INTERNATIONAL TRADE

CASE – TESCO

1. The United States and France are more culturally similar to the United Kingdom
than Thailand and Malaysia. However, Tesco failed in the first two nations and
has been successful in the last two. How would you explain the difference?

Tesco got off to a bad start when it implemented British culture in its company,
leaving aside local culture; In the US, people are very nationalistic, so Tesco's
failure in that nation was inevitable. In France, it failed in the same way, but
additionally, having English as a corporate language helped its failure even
more.
In these last two countries Tesco was successful because it let the companies
be run by local people, but without leaving aside Tesco's organizational culture.

2. What role do global teams play in sharing best practices across a company's
global operations? What advice would you give them to make them more
effective?

 International companies are the representation of the country they are

before the entire world, so they must give a good image and
demonstrate that cultural exchange helps us get along better as
countries.
 When a company internationalizes, from any country, it cannot leave
aside the local culture, so it must always mold the culture of the country
of origin to the culture of the country it reaches.
3. Visit the Tesco PLC website ( www.tescoplc.com ). Exactly what business do you
think the site communicates about Tesco's current international strategy?

4. How did Tesco's business model translate into recruitment, training and
development and career management policies across the Group?

They recruited young people from the time they were studying at university
and allowed them to have a career in the company, becoming managers. But
there were also workers who were not promoted due to their lack of studies.