Tesco's Strategic Marketing: Impact of Brexit and COVID-19 Analysis

This report provides a comprehensive analysis of Tesco's strategic marketing planning. It begins with an introduction to strategic marketing and its importance, then examines Tesco's organizational structure, highlighting its hierarchical and functional aspects. The report delves into the impact of Brexit and COVID-19 on Tesco, including a SWOT analysis that identifies the company's strengths, weaknesses, opportunities, and threats. Furthermore, a PESTLE analysis explores the political, economic, social, technological, legal, and environmental factors affecting Tesco's operations. The report covers Tesco's marketing mix, STP (Segmentation, Targeting, and Positioning), and Porter's Generic Strategies to understand how the company adapts to market changes. The document concludes with an evaluation of Tesco's strategic marketing efforts and offers recommendations for future improvements.

Strategic Marketing Planning

Table of Contents
INTRODUCTION...........................................................................................................................4
MAIN BODY..................................................................................................................................4
Organizational structure,..............................................................................................................4
. Corporate and Marketing objectives of the organization..........................................................7
Porters Generic Strategies............................................................................................................8
STP: ( Segmentation, Targeting and positioning)......................................................................9
Marketing Mix...........................................................................................................................10
Evaluation..................................................................................................................................11
CONCLUSION..............................................................................................................................11
REFRENCES.................................................................................................................................12
Books and Journal......................................................................................................................12

INTRODUCTION
Strategic marketing planning is a process that includes setting the goals and objectives in
order to analyze the internal and external factors which create impact on the organization and
tracking the progress of the organization . the strategic marketing process put every pieces
together so that they can achieve more success in the Marketplace. This report considered the
company which is Tesco (Rezvani and Fathollahzadeh, 2020). Tesco is a multinational British
organization which is situated in welwyn garden city in England. It is a third largest retailer
Organization in the globe which is measured by the gross revenue. As this report going analyze
the organizational structure and environmental analysis with the strategic marketing planning of
the organization. Also, the market strategy which is adopted by the company in order to grab
more opportunities and more success in the Marketplace.
MAIN BODY
TASK 1
Impact of BREXIT and Covid-19
Tesco is a multinational trading British or organization which is reputed and popular for their
grocery and general merchandise services. The headquarter of the retail organization is in
welwyn garden city England. it is the third largest retail company in the globe which is measured
and evaluated by their gross revenue. The organization is founded by jack cohen in 1919. As the
organization is trading variety of the products like furniture clothing footwear’s grocery crockery
in order to get more opportunities. There is huge impact on the company due to covid19 and
Brexit. As the due to Brexit the government modifies all the policies which create impact on the
performance of the company. Due to Covid19 it has been analyzed that the covid19 has create
positive impact on the grocery sales of the company due to lockdown and cravings of the
individuals.
Organizational structure,
Organizational structure is this strategy or is a Framework which describe about
the activities like doctor location supervision coordination which are directed by the manager
and leaders of the company in order to achieve organizational goals and objectives.
Organizational structure creates impact on the organizational action and Kata the foundation so
that the company said the standard on the operating procedures and the routine rest. It also
helped the organization to identify about the information flows among the levels in the
organization (Rezvani and Fathollahzadeh, 2020). There are several kinds of organization
structure which are followed by the respective organizational like functional divisional metrics in
flat. The structure which are followed by the Tesco organization which is hierarchical. There are
11 members in Tesco executive committee which is led by the group chief executive. Tesco is

