Telco: Case Study

Outlook The markets of Asia, especially Japan, had proved tough for foreign retailers. This was mainly due to the inconsistent shopping habits of Japanese consumers and the fierce competition. The failed attempts by firms such as Carrefour and British drugstore Alliance Boots signified that the Japanese market was a tough nut to crack. Even one of the biggest local retailers, Aeon, witnessed an 18 percent fall in its operating profit to 156.04 billion for the year ended February 2008 in its supermarket business. With regards to sourcing inputs for its business globally, Tesco has to be careful and try to reduce some of the risks it is exposed to when operating in various markets like what was seen in the UK where riots were evident which can affect meeting their business needs and getting their final product to consumers. References: 11 Justin Mc Curry, "Tesco Hopes for Express Success in Tricky Market, "www.guardian.co.uk, September 28, 2007. 21 The British Chamber of Commerce in Japan was established in 1948 to strengthen business ties between Britain and Japan and to support new business entrants from UK in the Japanese market and vice versa. 31 "Tesco Tries to Break into Japanese Retail Market, "www.iht.com, April 18, 2007. 41 Michael Fleming had a very strong record in Tesco as he was successful in the firm's operations in Asia. 51 Elizabeth Rigby, "Tesco Looks for Japan Expansion, "www.us.ft.com, March 14, 2008.