MARKS AND SPENCER

2017

Abstract

international franchising has proved a valuable strategic option in the overseas expansion of british

mixed retailing businesses. It offers the opportunity to gain access to overseas markets with minimal

investments in high returns

Vision

-To be the standard against which others are measured

-Benchmarking conducted by others companies in order to implementing same or similar strategy into

the business practice.

-Competitor’s aspiration to gain the samelevel of quality as M&S

Mission

-Providing new quality products in the areas of cloths, foods, home, and financial services

-Social revolution, by providing the working class with cloths fit for lords, and food fit for kings

-Delivering high quality goods

-Offering affordable price.

-Receiving by customers good value of money

Corporate social Responsibility

-Warehouse consolidation in progress

-Open distribution center(ODC) in Brandford

-East midland site planning

-Food depot voice picking rollout

-International direct deliveries

Statement of objectives

-Reducing the amount of waste generated by factories and stores of marks and spencer

-Protection of natural resources of the earth

-Promotion of healthy lifestyles

-Promoting and applying the principles of fair trade

-Generated diversity or organic products

-Creating new jobs

-Counteract the diverse climate

-Protection of animal rights

Central Problem

-Lack of new ideas about the designs of their wardrobe

-New Competitors

-Price increase in satins and linens

SWOT ANALYSIS

Strengths

-Leadership in clothing has made man market leader in the department store

-Strong brand equity

-Highly effective corporate social responsibility strategy

Weaknesses

-Declining sales in food offering and do ot have the scale to complete with leading competitiors in the

UK

-weak return on invested capital coupled with high pension and debt deficits

-M&S legacy stores and systems are a competitive disadvantage

Opportunities

-Online shopping continues to flourish in the UK and will enable M&S to increase revenues

-Making China and India center of attention can lead to expansion in two of the fastest growing markets

-M&S strong brand equity and high quality perceptions they enjoy will help place premium pricing in

the dining at home market.

Threats

-Pension funds deficits will lead to constrain in the availability of money for other operations and

expansions

-Price increase in clothing and Vat increases will lead to less spending by customers.

Alternative Courses of Action

-Establishing a sense of urgency

-Creating a guiding coalition

-Developing a vision strategy

-Communicating the change vision

-Empowering a broad base of people to take action

Recommendation

I therefore conclude that the best solution to the problem is number 5 the empowering a broad base of

people to take action because the people in the company should have cooperation with each other and a

good sense of skills to do the tasks that has been given to them and the key to a successful company is a

great workers with cooperation.

Plan of Action

-Improving sales trend

-Profits ahead of last year

-Net cash generated, net debt reduced

-Good progress in 2020

-Outlook uncertain, but M&S well placed

Potential problem

-Management paradigm
-Centralized management systems

-Individual dependencies

-Reluctance to change

Contingency Plan

-Effective Leadership

-Use of Scientific change management models

-Utilise technological advantages to the changing management

-Use of micromanagement in the changing phases