Tesco Plc is one of the biggest British multinational organizations of general merchandize retail and grocery stores that has headquarter in Hertfordshire, United Kingdom. It has been ranked at number three being one of the largest retail organizations across the globe being measured in terms of profits, and ranked number two in terms of revenue earned across the globe (White 2007).
The organization of Tesco is known to be pulling off a strong strategy that has not been achieved by any other retail organization all across the globe. The segment of market being targeted by the organization of Tesco includes each and every segment of the market. One main element involved in this strategy is the provision of products under their own brands that include the highest prices, moderate ranges of price, and even extremely low amount of prices (Hau 2001). There is also an inclusion of value that encompasses a number of different categories of product like financial services, mobile by Tesco, clothing, home, beverages and food items.
Since the year 1997, the organization has been marketing itself by the consideration of a phrase that is “The Tesco Way” for describing the core purposes, goals, principles and values of the organizations. This particular phrase seems to be becoming the standard level of marketing being followed by the organization as it has been expanding internationally and domestically under the leadership of Terry Leahy, the CEO of Tesco that implies a shift being made by the organization for focusing on stakeholders that include both, the employees as well as the customers (Rohwedder 2006).
Since recent times, it has been found that the organization has been losing its base of customers. The main competition being imposed on the organization of Tesco is by Lidl and Aldi (Marsh 2009). Due to the highly intensified competition being imposed on the organization, Tesco lost a share price by 49 per cent in its value as per the year 2014. Apart from these organizations, major competition is imposed by The Co-operative Food, Morrisons, Sainsbury’s, and Asda. The organization has been losing 28.7 per cent of its market share due to these retail organizations in the industry.