Tesco's vision, leadership style and management style: TASK 11 1. The context of business

Context of Business

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1. Identify and discuss micro and macro environmental factors that in your view, changed
nature...........................................................................................................................................1
of modern business in the global environment...........................................................................1
2. Discussion on important for individuals and organisations to manage responsibly,
sustainably and behave ethically in relation to cultural, social, economic and environmental
issues...........................................................................................................................................2
TASK 2............................................................................................................................................3
1. Brief history about the company.............................................................................................3
2.Tesco's vision, leadership style, management practices and strategies....................................4
3.Implementation of leadership style and management practices can be achieved....................6
4.Recommendations regarding the leadership style, management practices and the various.....7
strategies that can be undertaken by the Tesco...........................................................................7
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................8

INTRODUCTION
Business refers to the term in which goods and services are exchanged between different
people for the purpose of earning profit. The purpose of doing business is to maximise the profit
With aim to expand business at global market(Schaltegger, Hansen and Lüdeke-Freund, 2016).
Present study will be based on the Tesco company it is the British multinational groceries
and general retailer company. Its headquarter is in Welwyn Garden city, Hertfordshire, England,
United Kingdom. Tesco has developed into areas such as the retailing of books, clothing,
electronics, furniture, toys, petrol, software, financial services telecoms, and internet services.
Report will include identification of micro and macro factors that changed the nature of
modern business in the global environment. It also includes the responsibility of individual and
the organisation in relation to social , cultural, economic and environmental issues. Further more
it includes the leadership styles, management practices and various strategies followed in the
Tesco company(Storey, 2016).
TASK 1
1. Identify and discuss micro and macro environmental factors that in your view, changed nature
of modern business in the global environment
There are so many factors that affect business environment such as Micro factors and
Macro factors. Micro factors affect the daily business activities and it can be controllable.
Example: Suppliers, competitors etc. Macro factors are beyond the controlled of business and
affects the working of the business to great extent. These are such as Political, Economic, Social
factors etc. As Supplier is the micro environmental factor it affects the operations of the Tesco in
the global market as there they have to talk to the local suppliers of that country to run the
business operations at global environment. This helps in minimising the transportation cost and
getting raw material quickly. Local suppliers provide goods by considering needs of buyers thus,
Tesco will be able to offer satisfactory services to its consumer in international market(Bitektine
and Haack, 2015).
Competitors also changed the nature of the business environment at global level as global
companies use updated technology so the domestic company have to search about the technology
used in the global environment and have to adopt the same technology to beat the competition in
the global environment. As competitors have high command over local markets thus, Tesco will
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have to make changes in its product designing and services so that it can gain attention of
consumers in global market. Before entering in to new location company has to conduct market
research and have to make changes in its operations so that it can raise satisfaction level of
customers and can gain competitive advantage as well. In global market the Tesco have to attract
the customers to buy their product by offering special discount, offers etc. For running the
company at the global environment it will have to satisfy the needs of the customers(Van
Wormer and Besthorn, 2017)
As macro factors also changed the nature of the business the company have to
changed its policies according to the rules and regulations of that country. Tesco has to follow
legal guidelines of government of that nation in respect to trade activities, licensing etc.
According to new norms Tesco has to make modification in its existing operational policies so
that it can sustain in market for longer duration. Establishing business at the global environment
also lead to change in the social factors as different countries have their different values and
beliefs so the company have to adopt their values. Legal factors also changed as certain laws
which affects the domestic company's operations so the company have to run accordingly at
global environment. Environment of the global market is different from the domestic market if
there is any impact on the environment then it will change the image of the company(Wong,
2017).
Economic factors like inflation rate, corruption also changed the modern business
operations at the global environment. If value of currency is high then Tesco can sell its products
at high prices in that market but if there is recession or inflation then Tesco will have to make
changes in its pricing policies so that it can generate sales in international market.
2. Discussion on important for individuals and organisations to manage responsibly, sustainably
and behave ethically in relation to cultural, social, economic and environmental issues.
Every organisation has to manage cultural, social issues responsibly, sustainably and
behave ethically in order to sustain in market for longer duration. It is important to manage the
social issues effectively so that it does not affect the environment of the organisation. It is
necessary for an individual and the organisation to maintain the decorum of the organisation so
that it will be easy to sustain and the work is doing in ethical way. As cultural of each person is
different thus, Tesco is required to give value to cultural aspects of employees and consumers.
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