Business Strategy Analysis and Implementation

This assignment requires a thorough analysis of the business strategies employed within the retail industry. Students must utilize Porter's Five Forces model to evaluate the competitive landscape and identify key challenges and opportunities. The analysis should also delve into the role of innovation in shaping competitive advantage within this dynamic sector.

Business Strategy & Entrepreneurship

Table of Contents
INTRODCUTION...........................................................................................................................1
Task1................................................................................................................................................1
1.1Assessment of business missions, visions, objectives, goals and core competencies in
strategy formulation................................................................................................................1
1.2 Factors to be considered in formulate of strategic planning and monitoring...................2
TASK 2............................................................................................................................................4
1.1 Brainstorming techniques to generate new product/service ideas....................................4
1.2 Evaluation of strengths and weaknesses of proposed new products................................4
1.3 Market research for the proposed new product................................................................5
TASK 3............................................................................................................................................6
2.1 & 2.2 Analysation of environment and selection of target market...................................6
2.3 Application of Porter’s 5 forces.......................................................................................7
2.4 Construction a sound business proposal...........................................................................8
3.1 Business Pitch for products and services..........................................................................9
3.2 Communicate effectively................................................................................................10
3.3 Evaluate success of Pitch in meeting business objectives..............................................10
TASK 4 ..........................................................................................................................11
2.1 Evaluation of Tesco's strategic position.........................................................................11
2.2 An environment audit for Tesco company.....................................................................12
2.3 The significance of stakeholder analysis in case of formulating new strategy..............14
2.4 Construct the new strategy for Tesco company.............................................................15
Task5..............................................................................................................................................17
3.1 The roles and responsibilities of personnel needed to implement the strategy .............17
3.2 Evaluate the contribution of SMART target to the achievement of strategy implementation
in a Tesco company..............................................................................................................18
CONCLUSION..............................................................................................................................19
REFERENCES..............................................................................................................................21
.......................................................................................................................................................22

INTRODCUTION
Every organisation make some strategies so they can achieve their long term objectives.
It is basically a science and art which management can use in formation and implementation of
plans. Normally these programmes are made for 3-5 years but they companies can formulate
them for more or less years, it depends on size and structure of an enterprise. Their are two types
of strategies, one is general other is competitive. Tesco is a leading company in retail industry.
Currently they are operating their business in more than 13 countries. They hold top spot in UK
market and they are also expanding their business in Asian and European region. This report will
include brainstorming techniques so a firm can generate new product or service. It will also
discuss about strengths and weaknesses of fresh commodities which an organisation can develop
in upcoming time. Important points like company's strategic position, environment audit will
also become part of this assignment. Stake-holder's analyses will get cover at the end of this
project.
Entrepreneurship is a skill of developing and managing a business so owner can earn
profit by manufacturing products or providing services to end users. Entrepreneurs have ability
to take risks and analyse future needs of society. They keep their focus on doing innovation in
industry. Most of the organisations believe that in forthcoming time invention and creativity will
become key factor in success and failure of an enterprise (Aarikka-Stenroos and Sandberg,
2012). This file will discuss about target market by analysing business environment. It will also
include Porter's 5 forces in order to evaluate proposed products/services. Business proposal for a
commodity will also become part of this file. At the end this assignment will also include market
segmentation and positing.
Task1
1.1Assessment of business missions, visions, objectives, goals and core competencies in strategy
formulation.
Mission: It is a set of goals and objectives that an company want to meet the customer need and
wants. The mission of company states the how the business get profits, how they provide the
better products and services. The mission statement of Tesco company is that they generate the
worth for their customer, their main aim is to get to earn loyalty and honesty from the customers
and they want to increase their market shares of organisation. If a company has many permanent
1

customers then they can run their business in effective manner specially in unfavourable
condition.
Vision: This is the roadmap of any organisation. This statement states the future prospect of
organisation, This also helps to identify the factors which are the sources of organisation growth
and success. This cited company vision statement states that this is to be valued by the
customers, shareholders and staff, they mainly works to provide their services in international
level, they apply their all efforts in order to achieve goals and objectives of company (Bagchi-
Sen, 2007). This firm want to remain on the top spot and making strong connections with
stake4holder is important for them.
Goals and objectives: These are the road map that an organisation want to achieve their purposes
within a specific time. Objectives means steps to achieve their goal and worked to short term
plans whereas the goals means work in order to accomplish long term plan of organisation. This
cited company goals and objectives are they mainly works to achieve growth of core business
and improve and develop their retailing services. They want to capture the market of non food
segment. This is necessary for their long term growth.
Core competencies : The organisation has made their special skills and knowledge that helps to
achieve their business goals and objectives. They also worked to establish their goodwill in front
of customers so they achieve trust on the business. This tesco core competencies states that they
spread their network all over country which would achieve their core purposes. High number of
skilled workers provide some extra edge to the company over their competitors.
1.2 Factors to be considered in formulate of strategic planning and monitoring.
Some factors that must be considered in formulate the strategic plans are as follows:
The industry: In case of strategy planning, to evaluate the industry are important. When the
assessment of industry some factors are considered such as new market entrance, competitive
profitability, and their future threats and weakness. If these factors are changes over time then
they impact the operation of company.
The competition: The formulation of strategic planning, the industry analyse their competitor
position in market. Any organisation can not achieve profits without the knowledge of their
competitor strategies.
Strength and weakness: The company analysis the strengths and weakness in order to formulate
strategic planning. Organisation identify their internal strengths and largely works on them. They
2

