Tesco: Introduction, Trends, Competitor Analysis, and Conclusion

This report provides a comprehensive overview of Tesco, a leading supermarket chain. It begins with an introduction to the company, tracing its origins and global presence. The report then delves into current trends within the supermarket sector, examining the fluctuating patterns of shopper behavior and the shift towards both online and in-store shopping preferences. A detailed analysis of Tesco's performance, including sales figures and revenue, is presented. The report also includes a SWOT analysis, identifying Tesco's strengths, weaknesses, opportunities, and threats. Growth opportunities, such as expanding into untapped markets and offering leadership programs, are discussed. Furthermore, the report provides a competitor analysis, listing key rivals like Asda, WM Morrison, and Sainsbury's. The conclusion summarizes the key findings, emphasizing Tesco's prominent position in the market. References to relevant academic sources are also provided.

TESCO

TABLE OF CONTENT
 Introduction
 Current trends
 Competitor analysis
 Conclusion
 References

INTRODUCTION TO THE COMPANY
 Tesco is a company which was set by Jack Cohen as group of stalls
in London, UK. It sells groceries together with general merchandise
within retail industry. The company is well popular across the globe
and has attained third position in the world in terms of gross
revenues. It operates its activities through online and offline
channels.

CURRENT TRENDS IN SUPERMARKET
SECTOR
 Super market sector includes self
service shops that provides variety of
products in well organised sections.
Tesco works in supermarket sector.
The present trends within the sector
are:
 Increasing and decreasing
of shoppers: Shoppers are the
people who visits stores for buying
products and negotiating with store
managers. In Supermarket sector, the
number of shoppers are increasing
and decreasing due to wider
opportunities available in the sector.

CONT…
 People prefers online and have desires to walk into store:
In Supermarket store, people are having different wants and
desires as some prefers to visit the store manually while some
have desires to shop online which depends on situations. In case
with Tesco, when it offers discounts then people pay visits to store.

PERFORMANCE OF TESCO
Performance refers to execution of action. At same time,
organisational performance is about actual output which is
measured against intended outputs. In context to Tesco, the
company have made group sale of £ 56.9 Bn in 2019, statutory
revenues of £ 63.9 Bn and many more.

SWOT ANALYSIS
It is tool they helps in identifying strength, opportunity, threat and weakness of
a company.
Strength:
 Biggest grocery store in UK- Tesco is the largest supermarket in the UK. It
has largest sales and revenue as compare to their competitor.
 Market share – Tesco has largest market share in the UK among all the
supermarket. It has 27% share in market.
Weakness:
 Decrease in operating profit- Tesco operating profit is decline and the
market share is also fall low.
 Low cost strategy- Tesco use this strategy which result in low profit margin.

CONT..
Opportunities
 Online shopping- Tesco can avail this opportunity by upgrade their shopping
online .
 Strategic alliances- Developing alliances with reputed company offer a best
offer.
Threats:
 Competition- Tesco has large competition with other supermarket which effect
their business very much.
 Economic crisis- Tesco performance is effect by legal and tax matters and
government regulation.

GROWTH OPPORTUNITIES
Growth opportunities refers to something which a business or
industry have in development in terms of size, significance and
wealth. The situation of COVID-19 is growth opportunity for Tesco to
open its retail stores in untapped area where other retailers have
closed their stores and providing products at reasonable prices
without compromising with quality. The other growth opportunity
available with Tesco is offering leadership programmes which gives
its manpower opportunity to grow in which they contributes with
great potentials resulting in higher revenues for company.

COMPETITOR ANALYSIS
Competitors are the people and
companies that offer similar
products in market at relative lower
prices. The competitors of Tesco are
as follows:
 Asda
 WM Morrison supermarket
 J Sainsbury Plc
 The Rest

CONCLUSION
 From the presentation, it is concludes Tesco is most popular and
leading brand in supermarket sector. The existing trends in
supermarket sector are increase or decrease of buyers and people
preferring online or offline shopping. Asda, Sainsbury and many
more are key competitors of Tesco.

REFERENCES
 Evans, B. and Mason, R., 2018. The lean supply chain: managing
the challenge at Tesco. Kogan Page Publishers.
 Wood, S., Wrigley, N. and Coe, N.M., 2017. Capital discipline and
financial market relations in retail globalization: insights from the
case of Tesco plc. Journal of Economic Geography. 17(1). pp.31-57.