Globalisation of Tesco Research Paper Example | Topics and Well Written Essays - 1250 words

Globalisation of Tesco - Research Paper Example The start of Tesco as a retailing business was not a glamorous one. They had started as a chain of market stalls, and then expanded by opening shops. Currently they are the biggest retailing store in England as they now consists of extra stores, hyper markets, metros, home plus and Tesco Express. If the current situation of Tesco is to be considered, they have dwindling profits. The main reason for that can be explained by some of their marketing strategies that backfired causing some serious controversies. The most prominent controversy involved the selling of halal meat and horse meat that was found in the burger patties being sold by Tesco. Despite these controversies when it comes to the global level, it can still be seen that Tesco leads ahead in comparison to Carrefour. Tesco is no more a departmental store, but has many other businesses under its wings. The basic reason behind the success of Tesco in the international market is its partnerships with local companies. The tactic used by Tesco involves establishing its business with local retailers so as to get access to the local masses easily without the need of creating their brand presence prior to establishment. Except for Japan, Tesco has been generating decent profits in the Asian region. Tesco however, sold its operations in Taiwan to Carrefour stating that they would concentrate in all those regions where they have a strong market. This marketing strategy would help Tesco establish a strong market presence. Another key factor that makes Tesco appealing to customers is that it sells its products under its own brand, rather than stocking products from different vendors. This makes it shopping at Tesco very appealing to the customers, for every necessity can be found at their stores (Zoratti & G allagher,