Contents
Executive Summary 3
Introduction 4
Background of the Company 4
Analysis 5
Business Environment 5
PESTLE Analysis 6
SWOT 9
Retail Sector and Competitors Analysis 12
Porter’s five forces 13
Porter’s National Diamond Model 16
Market Entry Strategy 18
Entry Mode Available 18
Selection and Implication of Entry Mode for Tesco 19
Management Concerns 20
Recommendations 21
Conclusion 22
Bibliography 24
Appendix 1 26
Appendix 2 27
Appendix 3 28
Appendix 4 29
Appendix 5 30
Appendix 6 31
Description
The purpose of the paper is to prepare a report for the top management of Tesco briefing about the feasibility of the company to enter into the Middle East region as a part of their business expansion. Two prominent region of Middle East has been chosen for doing the market research for Tesco to enter the Middle East market, namely, Dubai and Abu Dhabi, these two regions are going through rapid modernization and advancements contributing to the UAE market.
The business environment of Dubai and Abu Dhabi has been evaluated and analyzed to understand the existing business opportunities and amenities available in these markets for Tesco. UAE is definitely an emerging market in Middle East region and since Dubai and Abu Dhabi is largely getting recognized as the financial and trade hub of the Middle East and making a mark on the global business environment.
Different market research tools has been employed for conducting the analysis for the business environment of Dubai and Abu Dhabi for understanding the profitability and favorability of Tesco to enter these markets. The business environment of Tesco has been evaluated through PESTLE analysis, SWOT analysis. The retail sector of UAE, especially for Dubai and Abu Dhabi has been analyzed through Potter Five Forces model and Porter’s National Diamond Model. The different market entry strategies available to Tesco to enter Dubai and Abu Dhabi market is discussed in the paper and the selection of the most suitable market entry mode for Tesco has been highlighted.