Introduction into Tesco Essay Example for Free

Introduction into Tesco renderTescos main headquarters may be based in Hertfordshire but Tescos have hundreds of shops all near the United Kingdom. In the year of 1997 Tescos had 586 stack aways around the country and had an annual proceeds of i 760m. 2 long time later Tescos had change magnitude its make out of stores around the country to 639 with that move came a greater profit as it rose to i 919m. in 2001 Tescos profit rose once more and so did its stores its annual profit for the year was i 1,100m it store count was now up to 692. Tescos advances many types of stores including Tesco Metro, a put-of-town store, Tesco express, this store has a petrol station combined with a retail site, and most recently Tescos extra, this is a sassy ideal and offers more verity to shopping, Tescos extra offers a wider range of products all this is available over 100,000 square feet of retail space. It sells many things including groceries, all types of foods, cloths and nursing h ome electrical accessories Tescos purpose is to provide top quality service through with(predicate) selling its productsNewport has two stores, which can be found on Cardiff road and Newport Retail Park, spytty. Type of possession The type of ownership my first family has is public hold in company (PLC). This means that the company is of a large size and employs 1000s of employees, a likely reason behind this running of the company is that it offers the security of limited liability, due to the advantages of having shares on the stock exchange. Any one over the age of 18 can obtain shares on the stock exchange, these shares bring in greater capital to the business.The company is run and owned by its shareholders, the public. The shareholders are able to employ last quality managers and directors meaning the running of the company are of high standard If the company went bankrupt then the owners would not be liable for its debts, this is because the company is PLC, and therefor it is saved by limited liability. This means that the company has its own legal identity and its owners are not liable for its debts, however they would lose the money that they put in at the beginning. Introduction Tesco Company History retire from history Tesco is one of Britains leading food retailers and has 586 stores though out Great Britain. From 1992 Tesco has grown greatly and has increased its market share from 10. 4% to 15. 2%. This increse in customers has also given Tesco a large amount of profit. Tesco has 164,500 shareholders. Tescos profit is about 505 million pounds after the tax has been deducted about 50%of this is then distributed to the shareholders as dividends. The outride roughly 250 million pounds is held back for investment in stores and improving services for the customers.The average shareholder holds between one and one thousand shares, but also banks, pension funds and building sercertys, hold a large amount of shares. Tescos share termss have risen since February 1997 when it was 349p to 586p on the 21st April 1998. The shares have peaked a high price of 603p. With this growth Tescos is now the largest super market chain. How Did Tesco actually take down? Tesco was founded in 1924 by Sir Jack Cohen. He used his gratuity for his Army service in the World War to start selling groceries in Londons East End markets in 1919.The steel name Tesco first appeared on packets of afternoon tea leaf in the 1920s. The name was based on the initials of T. E Stockwell, a partner in the firm of tea suppliers, and the first two letters of Cohen. The business grew and in 1947 Tesco Stores (Holdings) Ltd was floated on the stock exchange, with a share price of 25p. The price at the start of March 2001 the price raised to around 260p. When did the first Tesco self-service store open? Self-service supermarkets started in the USA in the 1930s during the depression.By selling a wider categorisation and larger volume of stock and employing fewer staff they cold offer lower prices to the public. Jack Cohen unfastened the first Tesco store in St Albans in 1948. When did Tesco open its first supermarket? In 1956 the first Tesco self-service supermarket was candid in a converted cinema in Maldon. By the early 1960s Tesco was a household name, as well as selling groceries, the stores sold fresh food, clothing and household goods. The Tesco store which unresolved in Leicester 1961 had 16,500 square feet of space and went into the Guinness Book of records as the largest store in Europe.By buying good deal and keeping costs down, Tesco should have been able to sell at very competitive prices to its customers. Until 1964 however suppliers were, by law, able to insist that retailers charged at a set price for their products (Retail Price Maintenance). The intention was to cheer small shops against the lower prices that big retailers could offer their customers. How did Tesco deal with the law on Resale Price Maintenance? Tesco i ntroduced trading stamps so that it could bring lower prices to customers. Customers collected stamps as they purchased their groceries and other items.When they had collected enough stamps to fill a book, they could exchange the book for cash or other gifts. Other retailers soon copied Tesco. Sir Jack was one of the leadership in pursuing parliament to abolish Resale Price Management in 1964. After this Tesco continued to offer trading stamps until 1977. How did the company grow in the 1960s? Apart from opening its new stores, Tesco bought existing custody of stores. In 1960it took over a chain of 212 stores in the north of England and added another 144 stores in 1964 and 1965. In 1968 the Victor Value chain became part of the company.When was the first superstore candid? Tesco introduced the concept of a superstore in 1967 when it opened a 90,000 square feet store in Westbury, Wiltshire. The term superstore was first actually used when Tesco opened its store in Crawley, West S ussex in 1968. How did Tesco change its image? By 1970 Tesco was a household name. The slogan chew it high and sell it cheap was the title of Sir Jack Cohens autobiography. But as people were becoming cave in off, they were looking for more luxurious items as well as everyday household and food products.In the late 1970s the company decided to broaden its customer base and make its stores more mesmeric to a wider range of customers. Many of the older high street stores were closed and the company concentrated on developing bigger out-of-town superstores. Tesco finally stopped giving out trading stamps in 1977 at the same time as introducing a price cutting campaign under the banner balk at Tesco which proved to be a major success. How did Tesco maintain its growth in the mid-eighties? During the 1980s Tesco continued to build new superstores, opening its 100th in 1985.In 1987 it announced a i 500 million programme to build another 29 stores. By 1991, the popularity of Tesco Pet rol filling place at its superstores had made the company Britains biggest independent petrol retailer. In 1985 Tesco introduced its Healthy Eating initiative. Its own brand products carried nutritional advice and many were branded with the Healthy Eating symbol. By 1990 Tesco was a very different company from what it was 20 years before. The Tesco superstore offered customers free parking as well as cheap groceries and a lovely shopping environment.In 1992, it opened the first Tesco Metro, a city centre store meeting the of necessity of workers, high street shoppers and the local community. This was followed by Tesco Express, combining a petrol filling station with a local convenience store to give local communities more choice in their shopping. Tesco broke new ground in food retailing by introducing, in 1995, the first customer loyalty card, which rewarded mending shoppers whilst helping the company discover more about its customers needs.