Tesco Strategic Management - Book Report/Review Example

Tesco Strategic Management 1. Tesco Organisation Approach Tesco organization approach entails implementing textbook strategic management concepts in its marketing efforts. The company combines traditional supply and demand economic concepts, specially pricing the goods at reasonable prices, with post modern day strategic management concepts. The modern day concepts include SWOT analysis, Porter’s 5 forces, and value analysis. Further, Tesco’s micro economics and macro economics policies ensure Tesco products are in demand in both the local United Kingdom grocery chain market segments and in other countries, perfectly meeting the many challenges of global marketing (Tesco, 2014). 2 Tesco Strategic Management. The naturalist Mr. C. Darwin espoused that the best animals that can strategically survive are the animals that can easily adapt to any changing environment. Mr. Darwin’s concept refutes the concept that it is only the strongest that will survive because they can easily overpower and kill the weaker animals. In this regard, Tesco’s marketing strategy entails ensuring current and future customers prefer the Tesco products and services are better than the products of its major and minor competitors. In our U.K. alone three major competitors are ASDA, Sainsbury, and Morrisons. The Tesco environment includes the government’s legal and other policy contributions (Lynch, 2012). In Addition, Tesco’s marketing strategy entails profitably managing its macro & micro environment variables (Campbell, 2011). The Tesco management implements a proactive strategic stance. Graph 1 Tesco Market Share, February 2015 The above graph shows the Tesco’s United Kingdom grocery chain market segment for the 12 weeks ending January 31, 2015. The graph clearly shows that Tesco holds the favorably 29 percent of the total United Kingdom grocery chain market segment (Portal, 2015). External_Internal Analysis SWOT_Analysis a. Strengths (Internal). Tesco is known for its proven many years of high quality products and services. The well-trained store staff ensure customers receive high quality products and services. Tesco is generated the highest revenues for the 12 weeks ending January 31, 2014. The Tesco revenues represented 29 percent of the total United Kingdom grocery chain market segment pie alone (Portal, 2015). Tesco’s 2014 accounting period generated a favorably high £ 63,557 million. The amount is higher than the 2013 accounting period amount, £ 63,406. As expected, the 2014 Tesco net profit is £ 970 million. The amount is favorably higher than the 2013 accounting period’s £24 million net profit (Tesco, 2014). b. Weaknesses (Internal). The company has some weaknesses. One of the weaknesses is the company’s prioritizing serving the needs of our local United Kingdom market segments over the market segments in the United States, Asia, and other European Union nations, despite global expansion amply set during 1990 (Harrison, 2013). Tesco’s public image had previously been damaged by the recall of certain Tesco products. One of the products contained the 2013 banned horsemeat ingredient scandal (Griffin, 2014). Consequently, many individuals fear that one or more of Tesco’s products may similarly have avoidable recallable defects. c. Opportunities (External). The opportunities include investing in Giraffe, Hoole, Harris, Hoole and other similar global market segment. Taking advantage of the opportunities increases Tesco’s overall global revenues. New global opportunities include entering the online marketing, clothing, and general merchandise market segments (Tesco, 2014). By using the internet, the company can sell its products online to clients located in another state at minimal marketing expenses (Ranchhod, 2012). d. Threats (External). Tesco continually works to resolve marketing threats. With the advent of online marketing, Tesco invests in online marketing many big and small competitors’ online marketing threats (Tesco, 2014). However, there are no new competitor threats within the saturated market segment economy. Several quarters of society used the recent horsemeat scandal to threaten possible legal action against Tesco if it does not recall the horsemeat-containing products. Consequently, Tesco must respond favorably to the external threats to prevent customer demand decline (Burke, 2011). External Environment 2.11 Macro_environement 3. PESTEL Analysis Political Tesco enthusiastically implements the diverse stricter government policies, statutes, and other political pronouncements of all the countries where the Tesco grocery stores in many countries. In the U.K., U.S. the democratic government policies ensure the free trade economy enhances net profit-generating local grocery revenues. The Tesco Company’s Group and Country_Committees ensure compliance with