What Is The Advantages And Disadvantages Of Tesco

Industry rivalry

Most of the organizations in the industry, the interests of each other are closely linked together, as part of the overall strategy of the organization competition strategy. The goal is to make their own business relative to the advantages of competitors. So, in the implementation of the inevitable conflict and confrontation phenomenon, these conflicts and confrontation constitutes a competition between existing organization. Competition between existing organization is often reflected in the price, advertising, product introduction, after-sales service, etc., its competitive strength and many factors.

Carrefore is one of Tesco’s competitor. What Carrefore will do when they discover that Tesco will enter to Taiwan market?

In the past and the current advantages and successful experience, base on the environmental conditions may become successful. The success of the experience can only for reference but it cannot be copy. In order to ensure the sustainable competitive advantage, the organization must adapt to the changes in the environment. The organization must create their own systems and policies. It helps the internal to have a good communication.

About the strengths and weaknesses of resources and capabilities. It helps the organization recognize the competitive advantage.

Through a series of strong management strategy, Tesco set up their own style. Tesco 's "steering wheel" system operation is managed by Professor Robert Kaplan 's "Balanced Scorecard". Traditional business systems are lost their direction because they ignore something, such as "intangible assets" customer relationships. The Tesco strategy is an anti-traditional business perspective, between the pursuit of low prices and operational objectives to find their own balance.

Price reduction has always been the ultimate goal of Tesco pursuit, but also Tesco to take the most powerful competitive tool.

Tesco will be low prices and high quality stick to it, will eventually win more customers. Price is the result of a step by step accumulation. Tesco will invest in reducing prices, rather than simply seeking to improve

Customer service term provides service suggestion to the organization and the after sales service. How to make the customer to be satisfactory?

The management team should have a set of strategies to avoid the risk from internal or external. ‘Strategy is the director and scope of an organization over the long term, which achieves advantage in a changing environment through its configuration of resources and competences’ Johnson etal. (2009). The management team is very important in an organization. They leads a whole organization for daily operation.

The organization policy should be clear for the staff to follow by the rules. And they need to arrange the training regularly for the staff, to make sure they have an excellent service for the customers.

Tesco understand that in a high competitive market to achieve continue development in Taiwan, they need to maintain their position in the market. How to maintain? They should change regularly, otherwise they will fail in the market. Tesco should use the past fail experience for the reference. Therefore, the chance of successful is very high for this time expansion. They will have a lot of strategy