Alexander Max-lino 10BR
Cost Benefit Analysis of Tesco
The expansion of Tesco’s gives jobs to the local community especially if the growth is externally as usually convenience stores are family run meaning only a few jobs go to outsiders but Tesco’s will not have the same preference so young members of the community and older members have a job.
Also, Tesco’s prices would actually be cheaper than the convenience stores due to economies of scale. Tesco can buy in greater bulk than the convenience stores and this cuts costs allowing Tesco to cut product prices. This also gives Tesco extra revenue and that can be used to give workers a pay rise giving them an incentive hence a better service for the consumer. Furthermore, as Tesco’s is a big name and do not want it to be tarnished they will make sure their goods are of the highest standard to avoid public humiliation.