Marketing is a process which is used by the organization to communicate about the products & services which are sold by them in market. This is one of most effective process which can be used by the company to generate higher performance in target market. Marketing leadership can be explained as process in which organization used to develop a team which is consists of different specialist who can help company to develop effective strategies that can help organization to keep operations competitive in target market. Marketing leadership actions are goal oriented and customer focused(Peters, Kallmuenzer and Buhalis, 2019). Marketing leadership can be explained as process in which main focus of organization is on marketing operation to meet targets and attend new opportunities. This study is about Tesco PLC that is considered as one of largest retail sector organization in United Kingdom. Tesco PLC was founded in year 1919 at Hackney, London UK. The founder of organization was Jack Cohen. There are total 6800 stores are currently operated by company in global market. The growth of organization is considered as key to the marketing to the organization. It the organization is growing in international market than it can promote the organization in new areas and it will help the marketing department to promote company. It also can improve the performance of organization in global market. This report will be explaining management of business growth in international market. Mainly this study is based on market research and organization research to manage the growth and development of company in global market to create opportunities. For this process various tools and techniques and processes and methods will be used to develop better research that can be used by organization to implement various required changes in operations of marketing department. The data collected from research work will be used on different perspectives to develop better overview of organization practices that will be effective for growth of company in target market.
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There are different resources can be used in order to gain information regarding operation and performance of company in market place. The resources that are available to the organization are authentic and verified from authorities. Mainly in this study two type of data is used to develop better overview about the business organization in international business environment. The resources that are used in the research process are from secondary data collection process and other resources are published by different researcher and market analysing companies.
In this research process internal external and public data is used to analyse the performance of company. In the internal data mainly performance data, communication efficiency, recruitment, attitude of people and retention policies of the company are considered in order to evaluate the internal capability and performance of firm. This aspects of organization are analysed using documents that are published by organization in public domain(Medlik, 2016). For example sales data and headcount is used to analyse the performance of organization in target market. Operating statement can be used to analyse the effectiveness of operation of organization. Profit forecast, cash flow statement and management information system can be used to analyse the effectiveness of Tesco PLC in target market. In this process secondary sources also will be used in the research process where operational data strategy and industrial data can be used to analyse the information about the performance and stability of company in market place. It is how the information that is used in the research process is effective and robust. So, this information is suitable to perform evaluation of organization performance in respective market.After the data collection process data triangulation will be performed in order to develop better result for company.
This is also important for the company to effectively analyse the data to get better result with the research process. When only few resources are used in the research process then it can reduce the effectiveness of the research process. Wide range of resources can be used to get better and precise result for the organization(Barone, 2016). This assessment process can help organization to find possible opportunities and issues which are affecting their performance in market place. These analysis process is also effective to get the information about the customer perspective. Wide range analysis can provide different type of information that can be productive for organization. There are different market research techniques can be used by the organization to analyse the data from wide range. The most common processes and data collection process that can be used by researcher in market research process are- market survey, focus group analysis, personal interviews, observations and field trials can be used by organization in data collection and market research process. These are best effective techniques that can be used by the organization.
Market Scanning is considered as a process in which organization keep track on the market activities and trends that can affect the performance of organization. for this process organization can use various techniques that are mostly includes range of software that are designed to keep track on market conditions and analyse small changes and reasons that are causing these changes.
Market Size- market size that is open for organization is unlimited. Tesco PLC can target any country and continent for business extension. Also Tesco PLC is currently operating in market countries. Some of market like East Asia could be considered as new opportunity for business.
Competitive Strategies- Possible organization strategy for the organization can be analysed by Ansoff Matrix. According to Ansoff Matrix Tesco OPKLC can use four different business strategies to improve their business market place. These strategies are-
Market development- launch existing product in existing market can be used for business extension.
Diversification- New product can be launched in new market to increase customer base.
Market Penetration- By performing marketing in existing product in current market can improve the sales of organization.
Product Development- By developing new product in existence also can help to acquire new market place.
From above strategies Tesco PLC can use Market development, Diversification and product development in order to meet their business and growth management in international market.
There are different strategies can be used by the organization to increase market share. This can be performed by implementing different business and market strategies(Tunberg and Anderson, 2020). For example digital marketing and product development can allow the organization to increase their market share in target market.
