Table of contents1. Introduction: 22. Value Chain Analysis 22.1 Inbound Logistics 22.3 Outbound Logistics 32.4 Sales and Marketing 32.5 Services 33. Resource-Based View (RBV) 44. PR Issues 54.1 Tesco Twitter PR Crisis Around Allegations of “Slave Labor” 54.2 The Horsemeat Scandal 65. Core Competencies 76. Tesco Cultural Web 87. TOWS Analysis of Tesco 88. Strategic Options for Tesco 108.1 Market Development Strategy: Strategic Alliances and Joint Development 108.2 Diversification and product development 118.3 SAF 119. Conclusion 12References: 141. Introduction:This is the second part of the strategic mission. In this report, the analysis of Tesco's skills, culture and resources is presented. Furthermore, in this report, the SWOT analysis of Tesco is presented and then two strategic options are suggested to Tesco. The proposed strategic options are then evaluated using the SAF.2 model. Value chain analysis Lynch (2006) explained this as it is an association between core values ​​that adds tasks and supporting tasks. Audrestsch (1995) suggests that this should be considered as a means of tactical assessment which aids in diagnosis by adding values ​​through the process of weaknesses and strengths. The image below is provided by Tesco Value Chain. (Source: Lynch, 2006) 2.1 Inbound Logistics Complete cost administration is carried out by lean internal operational functions adopted by Tesco. The register of accepted sellers and the organization plan are updated regularly and endlessly. The effectiveness and efficiency of these operations are maintained by these policies adopted by Tesco.2.2 Organization of operational activitiesTesco's low cost leadership plan...... middle of paper ......choles K. (2003) Exploring Corporate Strategy, 6th ed., Prentice Hill: London; 12. Keynote (2010), Keynote Report on Food Retail Industry, Keynote International [not found. Wrong date. Need to provide link]13. Lynch, R. (2006), Corporate Strategy (4th ed.) (Harlow: Pearson Education Limited)14. MarketWatch (2004) Business Spotlight: Tesco, Datamonitor, September 15. Mbaskool, 2014, SWOT analysis of Tesco stores, available at: http://www.mbaskool.com/brandguide/lifestyle-and-retail/5746-tesco-stores.html16. Mintel (2010), Food Retail Industry – Including Online, Mintel Research17. Palmer M. (2004) International retail restructuring and divestment: the Tesco experience, Journal of Marketing Management, November, Vol. 20 Number 9/10, pages 1075-1101; 18. Reuters, 2014, Annual income statement data, available at: http://www.4-traders.com/TESCO-PLC-4000540/financials/