Explain one business objective Tesco might be aiming to achieve by launching its Jack's stores.
- Edexcel - A-Level Business - Question 1 - 2022 - Paper 1
Question 1
Explain one business objective Tesco might be aiming to achieve by launching its Jack's stores.
Worked Solution & Example Answer:Explain one business objective Tesco might be aiming to achieve by launching its Jack's stores.
- Edexcel - A-Level Business - Question 1 - 2022 - Paper 1
Step 1
Knowledge: What is a business objective?
96%
114 rated
Only available for registered users.
Sign up now to view full answer, or log in if you already have an account!
Answer
A business objective is a specific goal that an organization aims to achieve, such as profit maximization or increasing market share.
Step 2
Application: Contextualized examples
99%
104 rated
Only available for registered users.
Sign up now to view full answer, or log in if you already have an account!
Answer
Tesco may aim to increase its market share by positioning Jack's as the 'cheapest' supermarket. This strategy aligns with attracting price-sensitive customers who may be shopping at competitors like Aldi and Lidl.
Step 3
Analysis: Understanding the impact
96%
101 rated
Only available for registered users.
Sign up now to view full answer, or log in if you already have an account!
Answer
By targeting customers who are price-sensitive, Tesco is likely trying to capture a larger share of the discount segment, thereby increasing sales and overall profitability for Jack's stores.
