Technology Strategy In Tesco

1907 Words 8 Pages
Every business organisation in the world drives toward the same goal. Wether be it to offer a product or a service, these businesses are all looking to generate profit. Many companies compete in the same market and with this, cannibalise that market of customers available to them for that good or service. The biggest asset of a company is its customers, the customers create the revenue for the business to grow. To be able to gain the best competitive advantage firms must have a set of long term business goals in which the firm aims to stride towards, this is the business strategy. In this essay I intend to show how an alignment of this business strategy with that of technology strategies which thus allows for what I believe is optimum efficiency. …show more content…
Tesco is a brand we all know and a supermarket that we all use. Every time we go into Tesco now a days we see how Tesco had their Business and information systems at comparable stages of alignment. Tesco would be applying the defender type approach, they have built their brand upon cheap prices and customer service. They have their own cheaper branding style of own brand products. The shop is littered with yellow price tags to catch your eye of a discount good. The example of how IT fits into to promoting Tesco and selling more goods and reducing costs is the advanced technology they implemented, their self checkout service. Tesco cut down waiting times of customers, less employees needed so saving on …show more content…
It gets employee’s of the business to experience market first hand. So if the strategies are misaligned employee’s can see why they purchase the good not just how much of that good was bought. An example of this would be when Howard Moskowitz was asked to find the best new spaghetti sauce. He created 45 different styles of spaghetti sauce and went across America inviting hundreds to taste the sauce. With his data gathered, he did not just look for the highest rating, instead he looked for correlation, with this he saw clusters of customers preferences forming. He found that 1/3 of Americans liked lumpy spaghetti sauce, lumpy spaghetti sauce which was not currently being made by any firm in

Related Documents