International Management Decision Making Assignment - 1

International Management Decision Making - Assignment Example To do market segmentation properly, Tesco collects demographic and psychographic data. Both these types of data are very crucial for the success of an organization. Demographic data is the kind of data which can be put into categories and labeled statistically. Demographic data includes age, race, income, religion, gender etc. It comprises of basic facts. For instance, Tesco finds out what age bracket visits their super market very regularly, which age bracket does not, what kind of products do they prefer, what is it that they don’t like, when do sales rise and when do sales dip. It then shapes up its promotional offers accordingly. On the other hand psychographic data cant be quantified it is used to understand consumer behavior, how target market feels, what they want and how they go about getting what they want in their daily lives. It helps them in their purchasing decisions. Tesco utilizes all this data, then analyzes it and comes up with reports to assist it in forecast ing demand and making promotional offers. J Sainsbury Plc was established in 1860. It is home to more than 872 stores and 537 super markets all over UK and has some 335 convenience stores. It currently owns Sainsbury’s Bank and LIoyd’s Banking Group. It has two joint ventures namely the Land Securities Group PLC and the British Land Company PLC. Sainsbury’s brand was built to offer a certain heritage to customers. They deliver healthy , safe, fresh and tasty food. The quality of their food is kept in tact and goes hand In hand with a reasonable approach to business. Their food is particularly known for fresh food and they continuously strive to improve products so that they are in line with customer needs. Sainsbury’s is currently serving 19 million customers per week and has a market share which is over 16%. They have more than 30,000 product s to