Competitive Position and Creating Positive Social Impact for Marks and Spencers

BUSINESS PROJECT

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................4
Part 1................................................................................................................................................4
a) Competitive position and gaining competitive advantages.....................................................4
c) Creating positive social impact................................................................................................7
PART-2..........................................................................................................................................10
Tools used for enhancing the business......................................................................................10
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................13

INTRODUCTION
Competition refers to the rivalry between companies that is involved in the selling of
similar product and services with the goal of achieving revenue, profit and market growth. The
competitive position in the market refers to the rank according the sales and revenue of the
business that shoes the market stability of the organisation in the market (Hoffmann, and et.al.,
2018). Maintaining the position in the Market is necessary as higher sales and profit lead to the
higher position. Competitive advantage is the attribute that allows the company to out perform its
competitors (Distanont and Khongmalai, 2020).
Marks and Spencers is a British multinational retail chain company that is involved in the
selling of food items, necessary and clothing and home products. It also provides online services
to the customers at different locations that improved the sales and growth of the business after
the impact of COVID-19 as majority of people shifted to the digital shop[ping or online
purchasing of products. The company has a good position in the market and various approaches
are taken by the organization in order to achieve the goal of the business.
Internationalisation refers to the operating the business or selling the product or services
across the boundaries of the domestic country of the organisation (Hall and Werbner, 2020).
Business need to face various challenges in order to operate the business in outside the domestic
boundaries of the country. Social impact refers to the effect on people and communities that
happens as a result of action, inaction, activity or policy of an organisation. It includes wages,
breaks, adherence to employment laws, safety of the employees, training and other measures that
impact the growth of the business (Nikolskaya and et.al., 2018). Marks and Spencer is trying to
create positive social impact on the society as it plays an important role in the growth and image
of the company.
This report will discuss about the comparative analysis of Marks and Spencer's
competitive position in its various market along with the business activity that result in gaining
competitive advantage. The report will also discuss the considerations that company need to
take in order to create a positive social impact and the reason behind creating this impact will
also be discussed. It will also shed light on the appropriate theoretical tools that will help Marks
and Spencer to enhance its business.

MAIN BODY
Part 1
a) Competitive position and gaining competitive advantages
It refers to the place of the company, its products or services on the widely understood
market. It is a marketing strategy that focus on how a marketing team can differentiate a
company from its competitors (Jing, Feng, and Yan, 2021) Marks and Spencers is holding a good
position in the market that can give a good competition. Following is a comparative analysis of
the company's competitive position in its various market.
The competitors of marks and Spencers in the market of grocery and supermarket are
Tesco and ASDA.
Comparison with Tesco
Financial position of the Marks and Spencers in 2009 has proven to be a difficult year
with a decrease of 28.44% in a business operating profit. The operating profit of the business of
the company grew at an average rate of 15% over the period from 2005 to 2008. On the other
hand, Tesco had fairly steady returns during the period under observation. The company's
operating profit is a steady 5.7 to 5.9% over the five-year period.
Tesco and marks and Spencers have various functions that distinguish the both
companies. As the marks and Spencers has better food quality as compared to the Tesco.
However, the products and services are cheaper at Tesco. Tesco has a higher market position as
compared to Marks and Spencers in the retail supply chain. Another indication of efficiency in
purchasing and selling good in the company that can be also determine by stock turnover ratio.
As a group Marks and Spencer have seen this liquidity ration shrink over the past couple of
years. Similarly Tesco Plc has also experienced the same fate but the ratio calculated still
remains high. Tesco has a great satisfied customer on the digital platform as the online sale o
Marks and Spencers is Greater than the online sale of Tesco because Tesco majorly focus on the
retail outlet customers.
Marks and Spencers can get competitive advantage from the Tesco as the quality of the
food products in the organization is better than compared to the Tesco. This benefit can create
opportunity for Marks and Spencers to promote the quality of the products and people are more
likely to prefer quality food, and they are ready to pay more for that. Marks and Spencers can