Thesis: Strategy Adopted by Tesco to Penetrate US Market

Sample Thesis Paper

It was observed that Tesco’s plan of entry into the US is one that is spearheaded by a low cost entry. Tesco is making use of small stores in order to enter the US market and is initiating operations in Los Angeles, California, Las Vegas and Phoenix. The plans indicate a target of over 500 stores to be opened in this region. However, the stores shall not be limited in their types and hypermarket stores will also be incorporated into the expansion with time.

Furthermore, analysis of the responses collected clarified that the company is not restricting its scope to initial specific regions. Tesco has made sure that the American consumer is expecting Tesco’s arrival in low income regions through frequent press releases and related interviews of its key personnel. The expansion has been given a form where Tesco is aiming to enter the US market out of the desire to facilitate the provision of safe and healthy fresh food to the American consumer.

Apparently, Tesco plans to saturate the options that the American consumer has in terms of fresh food by spreading out across the region in the form of an extensive network of branches that are spread out so that the consumer’s choice is influenced by the increased availability of Tesco’s Fresh and Easy brand. However, this saturation strategy is one that is still far from maturity and represents a best-case scenario for the expansion. Currently Tesco is doing little more than make sure that its presence is well known and recognized. Saturation is the second stage and is still far from execution. It is because of the same reason that Tesco is engaged in aggressive land acquisition strategies through its Real Estate division.

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