Research: Globalization Impact on Corporate Structure of MNCs, M&S

This research project investigates the influence of globalization on the corporate structure of multinational corporations (MNCs), with a specific focus on Marks and Spencer (M&S) in London. The report begins with an overview of the research, including the background, rationale, aims, objectives, and research questions. It then delves into a literature review, exploring the concept and importance of globalization for MNC branches, the challenges faced by M&S during global expansion, and the impact of globalization on M&S's corporate structure. The research methodology is outlined, followed by data analysis and interpretation. The report concludes with reflections, recommendations for alternative research methodologies, and a conclusion summarizing the key findings. The project aims to determine the challenges faced by MNCs like M&S due to globalization and how it impacts their corporate structure.

Research Project

Table of Contents
TOPIC:- “To determine the impact of globalization on corporate structure of MNCs and major
challenges faced by them” A Study on Marks and Spencer, London..............................................3
CHAPTER 1: INTRODUCTION ...................................................................................................3
Overview of research..............................................................................................................3
Background of research..........................................................................................................3
Rationale of research..............................................................................................................4
Research Aim.........................................................................................................................4
Research Objectives...............................................................................................................4
Research Questions................................................................................................................4
Research gap...........................................................................................................................5
CHAPTER 2: LITERATURE REVIEW.........................................................................................5
Concept and importance of Globalization for branches of a MNC........................................5
Various challenges faced by Marks and Spencer while expanding their business at global level
................................................................................................................................................6
Influence of globalisation on corporate structure of Marks and Spencer, London................7
CHAPTER 3: RESEARCH METHODOLOGY.............................................................................8
CHAPTER 4: DATA ANALYSIS AND INTERPRETATIONS ................................................11
CHAPTER 5: REFLECTION & RECOMMENDATION FOR ALTERNATIVE RESEARCH
METHODOLOGY........................................................................................................................24
Reflection.............................................................................................................................24
Recommendations................................................................................................................25
Alternative research method.................................................................................................26
CHAPTER 6: CONCLUSION......................................................................................................26
REFERENCES..............................................................................................................................27

TOPIC:- “To investigate the influence of globalisation on the corporate structure
of MNCs along with the major challenges faced by them”. A Study on Marks
and Spencer, London.
CHAPTER 1: INTRODUCTION
Overview of research
Globalisation is termed as procedure of effective collaboration between individuals,
organisation and government across national boundaries. The concept simply interconnects
international economies with the integration of markets. It is beneficial for business
organisations who wishes to expand their operational activities at national level by allowing
them to access maximum customers (Asongu and Nwachukwu, 2017). Apart from major benefits
of globalisation, the main influences of this concept can be seen over corporate structure of
company. This is because, business expansion requires modification in their structures as per
international requirements. It becomes a major considerable part for top management team of
large scale companies to manage their corporate structure in such a manner that does not affect
their working pattern or productivity. For conducting an effective research, Marks and Spencer
has been taken into consideration as the company is one among largest fashion retailer of UK
who also operates its business at international scale. In present context, the specific location that
has been taken into consideration is London, where Marks and Spencer has faced number of
issues in relation to the corporate structure at the time of globalising among different areas.
Background of research
An organisation having various departments and business units which align effectively
for attaining organisational goals are termed as corporate structure. Here, collaborative efforts of
company could get affected because of international expansion (Brown, 2017). Thus, it is
essential for business manager to maintain effective collaboration among all so that their targets
could not get affected because of international expansion. In this regard, Marks and Spencer has
been considered as the core company which will support in improving understanding over
corporate structure and its associated challenges that are faced by this company while operating
business activities at global level. The Marks and Spencer is large scale UK based fashion
retailer that offers high quality clothing range worldwide. The main reason behind selecting this
company is its presence at international scale (Auer and Mehrotra, 2014). It has been analysed

