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"The Brand Promotion of Tesco in Beijing City, Based on the Program of Sales Promotion of Tescos Products to housewives in Beijing"
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Tesco is involved in below the line activities to keep the housewives attracted but it needs to focus more on such activities.
The main problem that the firm is facing is that it cannot establish itself as a low priced retailer. This is because the housewives are knowledgeable about the market and know where to get the best price from. Thus Tesco needs to improve upon its promotional tools to face local competition and to alter the image the consumers have of the brand.
The Chinese market is very different and has a lot of cultures. Thus Tesco has to adapt to the preferences of the different types of people. The firm uses all types of brand and sales promotion mediums, the rational modes of advertisements are still dominating the market. Television is overpowering other communication mediums like print medium and the internet.
However, the firm should not only focus on the traditional mode of communication. Rather they should expand their horizon and try to use other mediums the internet and technology based marketing tools. Zhen (2007) explains that this is because it is a futuristic view and at some point such technological advances will become an eminent part of the market. At the same time, to reach the consumers currently Tesco has to focus more on television as it is a more reliable mode of communication with the consumers. The consumers truest the television and thus it will help Tesco get the message across. Print media is another option like magazines to reach particular target markets, especially house wives. Moreover, fliers, word of mouth and below the line activities can also be looked into. Below the line activities may have a greater impact on women and help promote the brand. To encourage sales promotion, in store promotions may also work well with women and help influence their decision making.
As per Zhen (2007) Tesco is facing a challenging market in China as it is finding it difficult to
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