each diverse country’s political leaders’ prescribed business policies. The Tesco management favorably engages with the government entities to represent the Tesco clients’ side to each current and future government business-related policies (Tesco 2014). Economic The Tesco local country economic policy adheres to the supply and demand economic concepts. Local nation’s marketing policies take into consideration the residents’ purchasing power. The Tesco Executive_Committee reviews prior years’ actual economic picture as basis for creating the next accounting periods; projected net revenues, expenses, and net profit. Tesco’s Chief_Executive officers takes into consideration the local economic outlooks as basis for determining the quantity of store shelf stocks will be ordered from the Tesco suppliers. The Tesco Company’s Central_Euro Disaster_Committee observes the Eurozone economic developments as basis for enhancing current management decision processes (Tesco, 2014). Social With the population of United Kingdom being mostly baby boomers, KPMG’s retail research observed Tesco’s marketing strategies include focus on the bigger United Kingdom population of baby boomers (KPMG, 2013). To serve better the customers alone, the company set up several customer-preferred store types. The above graph shows the July 2013 statistics that convenience stores are Tesco’s top priorities, including serving the convenience needs of the current and future grocery customers (Statistica, 2014). In terms of items and quantities of each store items, Tesco continually changes its grocery stocks in order to fill the changing needs of its current and future customers. Customers often change their grocery preferences. Consequently, customers who prefer fish grocery items may shift to pork grocery items. Likewise, customers who prefer cow’s milk products during their childhood days may be advised by their medical doctors to avoid milk products for health purposes. In addition, a Christian may avoid pork grocery items when he or she shifts to the Islam faith. Medical doctors may prohibit diabetic persons from continuing their younger day’s penchant to purchasing 3 bottles of Coke products from the Tesco stores for personal consumption. Technological Tecsco’s technology driven marketing strategies ensure high demand for the Tesco grocery products and services. The online Tesco website, http://.www.tesco.com, allows the current and future customers to communicate with the online Tesco employee. Consequently, the faster online communication activity is a better alternative to the customers’ mailing their food orders through the post office. The online Tesco website delivers important information to the current and future customers. Customers can visit the company’s online site learn the company’ current customer-based marketing strategies, including policies on how to apply for a job and complaints regarding recently purchased spoiled grocery products. Consequently, customers can order their grocery items online, reducing the customers’ need to personally visit the nearest Tesco grocery store. In addition, Tesco’s very popular online loyalty card, Clubcard, marketing program ensures customers will not shift to the competitors’ products. Started successfully in 1995, the program incorporates information technology’s CRM tools to allow customers to purchase their grocery items with just a click of the internet computers’ mouse. Online communication allowed the Tesco personnel to directly communicate with the current and future customers, increasing customer loyalty. Discounts offered to online customers increased net revenues (Agnihotri, 2010). Environmental Further, Tesco offers extra reward points to customers who recycle the Tesco grocery bags and printer cartridges and old cell phone units. Such act reduces the number of grocery bags and printer cartridges piling up in the cities’ garbage bins (Dunne, 2013). For small purchases, Tesco does not use grocery bags. Tesco uses returnable plastic packaging for recycling benefits (Goodship, 2009). Tesco’s Sir Terry adhered to the zero carbon presence in 2050. The company strives to have a 30 percent lesseing of zero carbon during 2020. Likewise, Tesco will spearhead the green systems environment strategy in many countries. The company coordinates with other companies and agencies to reduce annual carbon_footprints during 2020 (Jack, 2010). Legal Tesco complies with all domestic and internal laws implemented within any country where a Tesco store is strategically located. In the U.K., the local Tesco stores implement the U.K. Groceries_Supply Practice Code. The local Tesco compliance officer is tasked to ensure compliance with all relevant laws. Tesco implements the local laws’ set up the optimum store opening hours and store closing time hours. The Tesco employees are required to comply