Retail Theory and Practice Assignment
11 Pages2904 Words143 Views
Added on 2020-06-06
Retail Theory and Practice Assignment
Added on 2020-06-06
ShareRelated Documents
RETAIL THEORY ANDPRACTICE
Table of ContentsINTRODUCTION...........................................................................................................................1COMPANY INTRODUCTION......................................................................................................1KEY RELEVANT CHANGES WITHIN THE UK FASHION RETAIL.......................................1RELEVANT CHANGES WITHIN THE MICRO ENVIRONMENT............................................3STRATEGIES AND TACTICS THAT COULD BE USED BY THE RETAILERS....................5CONCLUSION................................................................................................................................6REFERENCES................................................................................................................................7Appendix 1.......................................................................................................................................8
INTRODUCTIONThe trend and culture is changing very fast which is increasing the business of fashionretail businesses within UK. Fashion and retail industries in United Kingdom is growing day byday that people these days are more demanding towards fashion. (Kita and Grossmanová, 2014).The retail industry is very important for UK economy, in 2016 this sector generated more than£360 billion worth sales in retail market. It is a biggest private sector employer with more than290, 315 retail outlets all around the United Kingdom. The British fashion during 20th century isfascinating because the trends and styles are drastically changing every decade. The flapper girlsof the 1920’s were wearing daring outfits for reflecting the new freedoms womer were achievingsuch as voting rights. In 1950’s people started wearing more stylish clothes as the company wasbecoming prosperous. According to present situation UK is one of the lading country in terms offashion and trends. Clothing aparrel and other accessories(shoes, handbags, undergarments etc.)manufacturers practice the fashion merchandising variously than retailers while makingdecisions they must keep customers and retailers in mind effectively (Kotusev, Singh and Storey,2016).Manufacturers meets designers to make creative and innovative products for the customerswhich they purchase most. The Marks and Spencer is one of the biggest fashion industry in UKwith the market value of 8.15 billion pounds. Retailers and fashion firms are increasing theirprofitability these days (Desjardins, 2016).COMPANY INTRODUCTIONMarks and Spencer is the second largest fashion firm in UK with current market value of7 billion pounds and annual sales is about 10.03 billion pounds (Drucker, 2017). The firm is in along term relationship with British manufacturers. The financial performance of the business forthe last three years 2015 to 2017 is 600.03, 488.08 and 613.08 millions in terms of profitability.The firm is also known as M&S and it is a British multinational retail sector firm headquarteredin Westminster, London. The M&S sells cloths, luxury food products and home products to thecustomers (Kita and Grossmanová, 2014). The firm was founded by Michael Marks and ThomasSpencer in 1884. Currently the company has 979 stores across United Kingdom and 615 fromthem only sell food products. This will signify that the firm is in a profit situation and trying toexpand their business activities.1
KEY RELEVANT CHANGES WITHIN THE UK FASHION RETAILIt can be said that there are many changes occurred in the retail and fashion industries dueto the different aspects such as legislations, environmental, social and political effectively. It willaffect the business operations and activities within UK towards the retail and fashion industrieseffectively (Blay-Palmer, 2016). There are various changes in the UK fashion industry such as - Chancing customer demands – The demand of customers changes frequently with respectto different products and services, the demand of clothing and fashion also fluctuate withtime.Change in trends – The trend and preferences of customers are also changing along withdevelopment of environment or culture.Development of technology – The technology is getting advance day by day andcustomers are highly adopting internet and other technologies in their lives. Onlineshopping is a major element that is influencing fashion industry. PESTLE Analysis In order identify changes in UK fashion market and business environment PESTLEanalysis can be applied as below -Political factors: The government is managing rules and regulations in order to controlhealth and safety, risk assessment and risk control. The political factors enable anorganisation to change and develop more effective strategies for the business, therefore itcan be said that changes in political factors such as government policies, strategies,stability, taxes, environmental law and trade tariffs affecting the business of fashion retailwithin UK. There is also such as example – Brexit which also influence organisationoperating in the global market (Clegg, Kornberger and Pitsis, 2015) Marks and Spencereffectively focus on considering the political factors in the business environment, it offersproducts to customers all around the world with respect to export policies.Economical factors:These factors affects the buying power of the customers, theeconomic conditions or state of an area highly influence the sales and profit of theretailers.Economical factors has a significant impact on the fashion retail industries interms of their business activities and profitability. Economical factors such as economicalgrowth, exchange rates, interest rates, inflation rates and foreign exchange rates. This willalso include the income of customers (Sweeney, Grant and Mangan, 2015).Marks and2
End of preview
Want to access all the pages? Upload your documents or become a member.
Related Documents
Fashion Clothing Industry Assignmentlg...
|9
|2937
|77
Introduction to retail in United Kingdomlg...
|9
|3084
|102
Retail Theory and Practice: A Case Study of Marks and Spencerlg...
|9
|3158
|281
Retail Theory &Practice Assignmentlg...
|10
|3840
|49
Retail Theory and Practice - Assignmentlg...
|12
|3862
|27
Retail Theory and Practice Reportlg...
|11
|3776
|47