The Role of Entrepreneurship in Tesco's Growth and Sustainability

This report provides a comprehensive analysis of entrepreneurship within Tesco, examining key concepts such as innovation, market opportunities, and the characteristics of successful entrepreneurs. It delves into the theories and practices relevant to Tesco's business model, exploring the significance of internal and external factors influencing its growth and sustainability. The report highlights the importance of strategic planning, digitalization, and understanding customer needs for long-term success. It also discusses the role of government support and e-business opportunities in fostering entrepreneurial ventures. Furthermore, the report emphasizes the significance of characteristics, behaviors, and personalities of entrepreneurs. The report also includes an analysis of factors impacting Tesco's growth and sustainability, offering insights into the dynamics of the market. Overall, the report aims to provide a clear understanding of the entrepreneurial landscape and its impact on Tesco's success.

BUSINESS

TABLE OF CONTENT
INTRODUCTION.......................................................................................................................................3
MAIN BODY..............................................................................................................................................3
Theories and Practice...............................................................................................................................3
Opportunities...........................................................................................................................................6
Characteristics, Behaviour and Personalities...........................................................................................6
Internal and External Factors...................................................................................................................7
Analysis...................................................................................................................................................9
Impact on the Growth and Sustainability...............................................................................................10
CONCLUSION.........................................................................................................................................11
REFERENCES..........................................................................................................................................12

INTRODUCTION
Businesses play a very important role in the economic factor of any nation therefore to
promote this factor it is very important so that the development of the nation can take place. The
rates of the GDP and employment have a great role because they get better of the company when
there are entrepreneurs who are being promoted in the nation because there will be a lot of
innovative ideas and creativity which will come out and the nation will get a name for itself. The
new market wants more and more of innovations in the product because the demands of the
customers are not being met therefore the promotion of entrepreneurs in the entire world is very
important and the demand for them is also increasing. Tesco is a public limited Tesco, and they
are having their headquarters in England. Number of employees working in organization are
450,000 and stores physically present are 6,800 as of 2019. Tesco is the third largest retailer in
industry and in multinational organization.
The report is going to consist of theories on entrepreneur and innovation, the
opportunities of this type of business in the world, how behaviour, personality and characteristics
play a role in the individuals to become an entrepreneur, factors and the growth of sustainable
innovations, ideas and creative solutions. It is very important to study these factors so that there
is a better understanding of this type of market and why this is so much in demand in today’s
market.
MAIN BODY
Theories and Practice
There is a huge demand of entrepreneurs in the world and to become a successful
entrepreneur it is very important to understand that they have to be unique than the others in the
market only then the entrepreneur will be able to capture the market. There are a lot of risks
which are taken by an entrepreneur and that is very good for the business so bad because it can
turn out to be the way businesses are run by the entrepreneur (Burns and Dewhurst, 2016). There
is a difference between entrepreneurship and innovation which the market needs to understand
which is that the innovation is when there is a change in the product in the market or idea,
services or model of any product is innovation but the person who gets these innovations into the

market opportunity is known as entrepreneurship. The innovation gives birth to an entrepreneur
who will help the economic factors of the nations which are promoting or helping the
entrepreneurs in their own nations. The innovation makes sure that the demand of the products
increase and the overall cost of the product is reduced for the benefit of Tesco.
Innovation can be classified into two categories which are first category is when there is
new techniques which are used in Tesco or new methods which are being used so that the
products cost can be reduced like adding new machineries, innovation methods, etc. The second
category would be used to increase the demand of the product which is why the innovation is
taking place in the first place (Hills and Morris, 2018). There is an introduction of new quality
and commodities of good which are going to be added so that Tesco will be able to increase the
demand of the products they are dealing with so that the customers like the product which will
make Tesco expand them and penetrate deeper into the market. The market is getting digitalized
which is a great profit for a lot of companies which will make the promotions and sales of the
products even more easily. For any entrepreneur targeting the market through digitalization is a
great advantage and the risks will be lower than they will be otherwise. There are smaller risks
which Tesco has to take when Tesco is starting up in the market and it is later that more
investments have to be made for the expansion of Tesco and more risky decisions need to be
taken. There has to be a strategic plan with the entrepreneur of Tesco and the methods Tesco will
be using for capturing the market because no business is in the market for a small span of time
but a long term run.
All the departments of the organization must know about the innovations which will be
taking place in Tesco because if there is any communication gap then Tesco will face a lot of
lose and the marketing team will not be able to market the product in the market which will not
attract a lot of customers and Tesco will not be able to penetrate deeper into the market
(Schaltegger, Lüdeke-Freund and Hansen, 2016). Innovations in any product have to be after
analysing the customers and their needs and wants so that the innovation can take place in the
right direction and that is a very important factor for Tesco because the cultural, social, gender,
race, etc can play a major role in the innovation of any product. There are many products which
the customers prefer the old way because they do not want to change and the progressions and
mentality has changed a lot in the past few years and that is making the companies innovate new

