Tesco in crisis

estebanrey · 23 Oct 2014 at 20:30

Anyone else remember when Tesco were planning to launch an Operating System to take on Windows?

They really did have delusions of grandeur a few years back.

SexyGreyFox · 23 Oct 2014 at 20:34

How can a company who have made 120 million profit be in crisis?

Efour · 23 Oct 2014 at 20:37

Dimple said:
How can a company who have made 120 million profit be in crisis?

capitalism

Dis86 · 23 Oct 2014 at 20:40

Dimple said:
How can a company who have made 120 million profit be in crisis?

Before uni I used to work for a company where I was awarded a bonus based upon the company making profit.
One year they made several million (it was quite a small consultancy firm) and they tried to wriggle their way out of paying my bonus stating that they hadn't made enough profit. :confused:

My bonus was only a couple of hundred pounds!

V F · 23 Oct 2014 at 20:59

Dis86, http://theshamrockglasgow.wordpress...and-the-living-wage-what-the-hell-do-we-care/

SpeedFreak · 23 Oct 2014 at 21:02

Dimple said:
How can a company who have made 120 million profit be in crisis?

Because profit is a relative figure. If I make £120m and my shareholders are expecting £800m in dividends then it can eventually become an issue.

V F · 23 Oct 2014 at 21:04

At what point is enough, ever enough?

Rroff · 23 Oct 2014 at 21:11

V F said:
At what point is enough, ever enough?

It sickens me a bit - seen way too many companies go from having a good name, good quality product and reasonable but not cheap prices and making a reasonable profit year on year to (usually under new owners) pushing out tat, trading on the name and pushing prices up, moving as much production to china as possible and making 1/3rd of the staff redundant resulting in most of the good ones leaving from the pressure they are under and in the long run the company is run into the ground all in the name of making increasing profits.

big_white_dog84 · 23 Oct 2014 at 21:21

I want anywhere open until at least 10pm where I can be guaranteed will stock bread, milk, cat food and random things eg oregano, creme fraiche etc. also large amounts of easy free parking. This means any tesco, sainsburys, morrisons or asda. They are all much of a muchness to me. Aldi and lidl are crap.

v0n · 23 Oct 2014 at 21:28

Judgeneo said:
Where on earth do you live? That sounds like no Tesco I've been to.

Efour said:
I'm really struggling to picture these hell holes too.

[TW]Fox;27099810 said:
That is one huge Tesco - do we really have a 8 story Tesco hyperstore in the UK!?

I actually undersized it in my tale, due to location parking part is 7 or 8 stories alone going additional level underground and extra level on the roof of the main store building (now all floors above second level are closed off due to disrepair, rodents and pigeons. It was certainly built as hyperstore, and according to local traders it managed to finish off most of the local high street competition in seventies, then in eighties something went wrong. West wing is now rented out to some furniture company, east wing was partitioned off. The lift no longer stops on market floor or restaurant floor (buttons are now removed/blanked but there used to be half broken automatic announcement in the lift as you traveled through the floors) but customers can still take stairs next to the lift with signage "toilets" and end up in front of crate separating mezzanine level that used to be restaurant before turning into grotty lavatories straight from Trainspotters. Trading space on the ground floor open to customers at the moment is about the size of typical Tesco Express in London.

Pictures from google:

Main building, west wing to the left, red brick building behind is the parking lot.

You can take elevator (lift in the middle is now refurbished, it has buttons that work, anti riot metal cladding inside and everything):

Or alternatively you can take stairs:

V F · 23 Oct 2014 at 21:46

Rroff said:
It sickens me a bit - seen way too many companies go from having a good name, good quality product and reasonable but not cheap prices and making a reasonable profit year on year to (usually under new owners) pushing out tat, trading on the name and pushing prices up, moving as much production to china as possible and making 1/3rd of the staff redundant resulting in most of the good ones leaving from the pressure they are under and in the long run the company is run into the ground all in the name of making increasing profits.

gothic_hobbit · 23 Oct 2014 at 21:47

Tesco are evil and deserve to go bust.

d_brennen · 23 Oct 2014 at 21:54

gothic_hobbit said:
Tesco are evil and deserve to go bust.

And all their evil employees go without work, or their evil small time investors losing their shirts over share price? Management may be **** but there is never a case of a company "deserving" to struggle/fail

Mr Joshua · 23 Oct 2014 at 22:29

v0n said:
You can take elevator (lift in the middle is now refurbished, it has buttons that work, anti riot metal cladding inside and everything):

Or alternatively you can take stairs:

I don't think that's a Tesco problem, more the area is a ****hole sort of problem.

gothic_hobbit · 23 Oct 2014 at 22:30

d_brennen said:
And all their evil employees go without work, or their evil small time investors losing their shirts over share price? Management may be **** but there is never a case of a company "deserving" to struggle/fail

They wanted to use RFID chips to spy on people and their shopping habits.

That alone is a good reason for them to go bust.

V F · 23 Oct 2014 at 22:32

Oh this privacy thing again. They can all do it.

arc@css · 23 Oct 2014 at 22:35

Freefaller said:
I miss all the small green grocers/butchers

+1

lokiss · 23 Oct 2014 at 22:48

V F said:
Remember WM Lows?

Not them, but i remember just about all the other crud from the 80's.

Shoppers paradise, presto, keymarkets, finefair, every other local shop being either a VG or a happy shopper.. ohh and the local international, which became a gateway/sommerfield.

Single mother, she dragged me and my sister bloody everywhere... know um all.

Safeway was allways my favourite of the lot.

Mickie · 23 Oct 2014 at 23:06

i guess their profit is down so much because they've pumped it into new buildings..

i have no idea of what they've build outside the northeast but they have built two massive super stores, up here, one in sunderland, one in consett.. both busy..

but Obviously the cost of everythings gone up and peoples wage hasn't so they're going to lose out there too..

nikeair94 · 24 Oct 2014 at 00:03

The convenience of Tesco's is what gets the general public on board. The state of the economy means a lot of people cannot afford cars and doing your daily shop without a car can be a pain in the ass when working 30+ hours just to get by.

You can't have a nice wee drive to the green grocers then head to the butchers. You take the bus to the nearest supermarket and get everything you need and usually that isn't much because you have to carry it back to the bus again to get home and then have to make a few more trips mid week to top up on things. Then again there is always their Tesco delivery option I suppose.

The UK (especially working class) rely a lot on Tesco and modern supermarkets so I can't say I am pleased they are doing badly, although can't stand the food myself.

Hopefully it is what others have suggested and the high investments in new stores has given them a temporary hit in profits they'll benefit from in the future.