Role and Importance of Business Functions in Tesco PLC

The Graduate
Challenge

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Role and importance of business functions in Tesco PLC.....................................................1
CONCLUSION................................................................................................................................2
REFERENCES................................................................................................................................3

INTRODUCTION
Business function refers to the activities carried out in an organisation, these activities are
divided into two parts - core business functions and support business functions. Core functions
refers to the activities which yield revenue for the company where as the support functions are
carried to facilitate the core one's (Mahlangu, 2017). In this report Tesco PLC is considered
which is a UK based supermarket founded in 1919 ,further the importance and roles of business
functions in the respective organisation are discussed.
MAIN BODY
Business functions are essential as they are interrelated and divide the functionality of business
into different departments which ensures smooth functioning in the organisation (Tan and
Olaore, 2021). There are four major business functions which helps in achieving the objectives
of the company , all four of them are interdependent on each other. These four functions are
further discussed in context with Tesco PLC:
Role and importance of business functions in Tesco PLC
Marketing- Marketing refers to the art of advertising and promoting the product in the most
efficient way possible. The major role of a marketing department is to promote the services and
products produced by the company. They are important in the organisation because they bridges
the gap between the consumer and the organization(Armstrong and et. al., 2020).
In context of Tesco, their marketing team create different campaigns to promote the
products and services that they offer. This helps the company in customer acquisition which
eventually results in revenue maximization. Tesco spent 110 million in their digital marketing
campaigns which helped them in acquiring new customer with the help of increasing
digitalisation (Taqatqa, 2021).
Finance- Finance refers to planning and managing every money transaction that occurs in the
business. They are responsible for recording every aspect of finance so that company can
effectively make decisions(Nguyen, 2021). A finance team reports incomes and expenses of a
particular year which helps the organisation in realising the profit. In context of Tesco, their
finance team forecasts and reports the actual sales margin to the management so that they can
approve budgets for the operations. Tesco's finance manager- Simon Black has developed
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