M S Business Environment
Contents
1.0 Introduction 2
1.1 Company Profile 2
2.0 Competitive Positioning Analysis 2
2.1 SWOT Analysis 2
2.1.1 Strengths 3
2.1.2 Weaknesses 4
2.1.3 Opportunities 4
2.1.4 Threats 4
2.2 PESTEL Analysis 5
2.2.1 Political 5
2.2.2 Economic 6
2.2.3 Social 6
2.2.4 Technological 6
2.2.5 Environmental 7
2.2.6 Legal 7
2.3 Porter’s Five Forces Model 7
2.3.1 Bargaining Power of Suppliers 8
2.3.2 Bargaining Power of Buyers 8
2.3.3 Threat of Substitutes 9
2.3.4 Threat of New Entrants 9
2.3.5 Industry Rivalry 9
3.0 Conclusion 10
4.0 Bibliography 10
1.0 Introduction
This paper takes into account the business environment analysis of Marks and Spencer, the food and clothing retail store of UK which now has international presence in more than fifty countries. The analysis will be done through different tools like SWOT, PESTEL and Porter’s Five Forces model with sharp focus on macro and micro environment, corporate culture and strategies in relation to stakeholders.
1.1 Company Profile
Marks & Spencer is a British food and clothing retail store which started from a small stall and now has presence in more than 50 countries worldwide. The company has more than 800 stores and employs over 80,000 people worldwide. The company started to go international from year 2000 and also started to expand its range of products from food and clothing to range such as furniture, home ware and technology. The company was also the first one to make a pre-tax profit of GBP 1 billion (BBC, 1998). However, later the company was also affected by “credit crunch” and experienced dramatic effects which will also be discussed in this paper.
1.2 Structure Theories and M&S
Jones & George (2003) observed that organization structure represents the relationship among the products, employees, management and top officials of the organization to meet the objectives of the organization. Senior & Fleming (2010) also observed that organization structure is established to achieve the goals of the
1.0 Introduction 2
1.1 Company Profile 2
2.0 Competitive Positioning Analysis 2
2.1 SWOT Analysis 2
2.1.1 Strengths 3
2.1.2 Weaknesses 4
2.1.3 Opportunities 4
2.1.4 Threats 4
2.2 PESTEL Analysis 5
2.2.1 Political 5
2.2.2 Economic 6
2.2.3 Social 6
2.2.4 Technological 6
2.2.5 Environmental 7
2.2.6 Legal 7
2.3 Porter’s Five Forces Model 7
2.3.1 Bargaining Power of Suppliers 8
2.3.2 Bargaining Power of Buyers 8
2.3.3 Threat of Substitutes 9
2.3.4 Threat of New Entrants 9
2.3.5 Industry Rivalry 9
3.0 Conclusion 10
4.0 Bibliography 10
1.0 Introduction
This paper takes into account the business environment analysis of Marks and Spencer, the food and clothing retail store of UK which now has international presence in more than fifty countries. The analysis will be done through different tools like SWOT, PESTEL and Porter’s Five Forces model with sharp focus on macro and micro environment, corporate culture and strategies in relation to stakeholders.
1.1 Company Profile
Marks & Spencer is a British food and clothing retail store which started from a small stall and now has presence in more than 50 countries worldwide. The company has more than 800 stores and employs over 80,000 people worldwide. The company started to go international from year 2000 and also started to expand its range of products from food and clothing to range such as furniture, home ware and technology. The company was also the first one to make a pre-tax profit of GBP 1 billion (BBC, 1998). However, later the company was also affected by “credit crunch” and experienced dramatic effects which will also be discussed in this paper.
1.2 Structure Theories and M&S
Jones & George (2003) observed that organization structure represents the relationship among the products, employees, management and top officials of the organization to meet the objectives of the organization. Senior & Fleming (2010) also observed that organization structure is established to achieve the goals of the
Bibliography: BBC (2013): Marks & Spencer profit fall as clothing disappoints. Available at: http://www.bbc.com/news/business-22605609 BBC (2009): UK in recession as economy slides Euromonitor (2009): Local Company profile, Marks & Spencer Plc – Clothing and footwear, September 2009. http://euromonitor.com Euromonitor (2011): UK economy and consumers under pressure in 2011, February 11, 2011 Finch, Julia (2010): Marc Bolland’s to do list to revamp M&S. Available at: http://www.theguardian.com/business/2010/may/03/marc-bolland-marks-spencer1 Harrison, A Pratley, Nils (2011): M&S Boss is Bolland the bland. Available at: http://www.theguardian.com/business/2011/jan/11/marks-spencer-marc-bolland-bland Scott, Richards (1968): Marketing and Its Environment Tesco (2014): About Us: Key Facts, Global Facts. Available at: http://www.tescoplc.com/index.asp?pageid=71 (Accessed on: 17th Aug, 2014) Wheelen & Hunger (1995): Strategic Management and Business Policy (5th Ed)