Tesco is the third largest retailer in the world measured by gross incomes. Tesco was originally founded in 1919 by a lad named Jack Cohen as a group of market stalls, but the name first appeared in 1924 and the first Tesco shop opened in 1931. The company has since expanded into different markets, sectors and formats. Nike is a multinationally known by almost every person around the world, regardless of age or gender. Nike was founded by Bill Bowerman and Phil Knight a little after tesco in 1962.
Nike is a major manufacturer of sports equipment and worlds largest supplier of athletic shoes and clothing. In this report I will be exploring two different businesses and why they are successful.
My two chosen organisations are Nike and Tesco which ive shortly already described above. Both Tesco and Nike are very successful and both contrasting businesses are continuing to expand and evolve further. Tesco focuses on retail, while, Nike is a big Organisation which markets its logo.
Tesco is the market leader in the uk with over 30% of shares in sales. Tesco is a PLC (Public Limited company), which is owned through shares traded on the Stock Exchange. This allows the public to purchase shares and keep them for desired period of time or even get money out and sell them on for profit, floating tesco as a PlC has helped them as its been able to drastically expand and in larger term gather large profit which is one of their main aims. Making large amounts of profit has also allowed tesco to grow and gain recognition throughout the world which also is one of their goals.
We treat people how we want to be treated is a famous phrase which tesco uses and is often found on their magazines etc. Primarily, tesco is trying to emphasise they will do anything in their power to soothe customer experience. They have successfully accomplished this by providing toilets for people to be able to use them while in store, cafes so customers can have an enjoyable time while shopping and car parks to help people with cars. These extras and a convenience to customers as well as the people who originally invented the phrase as they will also like to have cafes, car parks and toilets while theyre out shopping.Also by adding features such as toilets, car parks and cafes, Tesco has encouraged a massive sales growth as recent reports concluded that customers at Tesco tend to remain in store for a wider spectrum of time than any others. Not so amazed every spent went to tesco.
Nike is a brand which focuses on making high quality branded clothes, often clothes worn by athletes; they produce things from sporty shoes to hats and socks. Just as Tesco Nike is trying to break into different market sectors, one great example of this is when nike started developing sport watches and sunglasses, as new target audience appeared. Nike went famous in Dec 1980 and was floated on the New york stock exchange ever since. Like all businesses nike is out there to make profits, they have been making great profit since they was launched by promotion, new product, new ideas, and diving into new markets, excellent example of this is nikes new idea to help the environment which is a bit of a shock considering all the toxic fumes let out into the atmosphere while making their most wanted products such as trainers.
Nikes aim is to eliminate waste, which basically means they are trying to control the amount of co2 emissions being let off from their products. Now all this work for the environment is an amazing idea, especially considering how much global warming is effecting us right now, but the question is why?, why would nike want to cut down and think of new plans and ideas ? The answer is very straight forward, there are many people, potential customers, who are conscious of nikes way of acting (previous behaviour,contributing to the release of greenhouse gasses) resulting them to not purchasing nikes products, which made it a concern for nike, and this is why they chose to take steps and decrease the level of pollution they release as it would in all probability attract environment contributes to purchase their goods but also knowing theyre still doing their part for the environment.
One and the other of these organisations have been developing new plans that would result them in larger sales, tesco has achieved this goal by making customer experience more enjoyable, this was done by noticing and considering customer shopping behaviour. Nike on the other hand, Nike has achieved this by reducing the reducing their gas and co2 emissions becoming less environmentally threatening. I only stated on of each companies strategies but there are many more things they do to boost and increase sales, this comprises of tesco club card which offers the card holder benefits like the rewarding system which tracks the activity of customer and giving them points for every purchase; gives them discounts on their favourite products,(Tescos club card idea was so successful that it lead them to overtaking their closest rival Sainsburys).One other