Strategic Review: Tesco's Performance, Market Share, and Profitability

This presentation provides an analysis of Tesco's performance in the supermarket sector since October 2015, considering current market trends and the financial positions of competitors like Aldi and Lidl. A SWOT analysis is conducted to identify Tesco's strengths, weaknesses, opportunities, and threats. The presentation concludes with recommendations for Tesco to regain market share and improve profit performance, focusing on expanding the market, enhancing product quality, and strengthening customer relationships. The presentation also highlights the importance of innovation and meeting customer needs to generate more revenue. The document is available on Desklib, a platform that provides students with access to a variety of study tools and resources.

MG408 PRESENTATION
CHALLENGE

Table of contents
 INTRODUCTION
 Current trends in supermarket sector
 Performance of Tesco since October 2015
 Current financial position of Aldi and Lidl
 SWOT analysis on Tesco
 Recommendations to regain market share and improve profit performance
 CONCLUSION
 REFERNCES

INTRODUCTION
 Tesco is a public limited
company which was founded in
the year 1919.
 It is a retail industry providing
good quality products to
customers.

Current trends in supermarket sector
 There are current trends in supermarket
sector like, attend to growing culture of
immediacy, digital mobile wallet, adapting
new technology for marketing so that
more people can be attracted, retail
operations and business transactions.
 Retail industry is using social media for
marketing and promotion of products
(Nash, 2019).

Performance of Tesco since October 2015
 In 2015, Tesco sold Blinkbox Music streaming service and after that they make
changes in plans and provide good services to customers so that more profit can be
generated.
 In 2017, Tesco has reached an agreement to merge with Britain’s biggest wholesaler.
 The company was earning more profit and they are providing good quality products
and services to customers so that their needs are satisfied.

Current financial position of Aldi and Lidl
 Current financial position of Aldi is its sales is increased by 1.5 percent as compare to
corresponding year.
 It was noticed that the percentage growth was higher in last few months as compare to
present situation.
 Aldi is now Britain’s fifth largest supermarket group.
 Financial position of Lidl in the year 2020 was 6885 million British pound turnover.

SWOT analysis on Tesco
 Strength- strength of Tesco company is it is the biggest
grocery retailer in UK, has leading market share, growing
number of stores, diversified stores, diversified market and
product range, efficient supply chain network (GURL, 2017).
 Weakens- Tesco has poor operational performance in specific
markets.
 Financial errors.
 Decrease in operating profit.
 Low cost strategy.

Recommendations to regain market share and improve profit
performance
 Managers should expand market by satisfying need of people. Innovative and creative
products should be made to attract customers.
 Increased quality of product so that more profit can be earned. Strengthening customer
relationship increases profit.
 It is essential to satisfy need of people so that more revenue can be generated.

CONCLUSION
 From the above discussion it can be concluded that, there are current trend sin
supermarket sector and Tesco is providing good product to customer.
 Financial position of Aldi and Lidl, SWOT analysis has been discussed.

REFERNCES
 GURL, E., 2017. SWOT analysis: A theoretical review.
 Nash, J., 2019. Exploring how social media platforms influence fashion consumer
decisions in the UK retail sector. Journal of Fashion Marketing and Management: An
International Journal.
 Thota, V. K., 2021. Emergence of organized retail sector india-key issues and challenges of
retail sector: A study. Asian Journal Of Multidimensional Research. 10(6). pp.277-281.