Tesco's Competitive Advantage

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Nowadays, many company around the world. So, there are a lot of competitors in a market. To differentiate the company with other competitor is through competitive advantage. Competitive advantage exists when an organization acquires or develops a combination of attributes that allow it to outstrip its rivals. Competitive advantage can occur using new technologies such robotics and information technology.
Tesco have a lot of competitive advantage than other companies. Firstly, Tesco have strongest company in their own brand marketing. Many company think that they were should sell their brands before their product. For example, Tesco is one of the examples that have used its powerful brand image to gain permission to sell a wide variety of products
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Through this competitive advantage Tesco has led to profit growth. The company can reduce costs and also reduce price because price ad service most important things to company which is they are extremely slick logistic organization. Many companies strive to holds the cost leadership. Like Tesco have advantage in holds the cost leadership. To maintain cost leadership, Tesco can strive to have the lowest costs in the industry and offer its products and services to a broad market at the lowest prices. They are able to price their products competitively. Tesco can ability to control their operating costs through the cost leadership so they are able to price their products competitively and be able to generate high profit margins. Thus, this is having significant competitive advantage to Tesco. Tesco will be able to create brand loyalty for their offerings and thus, price inelasticity on the part of…show more content…
This is the best great reasons in Tesco competitive advantage. In era globalization, the internet is most important part in the operation company system. For example, Tesco use the internet to control stock, keep all the stock and deliveries record and analyses business transaction. This is because to serve the company to become more necessities rather than luxuries in their own operation. It can also be said that IT has risen beyond its traditional support role and taken up a central role in business strategy formulation. Others that, the extranet most important to the company. This system employed by the Tesco. Through this Tesco can create proprietary and customized information flows between the company and its business partners with using the Internet. Extranet also helps to extend the key information on business partners throughout the supply chain and facilitate collaborative relationships with partners. Market exchanges hold the promise of extending Tesco’s reach, delivering buyers to their virtual doorstep from around the world. Wireless devices, intelligent scale, electronics shelf labeling, self- check- out machine and radio frequency identification (RFID) systems are other examples that support daily business operations of Tesco because now many company use technological advance in set up of business operation. This technology is an effort to

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