Competitive Advantages Of The Global Retail Industry

The Global retail can be defined as to increase the business by expanding the branches of the company or the expansion of the business into the new markets or globally, that means opening a new branch of the business in to the new country. However, being global for the company is considering very important now a days as it was not much focused before. There are three major players in this global retail industry are as follows Walmart, Tesco and Carrefour. Hence, these global retailers having a very big market all over world such as Walmart do have more than 11,000 stores in 27 different countries (Walmart, 2015). However, Tesco is also counted one of the largest retailer store which serves millions of customers online or in their store within

Internal resources of the global retail industries can be their machinery, fixed assets, building etc. it can be anything which helps to finalize and ready to provide their services to the customers. Also the analysis of competitive advantage that means what all benefits are gained by the company from their competitor in terms of providing the same product of same value at the lower price. Competitive advantages may be includes the customer support, product offering and the distribution channel as well. All above analysis will be done below. Firstly, the global retail industry analysis will be done by porter’s 5 forces i.e. threat of new entrant, Threat of substitutes, bargaining powers of suppliers, bargaining power of customers and rivalry among existing competitors with the outside-In approach. This analysis also includes the market structure of these global retail industry weather it’s a monopoly, duopoly or oligopoly and what type of competition they are facing in the market. VRIO analysis i.e. valuable, rare, difficult to imitate, supported by organisation in terms of inside-in approach and also analyse what all resources does they have and what all resource are they lack. Than will

Recently, the retailer stores expanded and upgraded to the hypermarkets which increase more competition to the other retailer stores. In UK Tesco having a highest market share that is 30% and with this it became higher capital investor in these retailer market. To get entry of the new competitor in these grocery retail market it would be very difficult to catch the highest investor Tesco. It invested around 1 billion to enhance the investment in the UK and they decided to open more than 2500 stores in the same market and many more stores overseas, that clearly defines it can easily compete with the other players like Carrefour and Walmart and the threats of the new entrants in the market is very less (watibini,