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Essay / Research Paper Abstract
This 3-page paper examines the success of TESCO's U.S. launch, and discusses its distribution and logistics strategies. Bibilography lists 3 sources.
Page Count:
3 pages (~225 words per page)
File: D0_MTtescofre.rtf
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Unformatted sample text from the term paper:
Easy. Will TESCO succeed in the U.S., especially when there is so much competition when it comes to food and retail? During
early 2008, the company opened 31 stores in a 66-day period in what executives dubbed "an opening program on steroids" (Desjardins, 2008, 33). Though TESCO claimed the halt was planned,
others were skeptical, citing sales way below projection (Desjardins, 2008). Other complaints and questions have come about the freshness of its produce and meats, as well as keeping its produce
section well-stocked (Desjardins, 2008). From the start, Tesco stores were different - instead of larger "supermarkets," the 10,000-sf stores are smaller than
most of the competition (Mills, 2008). Furthermore, the stores are designed as a UK discounter, so theyre a little more different, or exotic (Mills, 2008). The belief is that Americans
would be willing to flock to the stores to purchase Fresh & Easys ready meals and produce (Mills, 2008). But how was
it going to distribute all of this produce to its West Coast stores? In early 2008, the company signed a deal to open a new distribution center in Stockton, CA,
just east of San Francisco (Mills, 2008). The distribution center was to service 500 stores in northern California with help from a 675,000-sf depot (Mills, 2008).
Furthermore, the stock inside the stores takes a little getting used to - rather than brand names, the Fresh & Easy stores offer its own brands,
and packages vegetables, rather than offering them fresh, in bins (Mills, 2008). Overall, the strategy behind the Fresh & Easy was to offer nutritious meals and snacks in a convenience
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