Strategic Management of Tesco PLC

Running head Tesco 0
Tesco PLC

Tesco 1
Executive Summary
Current strategy and position of business helps in analyzing the efficiency and capabilities which
helps in creating more values of the company. Tesco has many competitive advantages because
of its internal strengths and external opportunities. Tesco has expanded their business in different
Asian markets and that helped them in developing opportunities. In retail market, Tesco has to
focus on the cost leadership and product differentiation so that it helps in creating more
customers. Tesco PLC is a leading firm in retailing market and they had established their
position in market by creating values and satisfying customers as compared to their competitors.

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Contents
Executive Summary.....................................................................................................................................2
Introduction.................................................................................................................................................3
Company profile..........................................................................................................................................3
SWOT analysis............................................................................................................................................3
Core Competencies......................................................................................................................................4
Cultural Web...............................................................................................................................................4
PESTLE analysis Issues faced by the Organization in the chosen market..................................................5
Porter’s Diamond........................................................................................................................................6
Porters Generic Model.................................................................................................................................7
Ansoff’s matrix...........................................................................................................................................7
SAFE framework.........................................................................................................................................8
Strategic changes.........................................................................................................................................8
Conclusion...................................................................................................................................................9
References.................................................................................................................................................10

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Introduction
In this report, the strategic management of Tesco PLC will be discussed along with the
objectives and overview of the organization. The SWOT analysis will be done for identifying the
capabilities of TESCO. The external analysis of the report includes the PESTEL that affects
TESCO. In this report, 5 forces of porter will be explained for analyzing the retail and super
market position of the industry along with the core competencies and evaluation of future
strategies will be done by SAFE framework. Stakeholders of TESCO have a great impact on
growth of the business. It also includes the strategic analysis which reflects its external and
internal analysis of resources. The future strategies will be discussed which will help in growing
business.
Company profile
Tesco Plc. deals in multinational grocery and merchandise retail. It has its operation in almost 12
countries and has 2500 stores and almost 350,000 employees in the world. They had their
operation in four banner of Extra, Superstore, Metro and Express. The mission of the company is
to help the customers so that they enjoy the better quality of life and to ease the way of living.
Vision of the company is to make the business highly valued by the customers. The objective of
the TESCO is to become a pleasant workplace so that the employees get a chance to of being
themselves (Okumus,2003). Their main objective is to expand their business in organic products
all over the world.
SWOT analysis
SWOT analysis helps in analyzing the issues and capabilities of the business which impacts on
the strategy development. It helps the organization to follow the strategies in future.
Strengths
Tesco is the one of the biggest retailer who deals in grocery and leading supermarket and market
share in the UK. It has an efficient supply chain network and also maintains a profitable