also analyse their weakness and concentrated to work for remove this weakness which exist in
organisation.
The company made their planning system in term of top down planning and bottom down
planning;
Top down planning: In this planning, a senior level of mangers made better decision making
process (Bogers and West, 2010). All the gaols and objectives of company are formed by top
mangers so they are not show their interest to take any suggestions from low level of managers.
Bottom up planning: IN this planning, the company focus the deeply in their projects. because
many employees are involved with each are expertise in different field.
Evaluation of the effectiveness of techniques used in developing strategic plan for tesco
There are two techniques are suggested for company:
BCG growth share matrix:In this matrix, it includes four situations which the TESCO
Company faces are as follows:
Stars: It states the high growth and high market share. Company want to large funds in order to
make decision about how to company continuously success.
Cash cows: It states the low growth and high market. Company achieve the low growth but at
same time they increase their market share.
Dog: It states the low growth and low market share. The company remove the unnecessary cost
which are exist in product.
Questionnaire: IT sates the high growth but low market share. The company have earn losses in
this situation.
This matrix helps to company to understand their current portfolio, and focus to new business.
The Tesco company has too adopt the strategy options for next five years:
Market development:This helps to company to enter into new market with existing product. This
strategy helps to this cited company to enhance their market share at international level and to
increase their goodwill across all nations (Bogers and West, 2012).
Product development:This helps to company to offer their new products in the existing market.
The company has to maintain rand technologies and their professional team.
Threats to the company – This company is failing to expand their business in emerging markets
like India. The local competitors are getting strong in these market and they are creating more
3

challenges for Tesco. Their financial condition is getting weak and they may see some critical
problems relating to finance in upcoming time.
Resources – The have deep pockets and they company has large number of skilled and talented
workers.
Capabilities – This firm is capable of making major changes in retail industry of UK. But they
cannot make an effective impact on the global market.
TASK 2
1.1 Brainstorming techniques to generate new product/service ideas
Every organisation want to launch fresh goods in regular interval of time because taste
and preference of customers are changing swiftly. Most of the companies adopt brainstorming
techniques so they can introduce new commodities in market. Below is the process of
brainstorming:
Idea screening – An enterprise can ask their employees to share their thoughts about an
idea. They have better understanding about the task which they are doing on daily basis so their
advice will provide great assistance in development of new product. They can also take help of
some experts, this will involve some cost but at the end company may get good ideas. In process
of screening, firm has to check whether new thoughts will support in achieving organisational
objectives. If notion can not be converted into reality than they should eliminate it in the first
step. Company should take views of external sources like customers, suppliers etc. because they
have better knowledge of market and potential customers. Tesco is going to launch new cold
drink in their organic food section (Ettlie and Rosenthal, 2012). Before introducing it in market,
they should consult with their employees and other people who are related to this product either
directly or indirectly.
Development of concept and its testing – They have to develop a formula in order to
make it tasty and healthy. They have to do various kind of searches so they can deliver better
commodity in market. After formation of right formula, they should shift their focus on testing .
After getting approval from experts they an start its mass production.
1.2 Evaluation of strengths and weaknesses of proposed new products
Strengths – Nowadays people want to eat healthy food because they are getting health
conscious. A cold drink which is chemical free will get attention from all the people who are
4

