Strategy Evaluation

Strategy Evaluation

Table of Contents
INTRODUCTION ..........................................................................................................................3
MAIN BODY...................................................................................................................................3
Company Overview....................................................................................................................3
Mission ..................................................................................................................................3
Vision.....................................................................................................................................4
Objectives .............................................................................................................................4
Assessment of the competitive advantage of company using the VRIO framework..................4
Application of the PESTLE framework to analyse the external environment............................7
Application of Porter's Five Force Model to analyse the company............................................9
Analysis of the Organisation's Strategy....................................................................................11
CONCLUSION .............................................................................................................................11
REFERENCES..............................................................................................................................12
Books and Journals...................................................................................................................12
Online Source............................................................................................................................13

INTRODUCTION
The term 'strategy' refers to plan of achieving the objectives so set for organisation.
Strategy provides the direction to achieve the goals and objectives. The term strategy analysis
refers to the series of steps taken to develop the strategy. The steps included in developing the
strategy includes critical analysis of internal and external factors, identification of the valuable
resources of the organisation which help them in gaining the competitive advantage and lastly
includes the analysis of the currents position of company by using various strategic management
tools such as SWOT, Porter's five force model etc. The steps so included helps in critical
evaluation of an organisation present standing in market and identifies the potential
opportunities and threats lying ahead. The aim of this report is to analyse the strategy adopted by
retail industry (Adewale, 2016). As, this industry has fluctuating micro and macro factors which
makes the organisation inefficient to achieve their objectives in this industry. The TESCO, is
been selected to review the strategy adopted by them to gain its objectives. TESCO, is one of the
giant retailer founded in 1919, with headquarters in UK. This report will cover the analysis of
strategy and directing the corrective plan that will help them to achieve their stipulated objective
effectively and efficiently.
MAIN BODY
Company Overview
TESCO is global leader in the retailing industry with roots across all globe. The company
was founded by Jack Cohen in,1919. After 1960, the company has seen the huge success by
diversifying its product portfolio and by expanding is market rapidly. The company is listed on
London Stock Exchange, with market cap of £18.1billion (Denning, 2017) . The company
product range consist of food items, telecommunications and financial services. As, compared to
the Tesco's position in UK market is losing its share in comparison to competitors. The
evaluation of the strategy adopted by Tesco is being analysed.
Mission
The Tesco, mission states that they believe in making what is better and valuable. The
integrity is the core principle in achieving this.

Vision
The Tesco's vision statement is, to be the top valuable company by : serving the
customer, communities, valuable shareholders and collaborative partners effectively and
efficiently.
Objectives
The objectives of Tesco are divided in
 People: To take care of the people who help them to grow.
 Product : The company aim is to provide with customers the quality and
sustainable products at affordable rate.
 Planet : Tesco aim is to handle the change weather conditions. There focus is to
make this planet a better place to live by promoting the sustainable agriculture
practices.
 Place : To empower the development of backward places by developing them
economically and socially.
The Tesco put great emphasis on relationships with the people and community as whole.
The company aim is to promote the integrity and positiveness in workplace (Edwards, 2018).
The Tesco put great emphasis on nurturing relationships with people which includes the internal
and external stakeholders. The company is active towards its CSR role and empowers the
communities by providing education, meals and employment to them. The company has adopted
the forest which the company take care of at various places. The company fosters the agriculture
development and changing weather conditions primarily. The Tesco aims at using the sustainable
raw materials in its products. The Company is highly regarded of its environment roles and
responsibilities they perform. Tesco focus is to reduce the carbon emission and want to be fully
efficient by using solar panels and adopting the energy conservation techniques. By adopting
such practices it helps the company to gain strong position in community (Frantz and et. al.,
2017).
Assessment of the competitive advantage of company using the VRIO framework.
The VRIO framework is an strategic tool which helps in internal analysis of the resources
and core competencies of an organisation which helps to gain the competitive advantage. This
tool was developed by Barney(Gallo and Tomčíková, 2019). The identification of the resources