the organization which is forward this is structure on the large size of the business. Also Tesco
has a tall structure because the organization is very large and they has multiple layers within the
hierarchy. Tesco is the company in which their structure is rely on their activity and function as
opposed to a location. Also has a functional structure because the focusing on the different
factors in the business. The reason behind the use radical structure is as the company is operating
on the large area and the has multiple layers. In the organization that every outlets and stole is
subsequently separated into three different departments which is food trading factions non food
trading taxation and personal sections with several team leaders and assistant manager. Tesco
organization carries out a particular organization function like distribution finance human
resources ICT marketing Sales Production or research and development. These all activities are
conducted in the functional area. Mainly the company follows the radical organization structure.
This is the structure in which the responsibility and the positions are separated into several parts
so that they can ensure the work in order to get more positive outcomes and done the work in a
very efficient and smoothly manner.
Environmental analysis
Environmental analysis is the Framework or a strategic tool which help the organization
to identify the external and internal factors which create impact on the performance of the
company. The analysis uses several analytical chemistry and techniques in order to identify and
study the environment. The purpose of environmental analysis to monitor and evaluate the
factors which create impact on the performance. There are several kinds of environmental
analysis that help the organization to find strength weakness opportunities and some political
economic social technological scenario and factors. Is the Tesco is operating on the multinational
level so there are several internal and external factors which create impact on the organization in
a positive and negative manner ( Widyarto and Doraisamy, 2016). So it is very required for the
organization to identify these kinds of factor in order to get more opportunities and become
effective in the Marketplace.
Internal Factors :
Internal factors are those factors which help the organization to identify about the
strength weakness opportunities threat of the organization which create impact on the
organization performance. This report is going to consider SWOT analysis in order to identify
the internal factors which create impact on the organization performance because of covid-19
pandemic and brexit. SWOT analysis of chosen company is mentioned below:
Strength: There are several major strength Tesco because as they are operating at the
multinational level. As they have strong financial turnaround and they recovered from annual
loss because of covid-19 pandemic and brexit (Gupta, Polonsky and Lazaravic, 2019)( Moussa
and Barnier, 2020). They have a strong performance during the covid-19 pandemic. As Tesco
organization is a grocery company also so Tesco registered a 10.5% growth. Company boost

their online sales because of the high demand in the grocery sector. As due to pandemic ticket
restriction on their store purchase so the organization was capable to to adopt the technology and
deliver the capacity to several people. They have capability to survive in the market and this is a
major is strength of the organization.
Weaknesses: As Tesco has several biggest competitors in a market which is Asda
Sainsbury, Morrison’s. as there is several modifications in rules and regulation because of brexit
the organization has to change their leadership style and policies so it create impact on their
performance and become weakness for them. Due to covid-19 pandemic the food safety issue
becomes also weakness for the organization because Tesco issued urgent full recalls after
discovering safety issues which create endangered for the customers.
Opportunity: Tesco has several opportunities because they adopt several new
technologies and techniques in order to maintain their performance in a very appropriate manner.
Due to lock down and covid-19 pandemic the demand in grocery sector becomes so high so it
create opportunity for grocery sales (Kaleka and Morgan, 2019). High unemployment rates as
Tesco Company has several outlets in several countries show it create opportunity for the
organization and for the individuals to make money and get more success in the Marketplace.
Threat: At present the United Kingdom is going through with several political crisis and
health crisis or an economic crisis due to covid-19 pandemic and brexit. UK EU relations
become threats for the organization in order to adopt new roles and policies. covid-19 pandemic
the economic recession and supply chain and brexit these are the major threat for the
organization.
External Factor: External factors are those factors which create impact on the organization on
the basis of political economic and environmental technological and socially. These are the
factors which include in external factors and create impact on the organization in a positive and
negative manner. In order to analyze and evaluate the external factors this report is going to
conduct pestle analysis that helps the organization to analyze about the external factors.
Political factors: Political factors are those factors which describe as the regulations and
rules that are developed by the government authority and required to be followed by the
company to stop it engage all factors that is related to the norm of government within the country
in which the organization is operating. The major political issue which are faced by the shoes
and Organization is related to the brexit and covid-19 pandemic. As because of brexit the
organization has to face several kinds of modification within the policies and norms. So it create
impact on their productivity and their culture in order to adopt the new policies and rules.
Current time the major issue which is faced by the retail company is connected to the covid-19
pandemic. Due to covid-19 pandemic the Government of UK comes with several changes and
policies and norms.

