Background/business challenge
The year-round supermarket battleground is tough, especially if (like Tesco) you're one of the mid-market "Big Four". While M&S and Waitrose trade effectively off enhanced quality and service at the top of the market, the German discounters continue an aggressive store expansion plan, stealing share from below.
At Christmas the competition is even fiercer – throw in an increasingly challenging economic climate and you've got all the ingredients for a difficult Christmas for retailers.
But none of this changes the fact that Christmas is the most important trading event of the year. A strong performance is vital...