trying to find substitute of unhealthy drinks. Cited company can launch this product in two
segments, one is cold drinks and other is juice section. Taste of this item will be its USP,
consumers have never tasted this kind of beverage in their lifetime. It unique taste and packaging
will convince people to buy this commodity in bulk. Chemical free cold drink can will be
beneficial for the health of public so its sale will grow with a pace in short period of time.
Weakness – This product contain fruits and vegetables, people who do not like juices
may not buy this item. Although it taste of this beverage is different but customers may relate it
with other cold drinks like Pepsi or coca-cola. Initially user may find taste of this product weird
but after sometime they will love it for its uniqueness. This commodity is chemical free, there is
large number of people who do not like to use organic goods because they so not like its taste.
Price of this drink will be more than normal the price of cold drinks. Some people may not buy it
because they may feel that its is bit expensive.
Opportunities – This kind of product has a great growth opportunity and if company
reduces its price then it can capture significant amount of share in beverage industry.
Threats – Youth do not think much about their heath, for them taste is above their heath.
They may not buy chemical free drink because its taste will be bit weird for them in starting
period.
1.3 Market research for the proposed new product
In beverage industry there are two types of products, one is alcoholic and other is non-
alcoholic. The cold drink that cited company is going to launch with be introduced in non-
alcoholic section. In this sector Pepsi and Coca cola are two main players who are holding
almost 60% of the market (Gambardella and McGahan, 2010). They are growing with a decent
rate because people are not getting bore of the products they are serving. In initial time period,
Tesco should focus on domestic market because they have strong presence in this region. They
do not need to invest huge amount on its marketing and promotion because they have very good
brand value in UK. Customers are looking for substitutes of old items, they want to taste new
cold drinks. This is a perfect time for cited organisation to launch their commodity in market so
they can exploit the favourable conditions.
Major player of this industry (Pepsi and coca-cola) will not allow entry of new
competition. If they feel that newly introduced commodity has potential to reduce their market
share than they will introduce new product in short period of time. They may also launch new
5

item which can be chemical free. Fresh commodity which cited company is going to sell in
public can capture significant share in market in short period of time because unique taste will
get attention of lot of people. As the CEO of Tesco, these are some crucial finding at the time of
conducting market research:
Market – Beverage industry
Market leaders – Pepsi and Coca Cola (Hold 60 % market share)
Segment by age – Youth are significant part of this industry.
Beverage industry market value – 30 billion pounds
TASK 3
2.1 & 2.2 Analysation of environment and selection of target market
Business environment has potential to influence decision taken by an organisation.
Before introducing a product in market, cited company has to focus on three key issues, first is
the segmentation, second is targetting and last one is positioning.
Segmenting – Tesco is launching this commodity for middle and upper class people. This
item will be will get introduced at decent market price so it can cover majority of population.
Customer are ready to pay more amount but they want better quality and different taste. Initially
this product should be available in UK but after couple of years it can be introduced in other
countries like North America, China, Australia etc. Chemical free cold drink will be launched in
Beverage industry.
Targeting – This item will be launched for young generation but there is no hard and fast
rule, people of all generation can drink this cold drink because it is healthy and it has unique
taste. It is a chemical free drink so small children as well as sick people can consume it. It's main
target will be young generation.
Positioning – In this point cited enterprise has to focus on presentation of product. They
should get clear picture about how they want to their item to be perceived by consumers. There
are many cases when an organisation try to sell new commodity in market but they fail to adopt
correct marketing mix (Godin, 2012). People who could use that product did not give any
attention because they do not perceive it in right manner. Chemical free cold drink will be
projected as a healthy drink.
6

Food and beverage is a growing industry. This sector do not see too much fluctuation
because it serve goods which has direct relation to the basic need of customers. Most of the
companies like to replace the product which they are offering in short period of time so they can
relaunch it with proper up-gradation. After Brexit, demand in every sector is going down, Tesco
is highly dependent on market of UK so in initial stage new item may not get needed attention.
But it gradually it can get popular in industry because of its unique taste. It will introduced in
organic section, in starting youth may not prefer it but once they consume this cold drink they
may start buying it frequently.
2.3 Application of Porter’s 5 forces
Porter's 5 forces will be appropriate technique for analysing extent of competition which
is present in an industry. 5 points where cited company need to focus are as follows:
Competitive rivalry – Every organisation has their competitor who make same type so
product or sell similar kind of service. Tesco need to count their rivals so they can make
appropriate marketing strategies for this new product. They need to determine strengths of
opponents so they can fight with them in this highly competitive market. Pespsico and coca cola
will are key player of this industry (Huizingh, 2011). Their products can be considered as main
rival of this product. They are occupying majority of share so instead of stealing current
customers of opponents enterprise they should target compete beverage sector. The drink
launched by Tesco will face severe competition from Pepsi and Coca-cola.
Supplier power – Raw material are necessary ingredient in production of an item. The
product that company is going to launch is chemical free. In this point enterprise has to
determine about potential of supplier. They have to analyse their capacity to increase price, it
will help them in changing their current supplier by a better one who is ready to provide raw
material at low price. They have to be careful about quality of ingredients because if they are not
up to par that final product will have bad taste. Cited company can change their supplier if they
find cheaper alternative, it will make positive impact on profit in long run. They do not have
much power because it Tesco do not find appropriate supplier for production of cold drink then
they can easily switch to other one.
Buyer power – In this point, cited company need to determine number of buyers and how
much they buy in one lot. Generally people will purchase one or two bottle at a time but
sometime they give order in bulk. Tesco need to evaluate the the additional or less cost which
7

