the Indians. Most countries are wary of foreigners and this would also help to provide a solution to this problem faced by Tesco. They must
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Diet and customary dishes differ a lot throughout the country so there is a lot of diversity and different segments that need to be catered to. A combination of good quality and affordable prices are what most of the Indians are looking for (“Paisa Vasool” as they call it) so Tesco should be able to provide that to capture and then retain the Indian customers. Furthermore, they should be familiar with what other services the Indians look for e.g. they should be able to provide free home delivery as 10% of the Indian population owns a vehicle, other options could be allowing deferred payments to create loyal customers. Tesco should introduce loyalty cards for their regular and loyal customers. The idea of loyalty cards is primarily to retain customers by giving them some benefits in return for their loyalty either by waiving certain percentage of price of product or by issuing free shopping vouchers to those customers whose purchase is more than a certain value. Other than this, majority of the Indian population likes watching cooking TV shows and by collaborating with maybe and already famous chef would help increase sales. It was observed that nearly 30% of the population was vegetarian and so by producing more fresh foods and products suited to their needs would most likely prove to be profitable for Tesco. By studying, paying close attention to their needs and wants and by being flexible Tesco can fine tune its tried and tested global market to suit the Indian retail
Due to the fact that they are in an oligopoly market, Tesco 's decisions would be mainly
Tesco has increased their market share by increasing their product and service line. Moreover, the main target market of Tesco is the grocery market that covers the majority business of the company.
Kroger would like to be included in the ACD for Anchorage. Which is currently in their Kroger-TeamCo and Kroger – TeamCo STEP portfolio. A little background on the Kroger/TeamCo relationship: Kroger, recently submitted a full redemption request to TeamCo (TeamCo is a FoF and the majority of their business is with Kroger). As a result, TeamCo has started the liquidation process and will no longer exist as of January 2018. However, the anchorage position in the TeamCo portfolios have always been in Kroger’s name, so there will not be a need for a transfer of ownership or beneficial ownership. Kroger is still needs to figure out if they will redeem, maintain or add to the position. In the meantime, they would like to be included to
Tesco has expanded into many other countries over the years, but as the “BRICS” economies are becoming increasingly attractive, an opportunity to venture into these economies seemed to be a ‘rising star’ for Tesco. Tesco’s ‘eye on the prize’ meant that they took their eyes off what made them successful in the first place- their UK stores. Ultimately, expansion into China, India and Thailand has left what was their ‘cash cow’ UK stores to currently become their ‘problem child’. Losing focus on their original investments meant that they “slipped behind in terms of stores, service and innovation.” http://www.bbc.co.uk/news/magazine-17767565 In addition to their struggles to maintain the success of their UK stores, focus on China, Thailand and India had a massive impact on their competitors such as Asda, Sainsbury’s, Lidl and Aldi. During the time that Tesco focused on the new move, it was an opportunity for its competitors to steal Tesco’s 30% market share – Sainsbury’s brought in “By Sainsbury’s” and Asda brought in “Chosen By You”. When Tesco realised their mistake and focused their attention on their UK stores, they invested in the “Big Price Drop Flop” but the £500m campaign only damaged their branding image, as customers thought the quality of their products had dropped. It was a clear step by step process for Tesco losing its place
Tesco operates in 14 different countries. Therefore its performance may be influenced by the local legislation and political factors. There are
In the first place I will begin with concise presentation of the firm I am expounding on. Tesco PLC is a international global general merchandise and grocery stock retailer whose headquater is situated in Cheshunt Hertfordshire, United Kingdom. Tesco offers an extensive variety
After 40 years of dedicated service for the Kroger Co., it is with mixed emotions that I announce the retirement of Patty Johnson, District 1 Drug G/M Coordinator. Patty joined the Kroger Co. in 1976 as a cashier and has held many leadership roles through the years, including Lead Bookkeeper, HR for new store openings, District Accounting trainer, Key Retailing Specialist, FE Coordinator, Quevision rollout Coordinator, WiES Coordinator and Drug/GM Coordinator.
Tesco is a public limited company and it’s one of the largest retailer in UK and is the fourth largest retailer in the world. They have over 500,000 colleagues and they provide goods and services to 12 other countries like South Korea and Poland. Tesco is an international business but UK is where its business is more focused on. 75% of Tesco group revenue comes from UK business as they get lower sales from other countries outside UK. By offering the customer new goods and services in expanding UK markets, such as telecom and financial services and expanding their market abroad, enabled Tesco to expand their business so that it can deliver long term growth for the business. It also allowed Tesco to expand into new markets and improve their business in the competitive markets. On the other hand, Tesco main value is to provide good quality of goods and services that are cheap and affordable to the public. Which link to their slogan “every little helps.”
Tesco is the third largest multinational grocery and general merchandise retailer all over the world. It is observable that lots of people would choose Tesco as a place to go for purchasing daily groceries and household products. The reason why choosing Tesco for study case is because it has a long history so it has already experienced many evolutions of the economy. In order to survive .those competitive (in different) economical evolutions, Tesco has constantly changed its market operation methods and now it has mature and multiple ways to respond to many related issues. From another point of view, Tesco itself has a special operational way and marketing method, it advocates ‘Every little helps’ slogan and adopt the small profits but quick returns strategy to improve customers’ experience while shopping at Tesco. Besides, Tesco actively
The Dollar General is an American wholesale company that was first initiated in Scottsville, Tennessee by Turner and Cal Turner. Its headquarters are located in Goodlettsville, Tennessee. The mission statement of the Dollar General is "Serving Others." This mission statement helps to bring out the innate requests and intentions of the company in the United States of America and other countries in the world. The company has a vision that describes how it manages to cater for four different types of people. These four groups of people include the customers, the community, employees, and shareholders. Within these categories of people, Dollar General aspires to serve others through deliver of price quality and terrific prices for customers, opportunity, and respect for employees, a superior return for shareholders and a better life for the communities.
Tesco is one of Britain’s leading food retailers and has 586 stores. From 1992, Tesco has grown greatly and has increased its market share from 10.4% to 15.2%. This increase in customers has also given Tesco a large amount of profit.
tesco can take advantage of its successful international expansion. tesco is in a position to share their know-how and also is able to apply technologies and know-how which will create a competitive edge over its rivals and also step its learning curve.
Since acquiring number one ranking in 1996, Tesco has developed a successful multiformat strategy that has accelerated its advantage. Its UK sales are now 71% larger than Sainsbury’s. Also the Competition Commission’s report makes it very difficult for a competitor to challenge its scale and has effectively scuppered Wal-Mart’s chances of stealing UK leadership. Therefore, Tesco is in an enormously strong position in its domestic market.
Over the last four years, I’ve delt a great deal with RFID supply chains, and have seen first hand the positive advancements that are made with them. If given the opportunity to lead this project with your company, I believe I can close the gap between Intel and it’s competitors.
Tesco had to adapt to the local requirements, offering new solutions to previously recognized issues, by combining centralized purchasing and working with local suppliers, Tesco achieved economies of scale and transfer the benefit it to its customers in its express outlets. It actively engaged in creating a favorable environment in various markets; from bringing its UK based suppliers to USA and setting up in DC to engaging in Thailand with local community to explain the benefits of its value chain.