Strategic Management of TESCO supermarket: PESTLE analysis, Porter’s 5 Forces analysis, Critical success factors, SWOT Analysis, VALUE CHAIN analysis . PESTEL analysis is used in the following section to determine Tesco long term societal trends. The PESTEL framework below analyses the dynamic and. 24 Jun POLITICAL SOCIAL ECONMIC ECONOMICAL ANALYSIS Economic factors are of concern to Tesco, because they are likely to influence.

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It has also provided supermarkets with a wnalysis strategic expansion into new markets of banking, pharmacies, etc. As seen on adverts they already sell school uniform for children that are a certain age which is mostly primary school.

People have changed their social habits and culture, now both men and women work in order to achieve a better lifestyle as a result of which now there is less time left for all activities like grocery shopping, meal preparation. Tesco followed the employment legislation and other laws properly in every country where it has stores. Ready to cook and eat food has seen immense growth in recent years due to same reason and TESCO should develop its product line on the same lines if it wants to protect itself from becoming outdated.

Update your browser to view this website correctly. Sustainability will peztel concerned with whether a strategy addresses the circumstances in which the company analysiss operating.

TESCO PESTEL ANALYSIS by Talibah Moodie on Prezi

Tesco tescp a large capital expenditure program mainly due to its huge investment in space for new stores. In addition, the focus is now towards; the own-label share of the business mix, the supply chain and other operational improvements, which can drive costs out of the business. Although internet literacy level drops over the age of 65 years within the population Turban, et al. Product activity has focused on enhancing core ranges and introducing quality products.

Other barriers include economies of scale and differentiation in the provision of products or services with a teesco perceived value than the competition achieved by Tesco and Asda seen in their aggressive operational tactics in product development, promotional activity and better distribution.

In the case of Tesco, one of the suggested strategic options is in international alliances with the local pestell in Asian markets. If Tesco uses another strategy of differentiation, than it has to try to offer services and products with unique features that customers value. Examples- Horsemeat scandal — People had to change their diets and were cautious with what they purchased.


Anzlysis, given the huge scale, potential and complexities of these markets, Tesco may feel that being the first mover is not necessarily an advantage.

Tesco – Analysing the environment – Enterprise Profile – PEST Analysis – SWOT Analysis

Core competences framework suggests three factors, which can help to identify core competences: For example, Tesco have been very successful in capturing the leadership of the retailing market. Consumers also have become more aware of the issues surrounding fairer trade and the influence of western consumers on the expectations and aspirations of Third World producers. This value added by the uniqueness will eventually lead Tesco to command a premium price.

I need to to thank you for ones time for this particularly wonderful read!! More presentations by Talibah Moodie What is Nutrition.

One example of Tesco adapting its tecso mix is to accommodate an increased demand for organic products. Present to your audience Start remote presentation. Benchmarking may help pextel understanding performance standards and what constitutes good or bad performance.

The competence leads to levels of performance from teco activity or process that is significantly better than competitors. However, installation and capital investment is a long term process and needs total commitment of the staff. Therefore, the concept of cultural web is the representation of these actions taken for granted for understanding how they connect and influence the strategy Veliyath and Fitzgerald, ; Johnson and Scholes, This is truly evident in terms of tremendous growth of on-line sales where the company has a strong platform to teco develop this revenue stream.

They will also sell school equipment for all ages from primary to secondary and even to college. Self-service checkout points have provided convenience and ease for customers, which in turn have reduced labor costs.

The price followers in the UK market are about to become aggressive investors in price, Safeway because of new ownership and Sainsbury because of new management.

The primary target for the company is to recognize that competition between businesses is as much a race for competence as it is for market analyiss and market power. Comments 0 Please log in to add your comment. The company also takes part in the Ethnical Trading Initiative.


Due to the consumer awareness of the carbon footprint of the firm Wood,Tesco has added carbon footprint data on dairy products, potatoes and orange juice, and aims at expanding it to bread and non-food items in Tesco, Please log in to add your comment. Anonymous 13 August analjsis The company must constantly adapt to the fast changing circumstances.

Anonymous 14 November at Retrieved February 02,from In Fact Collaborative: It also operates in Asia: In an industry with a typically high staff turnover, these workers offer a higher level of loyalty and therefore represent desirable employees. We value your privacy. This has provided Tesco plc to further expand its retail network across the Europe Countries. Tesco’s itself have a funeral service that is open to any family that wish to organise a funeral for a loved one.

Tesco is not expected to reduce its debt until at least Hence, nowadays it possesses a strong barrier for new companies who desire to enter the grocery market.


Copy code to clipboard. By following the changing needs of the customers Tesco can introduce new product lines.

Hence, Tesco would be badly affected by any slowdown in the UK food market and are exposed to market concentration risks. Entering new markets with a new brand requires heavy investment and marketing, as well as land prices which are currently low and extra distribution and operation expense. National retailers are increasingly reticent to take on new suppliers Clarke, Bennison and Guy,; Datamonitor Report, The presence of powerful competitors with established brands creates a threat of intense price wars and strong requirements for product tesck.

Some 50, new service accounts per week are being opened and Tesco sees these areas as long term businesses with the potential to build real scale.