costumer have to pay at the time of switching products. They also need to find position of buyer
so they can know about influence of purchasers on their commodity. They have high power and
if they will not accept new product then company may face huge loss.
Threat of substitution – Pepsico and Coca cola are leading player of beverage industry.
They will try to find a remedy of the this newly launched product (Kim, And et.al., 2011). This
commodity will be introduced in organic sector so competitors firm may start production of new
beverage by using fruit and vegetables. New organic drink from other firm may substitute this
new chemical free cold drink. Although their power is low.
Threat of new entry – Cited company will be considered as a new entry in this beverage
section because they do not make any cold drink currently. They are selling various kind of
drinking items but this will the first chances that they are going to introduce their own product.
In upcoming time new companies can enter in this section with better product and low price.
Cited organisation need to focus on cost and regulation which are present in this industry. Threat
from new entry is high, there are many players who are trying to enter in this industry by
offering variety of drinks.
2.4 Construction a sound business proposal
Business idea:
8
Illustration 1: Porter's 5 forces

To launch a chemical free cold drink which has unique taste. It will have different taste so the
people who are looking for substitute can find a better product.
Business name:
Tesco Beverage
Target market and demographics:
It main target will be youth but it can be consumed by small children and old age people
because it is beneficial for their health. Initially it will launched in UK but in upcoming time it
will be available on all retail store of Tesco.
Marketing:
Online and television advertisement will be best source of marketing because it will cover
majority of the population. Tesco can also organise various kind of events in different part of
the country so they can aware people are special feature of the chemical free drink.
Pricing:
Initially the price of new cold drink will be low but if its demand increases according to the
expectation of organisation than they can enhance price gradually.
Profit:
Cited company will target 30% profit on total sale of chemical free drink.
SMART objectives – Capture 5% market in beverage sector. This target is attainable because
Tesco has many store and if they do aggressive promotions then they can easily achieve this
target. Performance of drink can be measure with new drinks launched by other firms. This
target will be attained in one year.
3.1 Business Pitch for products and services
Business pitch is a forming of delivering business plan verbally. This presentation
include cover page, logo, tag-line. Following are some important steps which have to be
followed at the time of launching a new products:
Start early – Employee of company should get initial and complete information about new
product.
Brief analysis of industry – Different tools and techniques can be used for achieving set
objectives. This step should be given proper time in order to make effective presentation.
9

Provide right space with leaks – Interesting facts about industry and product can be given so
customers can get attracted toward commodity (Lindič and et.al. 2011).
Limit expectation – Initially time will be hard so main focus should be kept on execution of
plans.
Keep release rolling – Employees and important people in organisation should get necessary
information about new item on regular interval of time.
Do something unusual – Surprising elements always get appreciation from everyone.
3.2 Communicate effectively
An effective presentation include two ways of communication, one is verbal and other is
visual. Message should deliver in set time, proper allocation of time to every segment is
necessary in order to make other person understand all the information about new product.
Presentor should use a language which is all people can understand so he/she can communicate
their message effectively. Team work is essential for successful presentation because one person
can not perform all the tasks.
Visual communication – Graphs, videos, charts, etc. made a huge impact on people. They
deliver more message in less period of time. Body language is another key element of a
successful presentation.
3.3 Evaluate success of Pitch in meeting business objectives
It is important to evaluate success of business pitch so cited company can make necessary
changes. It is important to communicate with people who were present in presentation so they
can give information about the mistake which team has done. They can also send them email and
find get knowledge about strength and weakness of product (Rafinejad, 2007). Their were will
some areas which may need some improvements. They can get solved by day to day
communication because most the organisation face variety of problems at the time of launching
of new item. Public speaking is another way of getting reviews from larger number of people.
Most of the manager prefer one to one conversation because it is effective way of
communication.
10

