Macro Environmental effects on TESCO Marketing Decision Making
As macro environmental factors always effect the development and planning of every business, same as Tesco also has or will have some influences of macro environmental factors towards its marketing decision-making.
Socio Culture Environmental Factors
Demographics are the study of the measurable aspects of population structure and profiles, including factors such as age, size, race, occupation and location. As the birth rate fluctuates, and as life expectancy increase, the breakdown of the population changes, creating challenges and opportunities for marketers. Tesco use the demographic changes as ...view middle of the document...
The locations of these stores are inside the city centers or they locate on the high street of less populated town like Uxbridge etc. Usually size is 1,100 m² (12,000 sq ft). The first Tesco Metro was started working in Covent Garden, London in 1992.
TESCO EXPRESS stores are vicinity ease shops. Tesco express sale the food item generally with the focus on a high margin products range. These store located in the busy city centers, small shopping boundaries in residential areas and on the petrol stations. Usually the size of Tesco Express is about 190 m² (2,100 sq ft).
Covers the Customer from all Walk of Life
Tesco covers the customers from all walk of life as discussed above in the demographic changes Tesco runs different kind of store, other than this there is also a facility of online shopping, Tesco direct. This available option caters the society as whole from families to a person in a rush for snack purchase.
Covering Status Preference Through Pricing
Store like Tesco seems to be considered as less premier in the status preference if we compare it with other competitors like Marks and Spencer`s (Chaney, 2004). Tesco started to cover this preference status by gaining customer base through keeping an eye on mass market pricing.
Free Eye Tests
Tesco has started giving facility for free eye tests to those people who have not cover NHS.
This is a very good example of corporate social responsibility set by Tesco and it gives Tesco a spectacular reputation in the community (Anker, 2010). Tesco also promoting fair-trade products although this is not an differentiating attribute as other competitors has also launched this kind of practice but even that it is giving superiority to Tesco.
Contributing towards reducing unemployment
Due to the current economic down turn situation around the globe, unemployment rate is very high. As fast growing largest retailer in UK and creating more jobs, Tesco playing a vital role to reduce the unemployment.
In an increasing dynamic world, where the creation, launch and maintenance of new product are more expensive and difficult than ever, no organization can afford to ignore technological environment and its trends. Even if your organization does not have the inclination or resources to adopt or adapt new technology, understanding it is important because competitors will exploit it sooner or later, with implications for your product and its marketing. Technological factors also effect to Tesco as well. These factors are helpful for Tesco business as,
Successful Online Retailer
Tesco declared the most booming online shopping retailer. Tesco had achieved the bar of £1 billion online sale in 2006. And online sale has been increasing with the 12% average per year after that up to 2009 (Tesco PLC, 2009; Andy, 2006). Tesco aggressively capturing the market for non food items range through taking advantages of his portal. Dedicated outlets are also in operation for collections for...