Tesco PLC, the largest retailer in the UK, was pondering India. India's booming market and lack of major retail chains provided opportunity to both foreign and domestic companies. India had gradually been removing its restriction on FDI in other sectors but hadn't done so in retailing because of concerns about the fate of small retailers. Removal of FDI retailing restrictions was inescapable, prompting many large Indian industrial groups before global retailers could to hurriedly enter the retailing sector.
This presented a considerable difficulty for the international retailers. They could enter the marketplace now with constraints on their investments and hence on their organizational forms, or they could wait for additional relaxations of the FDI regulations. India was Tesco's last remaining important market opportunity -Tesco had to decide when to do it, and whether to enter the market, how to enter it.
Tesco PLC in India case study solution
PUBLICATION DATE: October 20, 2008 PRODUCT #: P62-HCB-ENG
This is just an excerpt. This case is about GLOBAL BUSINESS