There are different positioning strategies can be used by Tesco PLC in market place. For example Product improvement, product price, Quality of Product and competitor product. By focusing on this process company can improve their positioning in target market. From these positioning strategies organization can use- improvement of product quality and product feature to increase their market share.
As per the perceptual map, positioning that is acquired by Tesco PLC is low cost strategy in which organization is trying to offer products to customer at low cost. It cannot be considered as effective strategy to improve the performance in market place(Behl, 2019). Tesco PLC can use hybrid business strategy to gain better positioning in market place. For example by improving quality of products larger customer base can be acquired.
Share of Voice
The advertisements that are used by organization are effective as compared to organization. Tesco is one of the largest retail store in UK so number of a lot of advertisements are used by them in market place. Digital advertisements can be used by firm to marketreach to larger customer-base. For example mobile marketing process can be used by company to access larger market-place.
There are various procedures are used by the organization to make their product or service attractive. The business strategy of organization is based on long term profit goals. Along with this company is also focusing on short term profit to earn larger profit in operations(Keller, 2017). For example different attractive offers and sales are conducte4d by organization to improve their sales regularly. This is how organization is also focusing on increase their attractiveness in market place. It can be justify by the policies and current position of organization in United Kingdom market.
Tools like GE matrix can be used by the organization to evaluate the effectiveness of its business units. By this process company can evaluate that which business unit is more profitable for company. By this process Tesco PLC can manage their investments in different business unite it also can help the organization to improve their overall profit.
PESTEL is known as acronym of six different external factors that can affect the operations of firm in market-place. These six external - factors that are need to be considered by business organization are- Political - factor, Economic - Factor, Social - Factor, Technological - Factor, environmental - Factor and Legal - Factor. These factor can somehow affect the operation and business process of company. By analysing these factors firm can take effective decisions that can improve the business strategy of organization in target market.
Political - factor
Economic - Factor
Social - Factor
Technological - Factor
Legal - Factor
Porter Five Force Analysis
Porter Five Force Analysis is explained as one of the most effective tool that can be implemented by the management of company to evaluate the competitive positioning of organization in market place. Porter five force analysis is also known as competitive analysis. In this process five different forces are analysed to analyse the positioning of company(Drotski and Okanga, 2016). Five forces that are analysed in the porter five force analysis are-Threat of New Entrant, Bargaining Power of Customer, Bargaining Power of Supplier, and Threat of substitute and Rivalry between Existing Competitors. These factors are need to be considered by organization to reduce threat of failure in market and develop different actions that are effective for organization in market place.
Social Media Monitoring
In current time this major trend in international market that organizations are using social media for marketing and promotion process. In this process organization can measure traffic on their page and clicks on their content to evaluate their performance on social media. Social media also can be used by the organization to evaluate the performance and strategies that are used by organization. This process can help organization gain higher productivity in market place.
Market Analytic Tools
There are range of market analysis tools are used by organization to get better information about the changes in market place and evaluate the current trends in market place. Mainly these tools are software that are developed by organization to analyse the business environment in national and international market(Duane and O’Reilly, 2017). The slight change in market place is tracked by these software to provide better overview to organization. In this process actions taken by competitors and change in customer requirements are also considered to keep organization productive in global market. This is how various operations are performed to analyse the market conditions to take productive and effective actions for organization.
Political- Political decisions also can affect the operation and performance of company in market place. For example Brexit is one of major factor that has affected the performance of organization in UK market. This factors are important for organization to considered by considering the changes that are made by government organization can keep their operations as per the rules and regulations and it can improve the performance of company in target market.
Economic- Changes in tax and market crisis situation can affect the performance ion market place. For example the economic crisis due to Covid 19 Pandemic can reduce the marginal profit of company(Bogoviz, Sozinova and Ostrovskaya, 2018). This factor also consists of changes in national and international economy. In this process changes in local and international taxes are considered by organization to get better overview of economic condition and take effective action for organization. Organization have to take respective action to keep actions of company economic and productive for company.
Social- UK market is full of opportunities due to its high population diversity, higher education level and high per capital income. These factors are offering better conditions to company in UK market. The local conditions in UK are highly positive for company. High population density, education level and high cultural diversity can allow the organization to develop different opportunities that can improve the growth and development of company in target market.
