Competitve Analysis for Tesco.

Introduction

This is a group report for the 221BSS Business Management module. The purpose of this report is to look at an organisation in an industry and complete a stragetic analysis for the chosen organisation. The organisation that we chose was Tesco and we decided to carry out a competitve analysis, recommending a suitable course of action bearing in mind the possible implementation difficulties.

Primary Research. There were two parts to the primary research we carried out. We conducted both questionnaires and a focus group. The questionnaires was given out to people at random to find out which supermarkets they visit, why and what would encourage them to start shopping at Tesco. The results came from a variety of people giving an almost equal amount of males and females (see fig.1), although most of the results were from residents in Coventry. As Coventry has two universities a lot of the people who were questioned were people aged 18-30 (see fig.2).

The results of the questionnaire showed that the vast majority of people shopped at Tesco and Sainsbury’s (see fig.3). Asda is Tesco’s main competitor and was amongst the supermarkets people least visited despite it being voted the cheapest supermarket for over a decade. This could possibly be because Asda does not satisfy all the main reasons people look for in a supermarket. The results showed the main reason people chose a supermarket was because of its location which may be because travelling can be a rather large expense and the small differences in price between supermarkets may not be enough to take a trip to the cheapest supermarket. Price was also a large factor in deciding where to shop, and a number of people also found that the product range a supermarket had was a factor to consider.

Tesco and Sainsbury’s and many of the other supermarkets have small