Grocery Retail Industry - Tesco

Best Essays
Topics: Tesco, Supermarket
Contents page

Introduction………………………………………………………
Tesco’s current market …………………………………………
PEST Analysis of Tesco…………………………………………
SWOT Analysis of Tesco…………………………………………
Porter 5 forces………………………………………………………
Segmentation of Tesco customers………………………………….
Targeting of Tesco’s product………………………………………
Positioning of Tesco market……………………………………………

Marketing Module
Grocery retail industry – Tesco.

Introduction
Tesco is a popular grocery retailer which sells thousands of well know brands throughout Europe.
The first Tesco shop opened in Edgware, North London in 1929; although the creator of Tesco was a man called Jack Cohen who sold the first own-brand product in 1924, this product was ‘Tesco Tea’. Now 82 years on Tesco currently operates in 14 countries across the globe.
The name Tesco comes from TE Stockwell who was a shared partner of the tea firm which created the tea Jack Cohen sold. Therefore taking the initials ‘TES’ from Stockwell’s name and the first 2 initials of Cohen’s surname ‘CO’ this then creates ‘Tesco’.
By using marketing theories and strategies I am going to analyse Tesco as an organisation.

Tesco’s current market
The retail industry is a very competitive industry due to customers not always being loyal but being persuaded by price, quality and range of products. In order to gain customer loyalty Tesco’s must ensure they keep costs down and offer a wide range of products.
As previously mentioned Tesco’s have stores in 14 countries, the shops are built where there are high demands and where communities allow buildings to be constructed.

Location of Tesco shops
Figure 1 – World map of where Tesco shops are located in which countries http://www.tescoplc.com/about-tesco/a-global-business/ Macro-environment Analysis

Pest Analysis
Using the PEST analysis (Political, Economic, Social and Technological) this will show how Tesco works within the grocery retail



References: Porter, M. Book Competitive Strategy (1980) Porter M. (1980) How Competitive Forces Shape Strategy, The McKinsey Quartely, spring 1980, pp.34-50; Ritz (2005) Store wars, Business Review, Vol. 11, April, pp.22-23; Bibliography Tesco plc (2012): About Tesco [Online] England and Wales: Tesco stores limited. Available: http://www.tescoplc.com Essay Coursework: Guides and resources, Model answers, PESTLE Analysis for Tesco [Online] Nottingham: Angel SEO Company. Available: http://www.essaycoursework.com/modelanswer/business/help/pestle/tescos.php http://people.exeter.ac.uk/wl203/BEAM011/Materials/Lecture%204/TESCO%20Company%20Profile.pdf http://www.coriolisresearch.com/pdfs/coriolis_tesco_study_in_excellence.pdf Appendix – Porters 5 forces diagram

You May Also Find These Documents Helpful

  • Better Essays

    Industry Analysis In order to analyze an industry, it is important to determine where it is in the industry lifecycle. During the 1970's and 1980's the retail grocery industry was expanding at a phenomenal rate. Throughout this boom period, the number of large grocery stores was rising and forcing the existing" Mom and Pop" grocery stores out of the industry. In the early 1990's, the retail grocery industry began leaving the growth stage and entered the maturity stage in the industry lifecycle…

    • 1384 Words
    • 6 Pages
    Better Essays
  • Powerful Essays

    Tesco E-Grocery

    • 11620 Words
    • 47 Pages

    strategic and economic analysis of e-grocery system in tesco and Strategic and Economic Analysis of E-Grocery System in Tesco and Sainsbury ABSTRACT Online shopping and home delivery systems become most famous in recent decades. Online grocers have been testing various business models with altering results. This research study is carried out in two main grocers of the UK (Tesco and Sainsbury). This research study conducted Case study and historical data, and meta-analysis to identify current strategies…

    • 11620 Words
    • 47 Pages
    Powerful Essays
  • Better Essays

    Grocery Retail Market Analysis Grocery retailing in the US is a very mature, saturated market. Consumers will, however always need to buy food. The industry is generally a high volume/low margin market, which is made up of over 65,000 supermarkets, hypermarkets, and grocery stores combining for annual revenues of about $938 billion. The necessity of effective supply chain management, keeping costs low, has resulted in an extreme concentration of the market, where the top 20 competitors generate…

