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Mark &Spenser organization 1
Critical evaluation of Mark & Spencer Company
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Mark &Spenser organization 2
Table of contents
There are so many things to be looked at in the topic of value chain with regards to M & S and
through this they can be in a position to offer effectively the household goods, groceries and clothing
that this company deals in. various exercises are dealing with the human resources and the asset
office in which in which the company operates through the workouts. In order for the operations of
the company to flourish in the market, online exchange base as well as the reliability cards for clients
can be embraced (Cheisslet 2009). This is the way to go by the company in the process of carrying out
its mandate in the European market. .....................................................................................................5
Executive Summary
This company Mark and Spenser is a clothe company that is based in the UK and has
been in operation from 1950s. Its emergence came due to the strong enterprise culture that made
Mark &Spenser organization 3
it to outdo the competitors in the market, making it thrive this far. These strong cultural and
environmental issues are as a result of technology improvement that has been associated with the
company. In this evaluation, factors affecting the operations of the company have been
highlighted and evaluated. Some of these analyzed include the SWOT analysis of the company,
the internal environment, and lastly the PESTEL analysis of the company. These have been
brought out as the contributing factors of the success of the company.
Introduction
Mark &Spenser organization 4
Mark and Spenser is a cloth selling company that is listed in the London’s stock
exchange as one of the operators in the market. The co-founders of this company are Michael
Marks and Thomas Spenser. Apart from the company also selling clothes, it has also been selling
livelihood and home extravagance and by the 2016, it had spread to close to all the parts of
Europe’s mall industry, just still trading in clothes. The company’s monetary status was recorded
in the year 1997, amidst the rivalry that still existed with the clients due to competition from
other operators in the clothe industry. With time due to competition, the company’s venture
model was upgraded, recovering the industry and making close to a third of the UK’s population
to be relying on this company.
PESTEL
Within the company’s premises and with regards to its operations in the clothe industry,
it is important to note that the bargaining power of the customers is very high. This is due to the
fact that they need quality clothing at relatively cheaper prices and it is this that has continued to
influence the company. At the same time, there is a close and strong relationship that has been
there between the buyer and the company (Harrison 2015). This is what currently gives them a
competitive advantage among their rivalries in the industry. On the other hand, it is important to
note that failure to relate with the buyers well, the certainty of the buyers diminishes while
increasing the customer’s value affectivity.
The change in the economy of the UK is influencing the Mark & Spenser Company. In
2009, for example, in the financial subsidence, the company tried much to improve and maintain
its position in the industry and in the economy of the country (Davey 2016). In deciding which of
the options to take for improved performance, it would be proper to use Ansoff matrix. This
matrix is a product-market strategy that ensures that the needs of the customers in the market are
adhered to. This enables market penetration into the market by Mark and Spenser Company. The
customers are hopeful of an economic improvement and that the company would continue to
thrive well. In the Europe, the Mark & Spenser Company are majoring on the online venture and
this is the trend. This has been working to improve the economy of the country and Europe in
general.
On the political front, the understanding of unhindered trade has really influenced the
operations of the company. In fact, in any type of exchange or venture, the laws of the country
guides the operations of the company to be embraced by both the suppliers and the consumers of
the product of the company in the regions it is operating in (Jacobides 2007). Issues of political
grounds affect the concept of mergers and acquisitions that happens in the country and M & S is
no exception in this industry. At the same time, the changes in the labor laws of the country
affect the improvements that are anticipated for in the company. This influence is both in the
global motivation forces and the operations of the internal environment of the company.
The rate of technology changes in the company in the areas of its operation within the
country and world over. This has been influencing the retail venture since it is through online
shopping that has the ability so far to improve the online venture within the enterprise
(Cunningham 2016). The reason the company has been using the online advertisement in the
course of its operations is because of the current influence in the world in terms of technological
inventions and innovations that is being experienced in various parts of the world.
On the other hand, in the social grounds, the needs of the customers by the company have
been debilitating and have made possibilities in their areas of production (Clements & Hendry
2002). The behavior of the buyers is that they tend to move closer to lean clothes as opposed to
Mark &Spenser organization 5
the work of art that is being displayed at the company. This has made the company not be in a
position to fulfill the mandate and demands of the customers in their area of operation.
