PESTLE and SWOT Analysis of Tesco: Impact on Finance and Marketing

CW2 Portfolio papers 2 & 3

Executive summary
The report consists of the PESTLE analysis of the Tesco and the six factors that are
affecting the company’s operating are discussed. The SWOT analysis of the company is
discussed where the strengths and weaknesses along with the opportunities and threats are
discussed. Using the pestle and the swot analysis of the company the main drivers of the
company are used to discuss the impact on the functioning areas of the company that are finance
and the marketing. The effect of the drivers of the company in these fields impact the functioning
of the performance of the company.

Table of contents
Executive summary.........................................................................................................................2
Table of contents..............................................................................................................................3
INTRODUCTION...........................................................................................................................4
MAIN BODY..................................................................................................................................4
Portfolio paper 2..............................................................................................................................4
PESTLE of Tesco........................................................................................................................4
Portfolio Paper 3: Operational impact.........................................................................................6
CONCLUSION................................................................................................................................7
REFRENCES...................................................................................................................................7

INTRODUCTION
Tesco is British multinational company that provides customer goods. The company is
headquartered in England, UK. The company provides products like food, energy drinks, baby
food, cheese, confections (candy), tea, ice cream, instant coffee, chewing gums, toothpaste,
beauty products and many more products. The Pestle and Swot analysis of the company is done.
The pestle analysis of the company helps to identify the external and internal factors that impact
the functioning of the company. The pestle and swot analysis are used to identify the drivers of
the company and how they are going to impact the finance and the marketing areas of the
company.
MAIN BODY
Portfolio paper 2
PESTLE of Tesco
Political factors
The company have to follow the rules and regulations of the government. Due the
financial instability of the retailers are being promoted to create job options for the domestic
people. The company along with the increasing the job opportunities also create demand of the
product and the services. The company diversify the workforce by this.
Economic factors
The company is concerned about the growth of the cost, profit, lose and demand. The
company have developed in the international market but it is still dependent on the UK market
for the revenue and hold 30% of the shares. The company has shifted the focus to the brand
awareness and brand value instead of the promoting the luxury items due to the decrease in the
income levels of the disposals.
Social factors
The social tendency of the people in UK is attracted towards the bulk shopping as
compared to the one-stop shopping. The company has increased the offers of sales in the non-
food items. The customers are getting more aware of the food they are having and moving
towards the healthier options (Adamyk, 2019). The company is introducing the organic foods to
the customers.
Technological factors