Analyzing the Global Business Environment and its Impact on Tesco

GLOBAL BUISNESS
ENVIORNMENT
PORTFOLIO PAPER 2

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
SWOT analysis.......................................................................................................................3
Impact of driver on functional areas.......................................................................................4
CONCLUSION................................................................................................................................5
REFERENCES................................................................................................................................6

INTRODUCTION
In this competitive world it is very necessary for the companies to analyse the global
business environment as there are many changes taking place within the environment globally.
Thus, for this it is necessary for the company to analyse these factors (Hamilton and Webster,
2018). Thus, the present report will outline the internal environment of Tesco and the impact of
the drivers of external environment of the operations and research and development department
of the company. Tesco is a multinational chain of merchandising and groceries store founded by
Jack Cohen in the year 1919 headquartered in Welwyn Garden City in Hertfordshire.
MAIN BODY
SWOT analysis
Elements Descriptions
Strengths  The major strength of the company is that it is the leader in the
retail sector. This is a strength because of the reason that this will
increase the operations of the company and market share all over
the globe.
 Another strength is the strong product portfolio because the
company deals in a wide variety of product types and thus, this
attracts more of the consumers.
Weakness  The major weakness of company is that it has some concentrated
operations because 45 % of the revenue is contributed by Canada,
US and Mexico. Thus, if there will be any problem with these
three countries the profit of the company will be affected to a
great extent.
 Another weakness is some acquisition mistake which were made
by the company. For instance, the acquisition with Nobbies
Garden and Giraffe Eatery were not successful and Tesco had to
again sold them (SWOT analysis of TESCO, 2019).
Opportunities  The major opportunity for the company is to tap the market in
which the company is not currently operating. This can be done
with help of different options of strategic alliances like joint