with each country’s diverse consumer protection statutes (Tesco, 2014). Micro_Environment Porter’s_Five Forces An analysis of the structure of the industry should be undertaken in order to find effective sources of competitive advantage (Porter, 1985). Therefore, in order to analyse the competitive environment of Tesco, Porter’s five forces analysis has been used by the researcher as follows: Threat_of substitutes There are minimal threats to the grocery chain market segment. Small corner store crop up in some communities. However, the small stores do not have the financial capacity and marketing capabilities to generate the higher revenues and net profits that Tesco and other huge grocery chains generate. Such small competitors cannot sell substitute products and services of the same quality and quantity as Tesco, ASDA, Morrisons, and other established bigger grocery chains. To outsell the small corner stores, Tesco opens up small convenience stores in the vicinity of the small competing stores, taking away clients from the competing small stores. It is the Tesco small stores, Tesco Express/Convenience Stores that are taking away customers from the small cash-limited corner stores, not the small stores taking away a minimal quantity from the Tesco express/ convenience stores’ current Tesco customers (Hoover, 2011). Threat_of new competitors As of 2014, the threat of new competitors is absent. With the United Kingdom and some other global grocery chain market segments being classified as saturated, individuals and entities are dissuaded from entering the grocery chain business. In the United Kingdom alone, four major grocery chains saturate the smaller United Kingdom market segment. The other major current major competitors of Tesco include ASDA, Morrisons, and Sainsbury. Graph 2 Market Share For the four weeks ending January 31, 2015, Tesco hold 29 percent of the United Kingdom grocery chain market segment pie. In second place, ASDA garnered a lesser 16.9 percent of the total United Kingdom grocery chain market segment pie. In third place, Sainsbury grabbed a lesser 16.7 percent of the total United Kingdom grocery chain market segment pie. On fourth place, Morrisons won 11.1 percent of the entire United Kingdom grocery chain market segment. the above graph clearly shows that there are no new competitors entering the Tesco United Kingdom grocery chain market segment (Portal, 2015). Bargaining_power (buyers) The bargaining power of the buyers is high. With the proliferation of many competing products at different prices, customers can easily shift to patronizing the lower priced and better benefitting Tesco competitors’ products. By simply lowering the prices or offering discounts on “sale” days, the customers may eagerly shift to the competitors’ stores in order to save on grocery expenses. The competitors’ offering reducing the same products’ current size to a smaller size will persuade the cash-strapped customers to shift to the Tesco competitors’ stores. The competitors’ introduction of new products that offers better taste and quality than the current Tesco products will drive the current Tesco clients to the competitors’ stores. With the minimal cost of shifting to any grocery chain competitor, the current and future customers can easily try the products of any grocery chain store (Masterson, 2010). Bargaining_power (suppliers) With the proliferation of many suppliers, the suppliers do not have significant bargaining power over Tesco, Sainsbury and other grocery chain competitors. Instead, the suppliers are at the mercy of Tesco, ASDA, Morrisons and other grocery chain competitors. Tesco has the power to pick the supplier offering the lowest possible selling price. Likewise, Tesco has the power to pick the supplier offering the best quality products or services. If the suppliers will not adhere to Tesco’s purchase price offer, there is a high probability that Tesco will shift to patronizing the other competing suppliers (Simms, 2012). Intensity_ competition_rivalry Tesco must exert all efforts to overcome the very intense rivalry of its competitors. Currently, Tesco’s garnering the biggest piece of the grocery chain market segment pie is constantly being threatened by the competitors. A slight mistake, error, or poor quality product or service will drive many loyal Tesco clients towards the doors of the ASDA, Audi, and other competing stores. The issues of store selling price, product quality, product availability, and strategic marketing activities will easily persuade many grocery customers to move to new competitor, including many Morrisons loyal customers’ trooping for the first time into Tesco’s grocery stores (Spalton, 2010). Wheelan’s Societal Environment Analysis (Wheelan, 2000) In terms of market analysis, Tesco implements strategic factors to take advantage of opportunities and