FY028 Inquiry Project: Retail Industry Analysis and Recommendations

This report provides a comprehensive analysis of the UK retail industry, focusing on current trends and their impact on businesses. It examines the dynamism and diversification within the economic markets, particularly in light of events like the COVID-19 pandemic and Brexit. The study includes a case study of TESCO, employing a SWOT analysis to assess its strengths, weaknesses, opportunities, and threats. The methodology relies on secondary data sources to evaluate the changing trends and their effects on enterprises. The report offers recommendations for TESCO, including market penetration and development strategies, emphasizing the importance of adapting to consumer preferences, technological integration, and societal responsibilities to ensure continued success in a competitive market. The report concludes by highlighting the need for TESCO to introduce new products and services, embrace transparency, and implement society-centric activities to meet evolving customer needs and sustain its market position.

Inquiry Based
Learning

Table of Contents
INTRODUCTION ..........................................................................................................................3
MAIN BODY ..................................................................................................................................3
Methodology....................................................................................................................................5
Results and recommendation...........................................................................................................6
CONCLUSION................................................................................................................................7
REFRENCES...................................................................................................................................8
Books and Journal.......................................................................................................................8

INTRODUCTION
The study is focused on examining the retail industry along with the dynamism and
diversification in the economic markets of UK. It considers several related business organisation
models that supports in evaluating the conditions of the retail sector and the enterprise(Al
Mamun, Lawrie and Wright 2020). The goals and targets work for structuring the plans and
suggestions that lead to development and attainment of prosperity that renders different options
for existence of an organisation. It can be presumed that if situations are pleasant it will result in
constructive occurrences for an organisation. This case study focuses on the changing trends and
how they affect the enterprises under it. It becomes significant to study the different factors that
might affect the working operations of an organisation. The study comprises of the in depth
study and related findings that might have occurred on the behalf of pandemic and its impact on
the market and retailers which directly affect local customers. Seeing the scenario of COVID-19
and disruption in global economic condition has contributed in huge dynamism and has
adversely affected retail industry in markets of UK. The company discussed for studying the
trends and its affects on retail industry is TESCO. The study is a sheer evaluation in measuring
the changes of industry and how it adversely affects the individual enterprises. As retail industry
is the final deliverer of the manufacture to the end users who are the local consumers and were
majorly affected due to lock down thus remaining devoid of some relevant items. The industry
has been taken aback a lot because of dynamism in trade related policies and happening of Brexit
event along with economic break down as a result of pandemic which covered the whole world.
Along with this, the case study is also about what is analysed due to global economic recession,
in a form of various divided sections ranging from study of the topic, methodology,
recommendations, results and completion with concluding statement.
MAIN BODY
The retail industry is the fastest and largest developing sector in UK markets and also in
the whole world. The industry solely aims in contributing highest share to the country in terms of
GDP and financial development of the market(Amos, Knippels and Levinson 2020). Retail
industry is recognised to be the aggregation of several tasks and projects considering main
characteristic of commercialising the goods and services to the end buyers. Moreover, it includes
a broad range of tasks which are purchasing, promoting, advertisement, storage, delivering goods

from one location to another, data processing and keeping up with raw materials by keeping a
detailed check on inventory of organisation and much more. The retail industry is an
accumulation of several large organisations, small and big enterprises, private shops that ranges
in both consumer durable and non durable items. The whole retail industry is suffering from
dynamic changes because of hold up of economic system and adverse effects of COVID-19
pandemic. The industry has undergone many folds large scale Inquiry Based Learnings because
of division among British trade union and European trade unions and several trade wars that took
place among the various countries. Along with this UK market faced an impactful affect on the
trade because of trade restrictions and fluctuations in trade policies. With this the break down
due to COVID-19 pandemic also disrupted the process of trade(Becker, Klein, Gößling and
Kuhn 2020). All these factors lead in contributing towards the drastic dynamism in whole
economic industry of UK. Below mentioned are some of the main changes that can be seen in
retail industry in the present era are: Durability of support from different enterprises In the present era, new and adolescent
buyers have changed their mindset and focuses on being known regarding the durability
and permanence of the brand which they are consuming. The consumer has been diverted
in using environment friendly goods and the organisations are also diverting its system
through generating reward points by returning the left out things of the product so that it
can be recycled.
 Society Focused To create an impact in mindset of consumers a healthy relationship is
required to be built so that they become the loyal ones and bring more consumers
resulting in indirect advertising.
 Personalisation of products It has become a trend and consumers like their products to
be merchandised by having either their name or initials written over. This provides them
a contending experience. Along with the gifting purposes the consumers like to purchase
such customised and personalised goods for their own use and are ready to pay higher
rates for them.
To conclude it can be said that going with the dynamic trends and changing work process
accordingly as TESCO has started will lead it to reach heights and sustain the market's recent
trends. This will result in attracting more and more buyers(Chan and Pow 2020)