that management team of this company often faces issues associated to corporate structure while
globalising their business. Therefore, for maintaining its position and leading international
market too, its important for top management team of Marks and Spencer to mould their
corporate structure in such a manner that supports them in tackling issues at international scale.
While expanding the business in London, Marks and Spencer has gone through number of issues,
which impacted negatively upon overall performance level due to different corporate structured
based challenges faced by M&S.
Rationale of research
The major motive choosing this topic for conducting investigation is to identify various
challenges faced by large scale companies at the time of expanding business at international
scale. This investigation will allow researcher in developing their own knowledge on
globalisation and various kind of changes that it brings in corporate structure. It can also be said
that scope for this investigation is quite broad because researcher could also approach this
company for starting their professional career (Auer, Borio and Filardo, 2017). With the help of
this, Marks and Spencer would directly sustain within the market of London for a longer period
of time. Apart from this, personal interest of investigator is to groom their own skills that is
beneficial for their career growth. Some of the main personal skills that could be developed by
conducting this investigation are team working skill, analytical, communication, convincing etc.
Research Aim
Research aim for the present research study is “To investigate the influence of
globalisation on the corporate structure of MNCs along with the major challenges faced by
them”. A Study on Marks and Spencer, London.
Research Objectives
 To determine the concept and importance of Globalization for branches of a MNC.
 To evaluate various challenges faced by Marks and Spencer while expanding their
business at global level.
 To analyse influence of globalisation on corporate structure of Marks and Spencer.
Research Questions
 What is the concept and importance of Globalization for branches of a MNC ?

 What are the various challenges faced by Marks and Spencer while expanding their
business at global level?
 How globalisation influences corporate structure of Marks and Spencer?
Research gap
The particular that has been taken into consideration is directly linked with the gap that
has been identified by the investigator. With the help of this, researcher will become able to gain
knowledge in relation to actual information considering the chosen topic in respect of its
importance in the society. Including this, it is said that there are presently people working inside
such association examine that there are a few issues looked by them because of globalization
however they don't know about the genuine point which influence the entire execution. In this
way, the primary point behind directing this exploration is to diminish the hole and upgrade the
information about person.
CHAPTER 2: LITERATURE REVIEW
Concept and importance of Globalization for branches of a MNC.
According to point of view of Rangarajan, (2019), the term globalisation is defined as an
combination and integration of different economies as well as societies through across all
country by full flows of information, goods and services, ideas & innovations, technologies,
capital, finance as well as human resource. The essence or centre of globalisation is connectivity
or connection with all countries. Thus, the cross border integration can have different several
dimensions which includes cultural, political, social and the most important economic factor.
Furthermore, the word globalisation is very useful but in limited area such areas are trading in
goods and services, movement of capital and flow of finance. Globalisation permits an increase
in level of global output. Marks and Spencer has globalised due to being sustainable and
innovative and being highly ethical for beating other companies and ensuring customer
satisfaction. Globalisation has several meanings and it involves different services worldwide.
Globalisation has changed since years and there are new factors introduced in this concept. The
concept of globalisation helps companies to enter foreign markets in an effective manner. This
helps in enhancing the productivity and efficiency of the company. The main objective for
companies to become global is to create good brand image and reputation around the world. Also
it is important for companies to make effective and strong strategies before establishing business

