Strategic Marketing Management

STRATEGIC MARKETING
MANAGEMENT

TABLE OF CONTENT
INTRODUCTION...........................................................................................................................3
SECTION 1.....................................................................................................................................3
Pest Analysis................................................................................................................................3
Porter’s five force model.............................................................................................................4
SECTION 2.....................................................................................................................................5
STP framework............................................................................................................................5
4C’S Marketing model................................................................................................................6
SECTION 3.....................................................................................................................................7
BCG Matrix.................................................................................................................................7
Ansoff Matrix..............................................................................................................................7
Objectives....................................................................................................................................8
SECTION 4.....................................................................................................................................8
4 P’s.............................................................................................................................................8
SECTION 5.....................................................................................................................................9
Budget..........................................................................................................................................9
Monitoring and Controlling.......................................................................................................10
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
It is a British multination grocery company which is famous as general merchandise
retailer in UK. It operates into multiple markets like supermarket, hypermarket, convention
stores and others and offers their product and services such as food items, non-food items,
financial services, mobile services and others across the world. The main market of the Tesco plc
is UK whereas large number of stores of companies offers it’s services to the UK’s customers.
The main objective of the report is to provide high understanding about marketing plan and
different growth strategies that will practices in this plan. This report has wide scope for MNC’s
because it will discuss over marketing plan that is used by each organization to achieve different
objectives and goals within timeframe.
SECTION 1
Marketing environment
Pest Analysis
It is analytical model that is used to analyse external environment of the business. This
model is applied for the Tesco to analyse it’s external environment of business (Bateman, 2017).
Factors are described as follows:
 Political factors: Trade restriction policies has reductant by Brexit that has improved
trading behaviour of retail companies like Tesco plc because now it can trade it’s
products and services many countries at single time. In recent time, Tesco operates in
more than 13 countries except others that denotes organization achieves advanced
benefits from non-trade restriction policy.
 Economical factors: Brexit has led change in policies, new legislations for trading and
products due to this unemployment rate has increased in UK. So, UK’s government has
announced that mortgage interest rate will decrease from 18% to 17%. Thus, Tesco gets
positive impact on it’s product selling because it can save extra funds that have to pay in
UK’s bank (Camilleri, 2018).
 Socio-cultural factors: UK’s people become more health conscious especially young
generation who always wants such food which does not give any negative impact on their
health. So, organization has included organic food products in it’s wide product line so
that it can attract large group of customers to buy their expected products and services.

 Legal factors: UK’s government has imposed various rules and regulation regrading
UK’s people safety as well as environment such as health and safety act, anti-
discrimination policy, product awareness and others. To comply with government
policies has started to conduct marketing campaign wherein marketing representatives
give brief description about it’s product and services. It is quite time-consuming and
costly process that directly impact on Tesco’s economical infrastructure.
Porter’s five force model
It is another analytical model that is used to analyse competitive environment of business
and it’s competitors.
 Bargaining power of suppliers (Low): High availability of suppliers in UK market has
decreased bargaining power of suppliers. For example, Tesco has opportunity to replace
skilful and talented suppliers from unskilled one due to high presence of suppliers. Thus,
company enables to gain high quality products at lower without paying extra salary to the
supplier.
 Bargaining power of buyers (High): Tesco is second world’s largest supermarket
company but it is mainly headquartered in UK (Rosnizam and et.al., 2020). There are
lots of supermarket companies who also have captured good market share like Tesco and
posses’ similar products like Tesco. Due to high presence of supermarket companies with
similar product improves switching behaviour of customer. Due to this company often
gets negative impact on it’s selling revenue.
 Threats of substitute (High): Retail sector has become more competitive market in the
UK because there are various large companies like Marks & Spencer, Sainsbury, Asda
and others which offers similar products like Tesco. So, it become quite easy for other
companies like Primark, Waitrose to introduce new product in order to gain competitive
advantage.
 Threats of new entrants (Low): Threats of new entrants is quite low in UK’s market
because there are big four companies like Marks & Spencer, Sainsbury, Asda and others
already has captured large market share. So new entrants require good financial resources
and innovative product to enter in the UK market.