Business strategy, researching tesco Essay Example | Topics and Well Written Essays - 3000 words

Business strategy, researching tesco - Essay Example It is clear that the high standards set by those in leadership and management positions at Tesco have tremendously contributed to the company’s success. The company’s ‘Every Little Helps’ philosophy ensures that its customers, the community, and company employees form an integral part of its operations. 1.1 Company Core Values and Objectives The most outstanding values of the company are its commitment to providing high standards of service and quality products to its customers by being a responsible retailer. The company continues to offer a great shopping experience to its customers who shop online or it its many other service provisions. This is manifest in the company’s desired future strategic position of reaching zero-carbon operations by the year 2050. In order to do so, the company opened the initial zero-carbon hypermarket in Ramsey in 2010, which led to Tesco winning the tribute as the Green Retailer of the Year in 2012. The continued succe ss the giant retailer enjoys depends on the reassessment and formulation of business strategies in order to remain competitive and increase profitability (David, 2011). Tesco aspires to improve customer loyalty and its core UK business base through various programs such as the club card program introduced in 1995 and is currently the most popular card in the UK. The company also continues to develop various strategies aimed at improving competitiveness and such strategies are mainly driven by price, quality, range of products and innovation. This paper examines corporate strategies at Tesco, the reasons informing each component, how vision and company values interrelate to make the strategies successful, and finally draws on a conclusion on the best alternative strategies that the company can adopt by giving recommendations based on the evaluation. 2.0 Tesco’s Corporate Strategic Position Over the years since it started operations, Tesco has developed a firm and deeply rooted strategy for growth, which is mainly focused on reinforcing the company’s core UK business operations and growth thrust in new markets. The primary tenet of the giant retailer’s strategy, formulated in 1997, encompasses the expansion of scope of operations that allows delivery of a robust and sustained long-term growth. To realize such an expansion of scope of business operations, Tesco constantly pursues existing customers with the aim of introducing them to various other Tesco products and services such as non-food, telecommunications, and financial services. Tesco’s business strategy is based on five principles including desire to remain successful in its global retail business while at the same time developing its core UK business. The company also aims to sustain its business strength both in the food and non-food sectors. Moreover, the company develops strategies that will enhance expansion of other retailing and financial services, and place its customer s and communities at the heart of its operations. 2.1 Customer Loyalty Despite the fact that Tesco Clubcard was introduced to the customers in 1995, there has been a higher degree of data collection especially over the last decade manly due to the company’s embracement of technological advances. Currently, the card can collect essential information