TASK 4
2.1 Evaluation of Tesco's strategic position
Cited company is table leader in retail sector of UK. They hold almost 27% share of
market and they are also planning to expand their business in some developing economies.
Following is the SWOT analyse of Tesco -
Strength:
 Their market share is increasing in domestic and international market. They are getting
more and more strong in UK, they are also expanding their business in North America,
Brazil, China etc. People can buy their product from their website and mobile application,
cited company is the first organisation in industry who have started selling their goods
online. They have good brand value which is helping provide them some extra edge on
their competitors.
Weakness:
 They are highly depend on their UK business. Their global presence is weak which can
be considered as the main reason that their profits are going down and their debt is
increasing.
 Tesco is acquiring companies in different part of this world in order to enhance their
revenue but these merger and amalgamation are putting a lot of burden on their
financial position and they are losing huge amount of money every year.
Opportunities -
 Cited organisation keep their focus on food products. They have good opportunity to
exploit non food retail market like health and beauty items (Schoonmaker and
Carayannis, 2010).
 They can invest in developing continents like Asia and Africa because industry peers
believe that this region can provide good return on investment.
Threats -
 Brexit is creating new hurdles for cited enterprise. According to some experts, next 5-6
years will be very difficult for companies who are operating in Britain. Most of the
revenue that Tesco earn comes from this market.
11

 Their competitors are more and more strong because they are investing in developing
economies like India, China etc. which is giving them some extra edge over this firm.
Tesco is in strong position in their domestic market but they are still struggling in international
market. The reason behind this problem is entrance of new players in retail industry. Domestic
companies in developing nations are getting organised and they are providing products at a
competitive price. Amazon, Alibaba are new challenges in front of cited organisation, these
enterprises are capturing market swiftly because they are ready to sell various goods at cheap
rates. The items which cited firm is offering are getting new substitutes, customers are ready to
buy new products instead of purchasing same brand again and again (Snow And et.al., 2011).
2.2 An environment audit for Tesco company
In order to carry out the environmental audit for Tesco company, The PESTLE Analysis are
taken out.
12
Illustration 2: Market share of key players in retail industry

Political factors:
Tesco operates their all business activities across all over the country. There are many political
factors which effect the operations of company. These factors includes the government policies
and procedures, rules and regulation imposed by regulatory bodies, tax rate imposed by income
tax authorities and all the tariffs levies by government. Tesco are established in various countries
to operate their retail businesses in all part. They also provide various job opportunities for
unemployed workers and give a feeling of trust to this peoples.
Economic factors: These factors are the demand of existing commodity, thrice price and
quality of product these all factors have great impact on success of Tesco company (Ross and
Blumenstein, 2013.). If any economic crises held in market then it adversely affect the business
activities of Tesco company, this will indicate the highest risk in environment of business.
Diversification and internalisation are the main reasons for the success of Tesco company. It
adversely affect their market value.
Social factor: Every organisation has effect their social culture changes. Tesco also
produce the non food items and electronics items to their customers due to factor of social
changes. This company operation also influences the behaviour pattern of customer society and
culture. So this reasons the cited company introduce the working logistics and supply chain
management methods in order to increase their overall productivity of business.
Technological factor: This method also impact the organisation success and growth.
They always working about various changes of technology. The new development of any
technology and software get earn significant success for this cited company. It also work in
provide the facilities of online shopping and home delivery services to their customers with the
help of using new software. They also provide the better services to their clients in order to
achieve customer satisfaction. They also generated the self services centre which their labour
cost are reduced. They employ less labour, so the company get huge profits (Pugh and
Bourgeois, 2011).
Environmental factors: These factors also affected the activities of Tesco. Every
company have advice that they do business in an ethical manner. Tesco is highly obsessed with
the corporate social responsibilities and corporate governance structure. They also worked for
their stakeholder satisfaction, this will be the company high profitability. This cited company
reduces the wastes material that are generated their factory in order to save the environment of
13

country. Tesco has targeted that they mainly work to minimise the carbon foot print by approx
50% by 2020.
Legal factor: Tesco productivity is directly affect the government policies and
procedures. Pestle analysis gives the proper data and information about the factors that influence
the environment of this cited company.
2.3 The significance of stakeholder analysis in case of formulating new strategy
Firstly define the term stakeholder, They are those person, groups and organisation that
all are involved the activities of organisation (Palmer and et.al., 2015). Stakeholder knowns the
employees, creditors, suppliers, unions, community, directors and shareholders. This is a method
that is used to search the persons who helped for organisation activities and get prosperity to
success.
There are stakeholder analysis importance which are helpful for formulating new strategy.
 The first important is to understand the nature of all customers and employees in order to
make better communication process.
 The second importance of stakeholder analysis is that to obtain support from all type of
knowledgeable stakeholders.
 The third importance of stakeholder analysis is that to worked with efficiency to take
different suggestions from all stakeholders.
 The fourth importance of stakeholder analysis is that they are able to compute the various
reactions of persons for their organisation.
The steps of stakeholders analysis for Tesco is given below:
Step1. This is the first step of stakeholder analysis is that they point out the persons who
are included and influence the activities of business.
Step2. This is second process of stakeholder analysis is that this cited company has
determine the interest factor, powers and influences of all the stakeholders (Oyedijo, 2012). The
main goal and objective of Tesco is that they made the stakeholders facilities. This will helps too
this company.
Some factors which indicate the stakeholder grid are s follows:
If the stakeholder have high power and interest, this will help to make greatest effort or potential
to influence, satisfy and promote the product or commodities.
14

