Unit 1 P1 Tesco

Tesco
Tesco is a food store, which also provides clothes, toys, toiletries, insurance etc. The main exports in Tesco are food and drink. Tesco’s purposes are to make something, sell something and provide a service to the public. Tesco make products to sell to make a profit but also they provide a service to the public because then people can buy their daily essentials from them and can also go on insurance with them to insure things that they care about.
Tesco is a large business as it has over 500,000 employees, Tesco is also global as it is positioned all around the world. Tesco is in the private sector as a public limited company as there business is to make a profit. Tesco’s industrial sector is tertiary as it sells on their products to their clients and they provide a service. Tesco has a public limited company ownership, as it’s a large privately run business. The key features of having a public limited company ownership is that they are able to trade on the stock market. Tesco’s type of liability is unlimited as businesses in the public limited company ownerships usually have unlimited liability.
The advantages of having a public limited company ownership for Tesco is that because it’s a large business and it is global which means Tesco will make large profits and has the ability to make large sums of money.
The disadvantages of being in a public limited company ownership for Tesco is that it is expensive to set up a public limited company up and there would be greater potential for problems with decision making than it would be for a sole trader owner ship.
The implications for Tesco’s business is that it has chosen the right ownership because in any of the other ownerships it would not have got as far or as large as what it is now but because Tesco is a public limited company ownership it’s choose the route to grow and become global so it can invest more in profit, and it can trade on the stock