Most of the enterprises have formed a tendency of working with environmental-tuning
arrangement and this has been so far what is required to maintain the industry piece. This
environmental concept is closely related to the legal aspect of the whole issue. The company has
been working to create renewable assets when making the garments.
INTERNAL ENVIRONMENT
There are so many things to be looked at in the topic of value chain with regards to M &
S and through this they can be in a position to offer effectively the household goods, groceries
and clothing that this company deals in. various exercises are dealing with the human resources
and the asset office in which in which the company operates through the workouts. In order for
the operations of the company to flourish in the market, online exchange base as well as the
reliability cards for clients can be embraced (Cheisslet 2009). This is the way to go by the
company in the process of carrying out its mandate in the European market.
Again, on the capabilities, M & S Company should show solid stone monuments together
with solid brand that threatens the competitors to survive in such kind of environment. Within
the UK, the company has more than 700 stores and also 300 other stores in more than 45
countries of the world. The wish of the customers are fast as well as high consuming and it is
through this that new enterprises finds it problematic to flourish in such kind of a market. This
has really been working to the advantage of company in its environment of operation.
Contestants cannot thus survive in such kind of environment and thus they pave way for M & S
to operate in a free environment (Porter 2008). However, there are also competitors who are
challenging and operate with open doors. These are Top Shop and ASDA which all have been
trying to offer stylistic designs that contrasts that of Mark and Spenser.
Due to the fact that retail division requires a big number of speculations for entry, it is
possible that obstruction is very high especially to the new entrants into the market in which this
company operates. This means that the competitors of late of the company in the market have
been the new entrants into the market. Moreover, retailing has been changing the customer base
in the market. This causes the risk of the substitute to be high and hence customers tend to buy
equivalent products from other shops at much more cost compared to that of the M & S.
The bargaining power of buyers of customers to the company is very high and this lowers
the profit margin within the company. At this rate, the consumers of the products of Mark and
Spenser Company progressively influence the retailer. In fact, the solid buyer relationship is
moving towards what is desired by the company itself in the environments of its operation. On
the other hand, the suppliers bargaining power is very low (Hambrick & Fredrickson 2005). This
makes it possible for them to be supplanted by comparative and open raw materials as well as
comparable enterprises. This strong rivalry which is developing in the course of time has the
ability to accord M & S Company a big competitive advantage in its operation in the market.
SWOT ANALYSIS
In analyzing the strategic position of the company, it would be in order to use a SWOT
analysis of the company. This will help to discover the openings, dangers, qualities and
deficiencies of the company as it operates in the industry. On the strengths, it has been observed
Mark &Spenser organization 6
that M & S has actually been recognized to have one of the best deals in the UK and this makes
them to have a solid customer base. This makes the company to have constant supply of income,
making the company to be stable in terms of income flows. Lastly, the company has been able to
be recognized as being mindful, placing it higher in the whole universe in the clothe industry.
Some of the weaknesses, however, are the perception of some of the clients that its
products are expensively being sold to them in the markets. On the other hand, some of the
buyers who should be concentrated in the products of the company are actually showing no
interest in the products. At the same time, ecological difficulties are making it not easily for the
company to operate in the environment. These difficulties include contamination of the
environment by the plastics.
On to the opportunities, the enterprise is compliant in a way to the others and this
improves the position and dissemination of support to the market. Another opportunity is that the
customers are really moving to the areas of which incentives can be discovered for their monies
as it is in the Mark and Spenser Company (Bass O’Donovan 2006). Lastly, the fact that the
enterprise is spreading rapidly and growing to other areas which have not yet been reached by
the services and products of the company, the trend has the potential to make the company go
beyond the level imagined of.
Lastly, the threat of the company is the competitors in the company that tend to impose
risk on the company. At the same time, there are principles which are established by the
administration and are perceived to be that of the future (Robert 2003). Another threat to the
company is the economic recession that is currently being felt in the country of operation of the
company. Competitors are also trying to introduce new products at a cheaper price compared to
those products of M & S. All these once converted to strengths can really push the company
ahead.
