LABEL Issue III
A glimpse at Tata-Tesco JV
In the year 2008 when recession was at its
peak, Tesco PLC the number one company in
retail services in UK, announced its entry into
the Indian retail space by having a joint
venture with Trent, the retail arm of the Tata
Group. The venture was in the cash and carry
segment. The initial investment in the venture
was 60 million pounds which also involved the
sharing of expertise as well as experience
among the two companies.
Infrastructure and supply chain has always
acted as a hindrance in the growth of retail
sector in India. Tesco joining hands with Tata
was the first step towards removing this
hindrance. The high brand equity of the Tata
Group and its alliance with Tesco was clearly
visible when its retail chain Star Bazaar earned
the respect for its impeccable supply chain
dealing with a plethora of retail products.
The association of these two giants started at
the back end and later on over the years we see
that, the Tesco section at any of the Star
Bazaars is a highlight of the entire store. Tesco
products do not only assure of the good quality
but they also unde