One of the world’s largest retailers operating in 12 different countries and with over 500,000 employees is Tesco PLC (Tesco, 2014). Tesco’s states their strategic priorities as to continue their investment in the strong UK businesses, establish a multichannel leadership and to pursue disciplined international growth (Tesco, 2014). In any company, strategy plays a key part in its success or failure and can be split into two types; intended and emergent. An intended approach is described as “a planned strategy designed at a senior level of management for the implementation at other organisational levels” (Witcher & Chau, 2014). Whereas the emergent approach is “a strategy where the final objective is unclear and whose elements are developed during the course of its life, as the strategy proceeds” (Lynch, 2012). In other words the intended strategy is the main plan of a company and the emergent strategy is the unplanned reaction to environmental changes. In reality successful companies need to use a mix of the two strategies, however some companies find it difficult to integrate them both at the same time. I am going to be discussing the appropriateness of strategies that Tesco have undertaken and the key drivers that have influenced their decisions.
Tesco started in 1919 when Jack Cohen used his war money to set up a stall selling groceries in the East End of London, which then developed ten years later with the opening of his first flagship store in Burnt Oak (Clark & Chain, 2014). For years Tesco was known as one of the biggest food supermarkets, but in 1974 after opening its first petrol station and then further diversifying with non-food products such as clothes and electrical in 2000, Tesco was no longer just a supermarket. Tesco had developed into a hypermarket which revolutionised the way that customers were shopping. Hypermarkets give customers the
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