Strategy Tesco Essay

2676 Words11 Pages
MANAGEMENT REPORT – II TESCO PLC. By ILIYAS . MOHAMMAD (5217588) Executive Summary: The main objective of Tesco is to create value for its customers and attain lifetime loyalty from them on which depends its success. If people like what they shop, they will come back to make purchase because of good will. With the two core values of Tosco: None tries hard for customers and treat them as we want them to treat (2005).Tesco is beautifully driven by its quality service and standard products. Its emphasis mainly on understanding needs of customers through highly trained and motivated employees to guarantee customer satisfaction. Tesco’s mission and vision shows that the company is driven by loyal customers (2006): [TEO3]. As the retail industry profit is steadily increasing and profiting by cash cows, Tesco’s strategic position is alaysed in this report. Dominating food and grocery retail market by almost three-fourth of all sales accounted, Tesco cemented its place to be largest retailer in UK. This case study brings into lime light the factors that contribute to growth, strategic analysis on options existing, evaluating business strategy and there by generating loyalty as a competitive advantage over other major players in retail segment. Broadly speaking the success of Tesco lies in creating multiple sub brands under a single brand creating a product value chain building on customer knowledge that has been unrivaled over years. After 1995 Tesco’s strategy remained transcendental, as it became UK’s largest retailer leaving behind Sainsbury’s by focusing on strength to strength and there by widening its horizon in terms of stores, products and service(The Guardian). Its strategy to develop a three tier branding system also made Tesco closer to mass marketing environment.

More about Strategy Tesco Essay

Open Document