Technological- The technology which is use by Tesco PLC is most advance in retail sector industry so it can improve the productivity of company(Wu and Huang, 2017). The technological factor can be divided in here different factor which are- current technology of company, technology used by competitor and technological development in global market. Existing technology of Tesco PLC is really effective. Technology that is used by competitors is not that effective as technology of company. Current technology that is used by Tesco PLC is compatible with new change and updates in technology. So, in technological perspective Tesco PLC is highly effective and operations that are takes by company are also productive.
Environment-This is major factor that can affect productivity of firm in market. Organization need to keep their operation sustainable in order to keep organization running successful. This is highly required for organization to implement various technology and process that are sustainable and good for environment. In this process organization have to consider environment protection act to reduce the impact of environment factor on profitability and productivity.
Legal- This is most important for company to keep their operations legal and as per government policies. For example financial scam and frauds can affect the image of company in global market. There are legal troubles are faced by company in international market that are not good for company and its reputation in market place(Tolani,Pugalia and Shrivastava, 2020). These legal troubles can affect the brand image of Tesco PLC in global market. This is important for organization to keep their actions productive.
In the porter five fo4rce analysis there different factors are considered in order to evaluate the competitive positioning of organization in market place. Forces that are analysed in this process are-
Threat of New Entrant- This threat is low for Tesco PLC because it is already well established in UK market. This condition can be improved by making effective market entry strategy.
Threat of Substitute- This threat is very high for Tesco PLC because Sainsbury and ASDA are major competitors of company in target market. They are working with similar products and services. This threat can be avoided by developing quality of products & services to make more useful to people who will buy it.
Bargaining Power of Customer- This threat is moderate for Tesco PLC but it is important for the organization to make customer engagement and relationship effective to maintain market share because customer have options like ASDA and Sainsbury. This issue can be reduced by providing better and effective services to customers.
Bargaining Power of supplier- This threat is low for company because most of products are prepared by organization itself and there are more supplier organization that can help to maintain balance between supply and demand(Bititci, 2016). This threat can be reduced by increase number of supplier of goods and services.
Rivalry in Existence Competitors- This threat is also high for Tesco PLC because there are more competitors are there in market that are providing similar services to customer in market - place. This threat can be reduced by improving products & services.
Micro Factor Analysis is considered as factors that are exists inside the organization. These factors are need to be considered by organization to evaluate their internal capability. This process of internal factor evaluation can help the organization to take effective decision related to operational and management strategy. Main internal factors that are considered by organization are- Suppliers, Retailers and Customers(Illiashenko and Strielkowski, 2016). These are most important factors that are need to be considered by organization to evaluate the internal capability of organization. Strong suppliers can help Tesco PLC to manage their inventory effectively. Effective retailer can help the organization to maintain effective and high sales in market place. The last and most important micro factor is consumer base. This is highly important for company to maketheir customers satisfy in order to generate higher productivity in market -place. Along with this internal factors other technological, physical and human resource capability of organization arealso analysed in the internal factor. These factor should be profitable for company to stay competitive in market place.
Legislation for Sector
There are certain legislations are need to be followed and fulfilled by firm to keep their business productive for market place. This is important for the business firms to follow all the laws and legal advice in order to keep their operation legally correct(Yeo and Park, 2018). This can help organization to reduce the legal issues to organization. In this process some considerations that are used by organization are- all statutory and acts are need to be considered by organization to keep their operations legally correct and productive. This is also important for organization to analyse current changes in legislations to make required changes in business processes and actions. This is how it is important for organization to keep their actions productive and free from legal troubles.
Retail sector is completely different from other business sector.in other sector organization directly deal with customers and deal with them face to face. There are different challenges are faced by organization in Retail sector. Some of main challenges are- dealing with customers is sometimes critical for organization. Organization also have to consider real time situation to improve their performance. This sector is completely driven by the customer needs and requirement.
Characteristics of Retail Sector
Size of Retail Sector
Value of UK retail business is around 394 Billion. There are total 208760 retailers in UK. Total number of outlet in UK are 306655 and it is 5% of the GDP of UK. The annual growth rate of retail sector in around 10%.
