International Business Expansion: A Case Study of Tesco in Singapore

Desklib provides past papers and solved assignments for students. This project details Tesco's successful market entry into Singapore.

Managing a business project
successfully
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TABLE OF CONTENTS
Task 1 Project plan..........................................................................................................................3
1. Explanation of the proposed topic...........................................................................................3
2. Aim and objectives..................................................................................................................3
3. Scope and limitations...............................................................................................................3
4. Resources and cost consideration............................................................................................4
5. Gantt chart and WBS...............................................................................................................4
6. Risk register.............................................................................................................................6
Task 2...............................................................................................................................................9
Chapter 1: Introduction....................................................................................................................9
Chapter 2: Literature review..........................................................................................................10
Chapter 3: Research Methodology................................................................................................12
Chapter 4: Results..........................................................................................................................14
Chapter 5: Conclusion and recommendations...............................................................................23
Chapter 6: Reflection.....................................................................................................................24
References......................................................................................................................................26
Appendix........................................................................................................................................28
Project Log Bok.........................................................................................................................28
Questionnaire.............................................................................................................................29
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LIST OF FIGURES
Figure 1: Work breakdown structure...............................................................................................6
Figure 2: The market of Singapore provides adequate and ample growth and development
opportunities to businesses............................................................................................................16
Figure 3: The demand of branded clothes and apparels among women in Singapore is increasing
with a very good pace....................................................................................................................17
Figure 4:To make the project of international expansion successful, Tesco is required to carry out
analysis of business environment and customer trends in Singapore............................................18
Figure 5: The strategy of adoption is more suitable and appropriate for Tesco in context of
international growth and expansion...............................................................................................19
Figure 6: There are different risks associated with the current project of Tesco..........................20
Figure 7: Monitoring and control are vital for the success of Tesco’s project in Singapore.........21
Figure 8: The project will contribute a lot in increasing the sales, market share and customer base
of Tesco.........................................................................................................................................22
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LIST OF TABLES
Table 1: Gantt chart.........................................................................................................................7
Table 2: Milestone...........................................................................................................................8
Table 3: Monitoring schedule for the project..................................................................................9
Table 4: Risk register.....................................................................................................................10
Table 5: The market of Singapore provides adequate and ample growth and development
opportunities to businesses............................................................................................................16
Table 6: The demand of branded clothes and apparels among women in Singapore is increasing
with a very good pace....................................................................................................................17
Table 7: To make the project of international expansion successful, Tesco is required to carry out
analysis of business environment and customer trends in Singapore............................................18
Table 8: The strategy of adoption is more suitable and appropriate for Tesco in context of
international growth and expansion...............................................................................................19
Table 9: There are different risks associated with the current project of Tesco............................20
Table 10: Monitoring and control are vital for the success of Tesco’s project in Singapore........21
Table 11: The project will contribute a lot in increasing the sales, market share and customer
base of Tesco.................................................................................................................................22
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Task 1 Project plan
1. Explanation of the proposed topic
The present topic aims at carrying out international growth and expansion of Tesco’s new
product range in new market which is Singapore. The main and most important reason behind
choosing this topic is to gain overview of the concept linked with international business growth
and expansion.
2. Aim and objectives
The aim of present project is to carry international expansion of Tesco’s new product range
which is clothing and apparels for women. Furthermore, the objectives of the project are below
mentioned as:
 To formulate a project management plan for international expansion of Tesco
 To assess the overall business environment of Singapore
 To increase the market share and customer base of Tesco by 15% within next one year
3. Scope and limitations
A project management plan is considered as a written document which outlines the overall way
in which the entire project will be carried out (Martinsuo and Hoverfalt, 2018). A project
management plan covering different aspects for Tesco is provided below as:
Scope – In the context of scope, it can be asserted that the present project will help other
businesses to understand the need and significance of the project management plan. Furthermore,
the plan will also provide companies with an opportunity to understand the way in which the
project management plan is developed and implemented (Cleden, 2017). On the other side of
this, the plan will support Tesco in dealing with issues such as intense and increasing
competition in the UK market. The scope of the project is that it has the potential to contribute a
lot to the overall success and growth of Tesco in the international market (Farnsworth et al.
2015).
Limitation – It can be expressed that limited time and resources are the two major and most
important limitations associated with the present study. In addition to this, limited availability of
quality literature on international expansion and growth is also a major limitation of the present
research.
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Time – One year is the time selected for the implementation and completion of the entire project.
The members of the project team will be required to invest considerable resources and efforts to
complete the project in one year.
Quality – To maintain the quality standards of the project, the manager will be using concepts
such as monitoring and control. Here, monitoring of time, resources and activities will be carried
out with an objective to meet the desired quality standards (Buttrick, 2018).
Communication – Here, both formal and informal sources of communication will be used in the
international expansion project of Tesco.
4. Resources and cost consideration
Resources – Finance, employees, and technology can be termed as the three major and most
important resources which will be required to complete the entire project of Tesco and
accomplish its objectives (Muller, 2017).
Project cost – It can be expressed that defining of right and the most suitable project cost is vital
because it directly contributes to the success and effectiveness of a project. The present project
aims at international expansion of Tesco in Singapore, and the estimated cost of the entire project
will be $250000.
5. Gantt chart and WBS
The work breakdown structure and Gantt chart for the international expansion project of Tesco
are mentioned below as:
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Figure 1: Work breakdown structure
Table 1: Gantt chart
Activity/Months 4 8 12 16 20 24
Defining the store
location
Identification of
resources needed
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Setting up new store of children clothing
in Singapore
Offering clothing and
apparels to women
Identification of need
and demand of women
in Singapore
Offering services and
products
Formulating the
marketing strategy
Hiring staff for new
store in Singapore
Recruitment and selection process
Developing HR plans , policies and
strategies
Conducting training
Defining the store location
Identification of
resources needed and
arranging the same

