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In: Computers and Technology

Submitted By sorayut1
Words 613
Pages 3
the light of the Asian cases

Globalisation of TESCO into West coast US market

PESTEL YIP‘s Globalisation Drivers Market Drivers:

- Ireland
Transferable Marketing

- USA
Niche as "Fresh & Easy"

- Asia
Economic crisis
Rapid economic growth YIP‘s Globalisation Drivers Cost Drivers:

- Asia
Production/labour cost are lower

- Partnerships
Simplified/supported sourcing
Existing personnel within certain culture
Market knowledge and experience YIP‘s Globalisation Drivers Competitive Drivers:

- UK Market high competitive market
Falling sales
Difficult acquisition of new sites
Growing threat from discounters
Possible price war YIP‘s Globalisation Drivers Governmental Drivers:

- Asia:
Rapid liberalization of previous restrictions on retail FDI

- Ireland
Lower taxes

- East Europe
Collapse of Communism
Liberalization policies
Government incentives Factors for the success of
TESCO in Thailand Mode of market entry

Economic crisis (97-98)

Collaboration with leading conglomerates ( CP GROUP)

Wide range of products availability under one roof (pharmaceuticals, cosmetics, electronics etc.) Reasons for the success of TESCO in South Korea Economic crisis ( 97-98)

Support of local companies

Developed virtual shopping shelves on the walls of railway stations to capture busy commuters

Select locations according to the preference of the consumers Failure of TESCO in Taiwan Unable to get support from the local firms

When TESCO entered its major competitor CARREFOUR was already very active in the market

Not able to adapt the ultimate consumer buying behaviour culture

Highly complex Chinese land ownership to be a difficult arena for TESCO’s success Fresh and Easy
In the light of the Asian cases TESCO entered the United States in 2007 :

New convenience format
Research project focused on retail innovation...

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