External and internal analysis of Tesco

MARKETING
IN
GLOBAL AGE

1
Executive Summary
For ensuring success any firm needs a detailed marketing plan that underlines all the aspects
of marketing. In this report external and internal analysis of Tesco has been provide. It was
found that external environment has become challenging and at the same time the internal
environment has become more competitive. In this report there is illustration of the strategies
they need to have. It was found that company needs to focus on adding more numbers of
technologies in their marketing and reduces their pricing while increasing the numbers of
products that are available under their roof. In this report there will be illustration of the
tactics that they can use to do marketing. It was found that company needs to prices needs to
be on the lower side, promotions needs to be done with the help of technology, they need to
train their employees with technology. In this report action plan has been provided. In the last
section of the report there is illustration of KPIs that acts as control measures. It was found
that return on investments, sales volume are the two major KPIs that can be used in this
regards.
Content

2
s
Introduction............................................................................................................... 3
Situational analysis...................................................................................................... 3
External environment................................................................................................ 3
Internal Environment.......................................................................................... 4
STP of Tesco.......................................................................................................... 5
Objective.................................................................................................................. 7
Strategy.................................................................................................................... 7
Tactics..................................................................................................................... 9
Actions................................................................................................................... 10
Control................................................................................................................... 12
Conclusion.............................................................................................................. 13
References.............................................................................................................. 14

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Introduction
In all across the globe challenges for the companies are increasing. There are various factors
that have created saturations for the companies in the local market which has direct impact on
their business and their strategies. The increasing competition has become major challenge in
this area. Due to this companies have to make strategies that could help them in ensuring that
they are at the top. Marketing plan plays a very critical role in this regards. Tesco is one of
the biggest supermarkets from Britain (Tescoplc, 2020). It is the third largest retailer in the
world in terms of gross revenue and specialises in groceries. In this report there will be
illustration about the situation that company is facing both internal and external. It also
illustrates the strategies, tactics and action that need to be made by the company to improve
the performance of the company. At last the control measures have been illustrated to put
marketing plan on the line.
Situational analysis
It is critical for the firms to analyse the internal and external environment of the company.
External environment
In order to understand the external environment, the use of PESTLE analysis can be useful.
 Political: The political decisions such as Brexit have created challenges for the
companies (Mollah and Sharif, 2014). This is because the rules related to free trade
across the borders have not been decisions. The negotiations are in process with EU.
This will create challenges such as arrangement of resources from other parts of the
world as new tariff will be set which will increase the prices of products they are
selling.
 Economic: In the time when the global economy is not showing higher growth the
chances that they might face economic challenges. At the same time the economic
challenges due to Corona Virus outbreak on the whole Europe is increasing and in the
coming it is going to affect the global economy in a more severe way. However the
cash balance with the company is huge which will help them in their future
investment plans (Christopher and Peck, 2012).