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Impact of COVID-19 on High Street Retail Industry: A Case Study of John Lewis and Partners

   

Added on  2023-06-11

24 Pages9738 Words217 Views
Impact of the coronavirus COVID-19
pandemic on the declining high street retail
industry in the UK: A case study of John Lewis
and Partners

Table of Contents
INTRODUCTION...........................................................................................................................3
Overview of the topic.............................................................................................................3
Background of the organisation..............................................................................................4
Research Questions................................................................................................................4
Research Aim.........................................................................................................................5
Research Objective.................................................................................................................5
Rationale of the research........................................................................................................5
LITERATURE REVIEW ...............................................................................................................6
What was the condition of the high street retail industry just before the outbreak of
coronavirus pandemic?...........................................................................................................6
What kind of strategic decisions were taken in the history of JLP resulted the fact that it was
in a relatively favourable position at the time of the outbreak of the pandemic?..................7
What is the impact of COVID-19 on high street retail industry?...........................................9
What are tactical strategies JLP needed to apply for survival and future success during
pandemic? ............................................................................................................................11
CHAPTER 3: RESEARCH METHODOLOGY...........................................................................13
CONCLUSION AND RECOMMENDATION ............................................................................18
REFERENCES..............................................................................................................................23

INTRODUCTION
Overview of the topic
COVID 19 has created a huge impact on the performance and growth of business. The
crisis has hit the profitability of companies due to which they faced severe loss. All the business
sector is badly hit due to pandemic due to shortage of migrant workers, less demand, reduces
cash flows and supply chain disruption (Lu and et. al ., 2021). The crisis has sent shockwaves
throughout global communities, financial markets and dislocated international supply chains. In
order to sustain in COVID 19, organisations are focusing on adapting new working style. Retail
industry is one of the industry which have faced great influence on its business performance due
to pandemic. The crisis has changed the external environment of retail industry (Tang and et. al.,
2021). They have suffered a lot due to pandemic as government imposed lock-down and asked
people to quarantine themselves in order to reduce the impact of pandemic. The lifestyle of
consumers also gets changed in crisis as they are shifting towards online purchase rather than
going into market for shopping. Due to lock-down people are purchasing products and services
online and also they are working by sitting at home (Pagano, Sedunov and Velthuis, 2021). The
retail business has requested government to to continue essential business in order to fulfil the
food and daily necessities of people. Retailers of shopping goods and luxury items faces problem
in pandemic. COVID 19 has influenced the retail and shopping industry as many brick and
mortar stores are being forced to close their outlets. In order to cope up with the negative impact
of pandemic, retail industry is identifying new ways for reaching the customers. The retail
organisations that have strong presence on online platforms as well as offline platforms can
respond more steadily whereas retailers with physical stores are struggling to adjust (Islam and
et. al., 2021). Lock-down has influenced the profitability and growth of business as physical
stores are forced to shut down and also they were not able to welcome walk-in customers,
production of clothing has come to a stand-fill as factories were forced to close, people are
shifting towards online shopping and also need for purchasing new garments also get reduced
(Mason, Narcum and Mason, 2020). Thus, the factors which creates an impact on the retail
industry are digital storefronts, sustainable fashion, increased awareness and engagement and
green washing. This research provides detailed information related to the impact of the
coronavirus COVID-19 pandemic on the declining high street retail industry in the UK. In this

