Corporate Strategy and Governance: TESCO Customer Service Analysis

This report provides a critical analysis of customer service as a competitive advantage, focusing on the case study of TESCO. It begins with an introduction to corporate governance and its application within organizations, defining the concept and highlighting its importance in regulating business operations. The report aims to evaluate the role of customer service in maintaining TESCO's competitive edge and to address challenges in corporate governance. A literature review examines customer service strategies, customer engagement, and the impact of customer feedback. The research questions explore the causes of customer service failures, the level of service ensuring satisfaction, and customer perceptions of TESCO's services. The methodology section outlines the inductive research approach, research design, philosophy, and sampling techniques. Ethical considerations are also addressed. The report uses Porter's generic strategies to assess how TESCO can improve customer satisfaction and maintain a successful position in the industry. The conclusion underscores the importance of customer service in enhancing brand value and achieving business objectives.

Corporate Strategy and
Governance

Table of Contents
Title: A critical analysis of customer service as competitive advantage”. A key study of TESCO.
.........................................................................................................................................................3
INTRODUCTION...........................................................................................................................3
LITERATURE REVIEW................................................................................................................3
RESEARCH QUESTION...............................................................................................................5
RESEARCH METHADOLOGY....................................................................................................5
REFERENCES................................................................................................................................6
Books and Journals......................................................................................................................6

Title: A critical analysis of customer service as competitive advantage”. A key
study of TESCO.
INTRODUCTION
Corporate governance is a commonly applied concept across different organisation in the
industry. The companies apply this for the efficient management of their working environment.
Corporate governance can be defined as a set of rules and laws according to which the business
operations are regulated, operated and controlled. This process helps in implementing the laws to
ensure proper structure of the roles and responsibilities. This research is based on corporate
governance for which the study will be on TESCO which is a grocery chain spread at a wider
level (Almutairi and Quttainah, 2017). The aim of this study is to evaluate the role of customer
service in maintaining the competitive advantage for the chosen organisation. Further this report
the challenges faced by the company in corporate governance. The main purpose of this study is
to search the solutions to keep the customers focuses towards the products provided by TESCO.
The reason for selection of this topic is that it helps in enhancing the customer base and growth
prospects for the company. It is the duty of the company to ensure delivery of effective services
to their customers. Also, it helps in managing the business operations effectively.
Aim: “A critical analysis of customer service as competitive advantage”. A key study of
TESCO.
Objective:
 To evaluate the effect of customer service in maintaining competitive advantage.
 To determine the importance of focusing on enhancement of customer services.
 To identify the impact of issue on company services.
LITERATURE REVIEW
Customer services include the offerings of the company for maintaining their customer base. The
company always initiate effective strategies for meeting the expectations of the customers.
TESCO has been facing some challenges in predicting the customer’s demands. The customers
of the company are criticising their services and selection of the cost for their product offer to
them (Bhaduri and Selarka, 2016). In order to maintain the profit of the company, Tesco has
developed many strategies for maintaining the brand value.

Customer engagement is an important factor that is used to evaluate the quality of the services
offered by the company. It is necessary for TESCO to develop their products effectively in order
to enhance the customer engagement. Also, the company must analyse the customer experience
regarding their products and if there is a negative issue then they should resolve that
immediately. It can be done through proper feedback from the customers who help in
maintaining the trust of the customer over the brand. Communications with the customers
enhance their product development strategies according to the requirements of the segmented
group. The communication channel with the customers can be developed by adopting the social
media platforms. These platforms create a direct link between the customer and the company.
Management of the social media platforms is performed by the workforce of the company that
analyses the expectations of the customers and develops the product accordingly. The company
must take effective measures in order to enhance the focus of the customers towards the products
of the brand (Cheng, Su and Zhao, 2019). For that TESCO, have devised many strategies for the
introduction of innovative products and services. It is the duty of the managers to ensure the
proper performance and management of the workforce for maintaining the competitive
advantage over its competitors. But TESCO is facing some issues regarding customer
management. Since the company is working in the international environment, so it is difficult for
the manager to predict the diversified expectations of the dynamic customers. This is the reason
due to which it fails to reach their customer needs.
Porter‘s generic strategy focuses on the strategies used by the company to determine the
direction of the company. Michael Porter has used four strategies that Tesco should apply in
order to gain their customer satisfaction. Cost leadership focuses on enhancement of profits
which will ultimately lower down the operational cost of the company. TESCO adopt this
strategy which is quite useful for them to lead a successful position in the industry.
Differentiation strategy focuses on creating a unique product that will serve the customers in an
innovative way. This will create an advantage for the company which will enhance their growth
prospects. Focus strategy considers the concentration on the limited operations of the market.
Cost focus will help in providing the lowest possible price to their customer which will satisfy
them to a greater level. Differentiation focus considers the strategies of the company to maintain
their brand loyalty which will be helpful in enhancing the uniqueness of the product across the
industry.

