Strategic Management Plan

Strategic Management Plan

Table of Contents
INTRODUCTION...........................................................................................................................1
Analyse macro environment and internal environment of organisation and it capabilities.........1
Evaluate and apply the outcomes of analysis using porters five analysis....................................4
PART 2............................................................................................................................................5
Bowman's Strategical Clock........................................................................................................5
Recommended Strategy...............................................................................................................8
Strategic Management Plan.........................................................................................................8
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
Tesco is British multinational retail company and it was founded in 1919 and it was
founded by the jack Cohen. Company is selling retail goods and groceries as well. Company has
ranked as third largest retailer in world. The report includes the impact of the external and
Internal environment and capabilities of company as well. It also includes the critical analyses of
porters five analysis. Models theories and concepts have been applied on organisation as well.
The report is providing the knowledge regarding the strategic management decisions and the
impact of the strategic management decisions.
Analyse macro environment and internal environment of organisation and it capabilities
Macro environment includes the pestle analysis
Pestle analysis
Political factors are factors which are affecting the sales of company and performance of
company. The political factors include the tax rates and laws which are levied on company and
made for protecting customers. Due to the financial instability government is encouraging
retailers and for creating jobs for people and work In proper way. Tesco is creating the
employment opportunities for people which are unemployed (Rothaermel 2017).
Economic factors include the economic factors which are affecting the company.
Company must be aware about the change in policies and change in taxation rates. Business of
the Tesco is growing rapidly and it is growing in the international market as well. Company is
growing and the company would be increasing the international market as well. Tesco is shifting
it focuses towards the incomes of customers which are buying the products. So the company
could set the price of product according to the selected target market.
Social factors include the social changes like the consumers nowadays want the latest
technology and latest trends in every products. So customers are demanding and the customers
are influenced by the beliefs of Individual and attitudes of individuals. Customers are becoming
aware about the health issues, so they are demanding healthy products and also they are
accepting the healthy products. Tesco is adapting these healthy strategy and providing the
organic products.
Technological factors
In technological factors the company is concentrating on the new opportunities and latest
technology as well (Gürel. and Tat, 2017). The development of the online shopping and facilities
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of the home delivery are attracting customers. Self service points are providing the convenience
and it is easy for customers to buy the products. Company is investing high amount in the energy
projects which would be working as reducing the carbon foot print.
Legal factors are government policies and laws which are affecting the company to work
in efficient manner. Food retail commission has suggested the company to follow the code of
practices. Tesco has decreased price on the fuel and grocery stores as well. Several promotion
offers has lowered the price of the products which are sold by company in market.
Environmental factors
Protecting environment is the prime motive for company and people as well. So the
company has started health free products and environment free products. It is reducing the cost
of products and it is protecting the environment in the effective way. The company has to make
the products which are protecting the environment and to destroying the environment.
Swot analysis
Strengths
Tesco is the biggest retail store in uk and it is delivering the services in the effective way.
Tesco is running the number 1 supermarket in UK and it is having the biggest supermarket chain
in Great Britain. Tesco is having the market share and it is and it is the biggest grocery retail
store in Britain. The company is providing the variety of products in market and company is also
providing the services like the home décor items and electricians and many more. Company is
using the latest technology in market and the company would use the latest technology to attract
the customers (Bull and et.al., 2016).
Weaknesses
Tesco has failed in us and japan because the stores were not running properly in japan.
People of japan has not accepted the product, and they were loyal towards the Japanese
companies. Tesco was also engaged in fraud trail and accoutring Scandal which includes the
services like lot of financial error in reports and misrepresentation of profits in reports. Low cost
strategy has been used by company and the company is also suffering losses due to the low cost
of products.
Opportunities
Tesco is expanding the business and introducing the discounts and products for attracting
the customers. Company has entered In various their sectors of market by the help of the joint
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