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location of tesco

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Introduction

Location of Tesco Location is a key factor for every business including Tesco and many aspects of a location must be analysed before it can be chosen. This includes the competition in the area, the reputation and the population of the area. Finding an ideal location is a decision that requires a lot of reconsideration and investigation particularly as Tesco is such a huge company with such big stores. Firstly all Tesco stores require a large area for the stores, as they will be accommodating such a huge variety of products. Secondly they will need a huge car park space for their customers, as the store can have hundreds of customers at any given time as well as providing disabled parking and family car parks. They also require a substantial area for a warehouse to stock their goods as well as loading bays where they receive their deliveries of stock. Some Tesco stores are situated in town centres however this is only if they are able to find such amounts of land they normally tend to locate in other places where they are able to build bigger stores. ...read more.

Middle

Also being in the town centre is beneficial for their customer as it is closer for them and they don't have to travel great distances. Ideal Surroundings The town centre is also the centre of main business activity. This is as there are a lot of other shops and major stores so there are a lot of people there frequently, and being in the high street raises their business activity. Tesco being in the town centre is the prime location for them and there isn't one that would sit them better. Another favourable aspect of opening in the high street for Tesco is the surrounding large organisations. The organisations have thousands of staff that is then likely to go to Tesco as it is nearby and has unbelievably competitive prices. Examples of the organisations in slough that surround Tesco are Yellow Pages, O2, Train Station, Bus Station and Royal Mail. They are also located near the local Library so they are likely to attract customers from there as well. ...read more.

Conclusion

Now Tesco has now competition for miles and has monopoly in that area. The nearest store to Tesco now is Sainsburys however they are a mile away tucked away near the industrial estate and Asda are 2-3 miles away near housing estates, these aren't very promising locations in comparison to Tesco's. Problems of Town Centre An unfavourable aspect of opening in the high street for Tesco is how busy and over crowded the store can get at certain times. However Tesco has combated this brilliantly by using security methods e.g. CCTV and alarm systems. Now Tesco is using its prime location and exploiting its advantages it has for them, they have been successful in eliminating competitors and making the perfect shopping experience for their customers. Above is a map of Slough Wellington street showing the location of the Tesco Superstore and its surroundings. As you can see from the map the authenticity of the benefits Tesco receive from this location. Tesco Slough have captured a brilliant location with huge business activity and it has helped them to do very well and helped them to achieve their aims and objectives. ...read more.

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Response to the question

In summary, the report almost acquires high marks. The report states a number of factors that can influence a businesses decision to locate their store within a certain area. However the report does lack some detail and the student should ...

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Response to the question

In summary, the report almost acquires high marks. The report states a number of factors that can influence a businesses decision to locate their store within a certain area. However the report does lack some detail and the student should justify some parts of there report more often. The student understands that the location of the business can effect the businesses performance due to a number of factors. The report states that Tesco requires large premises within all of their stores. However this is false. Some Tesco stores need to be quite small, as there have a number of small stores, known as 'convenience stores'.

Level of analysis

The report states that Tesco will be at the centre of the high-street, which attracts consumers as it's within the heart of the town. However the student doesn't include the effect that this has on other local businesses within the area. The student does understand how this effects Tesco as a business, although it's important to consider the effects of Tesco on other businesses within the area. This shows the exmainer, that the student has written a balanced report, including all view points. The student states that there is a train station and a bus station next to the Tesco store. This is mentioned, however the student hasn't stated that the store has good communication links. This would allow Tesco to attract consumers, due to the high transport links between a number of different locations. Thus, the Tesco store is easy to access by a number of consumers. The student states that the competition of Co-Op wasn't much of a challenge. Although why isn't this a challenge? The report could include 'Co-Op will not have a large impact upon Tesco's sales as there attract different customers. Co-Op attracts those consumers who want a fair deal, but may be more expensive. However Tesco offers good quality for low prices. This difference in consumer's, is the reason to why Tesco may not worry to a great extent'.

Quality of writing

The student discusses potential issues within the town, such as their crime rates and gives examples of certain crimes. This section is presented well, as the student has imputed a graph, and circled the hotspots of crime. This will allow the exmainer to understand the areas of crime with ease.


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Reviewed by danielbeal 04/04/2012

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