Strategic Position of H&M in the UK Market

Business strategy

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
TASK...............................................................................................................................................3
Strategic Position of H&M..........................................................................................................3
External driver that affect growth of firm....................................................................................4
Adding value of strategic position...............................................................................................6
Sustainable of strategic position..................................................................................................7
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8

INTRODUCTION
Business strategy refers to plans or processes that are use by the firm in order to increase
profit in changing business and also increase profit share. Hennes & Mauritz (HM) well known
Sweden clothing brand that has multiple shops around the world. Firm emphasizes on providing
low cost trendy product to young lower middle class section of the society of United Kingdom in
physical stores. Report highlights strategic position of organisation in British market. It also
explain various kind of external factors that impact on growth of the firm as well as way in
which firm adding value to it. In the end describe methods by which organisation able to
maintain sustainability in business.
TASK
Strategic Position of H&M
H&M is one of rising brand in United Kingdom, it offers variety of product & services at
cheap rate. Organisation highly focused on providing latest trend clothes to British customer at
cheaper price and hence large number of people attracted towards it (Giertz-Mårtenson, 2020).
Strategy of the firm is to establish itself in different part of globe so that sovereign risk cannot
become barrier in growth of it. Many of company in the world failed because of limited to home
country only and changing policy & procedures such as custom duties increase on import and
hence H&M learn a lesson from it. Organisation product and services are offer to 65 countries
people and hence focusing on expansion of market which increase its market share. Another
strategy of firm is to increase number of physical stores in different area of globe and as large
number of people didn’t find right quality product on online store and it also support shopping
habit of people especially of women. In Britain most of people are remain busy in 5 days of
week and in 2 holidays are spend in shopping and outing and H&B use this position firm’s
strategic. Firm provides goods & services to all classes’ people but most focused group of the
firm is lower middle class with age group of 15-40 years as they follow changing taste and trend.
It helps company in providing different trending styles of clothes and hence it gain higher marker
compare to its competitor. Most of the products of firm are available at cheap prices but it also
gives festival and occasional discount to customer in the country and hence able to gain their
loyalty and trust (Chen and Fang, 2019). As the taste and trend keep changes people want to try
new one but high cost not allowed them and hence H&M take it as opportunity to expand
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