Tesco was originally founded in 1919 and is now the UK's largest non-food retailer. It is operating in 14 markets across Europe, Asia and North America. It has many outlets including 'Extra', 'Superstores', 'Metro', 'Express' and 'Homeplus'.
After reading his history at Unilever on Wikipedia, I like what I see. Especially as he's studied at Harvard, I think he epitomizes Darwinism.... "It is not the strongest of the species that survives, nor the most intelligent that survives. It is the one that is most adaptable to change. In the struggle for survival, the fittest win out at the expense of their rivals because they succeed in adapting themselves best to their environment." And isn't that what Dave Lewis is doing? He's adapting Tesco to it's environment? The environment being the massive competition from the discounters Aldi and Lidl? The fact is, Aldi and Lidl are expanding, they have plans for a lot more stores and they are taking market share rapidly. For the big supermarkets to survive and keep profits high I believe they have to downsize their operations keeping only the most profitable stores. And increase the percentage of own brand products on the shelf. They also need to do that as quickly as possible, as at the moment Tesco still has the lions share of the market, so it still has arguably the strongest buying power. It could beat Aldi and Lidl at it's own game by shifting a large percentage of products to own brand and buying in a bigger bulk than Also and Lidl does from suppliers. They should then get the products cheaper than Aldi and Lidl, they could then launch an advertising campaign showing this. I believe that would entice shoppers back to Tesco. If shifting to a larger percentage share of own brand products, then naturally they would need to lose some branded products to create shelf space. They should then look at what's selling the most in the branded products and retain only the best sellers. End result = Less over heads due to downsizing the operation, more shoppers coming back to Tesco due to beating Aldi and Lidl prices on own brand. And good sales of already strong selling branded items. Then they could look at expansion again, Your thoughts?
The plan, no plan,
No plan...170.....man with plan....240.......retail buy the super plan. Get burnt. £1
Smell the roses
The chestnut falls far from the tree. Happy bear days are here again it would seem, with more reason than last year.
buying at 200p
With Dunnhumby sale in the pipeline i don't think it will go that low, i'm holding my stop/loss at 210 but IMHO it will hit 250 as soon as a buyer is announced GL with all your investments
buying at 200p
if it gets that low i'm buying with both hands.
Tesco’s closures put 326 Scottish jobs at risk: More than 300 jobs are at risk after Tesco said it would be closing four Scottish stores over the coming months in a move described by union leaders as a “devastating” blow for workers.
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