threats, external environment factors, effective marketing strategies must be implemented. Setting up of convenience stores, set up stores in areas where communities thrive. Offering reasonable prices prod the competitors’ clients to shift to Tesco’s stores. Tesco’s setting up convenience stores use lesser fund amounts than setting up huge grocery stores. The strategic location of many Tesco stores allows urban communities to fill the needs of the community. Consequently, Tesco uses its popularity and high quality product and service strengths to take advantage of opportunities and overcome pressing competitor’s market segment threats (Dibb, 2013). In terms of community analysis, Tesco conducts feasibility studies. The studies are used as basis for selling products. The store purchases fast moving store products in order to ensure the store shelves suffer from empty shelf customer complaints. Customer feedbacks will be used to improve the current Tesco store’s services and change the Tesco stores’ product selections to the more popular or more saleable grocery products and services. Tesco will reduce its prices to counter the competitor’s reducing their store prices. In terms of competitor analysis, Tesco implements several strategies. Tesco offers products that are not sold by competing stores at profit-generating prices. Likewise, Tesco sets up stores in areas where competitors are present in order to grab many of the competitors’ loyal customers. By taking into consideration the competitors’ store prices, Tesco offers store prices within the range of the competitors’ prices. By offering products that are far better than the competitors’ current products, Tesco is able to grab many customers from each community’s competitors (Lamb, 2010). In terms of supplier analysis, Tesco gathers supply quotes from different reliable suppliers. Only suppliers who supply high quality products and services are chosen. Only suppliers who deliver the ordered supplies on time are chosen. In terms of the prices offered by other competing suppliers, Tesco will pick the suppliers offering the most reasonable prices. In terms of government analysis, Tesco will comply with all government policies and statutes of each country (West, 2010). Offering products within the free market economy allows the customers to freely pick the Tesco products and services (Moran, 2011). By complying with the government’s business laws, Tesco continues to operate within each country’s market segment economy. This includes communicating with the government to protect and present the views of the Tesco clients in each country. The government implements the provisions of the environment protection laws of each country and respecting each country’s customer protection statutes, especially the United Kingdom Groceries_Supply Code (Tesco, 2014). In terms of interest group analysis, Tesco takes into account the preferences of different interest groups. For charity groups, Tesco contributes funds to their causes. Tesco offers high quality products to the customers group. Similarly, the company complies with the local community groups desire to hire local residents. Tesco takes care of the salary and other benefit needs of each stores’ Tesco employees interest groups. Tesco also serves the healthcare needs of the health conscious interest groups (Moran, 2011). Other Related Strategic Management Concepts Further, Daft insists that management strategies must include controlling the increasing complexity and increasing dynamism during times when there is low uncertainty and high uncertainty (Daft, 2000). In addition, management must make sense of the complex environment (Johnson et al., 2012). Making sense includes gathering former financial and operating data, implementing static sense strategies. Making sense includes planning for every possible scenario, introducing dynamic sense strategies. Making sense includes taking stock of actual environment experiences and learning to adapt to all types of grocery chain experiences, implementing dynamic sense strategies. Making sense includes decentralization of its globally located grocery chain stores, introducing static sense strategies (Ginter & Duncan 1990 of Evans, 2003). Managing the macro environment entails understanding the complexities of the global market segments. The analysis of Tesco’s macro environment entails using the global environmental changes in the crafting of environment-friendly decisions (Ginter & Duncan 1990 of Evans, 2003). Internal Environment Internal audit. Tesco’s internal audit shows very favorable outcomes. The sales for 2014 year is £ 63,000 million. The market segment positioning shows Tesco generated the highest revenues, 29 percent of the total United Kingdom grocery chain market segment for the past 12 weeks ending January 31, 2015 (Spalton, 2010). Tesco’s net profit picture for 