Sample for Fom

1.0 INTRODUCTION

In our research report, we aim to understand how Tesco UK does their marketing activities.

The marketing activities include the way Tesco UK does their segmentation, targeting and

positioning (STP) so that they can know where to concentrate their commercial efforts. By

doing so, the organisation’s resources can be effectively and more efficiently utilised. Not

only that, we also look into Tesco UK’s assessment of current situation with respect to the

marketing environment which consists of economic, competitive, technological, sociocultural

and political and legal forces. This assessment is done to enable Tesco UK to modify their

marketing strategies and plans so as to stay relevant in this ever dynamic environment.

Lastly, analysing the creation of Tesco UK’s marketing mix: product, place, price and

promotion that strives to match with the needs of their customers in the target market.

2.0 COMPANY BACKGROUND

Tesco UK, United Kingdom, is one of the entities under the group, Tesco plc. The core

business of Tesco is in UK although they have expanded to all the other places such as

Eastern Europe and China, Malaysia, Thailand and Japan. Tesco UK is a British

multinational grocery and general merchandise retailer. Aside from groceries, household or

even electrical items, it offers also services such as banking, insurance and telecom. It started

trading in 1924 by Sir Jack Cohen. To date, it has 2715 stores with around 290,000

employees in the UK, making it to be the core business contributing to the group. Around

60% of the group sales and profits come from the UK operations. Since March 2011, Richard

Brasher was appointed to be the Chief Executive Officer for the UK operations. Tesco’s

philosophy is to deliver great shopping experience to its customers in every store that they go

to. They believe in “Every Little Helps” and reward its customers with more savings in Tesco

when they use its Clubcard (a Tesco customer loyalty...