Methodology
Research methodology refers to methods which are utilized for accumulation and
sourcing of data like primary and secondary method, quantitative and qualitative method,
sampling and many more. It is considered as important step for finding, evaluating and analysing
data with alternative and solutions. For the purpose of this report, secondary method of data is
used which is collected from others writing and qualitative in nature. In order to complete this
report data various resources of secondary data is used such as company websites, online
platforms, magazines, government forums and many more(Correia and Harrison 2020). After
collection of relevant data various tools are used to filter the data to collect important part from
the same. Following are gathered from analysis of TESCO.
SWOT Analysis of TESCO
TESCO is one of the largest supermarket in UK and affects majorly from current trends
of market of retail industry. To analysis the effect SWOT analysis of TESCO is used in which it
identifies the strength and weakness of TESCO which is controlled internally as well as
opportunities and threat which is affected by external environment of market. This analysis helps
organisation to establish strategic plans in order to achieve organisational goals.
Strengths
 Market leader: As there are large number of stores of TESCO in UK and rapidly in terms
of finance and retail it enjoys a leadership position in market.
 Brand Awareness: Availability of large size of retailing goods in various locations of
world create a high brand awareness and value among consumers of TESCO in UK. High
brand recognition helps TESCO to survive in a competitive market.
 Product Portfolio: TESCO provides ample range of product and services to its customers
and diversify its business range to insurance facilities and credit purchasing. Later on,
company is also engaging in personal finance services which helps it to enter in banking
sector.
 Strong financial performance: TESCO is performing well in retail market which assist it
to uphold financial condition(ÜNLÜ, Z.K and DÖKME 2020). Strong liquidity position
helps TESCO to sustain in crises because of less need for external finance.
 Quality: Offering High quaslity of product is a great strength of company as it helps to
create strong customer base.

Weaknesses
 Dependence on UK markets: Company has most of its stores in UK and acquires lots of
business from UK which results in high dependence on one market and that also with less
market share in another countries.
 Media interference: in order to provide less priced goods company encourages child
labours which results in criticisms from media coverage as it is accused for CSR and poor
morale of workers.
Opportunities
 Recession: Downturn of Economy provides opportunity to company to maintain its
global leadership(VanDerGraaf 2020). It can bring down cost of product by which it can
offer products with less prices.
 International growth: With its growth in several countries it has opportunity to grow its
business in international markets by establishing its business in more countries where it
finds demand for stores like TESCO and brand image of TESCO helps it to gain more
publicity in international market.
Threats
 Intense competition: It is a biggest threat for TESCO to run its business operation in such
strong competition in both national as well as international market. Several competitors
such as ASDA, Sainsbury's PLC and Morrisons evolve strong market position with
introducing competitive scheme for taking competitive benefit over TESCO.
 Price Wars: Product's price is an essential factor to attract customers in market and lead
to create competitive price wars for gaining attention of target or potential customers.
This is a great threat for company to maintain its market share.
Results and recommendation
From the above research which us conducted through secondary sources or methods in order to
analyse recent trends in retail industries several results and recommendations are provided to
TESCO(Husni 2020). It is recommended to TESCO as being a market leader it can develop its
organisations in new as well as existing markets. It is advisable to follow market penetration or
market development strategies for expansion and growth of the organisation. Market penetration
strategies helps company to penetrate in new market, reach at high target of market, generate
more profits and acquire new customers for organisation. TESCO earns a strong brand

