Business Strategy and the Environment: Tesco PLC’s Declining Financial Performance and Underlying Issues

Abstract

The case presents a teaching tool which requires students to:

1) analyze the financial performance of Tesco PLC over the last four years;

2) compare Tesco's market position with key competitors;

3) identify and evaluate Tesco's business strategy;

4) evaluate the causes of Tesco's decline in performance;

5) develop recommendations to address declining performance;

6) identify and evaluate the Human Resource strategic role in addressing and supporting performance.

The case is suitable for a business strategy or human resource strategy class. The case is appropriate for use at the undergraduate or masters level. Students should have some familiarity with business and human resource management strategy before being assigned to the case. Students might be assigned to work individually or in teams on the project. Individuals or groups may be required to present their research to the class for discussion and comment. Six to ten hours outside of class should be required to complete the case study exercise. Classroom discussion should be between two to three hours.

Keywords: Retail Trade, Financial Performance, Business Strategy, Human Resource Management Strategy

JEL Classification: L81, L21