Problems and Opportunities Through Customer's Mind Analysis: TESCO (Research Paper Sample)

Individual Report
Problems & Opportunities through Customer's mind analysis: TESCO
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Table of Contents  1

Introduction  4

1.1The Market Structure of the UK’s retail supermarket Industry  4

1.2Development of home deliveries in the UK  5

1.3TESCO's Achievements in its E-commerce Strategy  5

1.4Competitors' Activity in E-commerce  6

2Tesco business problems: e-commerce  6

2.1Technological Failure  6

2.2Data Privacy and Security  7

2.3Online store environment cues and consumer perception; poor technologies, data privacy and security  7

3Solution to Tesco E-commerce problem  9

3.1The Unified Theory of Acceptance and Utilization of Technology  9

3.2The functional theory of Attitude  10

4Recommendations  11

5Conclusion  13

6References  14
Executive summary
This research aims to provide a deeper knowledge of consumer behavior in the context of online purchasing by using a wide range of theories and frameworks to illustrate how customers react to the business difficulties and opportunities encountered throughout Tesco's e-commerce journey. Online store environment cues and consumer perception aids in explaining the problems that Tesco faces in its e-commerce strategy. Two problems have been identified; technological failures, data privacy, and security. These two problems are a major influence on consumer behavior. If not solved to create a positive image, they might lead to a negative brand image and loyalty among consumers, lowering their online purchasing intentions and behavior. The Unified Theory of Acceptance and Utilization of Technology and The Functional Theory of Attitude have been applied to suggest solutions to the identified problems. Several recommendations have been made to help Tesco ensure their consumers have confidence in their online shops without fear of sharing their personal information, which is essential in online shopping.
Introduction
In order to better understand the challenges/opportunities facing TESCO, a retail supermarket chain operating in the UK market, this report will look at the attitudes and actions of customers towards online stores and shopping. Beginning with the market structure of the UK's retail supermarket business, TESCO's successes in its e-commerce tactics and its rivals' activities in e-commerce will be discussed in the first section of the report. In the next section, consumer cues and user perception from an online shop will help to analyze Tesco's E-commerce issues. The third section offers a solution for Tesco's e-commerce problems by drawing on the functional theory of attitude and the Unified Theory of Acceptance and Use of Technology. The report will conclude in Section 5, after which recommendations will be presented to address the issues raised within.
The Market Structure of the UK’s retail supermarket Industry
In the past fifty years, the grocery industry in the United Kingdom has evolved into a new supermarket subsector. The proliferation of large-scale supermarkets has revolutionized the retail food industry. These consumer advocates have helped their industry flourish by introducing many new products and pricing options (Hood et al., 2020). One of the most important parts of the supermarket industry is the home delivery system, which includes online grocery shopping. Grocery stores have been encouraged to try innovative retail practices by the internet's revolutionary technological breakthroughs. Several supermarkets, however, need to see its potential benefits for their businesses. These changes have rendered full-service online grocers like Web-Van, HomeGrocer, Shoplink, and home runs obsolete (Hood et al., 2020). These findings highlight the need to strategically develop e-grocery approaches that make the most of internet technology's benefits to businesses and their customers.
On the one hand, pure-play grocery shops need help conceptualizing strategies due to their lack of experience with business models. Clicks-and-bricks grocery stores, on the other hand, need tactics that integrate traditional grocery store procedures with online purchasing (Utama et al., 2022, p. 58). Customer online purchasing behavior and habits, order fulfillment and delivery, and