Tesco SWOT Analysis 2019
Introduction
SWOT analysis enables firms to identify factors which need to be taken into account when developing marketing and corporate strategy. During a SWOT Analysis the investigator will research the strengths and weaknesses, of the organisation. They will also look at any external factors that could provide opportunities or threats to the company. A SWOT Analysis may also be used to assess the effectiveness of a corporate plan.
Read our article about SWOT to learn more about SWOT Analysis. In this article we carry out a quick SWOT Analysis for UK supermarket group Tesco PLC.
Strengths
- Leading market share - currently at 28.1%
- Product choice and variety
- Successful diversification strategy - Popular clothing range and mobile phone business (Tesco Mobile)
The diagram below provides a simple illustration of a Tesco SWOT Analysis
Weaknesses
- Investigation and fines for misrepresenting profits. Tesco charged with fraud in 2017.
- Share price as of 7th October 2019 below its peak
- Although market share has slightly increased it is no where near its peak of 32%. Currently market share as of 25th April 2017 stands at 28.1%
- Some buyouts were costly and did not match with the companies ethos for example Giraffe restaurant and Nobbies garden centre. Tesco later sold these organisations for a loss.
- Current CEO Dave Lewis who oversaw the turnaround of Tesco will be stepping down in the summer of 2020.