Carrying out
arrangement of the
resources for the
project
Formulating
strategies and plans
for marketing and
promotion of clothes
and apparels
Recruitment of staff
members for
clothing store in
Singapore
Selection of the staff
members
Formulating the
policies and plans
linked with
management of
human resources
Conducting training
and development
programs
Monitoring of the
entire project and
related activities
Accomplishment of
project aim and
objectives
6. Risk register
Table 2: Milestone
Key Milestone Start Date End Date
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Choosing the store location
within Singapore
1st January 2019 30th April 2019
Defining resource requirement 1st January 2019 30th April 2019
Arranging resources 1st January 2019 31st August 2019
Developing marketing
strategies and plans
1st January 2019 31st December 2019
Hiring employees for the new
store in Singapore
1st January 2019 31st April 2020
Developing the HR plans and
policies
1st January 2019 31st April 2020
Providing training to
employees
1st January 2019 31st April 2020
Monitoring and control 1st January 2019 31st August 2020
Completion of the project 1st January 2019 31st December 2020
Table 3: Monitoring schedule for the project
Activity/Time Every six months Every year Every month
Carrying out monitoring
of different resources,
time and activities
Analysis of macro and
micro factors
Taking control
measures
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Table 4: Risk register
Unlikely Likely Very Likely
Major (Cost escalation)
Moderate (Slippage of
deadlines)
Minor (Resources
planning failure)
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Task 2
Chapter 1: Introduction
In the modern era, a concept such as globalization is playing a vital role in the overall success
and growth of businesses (Dutta and Bose, 2015). Furthermore, globalization is helping
businesses in expanding their operations to international markets in the best possible manner.
The concept of globalization has also supported companies in getting access to new technology,
resources and this has further supported in enhancing the customer base and overall operations
(Harrison and Lock, 2017). On the other side of this, it can be explained that carrying out
international expansion is a very challenging task for businesses and an effective project
management plan is required to carry out the same (Davies and Hughes, 2014). The concept of
the globalization has also played a vital role in providing companies with an opportunity to attain
higher economies of scale in the long-run. The concept involves greater free trade and the result
of this is that businesses are able to increase their volume of profits and sales in the best and
every possible manner.
However, the concept of globalization is associated with certain cost which needs to be paid by
economies and companies. For example, globalization encourages free trade practices and this
negatively affects the growth and development of the developing nations.
The current study is based on Tesco which is considered as the most popular and leading chain
of the retail supermarket and grocery stores in the UK. At present, the selected organization is
facing intense competition in the market and therefore, it is now looking to expand its operations
in a new market. The market selected for Tesco is Singapore and the entire project management
plan for international expansion has been highlighted in the present study. The study is important
because it will outline the overall way in which a successful business project can be managed to
attain the desired and expected outcomes. The project will help in developing understanding
about different aspects and concepts linked with project management.
The current research will be useful for the selected organization i.e. Tesco because the research
will help Tesco in dealing with issues such as increasing competition and reducing profits in the
domestic market which is UK. The research is also helpful for Tesco because it will allow the
brand to enhance the overall volume of sales and profitability in the long-run by getting access to
new market, technology, resources and customers.
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At present, there are limited literatures available on the selected topic and therefore, the present
research is also going to play a critical role in filling the literature gap. My academic interest
linked with international growth and expansion of businesses will be critical in completion of the
entire project.
Chapter 2: Literature review
Purpose of international expansion
As per the view of Oh et al. (2019) in the modern era, the competition for businesses in their
home or domestic market has become very intense and now it has become very complicated for
companies to attain desired growth and success.
Lack of opportunities to increase market share and customer base can be termed as the main and
most important reason because of which businesses emphasize on international growth and
expansion. According to Tsang and Yamanoi, (2016) expanding in new and international market
directly contributes in providing organizations with an opportunity to increase their overall
customer base and market share.
On the other side of this, Gollnhofer and Turkina, (2015) has argued that international expansion
is not an easy task and it is required by businesses to develop the most effective and appropriate
strategies to carry out the same. Lack of effective strategies and international expansion plan can
result in affecting the success of a business enterprise to a great extent. As per the view of
Puthusserry, Khan and Rodgers, (2018) company focus on international expansion of its
activities and operations with an objective to deal with situation such as intense competition in
their home market.
Benefits of international expansion
According to Hunt et al. (2018) the concept of international expansion is very useful especially
for the businesses which are looking forward to long term growth and success. Furthermore,
getting access to new markets is one of the main and most critical benefits associated with
international expansion. The concept of international expansion offers many businesses with a
chance of reaching new customers. In addition to this, acquiring new customers and territories is
also considered as a benefit associated with international growth and expansion.
On the contrary of this, Bai et al. (2017) have critically argued that the benefit associated with
international expansion is that the concept helps businesses in carrying out diversification of
services and products in the best possible manner. The concept also plays a vital role in
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