If the stakeholder have high power but interest factor is low , this will influences the strategies
but many of time these all are fell boring. It led the negative effect of company growth and
success.
If the stakeholder have low power but interest factor is high , this factor very helpful for
company.
If the stakeholder have low power and interest factor is also low then they have no authority to
interfering much in organisation so company provide the less effort to monitor all this activities.
Step3.The final step of stakeholder analysis is that To work on those methods which
helps to improve and develop the understanding of stakeholders for the company , this helps to
get the sufficient support.
To identify the stakeholder needs and influences is that they try to working in increasing level of
interest area. Their main goal and objective is that they move into the right hand box (Onkila,
2011).
Stakeholders analysis
High power high interest – These stakeholders are crucial for any business and their
views should be considered on priority at the making any significant decisions. CEO is the
example of this kind of stakeholders.
Low power low interest – They cannot make any impact on the decision taken by
company, these do care about business operations of the company and they enterprise should
send them annual report so they can know something about the enterprise.
High power low interest – “Keep them posted” in the best strategy for dealing with these
stakeholders. They some of the majority shareholders can be considered as the example of this
firm.
Low power high interest – They queries should be solved but not on priority basis. Their
views can be taken because they have sound ground knowledge.
2.4 Construct the new strategy for Tesco company
The new strategy which are formed by this cited company is that to establish the value
and focus on customers wants and need in order to achieve their satisfaction level. Tesco is
adopted the new strategy is that a new product development .IN this strategy a new product is to
be establish a company in existing market. This cited company open new food segment sector
where they provide electric products other than food items. This sector helps a company to get
15

earn huge profitability in new future. This strategy help to this cited company providing new
product which helps to meet the various kind of need and want of customer. This also helps to
company to expand their revenue and establish further kind of opportunities for expansion their
enterprise. this business strategy includes some type of experiments which will helpful for
growth of organisation. The main objective and growth of this cited company is that to become a
successful international retailer in all part of region (Helms and Whitesell, 2013).
To achieve this objectives and goal they adopt the market development strategy. This
strategy will help to Tesco to start their business operation in globalisation level offering the
various food and non food items. They also joint and amalgamated the other companies with the
help of this strategy. They also join the strategic alliances which are adopted this company. So all
these strategies help to increase the additional strategies in order to achieve the profitability in
new future. After entering of new market with new product launched this cited company can take
different product strategy which are different from other competitors so this get earn to achieve
huge success. In product development , the company manufacture the different kind of product
that is both tangible and intangible in nature (Davis, 2012). There are many hurdles which
company will face throughout the process. If the company work this processes ,a development of
new product it consist various kind of operation that firm work on this activities deliver new
product in market. Every type of new product will goes through a different stages such as
designing a product, manufacturing, and introduction of their product in the market.
These process basically into four stages that is fuzzy front end,means that a activities
which are set accordance with their nature and well defined the all requirement. Secondly that s
designing of product it means, to improve and develop the product both in high level and
designed level (Champoux and et.al., 2012). They also specify that how the particular kind of
product meet the requirements. Thirdly that is product implementation means the detailed design
of product with the help of electrical hardware and engineering design as well as the test process
is also used to validate that objects. Lastly that is fuzzy back end ,in this step production of
product and their market launch are occur. This cited company also adopt the diversification
strategy, in this strategy they accomplish growth by developing new product in new market.
But sometime it is more risky than product development. In this type of strategy, skill
and knowledge in term of marketing and their operations. Tesco also adopted the turnaround
strategy in launch new product, this strategy are retrenchment strategy that is followed by
16

