MBA Strategic Analysis and Choice - Research Paper Example

This study is initiated to investigate and analyse Tesco strategic resources, environment, choices and action while defining the company's reaction should it discover that a competitor is competing on the basis of the BCG growth Matrix. The study first of all scans the market environment, then using Porters Five forces framework, Porters generic strategy, the SWOT matrix and the core competences and capabilities of Hamel and Prahalad, the study analysis Tesco in order to identify those invisible taken for granted assumptions, capabilities and resources that competitors have found difficult to emulate.

The study made three important findings. Firstly, Tesco unlike the competitors is focused on cost leadership, generic focus and product differentiation. This has become part of the company's culture. To the company lower cost does not mean lower quality. Secondly, as a company's reaction to a competitor using the BCG growth matrix, the company's management emphasizes on its core values, lay emphasis on product differentiation and lower cost; that is using the cash cows and stars to reduce the company's question marks.

Also, it has been argued in this paper that, the company should enter into exclusive long term relationship with suppliers, co-branding with celebrity, artist and designers to create a unique product. It should be so, because taking a lead of innovation might mean innovation in branding, innovation in product variation and innovation in other formats.IntroductionToday, business environment has become more turbulent, chaotic and challenging than ever before. In the present phase of events, to survive it is vital that a firm does something better than its competitors (Wonglimpiyarat 2004).

Globalisation has not only altered the nature and the intensity of competition but has dictated and shaped organisations in terms of what consumers want, how and when they want it and what they are prepared to pay for it (Hagan 1996). In the context of today's global competition, businesses and firms no-longer compete as individual companies but try to corporate with other businesses in their activities (Wu & Chien 2007). These researchers further argue that, this strategy is now quite common in many businesses including the retail chain stores.

In the retail chain stores, the conventional vertical integrated company based business model is gradually being replaced by collaborative relationship between many fragmented, but complementary and specialized value stars and constellation (Wu & Chien 2007).Having said this, the remaining parts of the paper will be structured as follow. The next section provides an introduction to the company under case study. There after, the purpose of the study will be defined. Using certain analytical techniques,