Calendar An icon of a desk calendar. Cancel An icon of a circle with a diagonal line across. Caret An icon of a block arrow pointing to the right. Email An icon of a paper envelope. Facebook An icon of the Facebook "f" mark. Google An icon of the Google "G" mark. Linked In An icon of the Linked In "in" mark. Logout An icon representing logout. Profile An icon that resembles human head and shoulders. Telephone An icon of a traditional telephone receiver. Tick An icon of a tick mark. Is Public An icon of a human eye and eyelashes. Is Not Public An icon of a human eye and eyelashes with a diagonal line through it. Pause Icon A two-lined pause icon for stopping interactions. Quote Mark A opening quote mark. Quote Mark A closing quote mark. Arrow An icon of an arrow. Folder An icon of a paper folder. Breaking An icon of an exclamation mark on a circular background. Camera An icon of a digital camera. Caret An icon of a caret arrow. Clock An icon of a clock face. Close An icon of the an X shape. Close Icon An icon used to represent where to interact to collapse or dismiss a component Comment An icon of a speech bubble. Comments An icon of a speech bubble, denoting user comments. Comments An icon of a speech bubble, denoting user comments. Ellipsis An icon of 3 horizontal dots. Envelope An icon of a paper envelope. Facebook An icon of a facebook f logo. Camera An icon of a digital camera. Home An icon of a house. Instagram An icon of the Instagram logo. LinkedIn An icon of the LinkedIn logo. Magnifying Glass An icon of a magnifying glass. Search Icon A magnifying glass icon that is used to represent the function of searching. Menu An icon of 3 horizontal lines. Hamburger Menu Icon An icon used to represent a collapsed menu. Next An icon of an arrow pointing to the right. Notice An explanation mark centred inside a circle. Previous An icon of an arrow pointing to the left. Rating An icon of a star. Tag An icon of a tag. Twitter An icon of the Twitter logo. Video Camera An icon of a video camera shape. Speech Bubble Icon A icon displaying a speech bubble WhatsApp An icon of the WhatsApp logo. Information An icon of an information logo. Plus A mathematical 'plus' symbol. Duration An icon indicating Time. Success Tick An icon of a green tick. Success Tick Timeout An icon of a greyed out success tick. Loading Spinner An icon of a loading spinner. Facebook Messenger An icon of the facebook messenger app logo. Facebook An icon of a facebook f logo. Facebook Messenger An icon of the Twitter app logo. LinkedIn An icon of the LinkedIn logo. WhatsApp Messenger An icon of the Whatsapp messenger app logo. Email An icon of an mail envelope. Copy link A decentered black square over a white square.

Tesco faces fresh test of public confidence

Tesco faces fresh test of public confidence

The fact that companies seek to make themselves look good, or at least not all bad, should come as no surprise to anyone.

That is why millions of pounds are spent every day on branding, advertising and marketing in an effort to make commercial enterprises more palatable, more desirable, and to make it more likely that you and I will choose to swell their coffers with our hard-earned cash.

With that in mind, it’s hardly a revelation that there should exist small armies of well-rewarded public relations people, all seeking to shape and manage the profile of their clients to keep them away from the bad stuff, and stop people like me writing nasty things about them in the papers.

Nor is it news that listed companies even large ones might seek to put a positive spin on their finances in an attempt to ward off the worst of the opprobrium.

They might record some nasty charge or other, but do it at the end of a stock market filing in the really small type. They might shuffle something around and explain why in an asterisked footnote somewhere toward the bottom of the page.

It’s not uncommon, and obfuscation of this type has almost become part of the game.

On first sight, though, it appears that Tesco’s “overstatement” of profits this week goes far beyond that. Profits will be at least £250 million south of expectations after apparent anomalies in suppliers’ trading accounts, the chain said. Four UK executives have been suspended, and many City investors and commentators are very upset indeed.

Tesco is not doing very well at the moment. Its rivals are cheaper, fleeter of foot, and picking up market share from what was not that long ago thought to be an unstoppable behemoth of global retailing. Its international adventures have gone awry, leading to swift back-pedalling in the USA and a reduction of exposure in China.

But let’s not kid ourselves: while the supermarket giant has got a few more bad news days to come and, in all probability, a string of issues to sort through with new chief executive Dave Lewis at the helm it easily remains Britain’s biggest retailer, and is far from on its knees.

However, it does now face a fresh public confidence test. It is not just big shareholders who will dislike the idea that the books have somehow been cooked; many shoppers will find it as distasteful as last year’s horsemeat scandal.

There’s that cadre of consumers who don’t much like big supermarkets, and would much rather go to some nice independent shops if they only had the time. They might be distrustful already, or indulge in the once-a-week trolley dash only very reluctantly.

Will they stick with a big company which has been shown to be ‘at it’, or will their sense of natural justice require them to change their habits?

What will surprise many shoppers is that suppliers can effectively pay Tesco to ensure the best possible placement for their products. The practice may be commonplace but, to the uninitiated, it seems innately aggressive and unfair.

Mr Lewis is right to promise a “full and thorough investigation”, and must also carry through the pledge he made when taking up the post a few weeks ago: to return the company to its core values.