Strategic Marketing for Tesco in Germany

STRATEGIC MARKETING
Executive Summary
This report is carried upon Strategic marketing which assists a firm in growing its business
operations and activities at new marketplace. Tesco is the multinational company which is
located in UK that offers different kind of services like advertising and sales promotion to its
customers. It is necessary to analyse the external environment for assessing the opportunities as
well as threat of business organisation. In addition to this, it is vital to identify the strategy

related to market entry as well as segmentation, targeting and positioning the market in well-
defined manner. Apart from this, Porter’s generic strategies are assessed in reference of selected
organisation in which one of the strategies endorses for the selected organisation.

Table of Content
Strategic MarketingExecutive Summary.........................................................................................1
INTRODUCTION...........................................................................................................................4
Market entry options........................................................................................................................5
Market Segmentation.......................................................................................................................7
Porter’s Generic Strategy.................................................................................................................8
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11
Books and Journals...............................................................................................................11
Appendix........................................................................................................................................12

INTRODUCTION
Strategic marketing is considered as a process which helps the organisation in expanding its
business activities and function in completely new market. Through this process, the marketer
can easily understand about technology, taste and preferences of consumer as well as
competition level at marketplace. In addition to this, they analyse the risk associated with
operating its business in new market. This report is carried on behalf of Ashanti Solution
Company. The chosen organisation for this report is TESCO. The founder of this company was
John Cohen in the year of 1919. It is the international company situated in UK offer variety of
products ad services to its customer. Apart from this, PESTLE Analysis is used to assess the
external environment which imposes direct impact on performance of business organisation. In
assistance of this, the marketer grabs opportunities by analysing the different market entry
option. Market segmentation and Porter’s generic strategy is adopted for taking effective
decision which will be beneficial for the business firm (Baker and Hart, 2016).
PESTLE Analysis of Germany
PESTLE Analysis is the framework which is used to assess the external environmental
factor in order to assess the level of competition prevailing at marketplace. In context of Tesco,
PESTLE analysis is used before taking entrance in a new country. Furthermore, it is used to
assess the environment for introducing a products and services in a new country. There are
different external factor which is going to be mentioned below:
Political: There are different factor such as taxation policy, government regulations, fiscal
policy as well as trade, tariff and many more. It is necessary for marketer to analyse the taxation
structure, government policies before taking entrance in Germany market. And also assess how
these factors will imposes direct impact on the performance level of business organisation. For
instance, the tax rate of Germany is around 30% to 33%. If the tax rate is increases will be
considered as a threat for company as well as downward the profit (Chaffey and Ellis-Chadwick,
2019). This company merged with any other company that helps them in reducing the tax burden
at workplace. It helps them in increasing sales as well as profitability level within business
organisation.
Economic: Economic factor are those which include interest rate, unemployment rate,
exchange rate as well as deflation and inflation rate and many more. The economy of Germany is
growing fast in Europe. It has a strong GDP as well as achieving the fifth position across the