Paper 2 Cw2 Based On The Key Drivers Identified In Cw1 And Its Pestle Analysis Tesco

This paper discusses the key drivers identified in Cw1 and its Pestle analysis for Tesco, including a SWOT analysis and the impact on marketing and HRM operations.

Paper 2 Cw2 Based On The Key Drivers
Identified In Cw1 And Its Pestle Analysis
Tesco This Paper Should Consider A
Swot Analysis As Well As Examine The

TABLE OF CONTENT
INTRODUCTION...........................................................................................................................3
MAIN BODY..................................................................................................................................3
SWOT analysis in context of Tesco............................................................................................3
Impact of key drivers upon marketing and HRM operations......................................................5
CONCLSION..................................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
Business environment means all externals and internal factors that affect how
organization functions including management, consumers, workers and supply & demand. The
current study is based on Tesco which falls under category of leading retailers in the UK. This
assignment will explain SWOT analysis and also examine ways in which key drivers can effect
two companies functional areas such as operations, research & development, marketing and
human resource management.
MAIN BODY
SWOT analysis in context of Tesco
This model stands for strength, weakness, opportunity and threat that relate to specific
company. It is one of the best framework used for assessing these four elements of Tesco.
Strength-
Tesco is one of the leading retailer and supermarket chain in the whole world (Swaffield,
Evans and Welch, 2018). Efficient network of suppliers is one of its biggest strength that affect
business operations and supply chain procedure positively. Suppliers play a important role in
operations of any company, since firm has been following a quite simple business model and that
is to decrease costs by having an good waste management system. As a outcome, it has been
having a better connections with their suppliers, who are able to deliver products on time to
target market. With effective network of suppliers firm gain many benefits in term of increasing
consumer base.
Weakness-
TESCO manage their business operations and activities in effective & systematic manner
which is quite important for them. Due to one its weaknesses, management faces a lot of issues.
Sudden club-card switching is one of its weaknesses that affect negatively on consumers base,
sales and brand image within marketplace (Ali, 2019). Management changes their clubcard
without informing potential buyers which in return give firm a negative reaction of consumers as
they were furious. Angry and unsatisfied customers are not a good sign for organization because
they are likely to go to some other brand where people get all things according to needs.

Opportunities-
One of the best opportunity for company is to aware people and inform them about any
changes within exiting plans or products that help to build strong relationship between
management and consumers. Tesco has expanded their business operations in more than 14
nations. They do above thing in same way which is quite beneficial and important for them in
term of increasing consumers base and increasing sales even better. Along with this chance,
Tesco also drive new buyers towards purchase by offering online shopping services to people.
They can launch new mobile application for online shoppers where all the physical outlets
products sells via online as well.
Threats-
It is one of the external factor that impact overall success and growth of Tesco negatively.
The last component in swot analysis of firm is issue of threats facing the organization and that is
Illustration 1: SWOT Analysis Framework
(Source: SWOT Analysis, 2019)

intense competitive environment. It can be said that grocery market is quite competitive in
United Kingdom and company is market leader in nation with over 27.8% market share. The
closet rivals such as Sainbury's and Asda are attempting vigorously to close gaps. They give
tough competition to organization by increasing their operational efficiency which is one of the
biggest threat for firm.
Impact of key drivers upon marketing and HRM operations
Technology driver: As analysed within external and internal analysis Tesco hold wide
opportunity for bringing on new level of innovation with higher technology which will enable in
enhancing the goodwill of brand within global paradigms. Tesco faces high competition from
external factors where there are large number of competitive level brands and companies coming
up with wide innovation and technical advancement which further enables in forming wider
range of consumer profitability. The technology driver will focus to bring on new level of
progression among strong competitive marketing levels of strong viable metrics which will
further add on higher profitable metrics and stronger business factors. Technology metrics will
enable in building strong marketing department goals where large new customer segments can be
reached (Fouskas and Chatziharistou, 2020). Use of new technology will impact HRM
department by bringing on new levels of competitive advancements where strong diverse skills
and talent will further bring on enhanced customer satisfaction services and higher goodwill
within global levels. HRM and marke4ting being the most important departments among tesco
functionally operated with driver of technology will enable to bring on higher synergy oft
continuous innovation within all services and products delivery.
High capital investment driver : Tesco with the driver of higher capital investment will enable
to bring on new synergy of growth for further expansion and building new parameters of
innovation which will develop new levels of profitable goals, higher consumer goodwill among
global levels through which bet competitive levels can be explored. Tesco by bringing on higher
investment in relation to marketing departments functions will enable to bring on use of latest
digital media and social handles, and also use new technical levels of progression for gaining on
wide space among retail industry competitive levels (Cerviño, Ortiz and del Hoyo, 2019).
Marketing department will be more transformed with use of new digital media tools to
innovatively advertise about service and products through wide marketing channels. HRM
department by higher capital investments will enable to train better by practical field

development which will further bring on wider synergy of diversity among company functional
levels. The skills of all employees can be further enhanced by working on new dynamic working
arenas which holds diverse fundamental opportunities to bring on advanced consumer goodwill.
The HR department training with higher innovation , advanced learning with the drievr of higher
capital innovation will enable to bring on new levels of brand promotional synergy with which
wider goals can be achieved for long term profitable goals.
CONCLSION
The report has concluded internal analysis of Tesco where there is detailed analysis of how
various parameters of growth with sue of innovation, new capital investment which are the
strengths of company will enable the completion of weakness and threats such as
competitive retail industry. Tesco opportunities are explained in report where it can be
concluded that the key drivers such as capital investments and higher innovation will enable
to transform marketing and human resource departments, through which tesco will be able
to develop new scope among global business scenario where there are rapid changes coming
on (Lasisi, Ozturen and Avci, 2020).

REFERENCES
Book and Journals
Ali, M. A., 2019. Does the online card payment system unwittingly facilitate fraud? (Doctoral
dissertation, Newcastle University).
Cerviño, J., Ortiz, J. A. and del Hoyo, A. F., 2019 Essentials of International Marketing.
Fouskas, K. and Chatziharistou, C., 2020. E-commerce Success Factors: A Taxonomy and
Application in the Fashion Industry. In Strategic Innovative Marketing and
Tourism (pp. 775-782). Springer, Cham.
Lasisi, T. T., Ozturen, A., and Avci, T., 2020. Explicating innovation-based human resource
management's influence on employee satisfaction and performance. Employee
Relations: The International Journal.
Swaffield, J., Evans, D. and Welch, D., 2018. Profit, reputation and ‘doing the right thing’:
Convention theory and the problem of food waste in the UK retail sector. Geoforum. 89.
pp.43-51.
Online
SWOT Analysis, 2019. [Online]. Available through: <https://www.businessballs.com/strategy-
innovation/swot-analysis/>