Tesco PLC is publically shared company. It is a public sector organization whose share are hold be shareholders and leaders of company(Kok, 2020).It is a large size organization that is performing business in different countries.
Customer Decision Making Process
The process of buying product or service by a customer can be explained as customer decision making process. There are 5 different stages can be defined in process of buying goods from an organization. The five steps are followed by customer are-
Recognize Need- At this stage customer face trouble of recognize need of buying something that can help them to solve the problem that they are currently facing.
Information Gathering- As customer recognize need or find out a problem they start searching for products and services that can provide solution(Stokoe, 2019). They look for various options available in market place.
Analysis of Options- In this process short listed options are compared by customer to finalise one of product to solve their problem to fulfil their need.
Purchasing- At this stage customer purchase a product that is most effective alongside other products.
Post Purchase Experience- This stage is known as post purchase stage where customer evaluate the effectiveness of product or service that is purchased by them.
This is how specific process is followed by customer to purchase a product or service.
Channel is considered as a process that is used by the organization to deliver goods and services to the customer in effective manner. There are two main channel are used by organization in order to deliver goods and services to the customer. These channel are direct channel and other is indirect channel. Tesco PLC is using direct channel to provide services to the customers.
Roll if Channel
Main role of channel is to develop a process that can be used by organization to deliver goods and services to customers(Keiner, Koll-Schretzenmayr and Schmid, 2016). Main role of channel is to develop specific process or system that can improve the delivery of goods and services in market place.
Challenges in Direct Channel
Role of Emerging Digital Technology in Channel
Digital technology has improved the effectiveness of direct channel process. It has provided range of facilities to retail sector organization to manage transaction data more effectively. Most of organizations are currently using digital technology to manage their supply chain easily. This is how emerging technology are productive for organization like Tesco PLC.
There are range of processes are implemented by company to maintain effective communication with customers. There are various communication technology and processes are used by firm to improve productivity of company.
Integrated Marketing Communication
This is considered as most effective marketing communication process that can be used by company to improve their productivity in market - place. This is quite different from the traditional marketing process. Business organization uses various processes in order to perform marketing of their products and services. In integrated marketing communicating process all the communication technologies and processes are used in combined or integrated manner in order to get better response from market place(Handy and et. Al., 2020). In this process range of communication technologies are integrated by the organization to improve the effectiveness of the marketing process.It is latest process or concept that is used by the organization to perform marketing in effective way.
This is also one of concept that is used by the business organization to improve the relationship with customers. The main objective of this process is to know the needs and requirement of the customer. The messages that are tailored as per the requirement and needs of customers. This is a strategic and long term process that is implemented by the company to gain higher performance in market –place(Komakech and Magara, 2018). There are 4 key groups are considered in this process which are- Customers, suppliers, internal markets and stakeholders. The main purpose of relationship marketing is to ensure reliability, responsiveness, assurance and empathy to the customer. This is how over all process of marketing communication can be improved.
There are different type of media is used by organization for marketing purpose. The selection of the media channel is depended on the segmentation process of the company products and services. The selection of media is also based on the competitive strategy that are develop by organization to perform in market place. Main media types that can be used by organization in marketing processes are- TV, Radio, Newspaper, Direct Mail, infographic and social media. These are most common media process that can be used by organization in marketing process.
This is important for Tesco PLC to create value to the firm in market - place. This is important for them to improve the performance in market. Some of most used processes that can be implemented by organization to add value to organization are- By providing better customer services to customer, increase investment to improve the business of organization, save resources also can create value to organization. Talent management is also one of process that can be used by the organization to improve the effectiveness of business value in target market. Organization also can use cost cutting strategy and outsourcing to improve the value to the organization’s products and services.
ROI can be explained as process in which the profitability of organization can be evaluated. This is also known as return of investment. ROI is explains as the ratio net profit to organization and total investment that is made by organization in business process.
The business of organization can be measured over six different levels of profitability. These level of profitability are- start up, Rapid Growth, Maturity, Decline, rebirth or death. From starting to the end productivity of organization can be rated on this measure. Currently Tesco PLC is in maturity level.
There is high competition is faced by organization in market place. There are different organization are providing similar services which are sold by Tesco PLC. The organization like ASDA and Sainsbury are major competition to organization in market place.The growth of organization is dependent on the level of competition in market place. If competition is low then organization can effectively grow in market place.
Tesco PLC can use different business strategies to stay competitive in market place. Some of the most creative strategies can provide higher productivity to the organization in market. According to Bowman’s strategic clock there are eight different competitive strategies can be used by organization to perform business effectively(Koushik, 2019). Some of main business strategies that can be used by organization are- Low-price-low-added-value, low-price, hybrid, differentiation, focused-differentiation, risky-high-margin, monopoly-pricing and loss-of-market-share. These are most common strategies that can be implemented by organization in market place. From these strategies organization can use hybrid and differentiation top gain higher productivity in market place.
The impact of organization culture is high on the productivity of company in market place. As per hand’s cultural model there are four type of organization culture are possible. These cultures are role culture, person culture, task culture and power culture, in Tesco PLC Power culture is used. This is important for the organization to control the actions that are performed with in the work place. In this culture operations within company are controlled by senior management level. This can reduce the pressure on employees and improve the performance of company in market place. This culture can improve the performance of organization in market place.
It is important forcompany to have capability to respond to the changes in the market place. This is basic business concept that can be implemented by company to keep their business productive in market place. By responding to the change in market place higher productivity can be generated. The management and leadership of organization is highly flexible and this flexibility can improve the performance of company in target market. The system that is used in Tesco PLC is compatible to accept change in market place. The technologywhich is used by company is also effective that can improve the change management process in organization.The resources that are available to organization are also effective to implement change in company.
As explained above organization can use differentiation or hybrid business strategy to grow sustainably in market place. In hybrid organization can perform research to improve the value of company product and keeping price of product effectively low. In differentiation strategy company can implement specific marketing-process to improve their sales in market-place.
This process is used by the organization to ensure that all the policies, organization standards and procedures are effectively followed in organization. This all about practical guidance that can improve the performance of organization in market place. By implementing effective change management process effectiveness of organization’s operation and standards can be improved.
There are different considerations are need to be considered bycompany to keep their business productive in market-place. Main purpose of this process is to provide better experience to customer. Operations of organization are focused on the customer needs and experience. By this process higher productivity can be achieved.
Organization can use different type of strategic partnership in market place. These partnership can improve the productivity of company in market place. For example organization can use outsourcing, business consultants and strategic alliances in international market to look for new opportunities in market-place. These processes can be used by company to gain higher productivity in market-place.Strategic partnership is most effective process to gain competitive advantage in market place.
Organization structure is important to keep operations of company highly focused and targeted. There are different organization structures can be used by organization to maintain better control in actions and operations. There are three different structure are mainly considered by organization. These structures are- Hierarchical structure, flat structure and matrix organization structure. These are most effective structure in market place. Tesco PLC can use Hierarchical structure to gain higher control on operations.
Organizationand use different type of data to improve their productivity in market-place these processes can be implemented by the company to gain competitive-advantage in market place.For example primary and secondary data can be used to make effective changes in business processes.Different market research and real time info4rmation collecting tools can be used by organization to make required changes in business operations(Koushik, 2019).By analysing these data company management can find various loop holes that can beconsidered by company to gain higher productivity in market-place.
Tesco PLC can use different process to improve the productivity of company in global market. For example company can use Licensing, franchising, partnership, joint ventures and company acquisition can be used by organization to make entry in market place. For market entr7y process partnership and business acquisition strategy can be used by company.
There are different processes can be used by firm to develop better relationship with target customers. These process can improve the effectiveness of company in target market. For example organization can use customer relationship management process to develop effective relationship with customer. for example continuous communication process, providing better quality services and developing long term relationship can improve client satisfaction in market place.
This is important for organization to manage effective relationship with stakeholders. There are different stakeholders of company. For example leadership, management, employees, suppliers and customers. It is highly important for organization to meet the needs of all these stake holders to gain higher productivity in market place(Keller, 2017). With satisfied stakeholders organization can gain higher productivity in market place.
Role of marketing is highly important for organization to make people aware of services and products that are offered by the company to customer. Marketing also can be considered as process that can be used to develop effective communication and relationship with customer. Main role of the organization to develop communication between customer and organization. Marketing department evaluate the needs of customer to make effective changes in organization products. This how role of marketing department is highly crucial for organization in market place. This is also role of marketing department to specific process of communicating and promoting the products of organization in market place.
There are various measures of market place can be considered by company to analyse performance of organization in market-place. Some of key indicators that can be used by Tesco PLC for performance analysis are- revenue, client retention, employee retention, and sales of organization, profit margin and customer base are crucial indicators for performance of organization in market-place. These indicators can be used by company to improve the productivity of organization in market-place. This indicators can help organization to analyse effectiveness of their strategies in market place.
This report is analysing various processes that can be used by the organization to evaluate their growth and management in market place. Various processes has been analysed in report that can be used by organization to gain higher productivity in market place. There are different factors are considered in this report that can be used by Tesco PLC to manage their growth in international market. Various competitive strategies and processes also has been studied in report that are effective for organization.Various marketing related changes and strategies also has been suggested in report that can be used by organization to gain higher productivity in market place.
Books and Journals
Barone, A., 2016. Managing Global Logistics for Business Growth: A guide for small to medium enterprises pursuing the global market growth through cross-border trade (export/import). Buoyant Capital.
Behl, R. ed., 2019. Innovation, Technology, and Market Ecosystems: Managing Industrial Growth in Emerging Markets. Springer Nature.
Bititci, U.S., 2016. Managing business performance: The science and the art. John Wiley & Sons.
Bogoviz, A.V., Sozinova, A.A. and Ostrovskaya, V.V., 2018. Approaches to managing economic growth of socio-economic systems. In Management of Changes in Socio-Economic Systems (pp. 131-137). Springer, Cham.
Drotski, A. and Okanga, B., 2016. Managing the early stages of SMEs' sustainability and growth. Journal of Contemporary Management. 13(1).pp.621-650.
Duane, A. and O’Reilly, P., 2017. A conceptual stages-of-growth model for managing a social media business profile. The Irish Journal of Management. 36(2).pp.78-98.
Handy, J., Warren, L., Hunt, M. and Gardner, D., 2020. Managing professional identity within a changing market environment: New Zealand optometrists’ responses to the growth of corporate optometry. K?tuitui: New Zealand Journal of Social Sciences Online. 15(1).pp.204-216.
Illiashenko, S.M. and Strielkowski, W., 2016. Managing economic growth: marketing, management and innovations.
Keiner, M., Koll-Schretzenmayr, M. and Schmid, W.A. eds., 2016. Managing urban futures: Sustainability and urban growth in developing countries. Routledge.
Keller, K.L., 2017. Managing the growth tradeoff: Challenges and opportunities in luxury branding. In Advances in luxury brand management (pp. 179-198). Palgrave Macmillan, Cham.
Kok, G.J., 2020. Managing High Growth and Innovation: The role of Business Models and Dynamic Capabilities.
Komakech, R.A. and Magara, E., 2018. Managing collaboration between the author and publisher for career growth in Africa. Building Capacity for Sustainable Academic and Non-fiction Authorship in Africa.
Koushik, S., 2019. Managing Innovators—Need for a Structured Approach. IEEE Engineering Management Review 47(3).pp.36-38.
Medlik, S. ed., 2016. Managing tourism. Elsevier.
Peters, M., Kallmuenzer, A. and Buhalis, D., 2019. Hospitality entrepreneurs managing quality of life and business growth. Current Issues in Tourism. 22(16).pp.2014-2033.
Stokoe, M., 2019. Space for Freight–Managing capacity for freight in Sydney–a CBD undergoing transformation. Transportation Research Procedia. 39. pp.488-501.
Tolani, K., Pugalia, S. and Shrivastava, A., 2020. Managing Identity Through Attire: A Theoretical Framework. In Technological Innovations for Sustainability and Business Growth (pp. 186-198). IGI Global.
Tunberg, M. and Anderson, A.R., 2020. Growing a small firm; experiences and managing difficult processes. International Entrepreneurship and Management Journal, pp.1-19.
Wu, A. and Huang, L., 2017. Cotopaxi: Managing Growth for Good.
Yeo, Y. and Park, C., 2018. Managing Growing Pains for the Sustainable Growth of Organizations: Evidence from the Growth Pathways and Strategic Choices of Korean Firms. Sustainability. 10(10). p.3824.
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