SWOT Analysis of Tesco Plc: A Business Development Presentation

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English Academic Skills 2

Table of contents
Slide 3: Strength of TESCO
Slide 4: Weakness of TESCO
Slide 5: Opportunities of TESCO
Slide 6: Threats of TESCO
Slide 7: Conclusion
Slide 8: Reference list
Slide 9: Thank You

Introduction
A SWOT analysis is a strategic planning practice that is done in order
to analyse the internal factors affecting the working functions of the
company. SWOT consists of four factors such are Strength,
Weakness, Opportunities, and Threats. It is intended to determine the
objectives of the organisation of the business or project and which
are affected by the factors in various ways. Strength is a
characteristic which provides benefit to the organisation over others.
Weakness is the characteristics that highlight the disadvantages of
the organisation related to others. Opportunities are the factor in
which the advantages can be expanded to develop the business.
Finally, threats are the external factors that can influence the
functions of the organisation in a negative way.
TESCO is the leading retail company in the UK. The company was
founded by Jack Cohen in 1919. The company has numerous
superstore, supermarket, and hypermarket and convenience shop all
over the world (Tesco.com., 2019 ). In the study, a SWOT analysis
will be done on the TESCO Company and its functions.

SWOT Analysis on TESCO Plc
Strength:
• TESCO Company has won numerous
awards for its excellence in the retail field
such as British’s Favourite Supermarket,
The Grocer’s Own Label Food and Drink
Awards, The Grocer of the Year
• The company has a huge cash reserve and a
wide range of property which strengthen its
financial condition
• TESCO is the largest and most profitable
retail company in the world.
• Brand quality of this retailer has a significant
name for its products and services

Weakness :
• TESCO does not research much in order to gain competitive
advantages on other retail company such as Argos, Sainsbury
• The company is highly dependent on the market in the UK
and Europe for its sales and the market in other countries
may have that advantage to build their own business without
any competitions
• Competitive pressure has forced retailers in price wars. As a
result, the company may face a reduction in their profit.
Hence, TESCO should focus on implementing other activities
in their mechanism in order to gain that profit again (Peng,
2018)

Opportunities:
• TESCO has recently introduced Jacks, a new
discount store. The store has opportunities to
grow competing with other low-cost company
such as Aldi and Lidl
• TESCO has built a strategic partnership with
other reputed companies and that can give
opportunities to offer more products and gain a
massive number of customers

Threat:
• TESCO Company has faced social media backlash after
launching the Christmas advertisement in 2017. The
people boycotted the company for disrespecting the
Christmas faith
• TESCO has faced a legal threat preceding the fake farm
brand name, Woodside Farms
• The brexit referendum is the biggest threat for the
company as Britain has shifted from the EU and that can
be a threat for TESCO in cost structure

Conclusion
• The study concludes that there are several factors
that affect the functions of an organisation in terms
of internal and external environment. Strengths
shows the advantages of the organisation,
weakness highlights the disadvantages,
opportunities are the expansion of the strength and
threats are basically the competitions of an
organisation. Hence, in order to expand business,
an organisation should focus the factors and
should take different steps to deal with them.

Reference list
• Oner, M., Ustundag, A. and Budak, A., 2017. An RFID-based tracking
system for denim production processes. The International Journal of
Advanced Manufacturing Technology, 90(1-4), pp.591-604.
• Peng, S., 2018, November. The Status and Countermeasures of Rural E-
commerce in Shandong Province Based on SWOT Analysis. In 2018
International Conference on Economy, Management and
Entrepreneurship (ICOEME 2018). Atlantis Press.
• Rauch, P., Wolfsmayr, U.J., Borz, S.A., Triplat, M., Krajnc, N., Kolck, M.,
Oberwimmer, R., Ketikidis, C., Vasiljevic, A., Stauder, M. and Mühlberg,
C., 2015. SWOT analysis and strategy development for forest fuel supply
chains in South East Europe. Forest Policy and Economics, 61, pp.87-94.
• Tesco.com. (2019). Tesco :: Online Groceries, Banking & Mobile Phones.
[online] Available at: https://www.tesco.com/ [Accessed 20 Mar. 2019].