in foreign market (Wright, 2016). This is important for all organisations to do effective research
and market analysis before operating in another country.
Including this, it is also said that the significance of this topic is that there are number of
opportunities that a business company can get in relation to growth and making profits. On the
other hand, globalisation is said to be a subject, which is continuously playing an important role
for economy as well of nations like United Kingdom and it's states like London and so on. This
raised ample number of benefits in relation to employability, growth and so on. At last according
to society perspective globalization assist in raising the living standard of people of London.
Various challenges faced by Marks and Spencer while expanding their business at global level
According to thought of Akindele, Gidado and Olaopo (2016), it is said that there are
various challenges that are faced by an organisation while it is operating at global level. Doing
business at global level is a worthy endeavour but it has some challenges too. The first thing is
that companies have to make effective plans and strategies before entering into foreign markets.
The biggest challenge is absence of physical presence. Although there is presence of internet and
telephones, but the physical presence of leaders is more important. The next challenge is cultural
diversity. If the country in which Marks and Spencer, London will establish it's market must
have common behaviours and cultures. It is important to overcome this challenge as this will
help in taking business global so that leaders can assimilate with people who will become
customers. The companies must learn the best way for reaching prospective customers as this is
an important factor in global success of the company. Mastering marketing helps in establishing
right kind of customer base which is important for success with globalisation. Trans creation is
helpful in adapting marketing content of the company to a new foreign market (Ghosh and
Siddique, 2017). The success at global market depends upon the way in which organisation
communicates, reports and tracks efforts. Another challenge that is faced by Marks and Spencer,
London is tariffs and export fees.
Apart from all these, it has also been identified that there are various countries which
have different type of tariffs and export fees which is totally different from other country. The
business leader must know about these tariffs in order to incorporate them into financial planning
element of the globalisation plans. It is essential for companies to consider ways by which
business will meet manpower requirements for operating in foreign countries. It is needed by
Marks and Spencer, London to hire new employees and this needs a lot of investment. If

company sends executives or managers from present office to foreign countries, they have to hire
employees for taking account of actions of these managers and executives. Another challenge
faced by Marks and Spencer, London is properly adapting documents and content to the culture.
Business has to introduce ways by which customers can read and understand sales materials,
instructions and other documentation which is important for the business (Lenao and Saarinen,
2015). Therefore, it has been said that it is quite essential to examine and analyse local retailers
before starting business functions at international marketplace or in foreign countries.
Influence of globalisation on corporate structure of Marks and Spencer, London
As per the opinion of Rossi, Lipsey and Henry (2018), it has been said that corporate
structure plays very complex and crucial role. Organisational structure of the company mainly
links with the different departments of organisation, its function and many more. It has also been
analysed that if organisation does not create its own structure then it will develop it by its own. It
has been identified that each and every organisation have their own culture, beliefs and values
which assist in attaining various opportunities at the marketplace. In the present context of
globalisation it has been said that it is the factor which highly affects the business function and
its structure while expanding organisation at international marketplace. It is very essential for the
management team of company that they should effectively develop their own organisational
structure so that it will assist in attaining goals and objectives of the company within given time
frame.
In addition to this, it has also been identified that influence of globalisation on the
structure of business organisation might be positive as well as negative in nature. It is required
by the management team to modify various things within the structure in order to gain positive
result while doing business expansion. It has also been said that organisational structure is quite
complex and dynamic in nature which affect the overall profitability of the company. It has also
been identified that while expanding business functions at international marketplace, competition
level increases day by day (Batta, 2016). Competition can be associated with the price of goods
and services offered by company along with the quality of product. Therefore, it is required by
the management team to develop effective strategies and policies so that they can beat the
competition available at the marketplace. This as a result says that globalisation highly influence
the business functions and corporate structure of the company in both positive and negative
manner.

CHAPTER 3: RESEARCH METHODOLOGY
Research methodology refers to an important section for every investigation as it provide
in depth knowledge on the process of identifying, gathering and evaluating information on
research topic. This section is helpful in drawing valid outcome for investigation. Some main
tools and techniques for this section are described as below:
Research methodology refers to an important section for every investigation as it provide
in depth knowledge on the process of identifying, gathering and evaluating information on
research topic (Rupert and Smith, 2016). This section is helpful in drawing valid outcome for
investigation. Some main tools and techniques for this section are described as below:
Primary data: This is that form of data which researcher collects for first time for
conducting his research work. There are may sources which a researcher can use to gather this
primary source of data, such as conducting face to face interviews, personal observations,
surveys, focused groups and other different methods. All these together comprise of sources
which can be used to collect data and then further use it for conducting research.
Secondary data: this is another form through which data can be collected easily by
researcher. In this no primary collection is done instead data is extracted from an already existing
source (Asongu and De Moor, 2017). This method includes sources such as newspaper, books ,
journals, case studies, publications of various authors, various types of websites, magazines and
many other identified sources by researcher which can help in collection of required information.
In the present context of current study, researcher has adopted both primary as well as
secondary source in order to collect data and information. In the context of primary method,
investigator adopt questionnaire method whereas in case of secondary method, data is collected
with the help of books, articles, journal so that positive outcome will be produced. Reason
behind this is that, researcher can accomplish there goals and objectives.
Qualitative research: In the context of present research, qualitative research data plays
very essential role as it assist in collecting data which is mainly represented in the form of codes,
symbols and name. It is the type of data which is in the type of non numerical method. All the
information and data is collected by using personal interview, observation, focused group, survey
and many more (Colen and Swinnen, 2016). In the present study, researcher commonly adopts
qualitative method of research and its outcome is based on human perception.

