January 16, 2012
Technology in Decision Making
Tesco plc, founded in 1919 by Jack Cohen, is a global grocery and general merchandise retailer whose headquarters are in Cheshunt, United Kingdom. Measured by revenues, Tesco is the third largest retailer in the world after Wal-Mart and Carrefour. Team B will analyze the use of technology as it relates to pricing and promotional strategies of Tesco. In order to complete the analysis, Team B will research how technology has changed the pricing and promotional strategies at Tesco and if it has been beneficial. Technologies used in Tesco as well as possible alternate systems that could have been used will also be researched. Finally, Team B will research the legal and ethical issues Tesco must consider when pricing and promoting its products and if the organization has had past problems. Technology Changing Pricing and Promotional Strategies
As the number one retailer in the UK, technology has brought about a great amount of change in its business strategies. Tesco.com groceries have been a beneficial way in developing pricing and promotional strategies. Tesco.com provides the customer the ability to shop online and have his or her groceries delivered to them. A customer who spends $50.00 the first time they place an order will receive a $10.00 discount. Ordering online is simple and convenient so that customers shop without going over their budget. Shopping items are entered onto a list that is automatically calculated. Items are added and deleted at the customer’s discretion. Shopping on Tesco.com groceries takes a few simple steps: registering with a few details, choosing a place for delivery, buying groceries, reviewing and checking out, and then receiving one’s items at their home (Tesco, 2012). After registering with Tesco.com groceries, the customer will become a club member. A club member allows customers to save money on shopping through price-off vouchers....