recognition with high quality and low prices which assists organisation to grow in existing
market. TESCO is able to achieve this position because of its unique and powerful Sales
promotion techniques due to which it gets loyal customers for organisation. It also provides
special treatment to its loyal customers to retain them with organisation for long period of time.
Company can also use product penetration strategy to diversify its business in existing market
with new product assessing needs of target customers which helps to increase more customers to
organisation and enjoy leadership in such competitive market. Market development can be
performed by framing such strategies that function in a planned manner(Ruzaman 2020). When a
market is developed, it will lead to better performance in domestic as well as global markets,
especially in countries whose economy is still developing. Mainly in Asian and European
markets, it is advised to maintain discounted prices which can attract more and more consumers,
which results in catering a wide market. Also it is required for an organisation to work with cost
leadership policies in times of global recession. In food industry it is highly required to maintain
the price as it is the basic amenity required by every individual(Tawfik Hung and Giabbanelli
2020). It is also advisable for TESCO to use differential strategy that works with an aim to carry
through the quickly changing needs of consumers all over the world. TESCO has been using
different and innovative techniques in relation to customisation and broadening the product range
portfolio. All these policies give rise to diversifying the business dimensions and catering fresh
possibilities that will be profitable and act as a competitive benefit to the user.
CONCLUSION
By going through the above discussion it is clear that there is a fast transformation in retail
industry of United Kingdom due to which it faces several challenges. Change in economic and
political factors results in several important trends because customers of retail industry became
more aware of transparency of brands to consume good and services. As a result TESCO is also
facing that changes in market and to sustain in market it is essential to develop and introduce
new products or services to satisfy emerging needs of customers. It is advised to introduce
technology in product and services and bring more transparency as well as sustainability in
serving their customers. It will helps TESCO to satisfy emerging trends and needs of customers.
TESCO should also plan some society centric activities to fulfil its responsibility towards
society.

REFRENCES
Books and Journal
Al Mamun, M.A., Lawrie, G. and Wright, T., 2020. Instructional design of scaffolded online
learning modules for self-directed and inquiry-based learning environments. Computers
& Education, 144, p.103695.
Amos, R., Knippels, M.C. and Levinson, R., 2020. Socio-scientific inquiry-based learning:
Possibilities and challenges for teacher education. In Science Teacher Education for
Responsible Citizenship (pp. 41-61). Springer, Cham.
Becker, S., Klein, P., Gößling, A. and Kuhn, J., 2020. Using mobile devices to enhance inquiry-
based learning processes. Learning and Instruction, 69, p.101350.
Chan, J.W. and Pow, J.W., 2020. The role of social annotation in facilitating collaborative
inquiry-based learning. Computers & Education, 147, p.103787.
Correia, C.F. and Harrison, C., 2020. Teachers’ beliefs about inquiry-based learning and its
impact on formative assessment practice. Research in Science & Technological
Education, 38(3), pp.355-376.
Husni, H., 2020. The Effect of Inquiry-based Learning on Religious Subjects Learning
Activities: An Experimental Study in High Schools. Jurnal Penelitian Pendidikan
Islam, 8(1), pp.43-54.
Ruzaman, N., 2020. Inquiry-Based Education: Innovation in Participatory Inquiry
Paradigm. International Journal of Emerging Technologies in Learning (iJET), 15(10),
pp.4-15.
Tawfik, A.A., Hung, W. and Giabbanelli, P.J., 2020. Comparing how different inquiry-based
approaches impact learning outcomes. Interdisciplinary Journal of Problem-Based
Learning, 14(1).
ÜNLÜ, Z.K. and DÖKME, İ., 2020. The Effect of Technology-Supported Inquiry-Based
Learning in Science Education: Action Research. Journal of Education in Science
Environment and Health, 6(2), pp.120-133.
Van Der Graaf, J., 2020. Inquiry-Based Learning and Conceptual Change in Balance Beam
Understanding. Frontiers in Psychology, 11.