Analyzing Business Strategy and Macro Environment for Tesco

BUSINESS
STRATEGY

INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1 Apply different frameworks to analyse the influence of macro environment on a company
and their business strategies.........................................................................................................3
TASK 2............................................................................................................................................6
P2 Evaluate the capabilities and internal environment of a company by using appropriate
frameworks..................................................................................................................................6
TASK 3............................................................................................................................................8
P3 Implement porter's five forces to evaluate competitive forces of a market sector for a firm.8
TASK 4............................................................................................................................................9
P4 Apply different models, theories and concepts to interpret strategic planning for a company
.....................................................................................................................................................9
M4 : Strategic management plan that includes strategic priorities and objective.....................11
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
Business strategy considered as those decisions which is based over strategies and
decision that makes benefits to be attained in relation to goals and objectives that has been set by
an organization. Further it is referred as master plan implemented by an individual in order to
attain competitive position within market. The organization taken within the report is Tesco plc
which an UK base retail organization and manufactures day to day products and home used
products. Further the report is based upon micro organization within business strategies within an
organization. Also analysis is been done upon micro environment factors and Porter’s five force
is covered for making evaluation. In the end various methods, models and theories in relation to
make strategic decision developed within an organization.
TASK 1
P1 Apply different frameworks to analyse the influence of macro environment on a
company and their business strategies
Vision: The vision of Tesco is to develop global standards in relation to both national and
international organization over measuring performance.
Mission: Tesco have mission for creating inspirational quality that makes accessibility
attained. It helps organization over increasing customer base that makes high profit achieved.
Objective: In relation over Tesco objective of an organization is based upon attaining
leadership within retail sector. This makes Tesco compete with its rivals in more effective
manner( Hernández, Yañez-Araque and Moreno-García, 2020).
Strategy means those actions taken by mangers of an organization through which
organizational goals is been achieved in effective manner. This helps in formulating effective
business strategy that performs over gaining of high advantage in comparison to its rivals.
Further it increases revenue and sales with the help of these strategies for an organization like
Tesco.
Different strategic planning techniques

 Benchmarking: This is been defined upon comparing those metrics within entire
industry upon operating an organization. This make Tesco attain positive position within
market through comparing its performance (Karadag, 2017).
 Business analysis: By analysing the business and its activities in an appropriate way,
TESCO will acknowledge their strengths or weaknesses by efficient means so that only
right and strategic decisions will be taken by TESCO to attain expected outcomes.
Various analytical framework to acknowledge macro environment
Stakeholder analysis
A stakeholder analysis is the process for making identification over impacting
performance before starting a project. It is helpful for Tesco in grouping its shareholders as per
interest level within the project. Further analysis has been explained as follows:
Step 1: Determination in relation to stakeholders is done with the help of preparing list of
potential stakeholders. In case of TESCO , potential stakeholders will be sales department,
executive staff, marketing executives, customers, employees, suppliers, public, government,
shareholders etc.
Step 2: As the important stakeholders is been listed managers of an organization requires
over prioritizing it under various categories which are as follows:
 High power, high interest: They are most important for Tesco and helps organization
perform business activities smooth and better manner.
 High power, low interest: These stakeholders mainly affect working and does not have
high rate of interest within Tesco’s project.
 Low power, high interest: Such stakeholders provide information about projects in
relation to Tesco.
 Low power, low interest: They have no interest in activities of Tesco and does not
possess power.
Step 3: In this step, manager of TESCO communicates stakeholders according to their
priority in order to complete the project .
PESTLE analysis
PESTLE framework is that kind of tool used by an organization to analysis external
factors affecting business. Further PESTEL upon Tesco is done as follows: