Business Management Essay Example | Topics and Well Written Essays - 1500 words

Business Management - Essay Example Its worldwide establishment did not happen immediately, rather, the spread into other areas of the United Kingdom and to other, states happened strategically, and involved serious and efficient planning by the founders and stakeholders of the company. Tesco has its stores in many nations, including the United States, China, Korea, India, and Japan among others. It has established many stores, which exceed 4,811 and a staff of workers of over 472,000. Its operations are on a large surface area that is estimated as 94 sq. feet (St. James Press, 2013). When first established, Jack Cohen established it as a grocery, which was a food retailing store. However, as time went by, the founders found it necessary and efficient to diversify into different markets such as clothing, electronics, and financial services. Tesco Company engages itself in a myriad of market operations, including those of extra stores, metro, hypermarkets, express, superstores and home plus. The company was formed with an aim of providing total satisfaction to its customers in order to build customer loyalty. In building customer loyalty, Tesco Company had in mind an aim of retaining its customers. In that way, Tesco Company was sure of dominating the market in no time since it would have had a huge market share composed of the loyal customers. In its venture of diversifying its operations, Tesco ventured and continues to venture into the provisions of both food and non-food products. Some of the non-food products include clothes, beauty products, health and electronic commodities. Not only does Tesco provide the non-food products mentioned above, but also kitchen equipment, stationery products and home entertainment products. It’s worth noting that Tesco also specializes in the service provision. Some of the services Tesco provides include financial services, website selling and telecom services (Laurin, 1977; Tesco Still Top of the Shops, 2007). Tesco’s location strategy Growth of Tesco has been measured using the profits the company makes yearly. The profits are attributed to the large market share the company has over many nations, which are over 14 in number. The profits are all from both the domestic and foreign Tesco business stores. Tesco Company has the largest market share in United Kingdom compared to the share of other renowned companies. Its market share is 35% of the whole country. Tesco’s growth is attributed to many factors, most of which contributed by the environment in which the market stores, and hypermarkets have been set up. Business environment is divided into two; internal environment and the external environment. The internal environment basically involves the leadership, and management put in place in a business or company. It also includes the employee’s contribution to the organization. Without the presence of hardworking and committed workers, attainment of a company’s targets and achievement of objectives would be challenging. Internal environment is one where the management has influence over. On the other hand, external environment is one that the management of a company has little or no control over. It is divided into micro and macro environments. Basically, external environment of a business is influenced by the location strategy of the firm. Location