Tesco’s Fresh and Easy essay

Another problem that the fresh and easy faces is that of management. Fresh and easy has developed a notion of “mission accomplished” more so from the fact that it has penetrated much in the market. This has in turn led to relaxation in ensuring that a competitive team of management is maintained. Instead that task has been passed on to less exceptional team .As a result of mismanagement, In a report released by Tesco, it was pointed out that there is a need for the analysts to increase their expectations for the losses to around $ 200 million in the year 2006 when the report was released. Much of this loss is associated with poor management strategies.

Fresh and easy Faces some difficult related the fact that it is a foreign firm. This has been so because most of the employees cannot speak native language. There is also lack of knowledge of culture, local operational experience as well as lack of necessary infrastructure. Combinations of all these factors result to increase in costs for the foreign firm. This has been one of the factors resulting to increase in the costs incurred during the process of production

These problems faced by Fresh and easy can be addressed by putting in place various measures.

Competition

Ensure that the problem of competition is overcome; there is a need to carry out much campaign on the products that they sale in order to first create maximum awareness to the customer.. Another way of overcoming competition is through ensuring that the products of Fresh and easy are of best quality to out do the products of its competitors. (Seth, 1999, p.193).

Management

On the issue of management, fresh and easy ought to ensure that the management team comprises of individuals who are qualified enough to effectively carry out the tasks of managers. If necessary the team should sign performance contracts which will form the basis for evaluating the contribution the management team individually to the realization of goals and objectives of Fresh and easy (Seth, 1999, p. 192)

The problem of fresh and easy being seen as outsides and other costs associated with that can be effectively dealt with by recruiting into the management team Americans., This will help solve the problem of communication barrier that can act as a hindrance to the efforts of fresh and easy of realizing its goals.