2014, £ 970 million, indicates the company performed favorably well. The company’s marketing data indicates. In addition, the company marketing mix strategies are effectively implemented. Tesco’s allocating huge advertising funds to promote the benefits of the company’s high quality products and services at reasonable prices in many strategic populated communities, leading to Tesco holding the top revenue position in the United Kingdom market segment alone (Bowman, 2010). VMVO Vision. Tesco’s mission is to create value-filled products for current and future customers in order to gain the customers’ lifetime purchasing loyalty, increasing stakeholders interest and contributions. To ensure the mission is successfully implemented in all Tesco stores, the management officers implemented the marketing policy, “Treat all customers in the same that we want ourselves to be treated”. The policy clearly shows that the Tesco strategic policies include pampering all current and future customers with high quality services and similarly high quality grocery chain products. Another policy is to ensure the no other company will do harder to please the current and future customers. The policy vividly commands all Tesco line/staff employees do prioritize filling the diverse customers’ various grocery needs (Rafiq, 2014). Mission. The Tesco Core mission is to make matters better within a togetherness environment (Tarata, 2013). Values. Tesco’s Core values include treating the customers the way the Tesco employees prefer to be treated. Another core value is to try harder than the competitors to please the current and future customers. Tesco’s Chief Executive Mr. P. Clarke envisioned the established Tesco values ensure all line/staff employees are will keep up to their prescribed job of ensuring delivery of the highest possible quality services to the current and future customers entering each Tesco store (Tarata, 2013). Objectives. The Tesco objectives are many. One objective is to identify and maximise the talents of employees to improve customer service quality. Further, the company’s human resource department will develop the capacities of the line/staff employees to meet prescribed employee benchmarks (Reineke, 2015). Another objective is to attract highly qualified individuals into the fold of Tesco employment. Another objective is to motivate all employees to do their best in the performance of every customer-oriented Tesco task. A third objective is to acknowledge and reward employees who surpass prescribed benchmarks. Another objective is to increase current shareholder value on improving all facets of the organization, especially customer service and product quality. Lastly, the Tesco management will exert extra efforts to retain high quality performing employees by offering innovative rewards, trainings, salary increases, and promotions and other benefits (Armstrong, 2014). Tesco’s Industry. Tesco’s grocery chain industry. Clarke, Dale, & Hassanien (201) emphasized micro environment management strategies should include implementing strategies that resolve competitors’ current and future grocery chain marketing strategies. This includes measures to counter the product selections and pricing of the micro environment competitors. Micro environment management entails implementing strategies that reduce indirect sector competitors’ selling products in another market segment. For example, hungry customers may prefer take their lunch at the nearest McDonald’s fast food chain instead of buying groceries from the Tesco grocery store. Such customers may prefer eating cooked food over cooking the Tesco grocery products at home, reducing the customers’ home cooking time to allowable levels. Competitor analysis entails several questions (David, 2006/2013). One question includes “Who are the competitors?” Another question is, “where are the competitors situated”. A third question is, “what are the strengths of the micro environment competitors?”. A very important question is, “What are the micro environment competitors’ weaknesses?. Another very important strategy is, “How Tesco is vulnerable to the competitors’ diverse marketing strategies?”