1.EXPLORE THE ORGANIZATIONAL STRUCTURE AND CULTURE WITHIN ORGANIZATIONAL ENVIRONMENT 1.1
Organizational structure refers to the way in which people and jobs are arranged within the organization in order to assist the organization in meeting its goals and performing its tasks. Typical organizational structures include hierarchal structures, strategic business units and simple structures. Tesco operates using four strategic business units – Core UK, which handles United Kingdom grocery operations, International, which handles international holdings, Non-Food, which handles sales of electronics, home goods and other non-food items sold in Tesco Extra and other stores, and Retailing Services. The stated strategy of Tesco’s International SBU includes elements of flexibility, local operations including customers, cultures, supply chains and regulations, focus on a few countries, multi-format offerings in order to meet the needs of the local market, capability in people, processes and systems, and brand-building to create lasting customer relationships (Tesco 2008). All of these elements can be seen in Tesco’s expansion into the United States in late 2007.There are all aspects of the store’s marketing and design were custom-tailored to the market region in which they were opening. The name, Fresh and Easy, was intended to take advantage of Californian culture and values. Their product offerings within the store, with a strong emphasis on fresh fruits and vegetables, natural and organic foods, were intended to not only appeal to the tastes of the local culture but also to fill a gap in the current supermarket offerings within the region. The locations, which are primarily urban, small footprint locations in city centres and underserved neighbourhoods, are intended to not only take advantage of the chance to enter an underserved market but also to fit the market needs of the surrounding areas and to integrate seamlessly into the neighbourhoods. The formal system of work...
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