Principles and Practices of Marketing - PDF

PRINCIPLES AND
PRACTICES OF
MARKETING

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
SOSTAC Model to enter into Germany......................................................................................1
SOSTAC Model within UK........................................................................................................9
SOSTAC Strategies of UK applied within Germany................................................................11
REFERENCES..............................................................................................................................13

INTRODUCTION
Marketing refers to all those activities and operations undertaken by companies which
adequately assist them in communicating and presenting their offerings to people in the market
effectively (Vasilcovschi and Georgescu, 2012). It is an important activity which is essential in
terms of influencing customers to buy the products and services offered by organisation through
building up clear and effective perception of their commodities in front of customers.
The following report is based on Tesco Plc, which is one of the most reputed
organisations in the UK, having multiple supermarket chains within the country and beyond. It
deals in product segments such as books, electronics, clothing, toys, grocery, general
merchandise, watches etc. It covers a detailed SOSTAC model for the marketing strategy
adopted by the company, as well as a detailed evaluation of effectiveness of this current strategy
of the organisation. Further, the report covers evaluation of effectiveness of current SOSTAC
strategy of company within UK. Lastly, it includes assessment of the extent to which current
marketing strategy of entity can be executed within international markets.
TASK 1
SOSTAC Model to enter into Germany
Tesco Plc is a British multinational company dealing in a number of product segments
and providing its offerings to people spread across the globe. Across the world, this organisation
is regarded as the third largest retailer in terms of gross revenues and the ninth largest retailer in
terms of revenues. This company has outlets spread across seven countries within the confines of
Europe and Asia. It is the leader within Grocery market with a share of approx. 28.4% in UK,
Hungary, Ireland and Thailand (Anıl and Ficici, 2017).
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Illustration 1: Leading 10 retailers based on sales in the United Kingdom (UK) in 2017/18
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(Source: Leading 10 retailers based on sales in the United Kingdom (UK) in 2017/18, 2019)
Having its headquarter within United Kingdom, this organisation is the leading retailer
within the retail business sector owing to its high quality products and optimum pricing. In this
regard, looking upon the success of the organisation, the managers of this company are
considering expanding the operations of entity into Germany. In this regard, the management of
this organisation is looking forward to make use of SOSTAC model so as to ensure growth and
success within the new international market.
SOSTAC is a model which comprises of a general marketing strategy that can be feasibly
applied with a number of commercial situations (Charfeddine, 2016). It can be said to be
focussed upon the execution of the different stages of the process inclusive of situational
analysis, objectives, strategy, tactics, actions and control. This model will enable Tesco to make
better decisions in order to develop effective plans for gaining a strong share in market of
Germany. In this regard, the various elements of SOSTAC in context of Tesco are explained
below:-
Situational Analysis: While gaining entry into new markets, it is essential that company
takes into account the business environment of such place owing to the presence of a number of
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