The recession had massively affected Tesco, because of the recession people had less money to spend on their shopping therefore they were spending less of their money at Tesco which lead to a decrease in sales which would mean that Tesco were getting less profit month by month as people were losing more jobs and were having even lower income. Supermarkets had to raise the prices of their products including Tesco, because of this increase in pricing people could afford less. Tesco Decided to take a grant from the government, they decided to spend this in improving their company as they were losing employees very fast due to the financial struggle. Tesco had started to employ more people to get back on their feet and get the company running normally …show more content…
again which would again maximise their profits and helping the falling economy. The economy is predicted to get better in the future so this would mean that Tesco would be able to expand their business even more, so this would mean that they would be able to recruit more employees to work for them and they would be able to expand in different countries as they would have the capital to do so. In the UK they would be able to open up more stores in local areas which would increase profits and would increase the popularity of the business. They would also be able to introduce more products which would increase their target market and make them more brands loyal to Tesco. http://realfood.tesco.com/our-food/new-in-store.html However if the economy does not get better and gets worse, Tesco might have to help out by maybe talking another grant to not only stabilise the economy but themselves as well through rough times, the worse that could happen is Tesco closing stores down in the UK due to the financial crisis or be overtaken by another company.
A stakeholder that would be affected is the employee as they would be made redundant if the economy gets into a recession again, this would mean that employees would become unemployed and would not be able to support themselves financially or if the economy got better they would have a better chance of promotion and being able to keep the job as Tesco would have capital to pay them for their hard work. Another stake holder would be the owner because if the economy would be doing bad, they might need to take a grant which would be used to stabilise the company so that they would not go bankrupt and help pay of any debts that would need to be paid off, yet if the economy would get better they would be able to invest in their own company and also the local communities that surrounds them which would increase their customer loyalty as people would see that Tesco wants to help the local
community. The economy would affect the amount of supplies that Tesco would be getting as prices might go up therefore costing Tesco even more money for the product therefore they would not be able to get as much of it which would lead in less stock on their shelves and warehouse and the amount of profit made would decrease, however if the economy would be doing well all of this would get better as everything would be cheaper and Tesco would be able to afford to buy more products then therefore be able to gain more profit. Also if the economy would be doing bad they would have less capital to do their R & D (Research and development), this would mean it would be harder to help the customers get what they and how they could improve their customer service and products, yet if the economy would get better they would have more capital to spend on R & D which would help develop new ideas in which to help is customers and Tesco’s products.
Tesco is a Public limited company (PLC), which means it is owned by shareholders and it is in the private sector Also known as the for-profit sector and Activities outside the public sector organizations and businesses that provide services and products based on market demands for a cost with the purpose of producing a profit for owners and shareholders in the organisations. Tesco is the biggest employer in the UK with over 250,000 employees and over 1,800 stores.
Tesco PLC's Expansion in North Bracknell Introduction: Tesco PLC is an international supermarket not only selling high quality goods but has now also become one of the biggest job markets. As well as this Tesco has been running sub-projects to increase the level of customer care. [IMAGE] Tesco's main aims are shown by the steering wheel provided by their website (www.tesco.com). Tesco want to have good quality for value to earn their customers loyalty while still making a profit. I will be investigating the Tesco Superstore, petrol station, pharmacy and coffee shop in North Bracknell (Warfield).
Tesco is the largest retailer in UK. It is a public limited company which sells multinational grocery, health and beauty product, household items and toys etc. Since Jack Cohen founded Tesco in London’s East End at 1919 and now it has sprouted branches in 12 countries with over 7,800 stores include franchises. Tesco hire over 530,000 employees and they serve over tens of millions customers per week. Tesco
Tesco is a public limited business and therefore is in the tertiary sector as it provides a service to the public, this means that the business is owned by many shareholders. Tesco sell their shares on the stock exchange and are number one out of its competitors in terms of number of shareholders. Having a high amount of shareholders means that the business needs to make and retain profit levels high so that they trust and gain loyalty to the
Tesco must also follow their statutory duty which ensures that their employees have adequate welfare facilities. Employees also have specific duties they got to follow by law which includes them to take reasonable care for health and safety for them and the people around them, they must also co-operate with the employer or any other person to enable the employer or other person to perform or comply with any legal requirements.
Tesco is trying to gain as high profits as they can because company investors or shareholders might thing about investing more money in to the business because of its success and development. Tesco wants to make its investors satisfied because it may affect business future.
Online Stores Tesco wants go into other markets because they would be bringing in more customers, which are going to increase profit. They also have another aim which is to expand internationally because they already operate within the Europe. They have to set themselves new aims and objectives that are harder to achieve as it’s the expanding further.
will have to make sure that they get enough profit to be able to open
...may lose most of their employees which can cause these companies to collapse. Again the rate of unemployment will increase for US citizens and legal immigrants at large if these companies collapse.
There was also a 25% unemployment rate that resulted in people being unable to purchase items they normally were able to pay for so most products were left on the shelf or in the inventory.
Bibliography: Tesco Annual Report. (2013). Tesco Annual Report 2013. [online] Retrieved from: http://files.the-group.net/library/tesco/annualreport2013/pdfs/tesco_annual_report_2013.pdf [Accessed: 1 Apr 2014].
Inevitably business began to become greatly affected by the Great Depression. Since the stock market crashed they lost a large some on their capital. They had to cut back things like the products that had to be sold and the hours and wages of employees and even had to lay off their workers. Without consumer spending, the country saw many companies close.
Stakeholders are those groups or individual in society that have a direct interest in the performance and activities of business. The main stakeholders are employees, shareholders, customers, suppliers, financiers and the local community. Stakeholders may not hold any formal authority over the organization, but theorists such as Professor Charles Handy believe that a firm’s best long-term interests are served by paying close attention to the needs of each of these stakeholders. The modern view is that a firm has responsibilities to all its stakeholders i.e. everyone with a legitimate interest in the company. These include shareholders, competitors, government, employees, directors, distributors, customers, sub-contractors, pressure groups and local community. Although a company’s directors owes a legal duty to the shareholders, they also have moral responsibilities to other stakeholder group’s objectives in their entirely. As a firm can’t meet all stakeholders’ objectives in their entirety, they have to compromise. A company should try to serve the needs of these groups or individuals, but whilst some needs are common, other needs conflict. By the development of this second runway, the public and stakeholders are affected in one or other way and it can be positive and negative.
Tesco currently has strong financial, technical, and physical resources and moderate organizational capabilities. Financial Resources -.. Tesco maintains a strong financial forecast, as shown below. Revenue growth for Top Drive segment Q3 2011 was 83.6 million. Increase derived from sales increase, operating days for rental fleet, and after-market sales and service.
Many Americans suffered financially suffered from the 2008 recession, from the surge of gas prices to millions of Americans losing their jobs, and the foreclosure of homes. Many companies turned to the government for help to bail them out from going out of business and from further loses in revenue, while their expenses continued to pile up. Many Americans might wonder how a company like, Starbucks survived. Although still remaining a very successful company today, despite the adversities of an economic crises. Many individuals might look back and thank their higher power on how they survived such a difficult time. So, how did Starbucks survive?