RESEARCH QUESTION
Q. What are the causes of failure of customer service at TESCO.
Q. What is the level of customer services that ensure customer satisfaction.
Q. How do customers perceive the customer services at TESCO.
RESEARCH METHADOLOGY
Research Approach: It is based on the plan developed in order to analyse the research topic
effectively. There are two types of research approaches namely; Deductive and Inductive. The
inductive approach starts with the observation and end with the conclusion while on the other
hand the deductive approach is based on developing the hypothesis statements (Davó, Martínez
and Rodríguez-Carrasco, 2019). This research is based on the inductive approach which is used
to identify the issue of the customer service across TESCO. The company must focus on the
identification of the customers needs effectively in order to develop the products for serving
them in the external environment.
Research Design: It is a process of prioritizing the research work and try to make effective
findings out of it. Research designs are of two types namely; exploratory and conclusive.
Exploratory research initiates to explore the topic and evaluate the solution of the topic.
Conclusive research is helpful in identifying effective solutions of the issues.
Research Philosophy: It is an important step which analyses the effectiveness of the researchers
approach. This helps the researcher in collecting the information for study and make conclusive
findings out of it. Their are two method of data collection which are primary and secondary. This
report will consider the primary approach of data collection. It is a flexible and easy to adapt for
conducting the study (Esqueda and O’Connor, 2020).
Sampling: It is a method to select the member population for the study purpose. Probability
sampling is a way in which every member of the population gets a chance to get selected in the
Research process.
Ethical considerations: Ethics defines the guidelines to analyse what is right and what is wrong.
It is the duty of the researcher to follow ethical principles to ensure the effective working
environment of the work study.

REFERENCES
Books and Journals
Almutairi, A. R. and Quttainah, M. A., 2017. Corporate governance: evidence from Islamic
banks. Social Responsibility Journal.
Bhaduri, S. N. and Selarka, E., 2016. Corporate governance and corporate social responsibility
of Indian companies. Springer Singapore.
Cheng, L.Y., Su, Y. C., and Zhao, Y., 2019. Corporate governance and target price
accuracy. International Review of Financial Analysis, 64, pp.93-101.
Davó, N. B., Martínez, V. M. M. and Rodríguez-Carrasco, J. M., 2019. Corporate Governance
Foundations. In Management Science (pp. 1-28). Springer, Cham.
Esqueda, O. A. and O’Connor, T., 2020. Corporate governance and life cycles in emerging
markets. Research in International Business and Finance, 51, p.101077.
Granado‐Peiró, N. and López‐Gracia, J., 2017. Corporate governance and capital structure: a
Spanish study. European Management Review, 14(1), pp.33-45.
Iliev, P., Kalodimos, J. and Lowry, M., 2018, March. Investors' attention to corporate
governance. In 9th Miami Behavioral Finance Conference.
Steckler, E. and Clark, C., 2019. Authenticity and corporate governance. Journal of Business
Ethics, 155(4), pp.951-963.
Thraya, M. F., Lichy, J., and Rzem, M., 2019. High-tech acquirers and the moderating role of
corporate governance. The Journal of High Technology Management Research, 30(2),
p.100354.