. Financial_Analysis Graph 3 International TradingProfits The above table shows Tesco’ global trading profit outputs for three consecutive years. For 2012, the company generated £ 1,266 million international trading profit. During 2013, the company generated the unfavorably lower £ 1,062 million international trading profit. For 2014, the company produced the unfavorably lesser £ 930 million international trading profit. There is a declining trend that should be immediately resolved/reversed (Tesco, 2014). Graph 4 Revenues The above graph 2 shows the company fared better during 2014 than 2013. The 2014 accounting period generated £ 63,557 million revenues. The amount increased from 2013 year’s £ 63,406 million figure In terms of percentage, the 2014 international trading profit shows the 2013 figure decreased by 12percent. In terms of percentage, the 2014 revenue shows the 2013 revenue increased by 2 percent. There is an increasing trend that should be continued (Tesco, 2014). In addition, Tesco’s key strengths are significant. The company’s quality products and quality services ensure Tesco stays as the top revenue generating grocery chain (Tesco, 2014). Further, Tesco key weaknesses are insignificant. The company’s focusing on the local United Kingdom market can be offset by setting up more branches in other countries. The recall of the horsemeat products repaired the temporary Tesco public image damage (Griffin, 2014). Portfolio Analysis Product Life Cycle. a. Introduction stage. New Tesco products are introduced in the different global market segments. b. Growth stage. The new product generates increasing revenues. Increasing revenues translate to increasing net profits. c. Maturity Stage. Tesco strategies entails ensuring the products retain their current grocery chain market share revenues. d. Decline Stage. Market segment saturation and obsolescence trigger a decline in the demand for some Tesco grocery chain products. Resource Competencies Value_Chain Analysis a. Inbound_logistics (Jacobs et al., 2010). The Tesco inbound strategy is to reduce inbound delivery costs to allowable levels. The continually updated Tesco supply ordering program includes the continuing addition, deletion, and suspension of some suppliers. Poor quality supplier products and unfavorable supplier delivery services trigger a dropping or suspending of the lackluster suppliers while retaining suppliers offering fast selling, fast delivery, high quality, and reasonably priced products and services to Tesco and the ultimate product and service users, the Tesco customers. The store staff’s exerting extra efforts help the customers in their Tesco purchasing needs ensure customers keep coming back for more Tesco products and services. b. Operations_management (Jacobs et al., 2010). The company’s perfectly implemented global supply chain strategies serve as models for other companies to imitate. The company uses the ERP information technology program to increase the effectiveness of the ordering, supply acquisition, inventory monitoring, store customer delivery, tracking, and other supply chain steps. c. Outbound_logistics (Jacobs et al., 2010). The company offers high quality services to its physical store current and future customers and the online current and future customers. The Tesco grocery chain stores are strategically setup to present the fast selling items at the farthest end of the stores and the slowest selling products in the front of the stores. One strategy is setting up the Superstores grocery chain format. Another very popular Tesco store format is the express lane format for the busy current and future customers. d. Marketing_and revenues (Jacobs et al., 2010). Tesco marketing strategies include espousing the compliance with green environment policies. The Tesco company’s information technology-based Clubcard marketing strategy that offers discounts and other privileges to members dissuade current and future customers from shifting to the competitors’ discount-absent products and services. e. Services (Jacobs et al., 2010). Teso grocery chain leadership is grounded on cost leadership as well as differentiation. Differentiation includes focusing on products needed by customers in unsaturated market segments. The Tesco services include self service areas catering to customers who prefer store personnel avoid pressure selling the current and future customers. Huge funds allocated to the direct marketing as well as the promotion of the grocery chain products and services. A. Value_Rarity Imitability_Organization: Value. Maximisation of scarce resources increase revenues, reduction of avoidable costs, and eliminate or significantly reduce competitors’ grocery chain market segment threats (Peng, 2010). Rarity. The grocery includes rare or hard to find grocery store items, increasing overall revenues (Peng, 2010). Imitability. The company’s continually changing marketing strategies ensure the competitors cannot keep abreast of the company’s monitoring, predicting, and supplying the current and future customers’ current and future grocery needs and wants (Peng, 2010). Organization. With the advent of on time information technology, each grocery department can acquire information needed to purchase, receive, store, and sell goods and services that fill the changing needs of the current and future customers (Peng, 2010). Organisational Structure Leadership/Culture In terms of organization, Tesco implements a hierarchy structure. Under this structure, one employee is accountable to and implements the