Tesco: “Rebooting Sales” By Rebuilding Image

Today, major British supermarket Tesco is attempting to restore the trust of its customers by changing its image to one of superior quality and design. After the international horse meat scandal which struck Tesco with a hard blow, the company is now investing time, effort and a lot of money in rebuilding their damaged image to relaunch sales. Indeed, it is said to be spending “millions of pounds” on updating its recipes to upgrade the quality not only of their food, but also of their supermarkets to create a better “look” that will bring hopefully bring customers back.

Tesco has said “it had added 400 new products, improved 750 existing lines and discontinued 200 others that were deemed no longer relevant”. Moreover, the firm has said that it has made sure to have better control over its suppliers through various contract signings.

In the situation which Tesco faces, the company is not wishing to expand but rather to rebuild the image and trust which was damaged . This could be seen as an example of business ethics since the company is also providing better quality to its paying customers in trying to save, or at least limiting the casualties.

Article link http://www.theguardian.com/business/2013/oct/07/tesco-revamp-finest-range-uk-sales

 

 

 

Investing In Twitter Versus Investing In Royal Mail

The world has witnessed a technological battle in the last years. As mail fights to “stay alive” versus other virtual means of communication, investors are faced with a critical decision. The Guardian Online evokes the particular case of Twitter and Royal Mail. Now for investors, the choice is made complicated by the the fact that each of these businesses share advantages.

In the long run, if the investors were to choose to place their trust in Twitter, the possible outcome would be more successful and enriching. The article states that the company would be “likely to raise” “12.8 billion USD (= 8 billion £ = 13.2 billion CAD ).

However, even though the predictions for Royal Mail are “a shadow of” Twitter’s possible revenues at 3.3 billon USD (2.05 billion £ = 3.4 billion CAD), this time these outcomes are said to be more certain which would imply that investors would be taking less risks.

Each of these two companies can therefore hope to attract these new stakeholders to hope to develop and expand in the next years. Perhaps for Twitter, these investments will be seen as paths to development whereas for Royal Mail they will seen as a way to renewal.

Below is the concerned article:

http://www.theguardian.com/technology/2013/oct/06/is-twitter-worth-a-flutter

 

British Airways To Partially Switch To Airbus A380’s

In July of this year, British Airways signed a contract during a ceremony in Toulouse, France, ordering 12 Airbus A380 jumbojets, to in part replace the previously used Boeing 747 model.

The incentives behind such a change are numerous. First of all, in terms of reasons related to cost, British Airways estimates that the change will save them 100M £ (approx. 166M CAD and 161M USD) during these aircrafts’ liftetimes.

Furthermore, the use of such planes would have positive outcomes on national employment in the United Kingdom where part of the supply chain would be drafted. Indeed, 40% of the production would be undertaken in the UK and the Rolls-Royce Trent-900 engines would be manufactured in Derby, England.

Finally, the A380 is a very silent airplane, compared to the Boeing 747. this would imply two things; first, British Airways would be paying less landing taxes at Heathrow for less noise pollution, and secondly; would show business ethics in creating less noise pollution when flying low over densely inhabited areas.

Source: http://www.theguardian.com/business/2013/jul/04/british-airways-airbus-a380-heathrow

Below is a summary video of the signings and inaugural take-off: