Strategic Management of Mark & Spencer

STRATEGIC MANAGEMENT

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
MAIN Body.....................................................................................................................................3
Methods of development.............................................................................................................3
Leadership style..........................................................................................................................5
Change in management .............................................................................................................6
Sustainability...............................................................................................................................7
CONCLUSION................................................................................................................................8
REFERENCES..............................................................................................................................10

INTRODUCTION
Mark & Spencer is a UK based retailer which has been dealing in good quality food,
clothing and home accessories. In 2021 M&S carry out the mission of delivering high quality
products that include 29 countries and number of 959 stores within the UK with 44 websites
around the world. Revenue of mark & Spencer in the year 2020 was 10,181.9 and it has around
80000 or more employees working with them today in their company. In recent year the share
price value the company is 139,60 £ comparative with the same date last year the share price was
182,05£. Marks and Spencer is a British multinational retailer which is having their headquarters
in London and England.
But at the same time year 2020 was a challenging one for the company and a good year
for implementing the transformation program (Spencer and et.al., 2019). The plan is to increase
the food sells through a collaboration with Avocado for online delivery. The online competitors
like amazon and flip kart become stronger then the M & S that's why company have planned
strategy to make their business new in order to manage a team with a statement never the same
again along with the chairman and the leaders. The product of mark and Spencer focus on
sustainable raw materials, made with full nutrition and delivering quality products at good value.
The present report will be discussing about the strategic management of Mark & Spencer.
Strategic management means framework of preparation, observation, investigation and appraisal
of all the requirement that are to be fulfilled to achieve organization goals, objectives and
implementation in effective manner. It mainly focuses on utilization of strategies for better
working of organisation.
MAIN Body
Methods of development
Mark and Spencer have develop their market in so many countries by providing different
distribution channels, new product packing, pricing policies and customers to create new market
segments. Methods of development can be internal and external. Internal or organic growth
represent a development inside the organisation like: lunching a new range of products, market
penetration, diversification or expansion into new markets. Organic growth means achievement
that company achieves by increasing their output and better sales. Market development is
adopted by M&S as a method of development because it helps to improve its business operation

and expand existing business in new markets. In addition to this, quoted firm uses this in order to
develop its new products according to change in fashion and also helps in expanding their
business globally.
Mark & Spencer and Ocado came in partnership that is join venture on august 2020 that
is both have equal share that is 50:50 in the venture. The Ocado is the retail business which
provides the customer or supplier internet based delivery service. The company have agreed a
deal with Ocado for £750m which is related to food delivery. The partnership was the way M&S
food to more retail store because the range of the product was small for the consumers to do
weekly shopping with firm. The cost that was spend on the stores was £13 with the average bill
of £100 or more at Ocado. The main motto of this partnership is providing food online and the
change was a strategic opportunity for Ocado retail (M&S food to go online in $2 billion Ocado
joint venture 2019 ). The strategic significance of the company is based on the ideas which are
related to becoming the most imperishable retailer of the world with the plan to provide many
services that contains large number of commitments. Mostly the firm is offering high price goods
and services. The strategic alliance is:
Improving client relationship and competitive skills: The company is having a special
bond with their partners which will give them a reputation to increase their ability that will create
a force which will offer total package to their potential customers. (Strategies of Marks and
Spencer, 2021).
Enter new business territories: entering into the partnership the mark and Spencer have
to follow all the rules and regulations and will also help in developing new identity and new
geographical boundaries.
Create different sources of additional income: The company use its resources for
improving and expanding within the firm and service to the partner which will help in making
the income.
Level industry ups and downs: If the goodwill of the partner company is high this will
lead to the profit for the company.
Build valuable intellectual capital: The two partnership firm by combining their capital
can dig deeper and think harder which will result in growth of the organization.
Affordable alternative to merger/acquisitions: The mark and Spencer have right to
choose what part they have to merge which are related to the capital and size of the company.