Business Context: SWOT and PESTEL Analysis of Marks and Spencer

Context of business

Table of Contents
INTRODUCTION ..........................................................................................................................3
TASK ..............................................................................................................................................3
SWOT and PESTEL ..................................................................................................................3
Changes in PESTEL factor influence opportunity and threat and how strength contradict
threat and weakness along with opportunity...............................................................................5
Style of leadership.......................................................................................................................6
Suitable leadership style that aid in grow and overcome the challenge......................................7
Corporate social responsibility....................................................................................................9
Reflection..................................................................................................................................10
CONCLUSION .............................................................................................................................10
REFERENCES..............................................................................................................................12

INTRODUCTION
The business context cover proper understanding of several factors that may affect the
entire business from the point of view of business perspective, this will combine how decision
can be made and identify ways through which company can achieve its target. Business context
recognise implication towards the carrying out strategic plan. It will shape perspective of
business in terms of value, goal, believes and communication practice. By analysing business
environment business can develop more effective strategy for company profitability. The
leadership direction inspire entire workforce in the company so that each employee will fulfil l
valuable purpose of company (Algharabat, 2018). The chosen organisation in this report is
Marks and Spencer. This company is famous for multinational retailing founded in 1884 by
Michael Marks and Thomas Spencer. The report highlight SWOT and PESTEL and evaluate
how these changes in PESTEL factor will influenced opportunity and threat of business. It will
critically evaluate how strength contradict threat and weakness along with opportunity. Report
include different style of leadership and recommendation of suitable leadership style that easily
overcome challenge of business environment. This also consist of corporate social responsibility
along with reflection based upon experience.
TASK
SWOT and PESTEL
Mark and Spencer is one of the leading brand of UK in retailing with variety of product
and services. The analysis of SWOT model will provide detail assessment regarding strength,
weakness, opportunity and threat of business.
Strength- Mark and Spencer is well recognised brand since past 136 years. The journey
of this company become big retail business around the world. This will represent as plus point
for the business. The entire reputation of business focus to provide more qualitative goods and
services to their respective potential consumer (Banerjee, 2017). The company expand its market
into the business of international level. They deliver their product and service from both online
and offline channel to target mass audience. But at the time of pandemic most of the sale is
generated from online store. The company biggest strength as they represent themselves as
famous designer brand with unlimited collection to target variety range of customer.

Weakness- As per analysis, most of the store start declining sale from 2019. The main
reason behind this their poor supply chain management. Target customer of the company does
not get their product on time. This made very bad impression of company in front of large
customer range. Some times company gets fail to meet actual requirement of customer in
category of clothing and food. Most of the people made wrong perception towards company
image as they only provide elder cost rather than young and teenager. But this is a myth as
company serve all category of target customer (Basak and et.al., 2017). The major weakness of
the Mark and Spencer is that they depend upon large manual process. This will increase cost of
the company and their customer has to spend lot of money for purchasing. Their competitors has
adopted latest technological device for operational process. The company need to apply latest
technology in order to improve updated brand to save cost of company in efficient way.
Opportunity- The Mark and Spencer has great opportunity for expanding their market
at global level. Most of the country market is still remain untapped by the company such as
Brazil, Poland, Russia etc. They must expand their business practice at global level. Online store
is also act as opportunity for company. Mark and Spencer must focus upon developing their
strong presence on website as well as social media. Through this company can raise the volume
of their sale. This will combine of E commerce retailing and become future of company because
most of the people as engage in social media and prefer to purchase product from online channel.
Here he Mark and Spencer must focus upon proper market segmentation so that they can
distribute its market segment into various niche market (Batziakoudi and et.al., 2020). The
reason for market segmentation of customer is company can give their more attention towards
each group of customer. This will help them to raise the sale of company. They can satisfy
variety range of customer by segmentation policy.
Threat- High competition is the one of the biggest threat for the company as their
competitors also using most effective technology to target customer with premium quality and
unique selling proposition. Most of the exclusive company are entering in this retailing industry
by involving innovation concept in its products and services. That is why why company need to
develop their effective marketing policy to modify its unique selling proposition. This will build
strong position of company in global market.
PESTEL