Management Styles and Strategic Planning of Tesco

Management styles
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Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
TASK1: Examine the business and corporate strategy that is used by the CEO of the Tesco
which bring positive contribution...............................................................................................3
TASK 2: Internal and External environment analysis and how they can mange theses
problems by using business framework......................................................................................4
TASK 3: Describe the strategic techniques that are used by the CEO of Tesco to enhance their
performance.................................................................................................................................5
TASK 4: Examine how CEO of Tesco created, developed and designed strategic planning.....6
TASK 5: Evaluate the different contemporary strategies issue at different levels of strategy
used by the CEO of Tesco...........................................................................................................7
CONCLUSION................................................................................................................................7
RECOMMENDATION...................................................................................................................8
REFERENCES..............................................................................................................................10
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INTRODUCTION
Strategic planning is an management process in which the superior plans the vision of the
company so that they can identify their future goals and objective and the ways through which
they can be accomplished. Business strategy refers to those decision which are made by the top
mangers about the product, competitive advantage and satisfaction whereas corporate strategy
are those decision which are made so the stakeholder belief can be satisfied. In running the
organisation in effective and efficient manner it is very necessary to adopt those style of
management which will help in achieving the goals (Aqqad, N., and et. al, 2019). A good
management style is very important to be selected so that all the work can be done according to
the need and wants. There are three types of management style which can be adopted by the
business so that they can meet their changing environment. These three styles are Autocratic,
Democratic and Laissez faire. The decision and strategy that is adopted by the manger is also
depends upon the internal and external environment that is prevailing in the situation. As the
surrounding is so dynamic that the top mangers need to acquire different style depends upon the
environment so that they can achieve their goals in timely and effective way. Every company's
environment is different so the style which will adopt and the strategy which will plan depends
upon company to company (Mallon, W.T., 2019).
MAIN BODY
TASK1: Examine the business and corporate strategy that is used by the CEO of the Tesco
which bring positive contribution.
Some of the business strategy that is adopted by the CEO of Tesco are:
 Cost leadership: The CEO of the Tesco has adopted one of the best business strategy that
is cost leadership. The company offer the lowest price for their good and service in the
industry from there competitor which bring a positive contribution as more and more
customers are attracted towards them. This is adopted by the CEO so that they can
competitive with their rivalry in greatest way (Amit, R. and Zott, C., 2020).
 Differentiation strategy: The differentiation strategy is made when the business want to
build a organisation which is unique in some way from the other firm within the industry.
This strategy is adopted by the CEO so that they can compete with the competitor in
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more upward way. They does not spend money on promoting those goods and services
which is already known by the grater audience rather they try to spend money on building
brand by advertising those product which direct influence the buyers (Maniora, J., 2018).
Corporate strategy by the CEO of Tesco:
 Expansion strategy: The expansion strategy that is acquire by the CEO is benefited a
company a lot as in UK the company has greater market share of the product, so
company expanded their market in other country like Europe, Asia and the US. By they
are gaining global market acceptance. This strategy is acquired so that they can develop a
sustainable market for themselves. The organisation sale in the UK is at peak so this
strategy need to be implemented (Martínez Hernández, J.J., and et. Al, 2021).
 Retrenchment strategy: This strategy is used by the Tesco so that they can cut the extra
cost so that they can enhance their profit. With this scheme they cut the price on such
item which will attractive more customers toward the stores (Hannah, D.P. and
Eisenhardt, K.M., 2018).
TASK 2: Internal and External environment analysis and how they can mange theses problems
by using business framework
To solve the complex problem and to analysis there internal and external the Tesco CEO
used SWOT analysis. In swot analysis the internal environment of the company is strength and
business and the external environment is opportunity and threats of the Tesco.
Tesco Strength: The major strength of the company is biggest grocery store of Britain. The
company has large market share and earn great revenue from the market. This is the strength of
the Tesco as it is one of the leading retail supermarket in UK. The next strength of the company
is it has good relationship with their suppliers, so it dose not face any problem on getting and
delivering the product as all it is done on timely manner (Child, J., Durand, R. and Lavie, D.,
2021).
Tesco weakness: one of the weakness of the company is that in some country the operational
performance is very low because before diversifying into different market the company doe not
research its environment. So to solve this complex problem the company has recruited the expert
who can analyse the marketing condition of the nation and make strategy according to it.
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