Tesco in the United States
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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.
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Case Details: |
Price: |
Case Code |
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BSTR291 |
For delivery in electronic format: Rs.
300; For delivery through courier (within India): Rs. 300 + Shipping & Handling Charges extraThemes
International
Business | Globalization Business
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Case Length |
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13 Pages |
Period |
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2005-2008 |
Pub Date |
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2008 |
Teaching Note |
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Not Available |
Organization |
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Tesco |
Industry |
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Retail |
Countries
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USA |
Abstract:
Tesco, a major UK-based retailer, entered the US market in
November 2007, opening a small-format store named Fresh & Easy. The case
describes Fresh & Easy's entry strategy, touching on market research, store
format, layout, location, etc.
It then discusses some of the criticisms that the store attracted in the US. The
case also discusses Tesco's decision in April 2007 to halt the opening of new
Fresh & Easy stores for three months, after 61 stores had been opened. The case
ends with a brief discussion on the unfavorable macro environment in the US,
with inflation and recession rearing their heads.
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Issues:
» Understand the entry strategies of a retailer.
» Understand the differentiation strategies of a retailer.
» Analyze the importance of location, store format, layout, pricing, assortment
planning, promotion and customer-orientation in the retail industry
Contents:
Keywords:
Tesco, Fresh & Easy, US Retail market, Entry strategy,
Differentiation, Convenience stores, Consumer research
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