Economic factors: Economic factors are those factors which described and associated to
the Economics of the area where the company is operating. It engage every factors which are
linked with the economic condition of the country . in fast time the major economic factors
which create impact on the organization is associated with the discounting French and covid-19
pandemic. As there is a large number of Supermarket retailers in the industry of the United
Kingdom so it become a major threat for the organization to get more opportunity. As due to
covid-19 pandemic the economy of the United Kingdom has been affected by this. So this create
major problem for the organization in order to overcome the cost of the goods and provide the
wide range of the product with effective quality(Gomes and Berman, 2020). But somehow it
creates positive impacts also due to lockdown in the country the demand in grocery sales become
high so it create positive impact in context of grocery sales.
Social factors: Social factors are those kinds of factors that are associated to the society
where the company's operating. It includes and engage the factors which is modification in the
behavior of the individuals and their taste. These are the factors which create impact on the
organization performance (Kouseh Gharravi and Saffarian Hamedani, 2019). As due to covid-19
pandemic the safety measures of the individuals has been increased so it creates directly impact
on the organization in a negative manner. As the individuals becomes more concerned about
their safety and security of their lives. But somehow it creates positive impact also due to log
down the cravings of the individual have been increased so it creates positive impact on their
grocery sales of the organization (Bhupathi, 2016). In current time social media is increasing
continuously that is also acting as social factors which are covered by the company.
Technological factor: These are the factors which include the modification in the
technology that has to be adopted by the organization so that they can increase their performance
level and become effective in the market. In context of the selected organization it is analyzed
that 8b are operating in the environment from the long time and they have several modification
in their environment that creates impact on the organization performance and their activities. So
the organization is trying to adopt best technology within the market so that they can gain more
opportunities and age over their competition. The major issued which are days by the
organization is to provide the quality of the goods by using amended Technologies.
Legal factors: Due to brexit and covid-19 pandemic There are several modification in
rules and regulations which has been analyzed by the organization to stop these modification is
create major impact on the performance of the organization. As sometime It's become much
difficult for the organization to suddenly adopt new policies and regulations and work according
to them. As the organization has operating at the multinational level so it's become much difficult
for them to manage all their outlet with the dynamic policies.
Environmental factors: With the increasing the pressure on the organization in order to
address the environmental issue and adopt several techniques and methods in order to provide

benefits the society the organization is reducing their carbon footprints so that they can minimize
the with stage of the material in their stores and provide benefits to the environment.
. Corporate and Marketing objectives of the organization
Corporate objective are the objectives which is associated to the business. They are
usually develop and set by the top management of the business and provide the concentration for
setting detail and effective objective in order to get more success in the Marketplace. The
organization Tesco has performed market strategy by adopting market mixing for every market.
The corporate objectives of the organization are to establishing the stores and outlets in new
areas (Whalen and Akaka, 2016). In the marketing objectives of the organization is to increase
the customer base within the year and increase the productivity so that they can get more
opportunities. Tesco organization is trying to meet with their objective and goal by enhancing
their sales and deals of the products by using social media platforms so that they can increase the
customer base and satisfy them.
TESCO mission: “The mission of the organization is to develop the products which are essential
for the individuals and satisfied them.”
TESCO vision “The vision of the organization is attracting more customers based towards the
organization and achieve more success.”
TESCO Objectives:
To enhance and boost the services at a huge level in order to increase the customer base and
develop the presence of organization at the Marketplace.
To satisfy the requirements of the consumer and get more opportunities
Porters Generic Strategies
Michael porter's generic Strategies and the structure which was introduced by the
Michael porter's in 1980. This is the Framework which is applied by the organization in order to
identify the competitive advantages by selecting most appropriate strategy. Which used in
organization is adopted this strategy in order to gain a competitive advantages .there are three
strategies which are considered in the Porter generic strategies that are below mentioned.
Cost leadership: Which engage gaining and attracting the competitive advantages by overcome
the cost of the product. This is strategy adopted by the organization in order to gain more
competitive advantages and provide the benefits to the consumer. This also provides the
organization to expand their market share by targeting middle class individuals.
Differentiation: Which is the strategy which is used by the organization in order to build the
more competitive advantages and benefits we stock the organization is using this strategy so that
they can grab more opportunities and growth in order to achieve their objectives. It helps the

company to expand and create more customer base by targeting the unique products in the
market place.
Focus strategy: Strategy which inspired the organization to concentrate on their resources by
allocating with the targeted segments. The organization is adopted this is strategy in order to
provide market segments on the particular marketing area. Strategy helps the company to design
most appropriate products according to the requirements of the consumers.
These are the Strategies which are adopted by the organization in order to gain
competitive advantages and achieve their goals and objectives in a very appropriate manner.
STP: ( Segmentation, Targeting and positioning)
Segmentation targeting positioning is the structure which summarises and simplifies the
procedure in order to segment the market area. This is a very important concept in a strategy
which help the organization to target their consumer and divide their work accordingly. STP
approach is a very effective equipment with is applied by the organization so that they can
conduct market activities in a very effective manner. The STP is a approach which stands for
segmentation targeting and positioning that means segment the effective and potential target
consumers by managing the physician and their effectiveness at the market place (Bridson and
Evans, 2018). In context of Tesco organization is very required for them to manage their
consumer by targeting in a appropriate market so that they can get more competitive advantage
and maximum outcomes. The STP approach for Tesco is mentioned below:
Segmentation: this is this strategy in which the market is separated into two segments according
to the characteristics and factors of marketing that are mentioned below:
Geographical: In this market strategy the market is separated according to the geographical
location. In context of Tesco organization the company separated their consumer and segments
customer which is related to the urban areas so that they can provide facilities to them in order to
get more products easily.
Demographic: In context of demographic the organization is segmenting their consumer on the
basis of characteristics and their factors like each income Gender and their preferences. In
context of Tesco they are concentrating towards the preferences of consumers so that they can
satisfy them and get more positive outcomes.
Targeting: this is the factor in which the management team of the organization targeted those
people who are categorized by the management team of the organization. In context of Tesco
they are more concentrating towards the urban areas of UK in order to provide facilities in get
more opportunity (Pietras and Szczepańczyk, 2016).This is the factor in which the repetition of
the company is formulated by the marketers in front of their customer. In context of Tesco they
provide many services and facilities by using online and offline mediums like social media
platforms and many more so that they can maintain their position at the Marketplace. Due to

