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Tesco Analysis

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Tesco Analysis
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Strategic Management of TESCO supermarket: PESTLE analysis, Porter 's 5 Forces analysis, Critical success factors, SWOT Analysis, VALUE CHAIN analysis, TESCO 'S strategic options, Core Competences & Cultural Web.

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I INTRODUCTION
The food and drink retail sector represents the largest industry in the UK, providing employment for over three million people in primary production, manufacturing and retailing. In 2003 retail accounted for 9% of gross domestic product (Datamonitor, 2003). In recent years UK supermarkets have come under increased scrutiny over their treatment of suppliers, particularly of own-label products, yet the development of strategic supply networks has been an integral part of most supermarket strategies for the past decade.

The report below provides an insight into the supermarket company, Tesco, with emphasis on its external environment analysis and company 's analysis of resources, competence and culture. Two future strategic options are suggested in regards to the resources based strategies.

Tesco is one of the largest food retailers in the world, operating around 2,318 stores and employing over 326,000 people. It provides online services through its subsidiary, Tesco.com. The UK is the company 's largest market, where it operates under four banners of Extra, Superstore, Metro and Express. The company sells almost



References: Balchin A. (1994) Part-time workers in the multiple retail sector: small change from employment protection legislation?, Employee Relations, Vol. 16 Issue 7, pp.43-57; Clarke I., Bennison D Datamonitor Report (2003) Food retail industry profile: United Kingdom, January; Datamonitor Report (2003) SWOT Analysis Tesco PLC, July; Datamonitor Report (2003) Company Profile: Tesco PLC Analysis, October; De Toni A Drejer A. (2000) Organisational learning and competence development, The Learning Organization: An International Journal, Vol. 7 Issue 4, pp.206-220; Finch P Flavián C., Haberberg A. and Polo Y. (2002) Food retailing strategies in the European Union. A comparative analysis in the UK and Spain, Journal of Retailing & Consumer Services, Vol. 9 Issue 3, pp.125-138; Graiser A Johnson G. and Scholes K. (2003) Exploring Corporate Strategy, 6th ed., Prentice Hill: London; Lindgreen A MarketWatch (2004) Company Spotlight: Tesco, Datamonitor, September; Mintel Report (2004) Food Retailing –UK, Retail Intelligence, Nobember; Myers H. (2004) Trends in the food retail sector across Europe, European Retail Digest, Spring, Issue 41, pp.1-3; Palmer M Porter M. (1980) How Competitive Forces Shape Strategy, The McKinsey Quartely, Spring 1980, pp.34-50; Ritz (2005) Store wars, Business Review, Vol Balchin A. (1994) Part-time workers in the multiple retail sector: small change from employment protection legislation?, Employee Relations, Vol. 16 Issue 7, pp.43-57; Clarke I., Bennison D Datamonitor Report (2003) Food retail industry profile: United Kingdom, January; Datamonitor Report (2003) SWOT Analysis Tesco PLC, July; Datamonitor Report (2003) Company Profile: Tesco PLC Analysis, October; Datamonitor Report (2004) Company Profile: Tesco PLC Analysis, November; De Toni A. and Tonchia S. (2003) Strategic planning and firms ' competencies: Traditional approaches and new perspectives, International Journal of Operations & Production Management, Vol. 23 Issue 9, pp.947-976; Dennis C., enech T Desjardins D. (2005) Tesco strategies turn up competitive heat in UK, DSN Retailing Today, 2/28/2005, Vol. 44 Issue 4, pp.4-6; Drejer A Finch P. (2004) Supply chain risk management, Supply Chain Management: An International Journal, Vol. 9 Issue 2, pp.183-196; Flavián C., Haberberg A Graiser A. and Scott T. (2004) Understanding the Dynamics of the Supermarket Sector, The Secured Lender, Vol. 60 Issue 6, November/December, pp.10-14; Guy C Guy C. (1994) Grocery Store Saturation: Has It Arrived Yet?, International Journal of Retail & Distribution Management, Vol. 22 Issue 1, pp.3-11; Hammett S Hogarth-Scott S. and Rice S. (1994) The New Food Discounters: Are They a Threat to the Major Multiples?, International Journal of Retail & Distribution Management, Vol. 22 Issue 1, pp.20-28; Johnson G Joost W. (2005) Supply Chain Integration in the Food Industry, Executive Outlook, March 1, pp.20-27; Leathy T Martinell E. and Sparks L. (2003) Food retailers and financial services in the UK: a co-opetitive perspective, British Food Journal, Vol. 105 Issue 9, pp.577-590; Mintel Report (2004) Food Retailing –UK, Retail Intelligence, Nobember; Myers H. (2004) Trends in the food retail sector across Europe, European Retail Digest, Spring, Issue 41, pp.1-3; Ogbonna E Okumus F. (2003) A framework to implement strategies in organizations, Journal of Management Decision, Vol. 41 Issue 9, pp.871-882; Palmer M

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