ideas and products for meeting the demand of the customers. The level of awareness and
education has increased in the customers and they are aware of the rights they have for the
product so Tesco has to make sure that Tesco is providing the customers with the best of
products so that they can grow faster and that will be very helpful for the customers even. The
technology over time has changed and with time is still changing so the innovations can take
place better and faster because of this factor because there is a lot of which are related to the
technological factor which is making the supply and demand increase for Tesco. Digitalization
has come in the market which is a great advantage for the companies which are starting up for
the long run in the market which is a very good idea for entrepreneurs. The time consumption in
making the products and reaching the demands of the customers has reduced over time and the
technologies have made the companies run better and faster which can be used by the companies
to grow themselves in the market (Perchard and et.al., 2017).
The companies depend on the customers and meeting the needs and supplies of the
customers is very important therefore there are a lot of innovations and new strategies which are
coming up in the market so that the customer’s demands can be met. It is always better to go
with the trends the customers are asking for in the products and the feedbacks of the products
which Tesco is innovating because that will really help Tesco to innovate the product better and
make a lot of difference in the market. The decisions in Tesco are also made for the benefit of the
customers and that is a very important factor because Tesco will have to work according to the
customers and that is very important so any organization (Colpan and Jones, 2016). Time
management in the organization is also very important because the demands of the customers can
increase and reduce anytime and if Tesco has to make profit then they must meet with the
demand of the customers when the demands are high and they should be prepared for the low
demands of the customers as well because that will make Tesco get a lot of experience in the
market. For an entrepreneur the market is a total new place to explore and Tesco has to make
sure that they are doing their best for Tesco but without experience in the market it is very
difficult for the entrepreneurs to understand the market and that can turn out to be a great lose for
Tesco.

Opportunities
The opportunities of the entrepreneur to enter the market in today’s world is that there
will be a lot of support which will be provided by the governments of most of the countries
which will help the entrepreneur to make a place for themselves in the market. The government
of the countries wants to improve the GDP of their own countries therefore the government
wants that there must be businesses which start from a small scale in their own countries which
are different from the other countries so that the customers from around the world would want to
invest in their country. E-business which has come up in the present time is a very good factor
for the companies to start in any corner of the world because this can make Tesco famous in no
time and the country will be able to profit from it on a faster rate. Entrepreneurs have a great
opportunity in the market because the customers are always waiting for something new in the
market because they always want a change in the product so that they can be satisfied with the
same product but in different ways which is very important for the entrepreneur’s Tesco to
achieve that factor.
Characteristics, Behaviour and Personalities
There Characteristics behaviour and the personality an entrepreneur must have for
making the business a success are that he must be confident from outside with the decisions they
are making and they should be ready to take any risk which will be beneficial for the business.
The individuals are not going to take the risks which are required from an entrepreneur because
those The communication skills of the entrepreneur should be good because the decisions they
are making have to be told to the employees under them and the communication gap can make
Tesco have a great lose and entrepreneur is not having a Tesco which is already established but a
Tesco which has just started up which is communication is very important (Volery and
Mazzarol, 2015). The behaviour of the entrepreneur should be very professional and they must
have a great knowledge about the market so that they are sure of the decisions they are making
Tesco and that will be beneficial to Tesco or not. Individuals do not have the right behaviour,
characteristics and personality of an entrepreneur but that is why they are in school so that they
can develop themselves and make a better person out of them which will help them to grow in
the fields they want to because that is a very important factor for their life’s.

Experience and knowledge about the market plays a very important role in Tesco who
has just started because there will be new employees who will be hired who will not have so
much of experience of the market and that will not let Tesco grow (Julien, 2018). The
entrepreneur is the owner of Tesco and has to make sure that the internal and external factors of
Tesco are functioning properly which will be beneficial for Tesco. There is a lot of pressure on
the entrepreneur of Tesco and the individuals will not be able to take so much of pressure on
them which will limit Tesco form growing therefore the person has to be able to take the
pressure and have the right skills for the job.
Internal and External Factors
There are a lot of factors which influence a Tesco from growing and those factors have to
be improved upon so that Tesco will be able to capture a larger market. The innovations and new
ideas have to come in the market so that Tesco will be able to make the changes in Tesco
accordingly (Estrada-Robles, 2016). It is very important to understand the social and cultural
aspects of the area Tesco is starting the business in because those factors will influence the
products of Tesco and if the organization wants to make a profit then they will have to innovate
the product according to the customers which is very important and business has to try to go
according to the customers and not try anything new because they have just entered the market
and they will have to set a base for themselves before they start anything else. Loyal customers
will help Tesco to improve and develop in the market when Tesco will ask for the feedback's
from those customers and that will be very beneficial for Tesco and that will make Tesco have a
good market for themselves. The external factors will influence Tesco but that will come later
when business is able to make a base for themselves in the market and when the external factors
influence Tesco that time company will be able to have a lot of experience in the market and they
will be able to deal with the situations which will come ahead of them. Experience does make a
Tesco have a lot of power and the decisions which will be made will be more appropriate for
organization.
SWOT
 Strengths

