Analyzing Business Environment of Marks and Spencer

This project report includes analyzation of SWOT analysis to identify different factors. It also consists Porter’s five forces model in the context of the company. Moreover, it also includes a PESTEL analysis of the company.

BUSINESS
ENVIRONMENT

TABLE OF CONTENT
Introduction
SWOT analysis
Porters five forces model
PEST analysis
Conclusion
References

INTRODUCTION
The business environment can to an aggregate of different
factors, forces as well as institutions that create an impact on
the business and also create influence over the growth and
influence of business.
This project report includes analyzation of SWOT analysis
to identify different factors. It also consists Porter’s five
forces model in the context of the company. Moreover, it
also includes a PESTEL analysis of the company.

SWOT ANALYSIS
Strength:
 It is one of well-established organization which has
high-end values in the marketplace. It has a clear
image in the marketplace.
Weakness:
 Marks and Spencer is an organization that has an
inability for purpose of expansion of business s it is
not getting success in some Asian countries.

SWOT ANALYSIS
Opportunity:
 Marks and Spencer can get different opportunities in
business by entering into new segments.
Threat:
 Increasing competition in the marketplace creates a threat
for the business of Marks and Spencer as it will create
negative impact over the profitability of the company.

PORTER’S FIVE FORCES
MODEL
Porters five forces model
 Existing rivalry: There are different well-established and large players
present in the market who are competing with Marks and Spencer. But
Marks and Spencer is differentiating its services with the quality of its
product. Therefore, there is a moderate threat of this factor for the business.
 The threat of substitutes: Substitutes in this industry are the offering of the
competitors. There is a number of a substitute offered in the marker in the
context of this project which will increase the threat of this factor in
business.

PEST ANALYSIS
Political factors: The government of the UK is providing support to its
domestic business to expand at the international level for purpose of growth.
But Brexit is one of factors that creates a threat for the business of Marks and
spencer as due to this, the business needs to make changes in their organization.
Economic factors: The economy of the UK is one of the developed economies
that provides the opportunity to the business of Marks and Spencer as it
provides the different resources required by the company that saves their cost of
transportation. But the wages rate of this country is high which will result in
increased costs for the company.

CONCLUSION
From above mentioned project report, it can be concluded that the business environment is one of the
important considerations for the business for purpose of developing different strategies of business.
There are different tools to be used by businesses for purpose of analyzation of the business
environment includes the PESTEL analysis and SWOT analysis.

REFERENCES
Liu, R., 2020, December. Research on the Export Development of Small and Medium-sized
Enterprises Cross-border E-commerce: Based on SWOT analysis. In 2020 International
Conference on Big Data Economy and Information Management (BDEIM) (pp. 112-115). IEEE.
Moura, M.B.L.D., 2021. Equity Research in Food & Retail Industry-TESCO PLC (Doctoral
dissertation, Instituto Superior de Economia e Gestão).
de Sousa, G.C. and Castañeda-Ayarza, J.A., 2022. PESTEL analysis and the macro-
environmental factors that influence the development of the electric and hybrid vehicles
industry in Brazil. Case Studies on Transport Policy, 10(1), pp.686-699.