Tesco operates 923 stores and employs 240,000 people, giving us access to a population of 260 million across our nine markets. Over the past five years, we have expanded from our traditional UK supermarket base into new countries, products and services, including a major non-food business, personal finance and internet shopping. The increasing scale and internationalization of our sales and purchasing operations makes a significant contribution to our efficiency and profitability, as we progress towards our long-term goal of becoming a truly international retailer.
Core UK business
Tesco has 702 stores and is the largest food retailer in the United Kingdom. Tesco continue to increase market share through our policy of cheaper prices, offering better value and providing more choice and convenience for our customers. Our share of the UK market has grown steadily since the early nineties as a result of our customer focused strategy: our market share is now 16.2%. Tesco operates 4 store formats in the United Kingdom.
|No. of stores|
Tesco currently has over a 4% market share of a market worth ?5bn in the UK, where our goal is to be as strong in non-food as in food. Our non-food offer now encompasses electrical, home entertainment, homeshop, cookshop and even white goods and furniture in our largest stores. Recently Tesco have focused on developing the brand into non-food and now stock electrical items, home entertainment, toys, sports equipment, cookshop and even lighting and furnishing in many of its larger stores
Tesco has established itself as the number one internet business for grocery. With Tesco.com we now reach 90% of the UK population and make 70,000 deliveries weekly. In 2000 and 2002 we introduced the service in Ireland and South-Korea respectively.
Tesco has been successful in opening up new growth markets in Central Europe and Asia. The proportion of total Group space outside of the UK grew to 38% at our half year. We now operate in Hungary, Poland, Czech Republic, Slovak Republic, Thailand, South Korea, Taiwan and the Republic of Ireland. In December we announced of our intention to develop hypermakets in Malaysia where our first store will open in 2002.
In total Tesco has 923 stores in ten countries. As of August 2001 Tesco had the following stores in addition to its UK stores:
|Slovac Republic||10||Rest of Asia ||63|
|Total Central Europe ||108|
Tesco International Sourcing was established in Hong Kong 30 years ago to develop product ranges for Tesco. Tesco International Sourcing works directly with the manufacturer to ensure the most competitive prices and uniquely differentiated products, while maintaining the highest quality standards.
Since 1999, Tesco International Sourcing has broadened its sourcing portfolio to cover not only apparel and toys from Southern China, but also products such as electrical, household, homeware, outdoor furniture, baby and sports equipment.
Tesco International Sourcing now employs over 100 people in various offices across the region: Thailand, India, Sri Lanka, Mauritius, Bangladesh and Shanghai, China. The Hong Kong office remains the head office for Tesco International Sourcing.