covid-19 pandemic the individuals become more concerned about their safety so the organization
is trying to provide awareness towards the consumer by using several platform and services
Marketing Mix
Marketing mix strategy is the combination of several factors which are combined
together so that they can upgrade their services and product in a very appropriate manner.
Marketing mix support the organization to develop more amended and effective strategy in order
to get more competitive advantage. It is a very widely used structure which supports the
organization to increase their profitability and efficiency of the company. There are only four
kinds of components which are used in marketing mix with product price place and promotion
there are some additional elements also which are considered in marketing mix which is people
physical equipment and process. This structure is carried out in the industry so that the company
grab the attention of the customer and get more advantage. The organization Tesco is using
marketing mix so that they can overcome the problems which are facing by them because of
covid-19 pandemic and due to brexit and which are mentioned below:
Product: The Tesco companies using variety of the products so that they can meet with the
needs of the consumer. Along with this they also provide modified services to provide effective
services in affordable price so that they can fulfill the needs of the consumers. The organization
is operating in several fields like furniture grocery crockery clothing footwear and many more.
Price: The organization is providing their product and services in a very affordable price so that
the middle class people can also a for their product and services. YouTube covid-19 pandemic
already it create use impact on their lives so in order to fulfill their needs the organization is
using effective pricing strategy so that they can get number of clients and fulfill their needs.
Place: Tesco is a multinational company and its situated in snow white services in a several
countries. The major aim of the organization is to provide effective services to their consumers
so that they can expand their business and create more customer base.
Promotion: The organization is using various methods in order to upgrade and promote their
products and services. Currently the organization is rely on the digital marketing and social
media platform. The social media platform helps the organization to upgrade and boost up their
sales and get more customer base (Chandra, 2019). Social media platform also help the company
to build effective relationship with them and increase their sales and profitability. The
organization is using several Technologies so that they can improve their website ranking in
search engine and provide effective competitive advantages in the Marketplace.
People: The organization has a qualified employees who ensure to caters amended services and
facilities to the clients. The organization is using talent management strategy in order to develop
the skills and knowledge of their employees. Moreover the organization is organising some

effective training and development programs so that they can improve the efficiency of their
members in order to get more positive outcome.
Physical equipment: The organization is comprise with all tangible which are visible to the
consumers like staff members products services interior and many more facilities by using
amended Technology.
Process: The procedure which is used by the organization is provide facility and good quality of
products so that they can increase their image in front of their customer and increase their
profitability and sales.
From the above-mentioned description of marketing mix it has been analyzed that the
organization is using this is strategy in order to increase their profitability and revenue and make
them more effective and capable to overcome all the challenges and become more popular in the
Marketplace.
Evaluation
Sales analysis: Which is the tool which help the organization to track the modification is sales of
the company within a particular given time period (Vishnevskiy, Karasev and Meissner, 2016). It
helps the organization to provide the variation and appropriate method so that they can take
effective actions in order to execute and implement their strategy. the organization is using and
taking feedback from their consumers by using this and tries to alter their services according to
the requirements of the organization. This strategy helps the organization to make positive
reputation and make their brand image more stronger in front of their customer. The major
drawback of this tool is that they consume a lot of money for the company because it is required
efficient personality to draw appropriate financial statement and conclusion.
CONCLUSION
From the above mentioned report it has been concluded that a strategic marketing
planning is a very effective tool which help the organization to achieve their goals and objectives
in a very appropriate manner. It is very required for the company to analyze the internal and
external factors which create impact on their performance. This report conducts pestle analysis
so that they can identify the external factors which create impact on the organization. Also, this
report analyze the Cooperative marketing objectives of the organization. Also, this report
develops the marketing plan in order to identify the financial stability of the organization.

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Books and Journal
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