Abstract

The case focuses on the UK-based retailer Tesco's entry and expansion strategies in the Japanese market. It discusses Tesco's international ventures that began in the 1990s and elaborates on some of the strategies that it followed in the non-UK markets. Tesco entered Japan in 2003, after more than two years of research into the retail markets and consumer purchasing patterns in the country. It acquired a local convenience store operator C Two Network that operated 78 discount supermarkets under the brand 'Tsurukame.' It then expanded through a few more acquisitions. The case also details the subsequent launch of Tesco Express stores in 2007. It also discusses the different localization strategies adopted by Tesco and concludes by identifying the challenges faced by Tesco in Japan.

Learning Objectives

The case is structured to achieve the following Learning Objectives:

• Evaluate Tesco's globalization strategies.
• Understand the entry and expansion strategies of Tesco in European and Asian markets.
• Study and analyze the entry and expansion strategies of Tesco in Japan.
• Examine some of Tesco's efforts to localize its offerings in Japan.
• Examine the challenges faced by Tesco in Japan.

Keywords

Tesco, Japan, Retail market, International Expansion, Expansion Strategy, Retail in Asia, Local Partner, Feasibility study, Tsurukame, C Two-Network, Store Format, Convenience stores, Conbini, Fresh food, Tesco Express stores, Globalization, Localization, Supermarkets, Convenience format, Customer feedback, Fre'c, Joint venture / acquisition, Cetacean meat, Environmental Investigation Agency(EIA), Whale and Dolphin Conservation Society(WDCS), Greenpeace