Tesco is the biggest grocery store in United kingdom and having the leading market
shares in market. There are 743,000 job opportunities which are being provided by the
companies.
 Weaknesses
Tesco is having a high cost inventory and there is an operating profit decreasing in 2018.
The company has shifted to club card controversy without letting the customers know which is
having a negative impact on the customers of company.
 Opportunities
Online shopping is a great opportunity for the company because there are a lot of
customers who prefer this method for shopping. The company should invest in those companies
which are emerging in market.
 Threats
The competition is increasing in market which is making a great threat for the future of
Tesco. The food prices in the world are increasing that is another threat for the company.
PEST
 Political Factors
Unemployment in country has reduced because there are a lot of job opportunities which
Tesco is providing. Tesco follows the political changes and implement them as soon as possible.
There is a stability in country therefore they are having a stable revenue.
 Social Factors
According to the customers the trends and demands of the customers change and Tesco is
very careful about that so that the company does not lose their customers.
 Economic Factors
GDP of United Kingdom is getting better therefore it is a very good factor for them so
that they can get the right employees and customers to take their products and services.

 Technological Factors
Tesco is leading in market because they are adapting the technological changes very well
which is helping the organization improve their productivity overall.
 Legal Factors
Legal factors like labour laws and customer rights are being favoured so that they can
make the customers and the employees satisfied so that they do not have to face any loss in the
future.
 Environmental Factors
Tesco is setting steps towards reducing the carbon footprint in the world so that they can
make the environment better. Environment friend products are being delivered to the customers
from time to time.
Analysis
There are going to a lot of troubles which are going to be faced by Tesco in the start of
the business because they will not have much idea of the market and how it runs. The
innovations in the products may also not make a place for themselves in the market which is a
very important factor because Tesco wants to have an impact in the customers because they want
to have a base in the market as fast as possible which is a very important factor. Tesco must first
try to understand the market and then the customer’s wants and needs so that Tesco will be able
to set a supply and demand rate for themselves when the innovation has to enter the market
(Cumming and Zahra, 2016). The prices will also be set after studying the customer’s of that
particular area in which the product is going to be launched and that will be low or high
depending on the GDP of that area. Entrepreneurs who are entering the market have to make a
lot of efforts because they have to understand the needs and the functions of the market
otherwise they will not know how to make decisions in the market. The companies who are
entrepreneurs must have a vision, mission, objectives and a strategy in hand before they enter the
market, thought the strategies can change but the objective, mission, visions and aim of Tesco
should remain the same. It is very important analyse the market before making a product enter
the market or understand the market before so that they can make the changes in the product

which has been innovated so that if there are any more changes which need to be added then they
can be done before they launch the product (Welter and Gartner, 2016). The customers have to
like the innovation in the product because the innovation is done so that the customers like it and
if they do not then the innovation is done for nothing and the innovation is not going to be a
success.
Impact on the Growth and Sustainability
New ideas and innovations capture a lot of new market for the products and especially for
an entrepreneur it is very important because it will be easier for them to capture the market
easily. There is a need of creative solving the issues and troubles which will come in Tesco and
because entrepreneur is a new entrance in the market there will be new and better ideas to solve
the troubles in the market which will create a different trend in the market which the older
companies will have to learn. The market keeps changing all the time and Tesco which is doing
well today may not be able to do so great in the next year because the market changes with the
customers. There have to be new innovations and ideas which have to come up so that there are
more customers which are attracted to Tesco so that company will be able to have a better
market for themselves.
There is a lot of entrance of different markets entering the market recently because the
government is supporting them to enter the market but Tesco should make sure that the product
they have is unique and it cannot be substituted by any other product in the market. It is very
important to have a unique identity of one’s own self in the market so that the customers can
come to look for their product (Audretsch, Belitski and Desai, 2019). The entrepreneurs have to
promote themselves very well and the companies will have to market on a larger scale than
having to produce the product which they have innovated. There has to be sustainable growth of
Tesco which is entering the market because it is very important for the companies to have a
stable market when they enter the market so that they are motivated to work more and capture a
larger market which will help Tesco to have a better stability in the market.
CONCLUSION
Entrepreneurs must be promoted in all the countries in the world because it is making the
country grow the GDP and have the problem of unemployment reduce in the country. There is a

lot of uniqueness which can be created because of this factor which can even attract a lot of
tourist in the country and there will be a lot of investment in the country for that unique product.
The market is also getting to learn a lot more from the entrepreneurs which are coming in the
market because they have a fresh mind and a lot of ideas for the products which will help the
other companies also to innovate and put in ideas to have a competitive advantage in the market
which is very important in today’s world because the customers are changing their needs and
demands rapidly which is making the market keep changing and the companies must adapt to the
changes very quickly so that they can get a profit from the market.

REFERENCES
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