Strategic Management Plan for TESCO Plc

BUSINESS
STRATEGY
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Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
Applying proper frameworks evaluating the impact & influence of the macro environment....3
TASK 2............................................................................................................................................5
Analysing the internal environment & capabilities using appropriate frameworks....................5
TASK 3............................................................................................................................................7
Applying Porter’s Five Forces model to analyse the competitive forces....................................7
TASK 4............................................................................................................................................8
Applying a range of theories, concepts & models, interpret & devise strategic planning for a
given organization.......................................................................................................................8
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12
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INTRODUCTION
The business strategy is denoted as the concept of different organisational plans, goals or
actions that outlines the business competition within the market. The strategy of a business
depends upon various factors such as internal, external as well as market competition based upon
which the companies makes their decision or plans (Demartini and Taticchi, 2021). The present
report comprises of different organisational strategies and analysis such as external or internal
analysis through PEST, stakeholders analysis, SWOT and VRIO. Also, with this the various
theories are applied in context to determine the competitive market or strategic plans. The
company which is considered for the present report is TESCO Plc.
TASK 1
Applying proper frameworks evaluating the impact & influence of the macro environment
Vision
The vision of TESCO Plc is to enhance the business scope with an aim to enable for
having long term strong sustainability through customer expansion at both national and
international level.
Mission
TESCO Plc creates the value for its customer's in order to generate their loyalty for
lifetime.
Objective
The core objective of TESCO Plc is to provide a little more to the customer's by each day
with indulging greater values and quality to the product.
PEST analysis
The PEST framework assists businesses in having a proper understanding related to the
dynamics of market along with the continuous improvement of business. The PEST analysis of
TESCO Plc is conducted below:
 Political: The political factor is concerned with different regulations and rules of each
nation. In relation to TESCO Plc, the company is required to follow the regulations of
each nation within which it operates to so assure the proper safety and compliance of
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their products. TESCO Plc is needed to keep high focus upon the dynamic political
conditions of every country in which they carries their business (Sheehan, 2020).
 Economic: The economic factor is concerned with the demand, purchasing power,
inflation and many other factors that are related with the country's economy. In relation to
TESCO Plc, the business is required to keep a complete track upon the changing
economic situations of countries. The constant fluctuation in the international exchange
rates affects the profit margin of company because of dynamic market performances. On
the other hand, TESCO Plc is needed to consider upon the prices of its products which
can influence its sales like at the time of inflation the should be prices of essentials
accordingly.
 Social: With the changing lifestyle trend now a days each individual wishes to have their
purchases on the basis of trend or on of their perceptions. TESCO Plc needs to be focused
upon the culture, influence and the society trend so that can offer much which allows
customer's to make their decisions. The company is successfully able to offer organic
items which are most preferred by the customer's now-a-days (Michaud and et. al., 2021).
 Technological: The regular changes within the existing technology forces the company
to offer such products which involves latest technique within it. TESCO Plc can has a
favourable support from the forces of technological environment as the company is able
to influence its customer's through offering products via online and social media
platforms.
Stakeholders Analysis
The stakeholders comprises of all those connections of a business through which the
company is able to run its business and maintains its sustainability. The stakeholders for TESCO
Plc are its customer's, employee's, suppliers, investors, management team, shareholders, etc. The
analysis of such stakeholders with relation to TESCO Plc is conducted below:
 High power and low interest: In case of TESCO Plc, the stakeholders which makes a
great impact upon the company's performance through their power but has a low interest
in its affairs includes its shareholder's and the employee's. It is highly essential for
TESCO Plc to keep them satisfied as they have high powers in the business (Jafari and
Othman Soleiman, 2020).
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