Structure and management style of the organization is flexible, flat and power is decentralized, everyone has the right to speak and the voices of the employees are heard. Focusing on their long term strategies has helped them to continue to grow stronger for the future. However, the democratic style of leadership in Tesco has made the organization continue to lead in the retail market.
Internal and External factors
Political: Since the retailing company operates worldwide, global political …show more content…
Two of the most distinct ones include the development and introduction of online shopping with facilities for home delivery. Secondly, self-service checkout points have provided convenience and ease for customers, which in turn have reduced labor costs
Environmental: With increased pressure on companies to address environmental issues and to adopt ways of operations which what would benefit society, Tesco is clearly committed to reducing its carbon footprint by 50% by 2020. Also, Tesco is minimizing the waste produced in their stores by increasing social conscience in customers.
Legal: Government policies and legislations also directly impact the performance of Tesco. For example, the Food Retailing Commission (FRC) in 2004 suggested a Code of Practice should be introduced which would ban many current practices, such as changing prices without notice or demanding payments from suppliers. To facilitate these policies, Tesco provides its customers price reductions on the fuel they purchase, in accordance to the amount spent on their grocery stores. Also, there are several promotion offers where prices are …show more content…
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