Tesco Marketing: Roles, Responsibilities, Environment & Market Plan

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This report provides a comprehensive analysis of marketing essentials with a focus on Tesco, a leading retail company. It explains the roles and responsibilities of marketing functions, including identifying customer needs, planning, product development, branding, pricing, promotion, physical distribution, and warehousing. The report also examines how marketing relates to an organization's environment and its interrelation with other departments such as finance, sales, HR, research and development, and operations. Furthermore, it discusses how organizations use the marketing mix to achieve business objectives, comparing Tesco and Asda, and analyzes Tesco's basic market plan, including its media strategy. The analysis includes a critical review of the macro environment to inform strategic management decisions. Desklib offers similar solved assignments and study resources for students.
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Marketing
essentials
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Table of Contents
INTRODUCTION...........................................................................................................................1
TASK1.............................................................................................................................................1
P1: Explain the roles and responsibilities of marketing functions with respect to any
organisation..................................................................................................................................1
P2: Define the roles and responsibilities of marketing and how it is related to the organisation's
environment.................................................................................................................................4
M1 Critically analyse the macro environment to determine and inform strategic management
decisions.......................................................................................................................................6
D1 Critique and interpret information and data applying environmental and competitive
analysis to produce a set of valid strategic directions, objectives and tactical actions................6
TASK 2............................................................................................................................................7
P3: The ways in which organisations uses marketing mix for the achievement of the business
objectives. Define with comparison. ...........................................................................................7
M3 Devise appropriate strategies to improve competitive edge and market position based on
the outcomes..............................................................................................................................11
TASK 3..........................................................................................................................................12
P4: Examine the basic market plan of an organisation. ............................................................12
MEDIA PLAN:..........................................................................................................................15
CONCLUSION..............................................................................................................................18
REFERENCES..............................................................................................................................19
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INTRODUCTION
Marketing is described as a function of management, used to perform the duties and
responsibilities related to the promotion and distribution of a product and service (What Is
Marketing? 2019). For example delivered the message and all informations related to the product
and service to customers in order to create the desire of buying.
Tesco is a leading retail company which deals in the groceries and general merchandise.
This was established in the year 1919 by John Cohen. It has a leading market share in UK and
deals in many countries and has been a massive failure in USA and Japan markets.
In this report key responsibilities & roles of marketing functions and how it is related to
the environment of organisation in respect to Tesco can be introduced. The ways in which
organisations apply marketing mix for accomplishment of business goals also explained with a
comparison between Tesco & Asda. Marketing plan of Tesco also introduced in this report.
TASK1
P1: Explain the roles and responsibilities of marketing functions with respect to any organisation.
Marketing functions includes all the activities from identifying the needs and wants of
customers and satisfying them (Grimmer, 2018). It is an important function of management that
performs all the responsibilities needed for the growth of the organisation. Following are the
activities involve in marketing functions;
Identifying the needs:-
customer is the king of the market and without identifying the needs and wants of a customer, it
is not easy for any business to survive for long. Identifying the needs, wants & desires of
customer is the first step for any organisation. Tesco constantly investing on research and
development department for identifying and understanding the expectations of customers.
Planning:-
The next responsibility of marketing function is to develop a marketing plan. Planning includes
the steps from identifying the objectives of business and then setting timeline for the
achievement of these objectives & planning the marketing strategy as per the objectives. The
main objective of Tesco is to provide value added services in a friendly environment for
maximise the sale.
Developing the product:-
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Another important function of marketing apartment is to develop the product which suits the
desires of customer. The design, quality, cost, reliability & durability etc. are the factors
considered under product development. In terms of Tesco making modifications in their existing
products with considering the nutritions, taste, proteins, hygiene in their products.
Grading and standardisation of product:-
Standardisation means to ensure the uniformity in the design and quality of all products. Grading
is the method used to classify the products as per the similarity in their quality and features.
Tesco categories its products like veg and non-veg.
Labelling and packaging:-
When the product is made and standardised the next responsibility of marketing is to done
labelling and packaging of product in an impressive way to attract the customers. Packaging is
not only done for avoiding the breakage and damage of goods in the movement and storage, but
also done as an promotional strategy. Label is the slip considering all the informations related to
the product and producer. Tesco uses attractive and impressive packaging with using the brand
name on its products packages.
Branding:-
A brand name is the unique identity of a product, used to recognize of a particular company or
organisation's product (Holbrook, 2018). Tesco ensures to make specific positions in the market
and has made a unique brand reputation in order to recognise its products.
Pricing:-
Another important function performed by marketing is to set the appropriate prices for products.
The price of a product is affected by many factors such as- governmental policies, competitors
prices, manufacturing cost, profit rate etc. Tesco uses nominal prices in order to increase sale as
much as possible, which results in increasing profits.
Promotion:-
Promotion is also an important function of marketing. Promotion functions of marketing
involves delivering the message & information about the product to the customers and encourage
them to buy. Tesco uses advertisement, sales promotion and personal selling techniques to
promote its products.
