Abstract

The case discusses the management style of Terry Leahy under whose visionary leadership Tesco emerged as the largest retail chain in the UK. It discusses how Leahy has changed Tesco’s positioning from a store which primarily catered to the low-end customers to a store catering to high-end and value conscious customers. The case outlines how Leahy transformed Tesco to a customer-centric organization. It also examines the strategies introduced by Leahy like diversifying into high margin non-food and services sectors that helped Tesco become the biggest and most profitable retailer in the UK.

Learning Objectives

The case is structured to achieve the following Learning Objectives:

• Role played by a leader in changing the fortunes of a company. Strategies adopted by Terry Leahy to transform Tesco into one of the major players in retail market. Examine the innovative management practices introduced by successful leaders.

Keywords

Terry Leahy, Leadership Style, Customer Loyalty, Vision, Values, Customer Relationship Management, HR Policy, Balanced Scoreboard, Steering Wheel, Retailing Industry in the UK, Innovation.