Conclusion
The Mark and Spenser Company is a proper case enterprise which has strong strategic
plan that if fulfilled to the latter can make this particular company to have stronger competitive
advantage. This has been established through the evaluation of technological, economical,
political, social and legal operations of the company. This assessment has worked to evaluate
both internal and external environments of operation and it is this that has placed the company
above the other competitors. It can thus be recommended that proper utilization of resources will
ensure that the power to retain the strong customer base that is currently being enjoyed by the
company. The partners of the enterprise should thus be considered when performing evaluation
of the company in question.
Mark &Spenser organization 7
Bibliography
Bass O’Donovan, G. 2006. The Corporate Culture Handbook, How to Plan, Implement and
Measure a Successful Culture Change Program. Dublin: The Liffey Press.
Cheisslet, H. 2009.Marks in time: 125 years of Marksand Spencer. NY: Weidenfeld and
Nicolson.
Clements, M. P. and Hendry, D. F. 2002. A companion to economic forecasting. New Jersey:
Blackwell Publishers Ltd.
Cunningham, T. 2016. The week ahead inbusiness and finance. Retrieved July 2016, from
The Telegraph: http://www.telegraph.co.uk/business/2016/05/22/the-week-ahead-
in-business-and-finance/
Davey, J. 2016. M&S reports worst clothing sales fall for a decade. Retrieved July 2016, from
Reuters: http://uk.reuters.com/article/us-m-s-outlook-idUKKCN0ZN
Hambrick, D. and Fredrickson, J. 2005. Are you sure you have a strategy? Academy of
Management Executive 19 (4), 51–62.
Harrison, J. 2015.strategicPlanning and SWOT Analysis. In J. Harrison, Essentials
ofstrategicPlanning (pp. 91-97).London: Routledge
Jacobides, M. G. 2007. The inherent limits oforganizational structure and the unfulfilled role of
hierarchy: Lessons from a near-war.organizationScience 18 (3), 455-477.
Porter, M. E. 2008. The Five Competitive Forces That Shape Strategy. Watertown, US: Harvard
businessReview.
Robert, P. 2003. Stakeholder Theory and organizational Ethics. California: Berrett-Koehler
Publishers.

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Mark spenser

  • 1. Mark &Spenser organization 1 Critical evaluation of Mark & Spencer Company Student’s Name Institution Course Professor Date
  • 2. Mark &Spenser organization 2 Table of contents There are so many things to be looked at in the topic of value chain with regards to M & S and through this they can be in a position to offer effectively the household goods, groceries and clothing that this company deals in. various exercises are dealing with the human resources and the asset office in which in which the company operates through the workouts. In order for the operations of the company to flourish in the market, online exchange base as well as the reliability cards for clients can be embraced (Cheisslet 2009). This is the way to go by the company in the process of carrying out its mandate in the European market. .....................................................................................................5 Executive Summary This company Mark and Spenser is a clothe company that is based in the UK and has been in operation from 1950s. Its emergence came due to the strong enterprise culture that made
  • 3. Mark &Spenser organization 3 it to outdo the competitors in the market, making it thrive this far. These strong cultural and environmental issues are as a result of technology improvement that has been associated with the company. In this evaluation, factors affecting the operations of the company have been highlighted and evaluated. Some of these analyzed include the SWOT analysis of the company, the internal environment, and lastly the PESTEL analysis of the company. These have been brought out as the contributing factors of the success of the company. Introduction
  • 4. Mark &Spenser organization 4 Mark and Spenser is a cloth selling company that is listed in the London’s stock exchange as one of the operators in the market. The co-founders of this company are Michael Marks and Thomas Spenser. Apart from the company also selling clothes, it has also been selling livelihood and home extravagance and by the 2016, it had spread to close to all the parts of Europe’s mall industry, just still trading in clothes. The company’s monetary status was recorded in the year 1997, amidst the rivalry that still existed with the clients due to competition from other operators in the clothe industry. With time due to competition, the company’s venture model was upgraded, recovering the industry and making close to a third of the UK’s population to be relying on this company. PESTEL Within the company’s premises and with regards to its operations in the clothe industry, it is important to note that the bargaining power of the customers is very high. This is due to the fact that they need quality clothing at relatively cheaper prices and it is this that has continued to influence the company. At the same time, there is a close and strong relationship that has been there between the buyer and the company (Harrison 2015). This is what currently gives them a competitive advantage among their