Physical distribution:-
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Physical distribution of product is also an important function of marketing plays crucial role in
accomplishment of organisational goals. Decisions related to the order processing, transportation
of goods, warehousing & inventory are taken in this function of marketing. Tesco uses different
strategies for different countries like provides home delivery in some countries. Distribution
channel of Tesco is very extensive.
Warehousing:-
There is a time gap between the production and consumption of goods and products and it is very
important of any organisation to keep goods & products at a safe place (Hanzaee, Sadeghian and
Jalalian, 2019). Thus, warehousing and storing goods at a safe place like go-downs are very
important function of marketing. Storage and warehousing is very important for the smooth flow
of goods. Tesco ensures the smooth flow of goods & minimal wastage of goods.
Areas of Marketing
Identifying the customers requirements: The main area of marketing function is to
understand what buyer actually wants from the company. By this, Tesco can analysis the
actual need of the customers by focusing on their habits, attitude towards its products. It
may assist in improving base of satisfying customers within the company.
Maximising profitability: In business organization, marketing function is responsible for
implementing new and innovative ways to sell their products to its customers. As Tesco
is famous brand that sell best quality of services through online platform. It support in
maximising the sales and profitability level of company at market place.
Deep market research: Undertaking a detailed market analysis is also consider an a
major role of marketing function of Tesco. In this company focus on competitors strategy
and also collect information about target customers. This can be beneficial in improving
the possibilities of capturing larger marker share from its competitors.
Therefore, marketing function play a significant role in business organization in meeting
customers needs and wants. By this, Tesco can improving their competitive image by creating
their strong customers base.
Different functions of marketing plays vital role in the achievement of business
objectives. Tesco uses effective research and development techniques to know the expectations
of customers and constantly taking initiative in innovations and modifications in existing
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products to meet customer's expectations. Tesco uses low pricing strategy and high quality
products & effective promotion tools. Tesco has the provision of impressive and attracting
branding & packaging, effective warehousing centres.
P2: Define the roles and responsibilities of marketing and how it is related to the organisation's
environment.
Marketing, is used to convey the message or information about a product and service &
promoting it in front of customers to create the need or desire. Marketing is the important
function of management linked with other departments of the organisation. Responsibilities of
marketing involves identifying customer needs, making plans, product development, branding &
packaging, distribution & warehousing (HR, and Aithal, 2020). The marketing department of any
organisation is interlinked with other departments. Marketing helps in identifying the required
information for other departments of the organisation. The relation of marketing function with
other departments of Tesco can be introduced by following points;
Marketing with finance:-
The finance department of any organisation ensures the short term and long term sources
of funds to fulfil the requirement of the business needed in accomplishment of organisational
goals (Hair Jr, Page and Brunsveld, 2019). There is a co-relation between the finance and
marketing departments of any organisation. Finance involves the long-term & short-term fund
required for the operation of the business. Marketing department acquire the money for the
development and promotion of product. In terms of Tesco there is a effective relation between
marketing and finance department. For example if company requires fund for the innovation and
modification of existing products the finance department of company is responsible to fulfil the
required demand of finance. The finance department of Tesco plays important role in the
advertisement and promotion of the products and services.
Marketing with sales department:-
The sales department is responsible for the building the trust and loyalty among
customers in order to achievement of ultimate goal of the business (Cluley, 2018). Marketing
department of any organisation plays important role in the increment of sales. Tesco is sales
oriented and the ultimate goal of the company is to increase sales as much as possible. Marketing
department plays crucial role in generating sales through effective and impressive promotional
tools. Thus, the marketing department of Tesco is co-related with its sales department.
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Marketing with HR department:-
The HR department of any organisation is responsible for the recruiting and selecting
employees and then give them training & development for maintaining the effectiveness and
efficiency in the production process of goods and products (Ganjre, 2019). There is a effective
relationship between the marketing and hr department of Tesco. For example if Tesco required
new staff then the marketing department plays a role in the promotion and communication of
these vacancies to general people. Then the hr department provide the training for these
employees. Thus, there is a co-relationship between marketing and hr department of Tesco.
Marketing with research and development:-
The research and development department of an organisation is responsible for the
innovations and technological advancement. It is the responsibility of research and development
department to maintain the innovation and technology in their operation. Marketing department
helps the organisation in identifying the needs of customers. In Tesco there is an effective
relationship between marketing and R&D department. For example marketing department of
company identifying the needs of customers i.e. home delivery of products. Then the research
and development department ensures the fastest technology in home delivery services.
Marketing with operation department:-
The operation department of any organisation performs the administrative function which
helps in designing, re-designing and controlling the production process of goods and services.
Operations management manages the entire process of converting the inputs such as-raw
material, labour and energy into outputs in the form of goods and services (Malik, 2019). The
marketing department of McDonald has good relationship with its operations & administrative
department. For example marketing department of Tesco conducts the surveys in order to
identify customer's preferences and then operation and production department produces the
goods as per the requirements of customer. This shows the effective relationship between
marketing and operation department of company.