Quantitative research: It refers to the type of research which provide numerical and
statistical data in order to conduct the research in a positive manner and produce required result
in the form of mathematical and numerical manner. It has also been identified that all the data as
well as information which is collected in the present report is gather by using questionnaire
method.
In the present research, it is said that investigator use qualitative research so that all the
information will be gained in an effective manner. In addition to this, investigator use
questionnaire method so that they can gather required information within given time frame. The
main reason behind this is that with the help of qualitative method help in performing all the
functions in an effective way and produce positive outcome.
Sampling: It refers to a method which is used to observe the sample from whole
population. It is one of the most effective methodology which is used by investigator so that they
can simply divide the large number of population according to the requirement. In the context of
current research, it has been analysed that investigator chose random sampling technique where
chosen respondents are 50 in number from the population in order to create positive result
(Laborde and Ronzoni, 2016). This is the method with the help of which investigator will be
able to chose respondents in order to collect authentic and appropriate data and information.
Gantt chart: It refers to a method which is developed by Henry Gantt in the year 1910.
it refers to a method which commonly shows the balance between different activities and time in
which they perform their task in an effective manner. Gantt chart refers to a graphical
representation in which all the information related to the activities along with time duration
shows on the chart. With the assistance of this researcher adopt this method which assist them in
order to identify their starting and ending point of every activity. With the help of this, positive
result can be produced within stipulated time frame.
In this present examination of research, investigator is going to choose 50 respondents
from the total populations who are the stakeholders of the company. Along with this, it has also
been identified that with the help of conducting the whole research in an effective and
appropriate way, investigator will be able to gain favourable results. . They are the one who are
highly interested in the overall profitability of the company. With the help of conducting this
research in an effective manner, it has been identified that the company gain ample number of
growth and success opportunities available at the competitive marketplace. Outcome of the

investigation help in modifying the strategies as well as policies of business entity as per the
requirements of current market trends. The overall cost required to conduct the whole research in
an effective manner is around 100-150 pound. This will attract large number of stakeholders
towards them. Furthermore, researcher have also found that by adopting globalization, an
organization can easily improve their overall sales, enhance their profitability, expand their
market share at competitive marketplace.

CHAPTER 4: DATA ANALYSIS AND INTERPRETATIONS
Questionnaire
Q1) Do you have knowledge about the concept of globalisation?
a) Yes
b) No
Q2) In what manner globalisation influence corporate structure of Marks and Spencer, London?
a) Positive

b) Negative
Q3) Do you think, globalisation has brought growth opportunities for Marks and Spencer,
London?
a) Agree
b) Disagree
Q4) Does globalisation influences economical growth of London?
a) Yes
b) No
Q5) Do you believe, any kind of changes in corporate structuring of company influences work
of employees?
a) Agree
b) Disagree
Q6) According to your perception, what are the main benefits of globalisation gained by Marks
and Spencer, London at international business expansion?
a) Better access to advancement
b) Quick approach to large number of customers
c) Increase in sales performance of company
Q7) As per your opinion, which one among the below stated is major challenge faced by Marks
and Spencer, London while operating its operational activities at international market scale?
a) Trade barriers
b) High competition from local and international companies
c) Cultural barriers
Q 8) Do you believe large scale companies have to revise their organisational strategies while
expanding their business at international marketplace?
a) Agree
b) Disagree