rivalries in the industry. On the other hand, it is important to note that failure to relate with the buyers well, the certainty of the buyers diminishes while increasing the customer’s value affectivity. The change in the economy of the UK is influencing the Mark & Spenser Company. In 2009, for example, in the financial subsidence, the company tried much to improve and maintain its position in the industry and in the economy of the country (Davey 2016). In deciding which of the options to take for improved performance, it would be proper to use Ansoff matrix. This matrix is a product-market strategy that ensures that the needs of the customers in the market are adhered to. This enables market penetration into the market by Mark and Spenser Company. The customers are hopeful of an economic improvement and that the company would continue to thrive well. In the Europe, the Mark & Spenser Company are majoring on the online venture and this is the trend. This has been working to improve the economy of the country and Europe in general. On the political front, the understanding of unhindered trade has really influenced the operations of the company. In fact, in any type of exchange or venture, the laws of the country guides the operations of the company to be embraced by both the suppliers and the consumers of the product of the company in the regions it is operating in (Jacobides 2007). Issues of political grounds affect the concept of mergers and acquisitions that happens in the country and M & S is no exception in this industry. At the same time, the changes in the labor laws of the country affect the improvements that are anticipated for in the company. This influence is both in the global motivation forces and the operations of the internal environment of the company. The rate of technology changes in the company in the areas of its operation within the country and world over. This has been influencing the retail venture since it is through online shopping that has the ability so far to improve the online venture within the enterprise (Cunningham 2016). The reason the company has been using the online advertisement in the course of its operations is because of the current influence in the world in terms of technological inventions and innovations that is being experienced in various parts of the world. On the other hand, in the social grounds, the needs of the customers by the company have been debilitating and have made possibilities in their areas of production (Clements & Hendry 2002). The behavior of the buyers is that they tend to move closer to lean clothes as opposed to
  • 5. Mark &Spenser organization 5 the work of art that is being displayed at the company. This has made the company not be in a position to fulfill the mandate and demands of the customers in their area of operation. Most of the enterprises have formed a tendency of working with environmental-tuning arrangement and this has been so far what is required to maintain the industry piece. This environmental concept is closely related to the legal aspect of the whole issue. The company has been working to create renewable assets when making the garments. INTERNAL ENVIRONMENT There are so many things to be looked at in the topic of value chain with regards to M & S and through this they can be in a position to offer effectively the household goods, groceries and clothing that this company deals in. various exercises are dealing with the human resources and the asset office in which in which the company operates through the workouts. In order for the operations of the company to flourish in the market, online exchange base as well as the reliability cards for clients can be embraced (Cheisslet 2009). This is the way to go by the company in the process of carrying out its mandate in the European market. Again, on the capabilities, M & S Company should show solid stone monuments together with solid brand that threatens the competitors to survive in such kind of environment. Within the UK, the company has more than 700 stores and also 300 other stores in more than 45 countries of the world. The wish of the customers are fast as well as high consuming and it is through this that new enterprises finds it problematic to flourish in such kind of a market. This has really been working to the advantage of company in its environment of operation. Contestants cannot thus survive in such kind of environment and thus they pave way for M & S to operate in a free environment (Porter 2008). However, there are also competitors who are challenging and operate with open doors. These are Top Shop and ASDA which all have been trying to offer stylistic designs that contrasts that of Mark and Spenser. Due to the fact that retail division requires a big number of speculations for entry, it is possible that obstruction is very high especially to the new entrants into the market in which this company operates. This means that the competitors of late of the company in the market have been the new entrants into the market. Moreover, retailing has been changing the customer base in the market. This causes the risk of the substitute to be high and hence customers tend to buy equivalent products from other shops at much more cost compared to