Internal and External Factors of Tesco

Introduction to Business studies
portfolio

Internal and external factors of Tesco
 Internal factors
 SWOT
 It is considered as a technique that can applied to the Tesco can be used to determine the level of the
business with the success benchmarks as well as growth trajectories as it standards for the strategies
opportunities, weakness and threats.
 Strength
 It is one of the leading grocery retailer as it has the higher revenues and sales as compare to the other
supermarket within the Great Britain. It has about 28% profit as per the annual reports of 2018.
 Tesco able to uses the Technology within the way that it can increase their customers experiences as Tesco
introduced RFID enables barcode system that able to count the goods automatically, and they also use the
apps that have the mobile payment app. Tesco also launches their own online shopping app within the year
2021.
 Weakness
 Due to the low cost strategy of Tesco it leads to the reduced profit margins.
 As according to the experts Tesco are not carry out the enough market research as some stores of the Tesco
are not performing well within certain nations.

CONT..
 Opportunities
 Tesco develops the strategic partnership with the brands which are reputed as they provides the
excellent opportunity for the Tesco. It allows Tesco to provides more goods as well as attract more
consumers.
 Threats
 Tesco faces the negative consequences of the Brexit Referendum as Britain was not the part of the
European Union s that the Tesco faces the higher prices of the goods and reduces the customer
base .
 With the rise of the WalMart, Aldi and Carrefour, they are consider as the biggest competitors of
the market as this threatened the Tesco firm.