company because they think the decision which are make in earlier are wrong then with this help
of strategy they improve their decision making process that are beneficial for organisation
success and growth. They also prefer this type of strategy because of changes in external
environment factors, a threat from a substituted products, changes in customer tastes and
preferences etc. this will help to this factors.
Task5
3.1 The roles and responsibilities of personnel needed to implement the strategy .
The strategy implementation need a person who can divide the work among all
employees in organisation (Burlton, 2015). This cited company employees who are appointed to
implement the strategy, they get some roles and responsibilities. Whenever a implementing of
strategy , all the policies and procedures should have defined. The CEO of this cited company
have responsible to communicate all the strategies and information which are made by this
complies, they provide all these data to their employees with honestly and correctly. This will
reduce the misunderstanding and confusion between the managers and supervisors. CEO also
responsible to communicate all strategic planning.
IN strategy planning, The worker of this cited company has recruited for strategy
implementation so they have responsible to maintain proper records and data. This records are
very important for the strategic planning and it also helpful to avoid the legal rules and
regulations that are imposed by government (Ang, 2011). The main responsibility of employees
of Tesco company is that they give their efforts to maintain the ethical and legal standards which
are made by company. IN strategy implementation, proper monitoring is very essential factor.
Employees are continuously review all activities that are performed in organisation which are
comes under the monitoring and controlling factor. This strategy also help employees to take
proper and actual steps to implemented it. They also provide the facility of correct action if
require. IT encourage the overall performance criteria of strategic planning.
The estimated resources requirements for implementing a new strategy for Tesco
There are three types of resources which are help for implement a new strategy. These are as
follows:
Human Resource: This cited company has considered the human resource element in order to
achieve the successful strategy implementation. This factor is source of company to implement
17

all strategy and HR is responsible for the performance of organisation. It is necessary that HR
have general and technical knowledge and skill relate to all strategies formed by company. The
resources must be creative and innovative (Wonglimpiyarat, 2010). They have capability to
design new product which help for accomplish strategies.
Technological resources: In this resources include all equipments which are helpful for
manufacturing the clothing items and other commodities sold by Tesco. The new type of
innovative equipment helps to maintain the manufacturing process. it also helps to save the time
and money.
Financial resource: IT means how this cited company to finance their strategy most
effective. It involve two methods that is equity and debt. AS compares to debt equity is most
important factor because there is no interest payable on principle amount. This resources help to
achieve positive results and high growth in near future. They also help to bring the steadiness in
all the business activities and their operations.
Time and material resource: For all the strategy implementation programme, there is
specific time allot and some kind of material required. This company uses high qualified
technology which are helpful for growth prospect of business. All the material resource are
available in huge quantity (Walsh, 2012). This material have high quality in nature and their
chances of obsolescences are decreased.
Role of marketing department – They are responsible for finding the right source of
promoting product. They role is significant because if they will not do their task in effective
manner then the financial resource given by finance department will go in vain.
Role of finance division – They main aim is to the find the money for production and
marketing of the new product. They work is not related to the task like segmentation of the
product.
3.2 Evaluate the contribution of SMART target to the achievement of strategy implementation in
a Tesco company.
Smart target means that all the goals and objectives that are made by Tesco are specific in
nature, measurable and estimated in nature ,that is realistic and achievable in time.
Importance of SMART target:
S' stands for specific target which helps to achieve the market share and profitability for
this cited company. If the target of company are not specific then their all efforts and work goes
18

on sloppy situation, this effect the company success and growth (Thore, 2012). The target is to
attain 5% market share in beverage industry.
M' stands for measurable target which set by this company. It measure the market share
and profitability in numerical term. If this is not measurable compare to standard target then it is
not possible to identify any weakness and grievances exist in company work, this will also
adverse effect of company goodwill and profitability. Performance of new product can be
measured by comparing it to the other newly launched products.
A' stands for achievable target. If the target set by organisation all are achieved in an
effective manner. If this cited company set their targets or goals in unattainable in nature so it is
difficult for company to achieve their target on time, this will also effect the company goodwill
and profitability. This target is achievable, Tesco has many stores and their production capacity
is also high.
R' stands for realistic target. All the goals and objectives made by this company be a
realistic in nature. If they form the imaginative targets then it is not possible to accomplish this
goals because imagination is a unclear in nature which can not defined, so target should be
always established realistic in nature (Teece, 2010). This target is realistic, Tesco is try to replace
Cola Cola from the position of table leader.
T' stands for time duration that are mentioned in company details. This cited company
assess their work an quarterly basis. All the goals and objectives made by company are
completed on time, so all goals are done in time, so it helps to achieve their work done with
effectively and efficiently. The target of 5% market share will be attain in one year.
CONCLUSION
From the above report it can concluded that correct strategies are very important for
successful launching of a product or service. It always have either direct or indirect connection
with mission and vision of an organisation. Brainstorming is an effective technique for
generation of new item. In this era, most of the companies believe innovation is necessary for
growth of an enterprise because taste and preference of customers are changing in regular
interval of time. Market research is important before launching of a new commodity because it
tells about strength and weaknesses of other players who are operating in industry. SWOT
analysis and porter's five are some of the effective techniques for analysing various aspects of a
19

company and the products which they are selling in market. SMART target provide huge
assistance in monitoring new strategies.
20