research, researcher will focus on identifying the condition of high street retail industry just
before the outbreak of coronavirus pandemic. It also focuses on determining the impact of
COVID-19 on high street retail industry and strategies require for survival and future success
(Sharma and Jhamb, 2020).
Background of the organisation
The chosen organisation for this research is John Lewis and Partners, it is a reputed
departmental store which was founded by John Lewis. The brand was founded in 1864 with a
motive to provide wide range of products and services to its customer. It is a retail brand that
operates home stores, convenience stores, department stores and supermarkets in UK. One of
the major strength of the brand is it is largest employee owned business that means employee are
the co-owner of the brand. Due to partnership employee enjoy the right of ownership in the
company which differentiate the brand from the other competitors in the world. Company also
have strong online presence in order to attract maximum number of customer towards the brand.
They have their own website which provides detailed information related to company, products
and services. The main purpose of John Lewis is to create fairer and successful business by
encouraging sustainability. Target market of organisation is upper and middle class people with
an age of 30 to 40. The brand is focused on brining positive change, building more sustainable
future and improving lives of people. John Lewis and Partnership ensures that their customer
may feel satisfied with the products and services in order to create strong customer base and
improve the profitability of business.
Research Questions
What was the condition of the high street retail industry just before the outbreak of
coronavirus pandemic?
What kind of strategic decisions were taken in the history of JLP resulted the fact that it
was in a relatively favourable position at the time of the outbreak of the pandemic?
What is the impact of COVID-19 on high street retail industry?
What are tactical strategies JLP needed to apply for survival and future success during
pandemic?

Research Aim
The aim of this research is to investigate the factors why JLP is one of the survivors of
the coronavirus COVID-19 pandemic crisis.
Research Objective
To determine the status of the high street retail industry before the Coronavirus pandemic
(late 2010s)
To investigate the most important strategic decisions taken by JLP during its more than
150 years history before COVID-19.
To examine the impact of the pandemic crisis on high street retail industry: losers and
survivors.
To describe and analyse how JLP adapted during the pandemic and the vision of the
company about its future after the plague.
Rationale of the research
The main reason for conducting this research is to avail in-depth knowledge about the
impact of the coronavirus COVID-19 pandemic on the declining high street retail industry in the
UK. It also helps in determining the status of the high street retail industry before the
Coronavirus pandemic and also investigate the most important strategic decisions taken by
organisation before pandemic. This research also provide information regarding the impact of the
pandemic crisis on high street retail industry and analyse the ways through which organisation
can survive in the tough time of pandemic. While conducting this report, I will an opportunity to
fulfil my personal and professional objective. I will also learnt about how COVID 19 has hit the
retail industry. It also helps me in determining the strategies which company can use in order to
deal with the negative impact of COVID 19. Moreover, I will also grab a knowledge related to
the company and their action during pandemic.

LITERATURE REVIEW
What was the condition of the high street retail industry just before the outbreak of coronavirus
pandemic?
As per the viewpoint of Rodgers and et. al., (2021), the condition of high street industry
just before the outbreak of pandemic was growing by offering high quality of products and
services to its customer. The sale of the retail industry was increasingly rapidly in 2010's due to
which the profitability and growth of retail industry increases. For lifting the sales of clothing
and shoes, summer sales, school holidays and warmer weather helps in increasing the sale and
profit margin of high street retail sector. Before the outbreak of pandemic. High street retail
industry focuses on attracting its customer by offering them products according to the new and
latest trends. In 2010, high street retail industry was not so wide they offer limited number of
varieties to its customer. The era brings boom in high street retail industry due to which they
focuses on understanding the customer preference and provides them products according to their
need and expectations. The fashion in 2010 was becoming modern and also improving the living
standard of people. Before the outbreak of pandemic, the store openings are increasing in order
to provide varieties of products and services to its customer. The high street retail industry is also
focusing one expanding their reach to large number of customer in order to increase the
profitability and productivity of business (Heller and et. al., 2019). There are various factors
which influence and stimulate change on high street such as price, quality, quantity and many
others. In 2010, the price of the products were low which attracts maximum number of people
towards the brand. The high street retail industry lay emphasis on providing better quality of
products at affordable price to its customer. Due to emergence of internet, high street retail
industry is growing their business rapidly which helps in increasing the profitability and
performance of business. With the help of internet, industry is reaching to wide range of
audience in order to promote their business and increase the sale of business. Internet helps
industry to create strong customer base by offering them products and services according to their
need and expectations. In 2010, high street retail industry has started to focus on understanding
the needs and requirements of customers so that they can attain business goals and objectives.
The high street retail industry also focuses on following the latest trends and fashion in order to
remain competitive in market.

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