Tesco's Globalization Strategies and its Success in South Korea

Tesco's Globalization Strategies and its Success in South Korea
Case Code: BSTR242
Case Length: 20 Pages
Period: 1995-2006
Pub Date: 2006
Teaching Note: Not Available
Price: Rs.400
Organization: Tesco
Industry: Retail
Countries: South Korea
Themes: Globalization, International Business
Tesco's Globalization Strategies and its Success in South Korea
Abstract Case Intro 1 Case Intro 2 Excerpts


The case focuses on the UK based Tesco's globalization strategies and its successful foray into the South Korean market. One of the largest retailers in the world, Tesco's initial experiences with globalization was not successful. However, subsequently Tesco started localizing its stores and products according to the international markets. It entered South Korea in the year 1999 by forming a joint venture with a well established local retailer -Samsung. The joint venture helped Tesco acquire in-depth knowledge of the market and also helped it acquire the best store locations. Tesco began operating in the country under the well established 'Home Plus' banner. Tesco localized its stores according to the preferences of the Korean consumers and brought in some of its global best practices into the country.

The company's operations grew rapidly in South Korea and it emerged as the second largest retailer in the country.


The case is structured to achieve the following teaching objectives

  • Evaluate Tesco's globalization strategies
  • Study and analyze the entry and expansion strategies of Tesco in South Korea
  • Examine how Tesco localized its retail practices in South Korea
  • Appreciate Tesco's efforts to integrate its global best practices with local strategies in South Korea



Tesco, Samsung Tesco, Globalization, Localization, International Business, International Expansion, Entry Strategies, Expansion Strategies, Global Supply Chain Management, RFID, E.Land, Retail Industry in South Korea, Store Formats, Hypermarkets

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