Tesco set for likely US exit
Five years after entering the US market, CEO Philip Clarke has said Tesco is "considering all options" for the loss-making business and indicated it may exit the market.
When pondering why Tesco has decided to consider quitting the US, one must look at the UK retailer's challenges at home, writes Dean Best.
Almost seven years since Tesco first announced its plan to enter the US, the UK retailer has today (5 December) it is "likely" to quit market. Tesco said it would take too long for its Fresh & Easy chain to reach the "scale and profitability it needs". Here, just-food, looks at the ups and downs, the optimism about and the criticism of, Tesco's US venture.
Tesco is "likely" to quit the US, CEO Philip Clarke admitted today (5 December), after the UK's largest retailer confirmed it is reviewing its options for its Fresh & Easy business in the country.
Tesco CEO Philip Clarke today (19 September) insisted the UK retailer would continue to persist with Fresh & Easy, the US chain that has concerned some in the City.
Tesco has said its target to make its US Fresh & Easy business break even by the end of the 2012/13 financial year will not now be achieved.
Tesco's decision to quit Japan is Philip Clarke's first significant strategic move as CEO but the move has led industry watchers to wonder if the UK retailer could leave othe international markets, Dean Best writes.
Speculation is mounting over the future of Tesco's operations in the US. Investor Warren Buffett has described the venture as "foolhardy", while some industry watchers believe potential Californian restrictions on the sale of alcohol could be a hammer blow for business. Why has Fresh & Easy struggled so much in the US, and how likely is it that the loss-making venture will turn a profit? Petah Marian investigates.
Tesco CEO Philip Clarke said today (19 April) that it was "essential" that losses from its US business Fresh & Easy come down this year after the division's bottom line worsened over the last 12 months.
Tesco's CEO-designate Philip Clarke was today (5 October) today vowed to push ahead with its expansion in the market and said the UK retailer expected to break even across the Atlantic during 2012/13.
Tesco chief executive Sir Terry Leahy today (21 April) insisted the UK retail giant would continue to expand in the US but admitted the downturn had held back its ambitions across the Atlantic.
Tesco’s US venture will “last for a generation”, chief executive Sir Terry Leahy said today (15 April).
The stakes are high for Tesco as it embarks on its US adventure. The UK retail giant is just weeks into its foray into the US and, so far, the signs for its Fresh & Easy business are positive. But can Tesco succeed where others have failed? Dean Best reports.
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