that of the M & S. The bargaining power of buyers of customers to the company is very high and this lowers the profit margin within the company. At this rate, the consumers of the products of Mark and Spenser Company progressively influence the retailer. In fact, the solid buyer relationship is moving towards what is desired by the company itself in the environments of its operation. On the other hand, the suppliers bargaining power is very low (Hambrick & Fredrickson 2005). This makes it possible for them to be supplanted by comparative and open raw materials as well as comparable enterprises. This strong rivalry which is developing in the course of time has the ability to accord M & S Company a big competitive advantage in its operation in the market. SWOT ANALYSIS In analyzing the strategic position of the company, it would be in order to use a SWOT analysis of the company. This will help to discover the openings, dangers, qualities and deficiencies of the company as it operates in the industry. On the strengths, it has been observed
  • 6. Mark &Spenser organization 6 that M & S has actually been recognized to have one of the best deals in the UK and this makes them to have a solid customer base. This makes the company to have constant supply of income, making the company to be stable in terms of income flows. Lastly, the company has been able to be recognized as being mindful, placing it higher in the whole universe in the clothe industry. Some of the weaknesses, however, are the perception of some of the clients that its products are expensively being sold to them in the markets. On the other hand, some of the buyers who should be concentrated in the products of the company are actually showing no interest in the products. At the same time, ecological difficulties are making it not easily for the company to operate in the environment. These difficulties include contamination of the environment by the plastics. On to the opportunities, the enterprise is compliant in a way to the others and this improves the position and dissemination of support to the market. Another opportunity is that the customers are really moving to the areas of which incentives can be discovered for their monies as it is in the Mark and Spenser Company (Bass O’Donovan 2006). Lastly, the fact that the enterprise is spreading rapidly and growing to other areas which have not yet been reached by the services and products of the company, the trend has the potential to make the company go beyond the level imagined of. Lastly, the threat of the company is the competitors in the company that tend to impose risk on the company. At the same time, there are principles which are established by the administration and are perceived to be that of the future (Robert 2003). Another threat to the company is the economic recession that is currently being felt in the country of operation of the company. Competitors are also trying to introduce new products at a cheaper price compared to those products of M & S. All these once converted to strengths can really push the company ahead. Conclusion The Mark and Spenser Company is a proper case enterprise which has strong strategic plan that if fulfilled to the latter can make this particular company to have stronger competitive advantage. This has been established through the evaluation of technological, economical, political, social and legal operations of the company. This assessment has worked to evaluate both internal and external environments of operation and it is this that has placed the company above the other competitors. It can thus be recommended that proper utilization of resources will ensure that the power to retain the strong customer base that is currently being enjoyed by the company. The partners of the enterprise should thus be considered when performing evaluation of the company in question.
  • 7. Mark &Spenser organization 7 Bibliography Bass O’Donovan, G. 2006. The Corporate Culture Handbook, How to Plan, Implement and Measure a Successful Culture Change Program. Dublin: The Liffey Press. Cheisslet, H. 2009.Marks in time: 125 years of Marksand Spencer. NY: Weidenfeld and Nicolson. Clements, M. P. and Hendry, D. F. 2002. A companion to economic forecasting. New Jersey: Blackwell Publishers Ltd. Cunningham, T. 2016. The week ahead inbusiness and finance. Retrieved July 2016, from The Telegraph: http://www.telegraph.co.uk/business/2016/05/22/the-week-ahead- in-business-and-finance/ Davey, J. 2016. M&S reports worst clothing sales fall for a decade. Retrieved July 2016, from Reuters: http://uk.reuters.com/article/us-m-s-outlook-idUKKCN0ZN Hambrick, D. and Fredrickson, J. 2005. Are you sure you have a strategy? Academy of Management Executive 19 (4), 51–62. Harrison, J. 2015.strategicPlanning and SWOT Analysis. In J. Harrison, Essentials ofstrategicPlanning (pp. 91-97).London: Routledge Jacobides, M. G. 2007. The inherent limits oforganizational structure and the unfulfilled role of hierarchy: Lessons from a near-war.organizationScience 18 (3), 455-477. Porter, M. E. 2008. The Five Competitive Forces That Shape Strategy. Watertown, US: Harvard businessReview. Robert, P. 2003. Stakeholder Theory and organizational Ethics. California: Berrett-Koehler Publishers.