Broken Business Models

Jones, Daniel T
March 2006
Management Services;Spring2006, Vol. 50 Issue 1, p12
Academic Journal
This article examines the reason why Wal-Mart asked the British government for protection against competition from Tesco. The rise of Tesco is not because it is better at dominating its home market than Wal-Mart is in the markets it serves in the U.S. Both benefit from enormous scale and purchasing power. The difference is that Tesco has developed a superior lean business model that is exposing the cracks in the Wal-Mart business model.


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