REFERENCES
Books and Journals
Aarikka-Stenroos, L. and Sandberg, B., 2012. From new-product development to
commercialization through networks. Journal of Business Research. 65(2). pp.198-206.
Bagchi-Sen, S., 2007. Strategic considerations for innovation and commercialization in the US
biotechnology sector. European Planning Studies. 15(6). pp.753-766.
Bogers, M. and West, J., 2010. Contrasting innovation creation and commercialization within
open, user and cumulative innovation.
Bogers, M. and West, J., 2012. Managing distributed innovation: Strategic utilization of open
and user innovation. Creativity and innovation management. 21(1). pp.61-75.
Ettlie, J.E. and Rosenthal, S.R., 2012. Service innovation in manufacturing. Journal of Service
Management. 23(3). pp.440-454.
Gambardella, A. and McGahan, A.M., 2010. Business-model innovation: General purpose
technologies and their implications for industry structure. Long range planning. 43(2).
pp.262-271.
Godin, B., 2012. “Innovation Studies”: The Invention of a Specialty. Minerva, 50(4). pp.397-
421.
Huizingh, E.K., 2011. Open innovation: State of the art and future perspectives. Technovation.
31(1). pp.2-9.
Kim, S.K. And et.al., 2011. The effect of R&D, technology commercialization capabilities and
innovation performance. Technological and Economic Development of Economy. (4).
pp.563-578.
Lindič, J., and et.al., 2011. Deploying information technologies for organizational innovation:
Lessons from case studies. International Journal of Information Management. 31(2).
pp.183-188.
Rafinejad, D., 2007. Innovation, product development and commercialization: Case studies and
key practices for market leadership. J. Ross Publishing.
Schoonmaker, M.G. and Carayannis, E.G., 2010. Assessing the value of regional innovation
networks. Journal of the Knowledge Economy. 1(1). pp.48-66.
Snow, C.C. And et.al., 2011. Organizing continuous product development and
commercialization: the collaborative community of firms model. Journal of Product
Innovation Management. 28(1). pp.3-16.
Teece, D.J., 2010. Business models, business strategy and innovation. Long range planning.
43(2). pp.172-194.
Thore, S.A. ed., 2012. Technology commercialization: DEA and related analytical methods for
evaluating the use and implementation of technical innovation. Springer Science &
Business Media.
Walsh, P.R., 2012. Innovation nirvana or innovation wasteland? Identifying commercialization
strategies for small and medium renewable energy enterprises. Technovation. 32(1).
pp.32-42.
Wonglimpiyarat, J., 2010. Commercialization strategies of technology: lessons from Silicon
Valley. The Journal of Technology Transfer. 35(2). pp.225-236.
21

Ang, L., 2011. Is SCRM really a good social media strategy?. Journal of Database Marketing &
Customer Strategy Management, 18.(3). pp.149-153.
Burlton, R.T., 2015. Delivering business strategy through process management. In Handbook on
Business Process Management 2.(pp. 45-78). Springer Berlin Heidelberg.
Champoux and et.al., 2012. Corporate Facebook pages: when “fans” attack. Journal of Business
Strategy, 33.(2).pp.22-30.
Davis, P.J., 2012. A model for strategy implementation and conflict resolution in the franchise
business. Strategy & Leadership, 40.(5). pp.32-38.
Helms, M.M. and Whitesell, M., 2013. Transitioning to the embedded librarian model and
improving the senior capstone business strategy course. The Journal of Academic
Librarianship, 39.(5). pp.401-413.
Onkila, T., 2011. Multiple forms of stakeholder interaction in environmental management:
business arguments regarding differences in stakeholder relationships. Business Strategy
and the Environment, 20.(6). pp.379-393.
Oyedijo, A., 2012. Competitive strategy orientations of small and medium business owners and
their performance impacts: The case of paint manufacturing SMEs in south-western
Nigeria. Journal of Asian Business Strategy, 2.(1). p.1.
Palmer and et.al., 2015. Innovation and competitive advantage in small businesses: Effects of
environments and business strategy. Journal of Small Business Strategy, 12.(1). pp.30-
41.
Pugh, J. and Bourgeois III, L.J., 2011. “Doing” strategy. Journal of Strategy and Management, 4.
(2).pp.172-179.
Ross, P. and Blumenstein, M., 2013. Cloud computing: the nexus of strategy and technology.
Journal of Business Strategy, 34.(4).pp.39-47.
Shirey, M.R., 2011. Addressing strategy execution challenges to lead sustainable change.
Journal of Nursing Administration, 41.(1). pp.1-4.
Online
Difference Between Invention and Innovation. 2016. [online]. Available
through:<http://keydifferences.com/difference-between-invention-and-
innovation.html>. [Accessed on 16th May 2017].
Innovation Funnel. 2016. [online]. Available through:
<https://www.cleverism.com/lexicon/innovation-funnel-definition/>. [Accessed on 16th
May 2017].
22