3.9 How to pursue strategies

Question 1

What industry did Tesco go into over the last 20 years (Diseconomies of scale)

Answer 1

Restaurant industry

Question 2

What business did Tesco buy in the industry

Answer 2

Giraffe restaurant business

Question 3

Why did Tesco sell its giraffe restaurant business in 2016

Answer 3

Due to Diseconomies of Scale

Question 4

What author found that business containing lots of unrelated business within it had worse returns for investors?

Answer 4

Holzmann et al (1975)

Question 5

What 3 different parts did BHP split its business into due to diseconomies of scale

Answer 5

Iron Ore
Oil & Gas
Copper & Coal

Question 6

Give one example of Intrapreneurship

Answer 6

1)Google giving their employees autonomy and thus allowing for the creation of GMAIL to take place
2) SONY allowing it to take place and thus an employee creating PlayStation

Question 7

Give an example of benchmarking

Answer 7

Tesco introduced Click & Collect in 2010 benchmarking fast food chains developing drive-thru
It was a source of convenience flexibility and ultimately customer satisfaction improving brand loyalty

Question 8

Evaluation point of big data (Facebook)

Answer 8

Mark Zuckerberg was held in congress over how ethical Facebook data collection
Big Data could arise legal issues

Question 9

What regulator is trying to pass a policy for Big Data

Answer 9

GDPR 2018 is being implemented to reduce the effectiveness of Big Data to protect customers.

Question 10

An example of a global strategy

Answer 10

Pfizer – Standardized products desirable
High Economies of scale

Question 11

An example of Transnational strategy

Answer 11

Starbucks

Question 12

Example of International stratergy

Answer 12

McDonalds
UPS

Question 13

Example of Multi-Domestic strategy

Answer 13

1) Nestle
2) MTV