The grocery retail sector has no direct substitutes for food products. Applying this tool to Tesco will reveal the firm’s competitive position in the industry.
The Porter’s five forces are useful in evaluating industry structure to determine the “sources of competitive advantage” (Thompson et al. The Porter’s five forces analysis applied to Tesco can determine the competitiveness of the industry. The retail sector thus occupies a terminal point in the downstream supply chains. Tesco’s primary industry is retail, which entails the sale of commodities in small quantities for “consumption by the buyer, not for resale” (Johnson, Scholes & Whittington 2008, p. Analysis of the Competitiveness of the Industry Based on the findings, recommendations on the best competitive strategy will be provided. This report analyses Tesco’s retail segment in its primary market of the UK, the competitiveness of the retail industry, its strategic positioning in this market, and potential marketing strategies, using Porter’s five forces analysis and SWOT analysis. We will write a custom Tesco Company’s Best Strategies specifically for youįor only $14.00 $11,90/page 308 certified writers online Learn More In Europe, Tesco has a presence in France, Hungary, Poland, Slovenia, Ireland, and the Czech Republic (Datamonitor 2010). It is headquartered in Hertfordshire in the UK, but has other outlets in Europe and Asia. The retail industry covers grocery, Tesco direct, and clothing while the finance segment includes Tesco bank and insurance (Datamonitor 2010). Tesco, Plc is a giant British retailer with a strong presence in two industries, namely, retail and banking.