Internal and External Analysis of TESCO

BMP 3002 Opportunities:
TESCO can expand by opening of new discount store that is jack
stores
TESCO can further expand their business to new emerging smartest of
south Korea, turkey and Indonesia
TESCO can form partnership with other brands by coming up with
better product & services to facilitate their customers.
Threats:
The present COVID outbreak has resulted into a complete shift of
people from physical outlets to online platforms which may create
a lower sale for physical outlets of TESCO.
TESCO has suffered because of their advertisements named as
woodside farms with no farm in the asset list that resulted in fake
activities by this brand.
organisation can impact on the external environment
Global presence: The presence of TESCO in different parts of the
world is leading to development of several employment opportunities.
TECSO has offered personalised Style of shopping to their customers
that is leading to generation of high skill based employment
opportunities.
Marketing: TESCO has change theory at of marketing by solving of
problem of their customers. There is focus on customer perspective by
developing of marketing campaigns such as food love stories. They
have also used Alice's peace making cupcakes.
Personalize: TESCO is also focusing on use of personalized marketing
where they are delivering direct messages to their customers. This is a
technique that has resulted into more alignment of customers with
TESCO as not just a brand but as an organisation providing them a
memorable experience through their product and services
Reference
Sparks, L., 2019. Tesco: how supply chain strategy supports retail
success. The Business & Management Collection.
Domański, R. and Łabenda, M., 2020. Omnichannel of private label
grocery products in Tesco and Carrefour retail chains on the
Polish market. Ekonomski Vjesnik, 33(1), pp.191-202.
Introduction
Internal analysis is related to analysing an organisational based on
several internal factors there is application of Models such swot
analysis. External analysis is also very important for the purpose of
making an evaluation of the different range of external factors that
are posing an impact on the functioning of an organisation and their
future Strategy formulation.
PESTLE Analysis:
 Political: Political factors such as the war scenario between
countries like china & UK apart from this Brexit referendum
are some of the issues that is affecting the political stability
of a country.
 Economic: The present COVID outbreak has resulted into a
lower economic growth for UK that is resulting into decrease
in the purchasing power of people because of loosing of
employment opportunities.
 Social factors: it includes the changes taking place in
preferences and tastes of people. TESCO has adopted the
changes by shifting from, major food products to a food cum
non-food model. There has been development of a complete
vegan range of products according to the shift choices of
people.
Internal analysis
Legal factors: TESCO is affected by the legal laws that includes non-
discrimination act, equality act 2010 while they are developing their internal framework.
Environment: TESCO is working towards ensuring protection for the
environment., they have launched phase 2 remove, reduce, reuse & recycle plan. They have
also taken initiatives for reducing and recycling all the non-recyclable wastes.
Internal analysis:
SWOT analysis:
Strength:
 TESCO has captured British market. In year 18-19 its annual revenue was 63,911
million pounds in Ireland and UK.
 Its annual profit has also increased by 11 percent in this year. There is presence of
efficient network of suppliers.
Weakness:
 TESCO has failed in japan and markets of US.
 In 2017 TESCO was found guilty of showing less profitability that damaged the
reputation of TESCO.
External Analysis: