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Challenges in Retail Innovation: Aspects of Innovation in Tesco plc's Market Entry into the USA
Managing Innovation

This case examines the market entry of the UK's largest retailer (Tesco) into the USA. Tesco's launch of a new brand - Fresh & Easy Neighborhood Markets - in virgin territory is a bold move, notwithstanding the firm's considerable success with its overseas investment strategy (which within ten years has resulted in more than 50% of the firm's operating space being outside its 'home' market). The paper suggests that Tesco's US experiment is unusual both in terms of the innovatory aspects of its market entry and the reversal in that conventional direction of knowledge transfer. The Fresh & Easy story is then examined in terms of ten 'dimensions of innovation' involved in the market entry.

 
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