Strategic Management Report: Mark & Spencer's Business Model

This report provides an analysis of Mark & Spencer's business model, focusing on the impact of management strategies and external factors. It highlights the use of Kotter's change management model and its role in adapting to market changes and sustaining business growth. The report details the eight steps of Kotter's model and their application within Mark & Spencer, emphasizing the importance of adopting changes to meet evolving market demands. Furthermore, it examines the influence of macro-environmental factors such as political, economic, and environmental impacts on the company's operations and decision-making processes. The analysis concludes that effective implementation of management models is crucial for achieving organizational goals, enhancing employee efficiency, and maintaining a competitive brand image in the marketplace. Desklib offers a range of similar reports and solved assignments for students seeking comprehensive study resources.

Research

Table of Contents
INTRODUCTION ..........................................................................................................................3
TASK 1............................................................................................................................................3
TASK 2............................................................................................................................................6
CONCLUSION ...............................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
Management defines as coordination and execution of the business activities to achieve
the goal of the organisation. It a set of planning, organizing, staffing, directing and controlling
the various factors of the firm. There are various business model, which is acquired by the
company for identifying how they define the objective, motivation, coordinate in the differ
activities and allocation of the resources. This a choice of the management regarding flow of
actioning and its direction. Mark&Spencer is the chosen organisation for this report, It is the
multinational company in London and offers clothing, food product and home product. Company
is currently has 959 stores in UK. This report will cover the different business model with their
characteristics. Also explains the impact of external factor on the management model that affect
the functionality of the business activities in the organsiation.
TASK 1
Management model are established to know the action plan of the business, It defines that
how objective can be made and their coordination in the organisation. It is the systematic
approach to the business in order to maintain the wealth of the organisation. For better
functionality in the firm, Business plays its significant role (Niemimaa and et. Al 2019).It build
strong network of the business through which company can achieve its desired goals and profit.
There are various business model in the business environment and Kotter's change
management model can impact the Mark&Spencer in the growth of their business and It is
explained below:
Kotter's change management is the management model that is extensively used by the
every organisation. This is a eight step process model, which is explaining the changes is the key
of success and it is the only constant thing that have to be done in the organisation. Dr. Kotter's is
observing to change the various strategies and this identification of various changes transform in
to great 8 step process model and uses by every organisation. Each step of the model have its
own effective role in the organisation (Magalhaes, and Roseira , 2017).Mark&Spencer is the
global organisation, which maintain their targeted customer. Change is the important factor
that every organisation should adopt for the smooth functioning of their business activities. It
helps in adopting the new techniques of operation and production, so it is easy to manufacture a
advance and fine quality of products. Mark&Spencer is using Kotter's change management

model. It role of this model adopts the changes in the organisation to meet the upcoming
situations in the company with the easy solution. (Wang and et. Al, 2016). This model helps in
adopting different leadership styles which helps the leader to take decision in a extra ordinary
way that will impact the organisational functioning positively. This model is initiating the
changes in the business activity in such a way that changes can align in business to sustain in the
market for long period of time. Mark&Spencer is also dealing in clothing and the changing
trends in the fashion, that affect the organisation. Hence it is necessary to use or adopt changes
strategies. In this context the company is using this model, which is explained as follows:
 Creating a sense of urgency- This is the first step of this model which defines that
Management should be ready to adopt the the change quickly, company needs to analyse
the need for changes and a quick change in the organisation will sustain in the market.
Under this process, managers and leaders are collecting everyone in the organisation for
achieving goals by available opportunities in the market and help them, in easy
functioning. .( Wang, Wang and Zhang, 2016)..Management of the Mark&Spencer is
trying to motivate their employees in order to sustain and retain the growth of the
company. Various strength and weakness of the organisation ill be identified and
evaluated clearly.
 Building a guiding coalition- This step in concern with changes that manager and leader
and conveying the people for the importance and significance of the changes. Visible
support of the management can been seen by efficient leadership style and plays
important role in decision making. Change coalition is explained as the managing the
team and creating a need for urgency and with the effect of this company can adopt the
changes a better way. Manager of the Mark&Spencer is trying to identify the weaknesses
in the business so that manger can make good mix of employees, who can achieve the
business target successfully.
 Form a strategic vision and initiatives- In this step, model suggest that there should be
a clear vision of the organisation, which could be helpful in smooth running of all
functions of management. (Weijermars, 2016) It will help in solving the challenges of
the organisation. In this step, all the attributes of the organisation according to the vision
of the company by adapting many changes in the organisation. With the help of providing
clear vision in the organisation. It is easy to formulate all the activities and employees

will in proper manner. Mark&Spencer is providing clear vision in the organisation so that
there should a easy work flow and proper execution of the activities.
 Enlist a volunteer- In this step, organisation needs to face a huge competition in the
market and there should be efficient team that can contribute in the successful running of
the business. Company needs a capable employees that are efficient enough to manage
their work. In this step leaders and manager of Mark&Spencer is explaining their vision
in the organisation, so that team can help them in execution of their activities in a better
way.
 Enable action by removing barriers- Under this stem, organisation will try to eliminate
the barrier of the organisation. It can be done by effective communication in the company
with proper execution and implementation of vision. This is the way by which changes is
being implemented by the organisation.( Zahari and Romli 2019). In Mark&Spencer ,
manager is organisation continuous meeting for proper follow-up between the staff and
the management. There are various operations and process, which require high attention
for their proper execution of activities. When organisation is taking regular feedback
from their employees about the work performance. It will help in achieving desired
output by eliminating the barrier from the business.
 Generate short-term wins- This step suggests that there should be a short term
objectives in order to achieve the goal of the organisation. This will help in achieving the
overall efficiency of the employees and the management. Firm will make the path of
implementation of changes that will help in success of the company. It will also help in
removing obstacles in the flow of activities. With the achievement of the business short
term goal. Management will understand the eliminated points from the process and what
could be added for the easy accomplishment of the organisational goal in a short period
of time.
 Sustain acceleration- In this step, organisation should be grow continuously. This
suggest that by organising continuous meetings, management will eliminates the barrier
of the production process of the company. (Magalhaes and Roseira, 2017).It also help in
reaching international market with the diversified market segment and provide the
product according to the needs and wants of the customer, will make the organisation to
sustain in the market and leads to expansion of their business. Mark&Spencer have their

own plan for the execution of all the business act ivies and it perform regular meeting for
eliminating the barrier from the business and expanding their market in to new places.
 Institute change- This is the last step of this model, which focuses on implementing the
changes in the organisation, so that firm can meet the current scenario of the market,
where customer is likely to have superior quality of products with current trends.
Changes can be applied in the organisation so that firm can take right decision for the
growth and sustainability of the organisation. (Goldsby and Zinn, 2016). Management
have to implement the urgency to adopt the change in the company. Adaptability of the
company makes high demand of the brand and leads to the future growth and profit in the
organisation.
From this discussion, it is analysed that Kotter's change management model will help in
execution of business activities and this model enable the firm to adopt the changes in the
organisation and establish a good brand image in the marketplace. This also helps in getting the
efficient workforce, which will contribute in the growth of the business and manages their
business in prominent ways.

TASK 2
The external as well some effective macro environmental factors simply impact on the
businesses. It has a direct impact on the external factors and on the business operation,
performances, decision making and the formulation of various effective strategies.
The different types of macro environmental factors are listed below:
Political impact: It refers to the taxation, labour regulations and trade agreements.
Positive impact: The government policies impact on the public as well as on the
possibility decreases.
Negative impacts: In a global event, the politicians influence create a problem because of
power misuse and the prestige in environment.
Its influence on decision making: The company has an effective benefits on the trade
agreements and leads to the decrease in the sourcing costs. (Dellermann, Fliaster and Kolloch,
2017). Marks & Spencer simply utilize the benefits of the large EU market and the decrease in
the cost. Tariffs and Taxes helps the global event in diversifying the services. The political

impact on the decision making process affected largely by the political impact and its influence
on decision making suggested that global event affected greatly by the political factor.
Economic impact: It includes economic budget, satisfaction level of the consumers and
the producers. There are various events which specifically deal with the surplus advantages.
Positive impact: The rise in the inflation, interest rates, foreign exchange rates and many
others are all included in the economic factor.(Bieser and Menzel, 2019). There is a need to
understand the surplus or deficiencies by totalling the merchandise and economic revenue.
Negative impact: In relation with Marks & Spencer, sometimes the financial crisis leads
to a decrease in demand for the high quality products and Low disposable income reduces the
ability to spend on the clothing and luxury.
Its influence on decision making: In relation with Marks & Spencer, the planning of the
budget and the execution gives a idea of profit maximisation. Due to Covid-19, Marks &
Spencer have been unable to plan the budget and it majorly impacted on the profit maximisation.
Environmental impact: It includes some natural forces that are greatly affected the
businesses and the global events. The climate change, pollution, weather and laws have been
majorly include in the environmental factors.
Positive impact: Marks & Spencer includes some governmental laws and policies that
are positively affected the organisation.
Negative impact:
Resources used by Marks & Spencer are quiet costly and expensive.
There is a need to take permission from government for the events done by Marks & Spencer.
Its influence on decision making: The products and the services by Marks & Spencer are
simply reflected out to be the better conceptual and perspectives.(Albrecht , 2017).There is a
need to have a significant ways of protection in the environment. In relation with Marks &
Spencer, always reflected out to be a positive impact on the well being, communities and planet.

CONCLUSION
It is concluded from the above report that management model have significant role in
decision making of the organisation. With the effective implement ion of the business model,
firm can do its functionality in right way and gain higher profit with desired goal. Employees
will get the direction of the activities and code of conduct in order to full fill market demand.
Mark&Spencer is using Potter's change management model, which makes the organisation to
adopt the changes and help in finding the proper efficiency of the workforce. Furthermore, report
explains the impact of macro environment on management model in context to Mark&Spencer.
There is positive impact of technological and social factor and there is negative impact of
political factor.

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