    • 905 Words
    • 4 Pages
    Better Essays
  • Good Essays

    University of Teesside | The impact of the Financial Crisis 2008 on the Tesco plc | Business Finance | | Fei LIU (K0146598) | 12/10/2010 | In 2008, the Financial Crisis had or has the huge impact on almost all industries. This report will identify that whether the Financial Crisis impact the Tesco plc or not, and explore what influences incurred. | 1 Background to the project As the global investment bank Lehman Brothers bankrupt on 15th September, 2008, the economic crisis…

    • 1395 Words
    • 6 Pages
    Good Essays
  • Good Essays

    Tesco Retail Business Analysis Tesco is one of the largest food retailers in the world, operating around 2,318 stores and employing over 326,000 people. As well as operating in the UK, it has stores in the rest of Europe and Asia. It also provides online services through its subsidiary, Tesco.com. The UK is the company 's largest market operating under four banners: Extra, Superstore, Metro and Express. Tesco sells approximately 40,000 food products in its superstores, as well as clothing and…

    • 2967 Words
    • 12 Pages
    Good Essays
  • Good Essays

    Retail Industry

    • 38006 Words
    • 153 Pages

    www.pwc.com/us/nes THE ECONOMIC IMPACT OF THE U.S. RETAIL INDUSTRY August 2011 Prepared for National Retail Federation The Economic Impact of the U.S. Retail Industry THE ECONOMIC IMPACT OF THE U.S. RETAIL INDUSTRY Table of Contents EXECUTIVE SUMMARY I. II. III. IV. V. INTRODUCTION INDUSTRY DEFINITION NATIONAL RESULTS STATE RESULTS CONGRESSIONAL DISTRICT RESULTS E-1 1 3 6 11 26 APPENDICES A. B. DETAILED STATE-BY-STATE OPERATIONAL IMPACT RESULTS DATA SOURCES AND METHODOLOGY…

    • 38006 Words
    • 153 Pages
    Good Essays
  • Good Essays

    TESCO 1) Process of Transformation Goods and services are both areas of operations, this means that they will change the state of any input into output. In order to achieve this they will need to have a transformation process according to the type of service or goods they have to offer this is all part of satisfying customer needs. Table 1.1 shows us the simple input transformation output process. Transformed Resources Materials information Customers Input transformation process output goods…

    • 2243 Words
    • 10 Pages
    Good Essays
  • Powerful Essays

    Indian Retail Industry

    • 9176 Words
    • 37 Pages

    EXECUTIVE SUMMARY Retailing is the process that involves of selling goods or services directly to end consumer for personal, non business use (Kotler, 2010). A retailer or retail store is an enterprise where they make volume majorly from retailing. Any firm selling its goods or services to the end consumers- whether it is manufacturer, wholesaler, or retailer- is said to be retailing. It doesn’t matter how the goods or services are sold (may be by person, through mail, telephone) or where (from…

    • 9176 Words
    • 37 Pages
    Powerful Essays
  • Good Essays

    Management Chosen Retailing companies to be evaluated: Tesco and Wal-Mart Introduction Why e decided to choose Wal-Mart and Tesco? Market leaders in their respective home markets, Diversified range of products, Intense international expansion. Wal-Mart: The Statistics at present: Type of Company: Public Employees: 2,100,000 Employee growth: 10.5% First store opened in 1962 by Samuel Walton and his brother J.L. (Bud) Walton in Roger, Arkansas. With more than 7,250 stores, including Wal-Mart…

    • 5411 Words
    • 22 Pages
    Good Essays
  • Good Essays

    Retail Industry

    • 5727 Words
    • 23 Pages

    KENEX A SEARCH IN RE TE ITU ST DI SC ER E ET DOCE RE [ white paper ] The Strategic Employee Survey By Jack Wiley, Ph.D., Kenexa® Research Institute Excerpt taken from “The Human Resources Revolution: Why Putting People First Matters,” by Ronald Burke, Editor A n employee survey can be one of the most powerful tools for management in assessing the effectiveness of its strategy and maximizing the potential in its human capital. Strategic employee surveys can be used in four…

    • 5727 Words
    • 23 Pages
    Good Essays