Marketing-Procurement
Marketing team assess the degree of customer acceptance of the company products and
on that bases identifies the changes to be make to existing product or identifies need to introduce
new product in the market. After analysing all factors it guide procurement department for
identifying new materials and sources of supply required.
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Marketing-Customer Service
Both the departments function in coordination and has lot in common that is marketing
team is involve in promotional activities where they include customer support to make sure that
they attend client’s problems and quires on time. The strategies formulated by marketing
department helps customer service team to identify its after sales services impact on the
customers and the services which are already provided needs the improvement or not.
M1 Critically analyse the macro environment to determine and inform strategic management
decisions.
It is found that the currently stability in the political factors is in the favour of Tesco as
they are helping then organisation in continuous performance of their operations in various
countries. Growing economy of Europe implies that the economic factors of organisation are also
in the favour of Tesco. Introducing new technology and doing some innovation related to the
technology also leads to the attraction of customers towards the organisation. It is also found that
Tesco is following all the legal factors which are very helpful for business organisation in
establishing a good and positive brand image in the market.
D1 Critique and interpret information and data applying environmental and competitive analysis
to produce a set of valid strategic directions, objectives and tactical actions.
On the basis of data and information which has been collected by applying PESTEL
analysis, it can be said that the operations of Tesco has been affecting by the environmental
factors in a negative way. Along with this, it is also found that the constantly increase in the
competition in the same industry working as a huge challenge for Tesco (Kim 2020). Below
mentioned are some objectives which are developed by Tesco:
Quantitative Objectives
To become a leader of the complete industry of retail industry within the time period of
almost 4 years.
Expansion of operations of business organisation in three new markets by the middle of
2022.
To attaining an annual growth of 17%
To increase in the share of markets by 25% by the end of year 2021.
Qualitative
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Carrying out various innovation in technology for the purpose of serving their customers
in a better way.
TASK 2
P3: The ways in which organisations uses marketing mix for the achievement of the business
objectives. Define with comparison.
Marketing mix is defined as the method of promoting and communicating the product
and service in the market to create the desire in minds of customers (Marketing Mix, 2020).
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All the elements of marketing mix are combinedly known as 7 p's, are the essential foundations
for any company. 7P's of marketing mix in terms of Tesco as compared to burger king can be
introduced by following points:
Basis of comparison Tesco Asda
Product Tesco offers different
varieties with better quality in
their product range like
groceries items, home décor,
furniture, clothing and many
others. These are offered
through the sup
On the other Asda also provides
different varieties in their product
line. For example groceries items
such as drinks, chilled food, frozen
food, bakery items, pets, household
and laundry and many others. It
also deals in George clothing,
mobiles, Asda money, etc.
Price The price strategy of Tesco
restaurants is little differ from
While, Asda adopted competitive
pricing strategy for its products and
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Illustration 1: Marketing Mix, 2018.
Source: Marketing Mix, 2018.
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each other and based on the
demand of the products
(Perreault, 2018). Tesco uses
competitive pricing strategy in
this element of marketing mix.
Prices are set as per the
suitability of local market
which helps in increasing
profit.
services. It also uses reasonable
pricing strategy which helps in
attracting consumers in a large
scale. It also emphasises on the low
price so that high sales is generated.
Place The distribution strategies of
Tesco differ from country to
country. It uses two channels
of distribution which includes
online and offline. For
example Tesco has various
stores in the market which
includes Tesco extra, tesco
express, tesco compact, tesco
metro, superstore, tesco
homeplus , tesco jacks. On
online platform, it has Tesco
Direct which includes its
official website.
On the other hand Asda has a giant
market and is the first self service
aupermarket which was opened in
Castleford. It has fresh and simple
stores being built after the merger
with Walmart
Promotion Tesco uses newspapers,
magazines, TV, internet in
their promotional strategy to
advertise its products in front
of customers for increasing the
sale and profit of the company.
On the other hand Asda focuses on
creativity rather then high
investment on advertisements.
Asda also uses social media
marketing, print advertisements and
personal selling technique to
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Tesco also uses the discount
coupons, free samples as a tool
of sales promotion in order to
increase sale. The main
advantage for company is the
low price which makes its
different from others. The
advertisement of company
focuses on low price.
encourage customer for buying
additional items from the store in
its proportional strategy.
People Tesco invested huge amount
every year on the training and
development of its employees
in UK. For the growth of the
business, it is important to
understand the needs of
customers as well as
employees in this element of
marketing mix.
On the other hand Asda focuses on
team work and has a partnership
with beastly, who supports in
training sessions of employees
through videos. Asda uses the
effective training and development
strategies for this element of
marketing mix.
Process Process element of marketing
mix is related to the activities
carry out into achieve
something (Chernev, 2020).
Tesco handle many activities
in order to deliver its products
to end users. For example the
company uses self check out
system which helps in making
convenience for customers.
On the hand Asda manages many
activities in the process element of
marketing mix. For example it has
self service stores, quality control
and performance management
process so that it can enahcne
efficiency of its organization to
target its audience.
Physical evidence This element of marketing mix
is related to the physical
While, Asda’s physical
environment includes attractive
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