Strategic Sustainability: Long-Term Competitive Advantage for Firms

This report critically examines the concept of sustainability and its effects on the long-term competitive advantages of firms, using TESCO as a case study. It discusses the advantages and disadvantages of sustainable development, highlighting TESCO's environment-friendly methods and exploration of new market opportunities. The report also explores essential concepts and capabilities for business success in complex and dynamic environments, such as adapting to change, strategic planning, customer connectivity, and leadership styles. Ultimately, the report concludes that businesses must adopt sustainable practices and adapt to changing environments to achieve long-term organizational goals and maintain a competitive edge. Desklib provides similar solved assignments and past papers for students.

Building a sustainable
organisation

Table of Content.
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
TASK A...........................................................................................................................................1
Drawing on relevant studies, critically discuss the idea of substantiality and its effect on the
competitive advantages for long term of the firm. Use example to illustrate your discussion. 1
TASK B...........................................................................................................................................2
Critically discuss concept and ability which are essential for business success in a complex
and dynamic surroundings. ........................................................................................................2
CONCLUSION................................................................................................................................3
REFERENCES................................................................................................................................5

INTRODUCTION
In today's world, business have become so innovative and dynamic that it keeps on
changing and future uncertainties are difficult to predict. There are various factors such as
tapping useful resources, adopting advance technology, shifts in consumer preferences, entry of
fresh competitor that can affect the day to day operation of the business (Holmberg and
Sandbrook, 2019). The business needs to adopt strategies that help them to sustain them in the
market for the long term (Karintseva and et. al., 2021). The business should operate the function
keeping in mind the sustainable development that helps them to achieve the organisational goals
and objective . TESCO is a British international grocery store and generic retail merchant that
was founded in 1919 by Jack Cohen. This is head quartered in England, UK. This particular
report deals with the sustainable development and the necessary attributes and capabilities for
business to achieve success in complex and changing environment.
MAIN BODY
TASK A
Drawing on relevant studies, critically discuss the idea of substantiality and its effect on the
competitive advantages for long term of the firm. Use example to illustrate your
discussion.
Sustainable development refers to the process of meeting the necessity of the upcoming
age without compromising the necessity of the current one (Truant, Broccardo and Kolte, 2020).
Sustainable development always encourages the organisation to use the resources effectively and
efficiently to remain for the long term (Dantas and et. al., 2021). Sustainable development helps
the organisation to find new opportunities that leads them to be unique and grow constantly (da
Costa Nogueira, Sousa and Moreira, 2018). This helps the organisation to make the strategics for
the long term rather than short term through which the operations can be conducted without
impacting the environment.
Advantages of sustainable development
 It helps the business organisation to make the plan and strategy in favour of both the
present and future generation (Al-massudi, 2022).
 Through sustainable development plans there is lower impact on the environment that
helps business to achieve long term growth (Gauthier and et. al.,2018).
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Disadvantages of sustainable development
 It is very costly for the organisation to implement the sustainable projects (Pla-Julián and
Guevara, 2019).
 Developing countries mostly plan and adopt this policy due to the lack of financial
problem (Lin, 2019).
Impact of sustainability on the long term competitive advantage of TESCO
With the purpose to make business competitive (Garcia-Sanchez, 2020). TESCO has
adopted various sustainable factors through which they can remain in the market for the long
term. But there are certain impact of the sustainable development on the competitive advantage
of the TESCO which are discussed below:
 Environment Friendly Method: TESCO is operating its business in a sustainable
manner by making commitments to customers to work in favour of customers and
environments (Stoyanova and Angelova,2018). The packing that TESCO provides its
customers are fully recyclable and compostable that helps them to eliminate the waste
which results in gaining competitive advantage.
 New opportunities: As the TESCO have strong brand image that helps them to expand
the business globally. So a strong sustainability helps the respective organisation to tap
on the new markets that help them to find the opportunities to get a valuable position in
the market (Katper and et. al.,2020).
TASK B
Critically discuss concept and ability which are essential for business success in a complex
and dynamic surroundings.
Business surroundings are interrelated and changes so rapidly it affects the overall
performance and profitability is also affected (Herbes, Beuthner and Ramme, 2018) . So some of
the concept and ability which are essential for business success in a complex and dynamic
surroundings are discussed below:
 Adapting to the change: The business organisation needs to keep on updating its
technology so that they can gain competitive advantage (Rathinamoorthy and Kiruba,
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2020). As, Tesco keeps on updating its technology and react quickly towards the market
change. This helps the respective organisation to gain the competitive advantage that
helps them to be successful.
 Strategies: In order to be very competitive, the business organisation should plan and
make strategy according to the customers preferences and needs (Teutenberg, 2021).
Here, The Tesco should adopt the strategies that helps them to achieve maximum profit.
Due to proper strategy, the overall performance of the organisation is improved due to
which the resources are also used effectively and efficiently (Valaskova, Ward and
Svabova, 2021).
 Customer connectivity: In order to become successful and gain competitive advantage
(Oldman and Tomkins, 2018). It is very important that organisation provide the products
and services according the customers taste and preferences (Oldman and Tomkins, 2018).
TESCO always makes sure that the customers are provided with the quality services
through which the customer retention can be increased. In order to gain the profitability
the TESCO must have to increase its connection with the customers.
 Leadership Style: Organisation should have a good leader that helps the teams to work
collectively (Schriber and Löwstedt, 2018). This will lead in achieving the target very
smoothly. As leader can motivate, lead the individual so that they can work appropriately
(Akkaya, 2021). As Tesco follows participate leadership style that allows employee to
participate in decision making process. Through this the employee feels motivated that
helps the organisation to improve overall performance (Fraser, 2019). This factor can be
one of the most important element in order to gain the success that helps in gaining
competition.
CONCLUSION
The above report can be concluded as business organisation keeps on changing rapidly
and its very important to make the strategy according to the changing environment. To remain in
the market for the long term it is very important to adapt the new plan and strategy that helps in
achieving the goals and objectives. The business needs to work in such a way it contributes
towards the sustainable development. Sustainable development helps the TESCO to utilize the
resources in a very effective and efficient manner. By adopting sustainable development policies
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TESCO are able to create good brand image among the customers that increases the customer
retention. This report also concludes that the business have to adopt different capabilities and
attributes that are necessary for the business success in the changing and complex environment.
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REFERENCES
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Karintseva, O., and et. al., 2021. Environmental determinants of energy-efficient transformation
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Truant, E., Broccardo, L. and Kolte, A., 2020. The role of organic districts in supporting
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Dantas, T.E., and et. al., 2021. How the combination of Circular Economy and Industry 4.0 can
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Al-massudi, H.A.J., 2022. The role of effective manufacturing strategy in achieving sustainable
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Valaskova, K., Ward, P. and Svabova, L., 2021. Deep learning-assisted smart process planning,
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