commands of all individuals who are higher in rank than the same employee. The structure indicates an organization chart that shows the number of superiors for each subordinate employee. The culture reduces bureaucracy to allowable levels. Regular meetings are held to determine the work performance of each subordinate line/staff employee. The superiors support, train, guide, and ensure the subordinates give their best to each assigned task (Woods, 2012). SWOT Summary. Tesco’s SWOT picture is very encouraging. Tesco’s strengths (high quality products and services) help reduce its weaknesses (horsemeat scandal and focusing on local United Kingdom market segment) and eliminate threats (preventing customers from shifting to the competitors’ stores. Finally, the same strengths are used to take advantage of new market segment opportunities, increasing overall global revenues (Tesco, 2014). Option_Generation Strategic Choices The company implements strategic leadership. Tesco management effectively adapts leadership processes to the changing needs of the current and future customers, improving employee outputs. Effective leadership entails inspiring all employees to exert all efforts to accomplish organization goals and objectives (Zacccaro et al., 2004. Strategic leadership includes Tesco favorable capacity to inspire all line/staff employees and management officers to eagerly and wholeheartedly give their best efforts to meet prescribed task benchmarks and other related responsibilities leading to the surpassing prescribed organizational objectives as well as goals (Bass & Bass, 2008; Barker, 1997). Further, Tesco management must continue to use its current visionary leadership strategy to ensure actual revenues are within or exceed projected future revenues (Westley & Mintzberg, 1989). In terms of increasing overall Tesco revenues, reducing all avoidable costs and expenses, and increasing global net profits (Senge, 1990). The management officers must continue to take into consideration the culture of all parties in the preparation and implementation of the company’s current and future marketing and management strategies (Johnson et. al., 1999). Tesco organizational culture must continue to include the diverse cultures of each line/staff employees (Johnson & Scholes, 1999). Future Opportunities a. TOWS a1.How to use the company’s strengths to diffuse or avoid all threats. Tesco uses its practice of selling high quality products and services overcome the competitors’ threats. The company’s high quality products and services dissuade customers from shifting to the competitors’ stores. Offering high quality products and services entice the competitors’ customers to patronize Tesco’s stores (Gillespie, 2010). a2.How to use the company’s strengths to take advantage of opportunities. Tesco allocates huge funds to investing in new opportunities (Martin, 2010). The opportunities will increase Tesco’s overall revenues. The new opportunities include marketing Giraffe, Hoole, Harris, and Hoole products. In addition, Tesco’s new opportunities include entering the global online marketing, clothing, and general merchandise market segments (Tesco, 2014). a3.How to use the company’s strengths to remove or reduce weaknesses. Tesco recalls all horsemeat products to clean its damaged image. Tesco is setting up more stores outside our United Kingdom to eliminate another weakness, focusing more marketing efforts to the local United Kingdom market segments (Thompson, 2010). a4.How to minimize weaknesses and evade threats. To reiterate, Tesco uses its popularity as the best source of quality products and services to minimize its current weaknesses and evade current and future competitors’ threats (Dibb, 2013). Conclusions & Recommendations Based on the above discussion, Tesco must continue to implement its currently effective company strategies. Tesco must use its strengths to resolve all weaknesses, threats and profit from opportunities. Tesco must implement strategies focused on political, economic, technology and other factors. Evidently, Tesco profitably maximized its scarce human and material resources to generate high customer demand, revenues, and net profits. Evidently, the discussions validate my implemented approach to affirm Teco should continue to implement its viable strategies. References: Agnihotri, R. (2010). Effective Sales Force Automation. New York: Business Expert Press. Armstrong, M. (2014). Armstrong's Handbook of Human Resource Management. London: Kogan Page Press. Barker, R. (1997). How Can We Train Leaders if We Do Not Know What Leadership is? Human Relations , 50 (4), 343-362. Bass, B., Bass, R. (2008). The Bass Book of Leadership. New York: Free Press. Bowman, D. (2010). Market Response and Marketing Mix Models. London: Now Press. Burke, R. (2011). 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