The success of the company may also be attributable to strong leadership and innovation (De Toni and Tonchia, 2003, p. 950). One of the most notable developments by Tesco happened in 2000 when Tesco. com was launched. In 2001, the Chief Executive of the Tesco acknowledged that e-commerce is a major development to the company which helped change the relationship between the company and its customers. Tesco. com is among the best online shopping systems globally as the website is able to take more than 70, 000 orders weekly. The websites helped change the purchasing behaviors of customers as they do not have to physically get to the stores to buy their groceries.
The website essentially offers customers the benefit of shopping from the convenience of their homes and to have their products delivered there (Palmer, 2004, p. 1075). When ordering online, customers can have their products delivered the next day or they can even order 28 days prior to the delivery. Tesco has further developed an online system to allow customers to make purchase from their Smart-phones. This is a form of e-commerce known referred as the mobile commerce (m-commerce) and was necessitated by the fact that more customers can access internet from their mobile phones in contrast to using computers which are less portable (Palmer, 2004, p.
1080). Additionally, the company has a system to maintain customer loyalty and therefore it introduced Tesco Loyalty Club. This strategy was introduced to ensure that the company is able to lock in customers to prevent them from being taken by its competitors as they earn points for every purchase which they can later redeem for some products from the store (Drejer, 2000, p.
207). Tesco does not only rely on technology to sell its products but it also relies on computer based technologies to manage it supply chain system. The company initiated an ambitious program that saw the company computerize the supply chain (Drejer, 2000, p. 206). The company set up centralized warehouses where supplies could be held for dispatcher to the stores rather than relying on the manufacturers to deliver product to the stores directly as this can cause inconveniences. In spite of Tesco being a leader in use of e-commerce, it has maintained high street presence where a significant number of its customers are able to buy directly from its store therefore becoming a good example of a brick and click organization that has maintained a balance between use of e-commerce and street presence (Drejer, 2000, p.
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