Essay on Tesco Marketing Strategies

Tesco company has become increasingly aggressive in the last few years as the company increased its market share steadily but it remained a constant distance behind Sainsbury's. This shows that Tesco is looking to build on its leadership by constantly working to ensure that it is maintained. However, one of Tesco's key weapons in the battle for retail supremacy has been its Clubcard loyalty scheme and the subsequent launch of the Clubcard Plus debit card. These have shown Tesco taking a clear initiative and then building rapidly on its advantage. One footnote to this is that loyalty cards should be seen as a longer term marketing tool since they enable retailers to learn more

Tescos developed a clear marketing strategy based on a desire to fully satisfy and continuously upgrade its own brand. In order to deliver strong and sustain growth, in 2010, Tescos put into effect a strategy to grow the core business and diversify with new products of their own brand in existing and new markets. (ibid)

In times of fast progress, in terms of economic development and globalisation, many multinational companies are extending their business overseas. One of those many firms is Tesco. This report will elaborate more about how Tesco failed in America when it encountered cultural and economic differences.

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

Strategic Management of TESCO supermarket: PESTEL analysis, Porter 's 5 Forces analysis, Critical success factors, SWOT Analysis, VALUE CHAIN analysis, TESCO 'S strategic options, Core Competences & Cultural Web.

Tesco has a well established and reliable strategy for growth, which has allowed them to strengthen their business and drive expansion into new markets.

The aim of this report is to examine what generic strategy Tesco employs, the position this strategy takes on Bowman’s clock and whether Tesco’s generic strategy provides an effective competitive advantage. “Strategy is the direction and scope of an organisation over the long term: which achieves advantage in a changing environment through its configuration of resources and competences with the aim of fulfilling stakeholder expectations.” (Johnson et al, 2005)

We can see examples of Tesco’s opportunistic market entry whereby it fruitfully analyses and executes market opportunity as in the case of its Central Europe and Asian expansion. In central Europe and east Asia there was rapid liberalization of previous restrictions on retail and in east Asia Tesco sought opportunity in buying up cash strapped retailers which were the casualties of the Asian economic crisis of 1997/98.

Strategic Management of TESCO supermarket: PESTLE analysis, Porter 's 5 Forces analysis, Critical success factors, SWOT Analysis, VALUE CHAIN analysis, TESCO 'S strategic options, Core Competences & Cultural Web.

As a mission statement, Tesco’s is simple: ‘We make what matters better, together’ (2015). Tesco is known to be the seller of everything to everyone and it’s vision is ‘To be the most highly valued business by: the customers we serve, the communities in which we operate, our loyal and committed colleagues and of course, our shareholders.’ (2015). The long-term success of this company centers around it’s continuity in aim and it’s adaptability with circumstances. Strategic plans evolve to with the clear competitive intention to be the best.

In times of fast progress, in terms of economic development and globalisation, many multinational companies are extending their business overseas. One of those many firms is Tesco. This report will elaborate more about how Tesco failed in America when it encountered cultural and economic differences.

Recently many myths and misunderstandings surround what is really meant by “global strategy”, which caused many companies to fail.

Tesco PLC is one of the biggest British multinational grocery and general merchandise supermarket; Tesco is the third largest retailer in the world measured by profits and second-largest retailer in the world measured by revenues. It has stores in 12 countries across Asia and Europe and is the grocery market leader in the UK, I am going to analyze some key factors revolving around Tesco, where we are going to discuss the political, environmental, social and technological factors which are shaping the external environment in which Tesco is operating.

Tesco is the leader store in food retail trade in Great Britain and it is ranked the third biggest shop in the worldwide. It opened firstly in London and in the middle of the nineties, Tesco become a common place for all families in the UK. Few years after it brings a new idea to the store which is introducing different areas such as Tesco metro that meet the needs of local customers, gas station and it was the first station in UK, Tesco express, Tesco direct, Tesco bank, Tesco Clubcard which a card for loyal customers, Tesco mobile and many more.

Tesco, UK’s largest supermarket is facing a stiff competition from discounters (Aldi) and to a certain extent from the high-end supermarkets (M&S) since the past few years. Tesco’s share value fell from 321p in December 2013 to 168.15p in December 2014. (Yahoo, 2015) To add to this depreciating market value and low profits, Tesco has been in the headlines for a myriad of scams. Such a situation calls for a strategy overhaul. The shortcomings in Tesco’s strategy to deal with the competition and the overall situation of the retail market has been analysed in this report. Before analysing the current situation and devising a plausible strategy to deal with the situation, we will have to assess the resources and capabilities of Tesco as these shape the strategy of the firm to fit the external environment and not the other way round. Some of the major strategic changes which need to be made by Tesco to fit itself better in the new retail market and cope with the competition have been discussed and highlighted in the final section of the report. In the words of Alastair Dryburgh “You can 't compete on price with someone who has systematically designed their business to be cheaper than you.” (Dryburgh, 2014) Tesco needs to cope and not compete, and this issue is highlighted in various contexts in the report.