Strategic Evaluation of TESCO

Strategic evaluation

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY .................................................................................................................................1
Critically evaluation of the value of clear purpose, vision, mission and objectives in setting the
organisational strategic direction................................................................................................1
Assessment of the competitive advantage using VRIO framework............................................2
Analysis of external environment using PESTLE framework....................................................4
Application of porters five model for TESCO............................................................................5
A review of an organisational strategy........................................................................................7
CONCLUSION ...............................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
Strategic management is the ongoing process of planning, monitoring and assessment of
the all essential aspects that are needed by the organisation in the accomplishment of the goals
and objectives(Deroba, and. et. al., 2019). Strategic evaluation is the last step in the process of
strategic management. Which is refers to the collection of all information about how well
strategic plan is working within the organisation, strategic evaluation is also described as the
process of determining the electiveness of current or given strategic in the accomplishment of the
goals ans objectives of an organisation and taking actions whenever it required between the
operations. In which it main key area is to examine the underlying basis of the given strategy in
the firm, comparison of the actual outcomes with the standard one that made before the
implementation of the strategy, and taking the corrective actions. Evaluation of the strategy has
been ensures that strategy as well as its implementation meets the organisational objectives. This
report is based on the TESCO company which is an UK based multinational groceries and
general merchandise retailing company with the headquartered in Welwyn garden city, England.
It is an third largest retailer in the world as per the gross revenue, it operates in the seven
countries across Asia and Europe. This report is consist the information about evaluation of
value of the company's clear purpose, vision, mission and objectives in setting the strategic
direction, also the assessment of competitive advantage of the company which has been evaluate
through VRIO. Furthermore it includes analysis of external environment by using PESTLE
analysis and porter's five model for the competitiveness.
MAIN BODY
Critically evaluation of the value of clear purpose, vision, mission and objectives in setting the
organisational strategic direction
Organisational strategy is refers to the sum collection of the action or plan that a company intend
to take as to achieve the organisational goals and objectives. It is tend to be an combination of
the purpose, vision and mission of a company that provide support in the better growth, longer
sustainability and success of the company(Sun, and. et. al., 2019). The main reason in behind
making the strategy is to ensures the smooth and effective running of the operations of the firm
and profit maximizations. It helps in proving the healthy and positive environment to workforce
so that they are able to provide the effective productivity to the organisation.
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Mission: this is an short statement which states that why an organisation is exist, it refers
to an overall goal of an organisation, mission statement of TESCO is “ to create the value for the
customers, to earn their loyalty for the lifetime. This provides an goal to the company to strive
towards and reach for(Somarathna, 2020). It ensures that customers are given best available of
the product and services from the TESCO staff. And this develop an environment where
everyone will be able to achieve their potentials and contribute in the continued growth of the
organisation.
Vision: this is refers to an mental image of an possible and desirable future state or
position of an company. This describes the aspiration for the future as well as the destination of
an organisation. Vision statement of TESCO is “ To be the highly valued company from the
customers to which they serve and the communities in which they operates”
Objective: This is refers to the something which is specific and actionable targets that
need to accomplished in the smaller period of time to reach at the desirable goals. There are main
five objectives of TESCO.
 To maximize the sales as to increase along with the increase in profit.
 Decrease their prices, as its objective is to make the shopping cheaper and reasonable for
the average households.
 To introduce the more healthy eating product in the wide range of groceries they provide
to the consumers.
 To develop an large online shopping site, TESCO objective is to provides an groceries,
electronics, and clothing along with the number of their services via online site or shops.
 To help and provide the jobs to their local communities.
Purpose: Tesco purpose is to be an champion for the customers and helping them to
enjoy the better quality of product and services along with the easier way of living. As customers
want great products at the great value which they can easily and tesco has focused on delivery
their products and services in the right way(Prasad, S., Khanduja, and Sharma, 2018).
A clear statement of vision and mission along with the purpose and objectives add the
value in the decision making process of the strategies which is being used by the company in
order to achieve the desired goals.
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