Value Chain Model and Internal Environment of Marks and Spencer

BUSINESS
ENVIRONMENT

Contents
INTRODUCTION...........................................................................................................................3
PART B...........................................................................................................................................3
1.Description of Value chain model proposed by Porter 1985....................................................3
2.Business which is operating in United Kingdom.....................................................................4
3.Internal environment of Marks and Spencer............................................................................5
4.Reflection on the usefulness of value chain models.................................................................6
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................9

INTRODUCTION
Business environment can be defined as that environment in which external and internal
factors impact or affect the working of organization. Factors such as political, economic,
technological and many more can lay positive and negative impact on the working aspect of
business. It can support or hinder the growth of business. Present report will lay emphasis on
Marks and Spencer. The firm has been headquartered in United Kingdom. Assignment will
present the description of value chain model which is being given by Porter. It will also focus on
the value chain model which is being used by business in order to examine internal environment.
Study will also reflect on the understanding of business environment of Marks & Spencer.
PART B
1.Description of Value chain model proposed by Porter 1985
Value chain can be described as that activity which can be used by business in order to
provide valuable goods and services to consumers. In this process firms are involved in
transforming inputs into outputs. There are various activities which is being involved in value
chain analysis of firm like for example development in technology, human resource
management, marketing and sales all are forming the most important part as the support
activities. These primary and support activities can help business or organization in gaining
competitive advantage and also it can assist their growth aspects. Primary activities include the
following:
Inbound logistics: This type of activity involves how firm maintains their relationship
with suppliers and includes all task which are being related to maintain stores and various other
things (Stead and Stead, 2019).
Operations: In this activity the organization is being involved in converting inputs into
outputs to provide quality of goods and services. It also includes the major operations of business
that helps organization in their growth.
Outbound Logistics: In this activity which is being related to distribution is being
includes. Organization have to maintain good relationship with the distributors like wholesalers
and retailers.
Marketing and Sales: These are being used to promote goods and services, so that
organization sales increases which ultimately increases the profitability.