Business Analysis of Mark & Spencer's

This report provides a detailed business analysis of Mark & Spencer, a major UK retailer. Part 1 examines the organization's functions, strategy, structure, and the interrelationship between these elements. It also analyzes the organizational objectives, highlighting the importance of leadership and personnel in achieving strategic goals. Part 2 delves into the positive and negative effects of the macro environment on Mark & Spencer, covering political, regulatory, economic, social, technological, competitive, organizational, and market factors. A SWOT analysis is conducted to assess the company's strengths, weaknesses, opportunities, and threats. The report concludes by emphasizing the importance of aligning organizational structure and strategy for success and the challenges posed by globalization and competition.

“Business analysis of Mark & Spencer’s”
1

Table of Contents
Part 1........................................................................................................................................................3
P3.........................................................................................................................................................3
The function of the organization .....................................................................................................3
Strategy and Structure of the organization......................................................................................3
Interrelationship between organizational function..........................................................................3
M1........................................................................................................................................................4
Organizational objectives.................................................................................................................4
Part 2........................................................................................................................................................5
P4, P5, P6.............................................................................................................................................5
Positive & negative effect of macro environment ...........................................................................5
Political ............................................................................................................................................5
Regulatory .......................................................................................................................................5
Economic .........................................................................................................................................6
Social ...............................................................................................................................................6
Technology ......................................................................................................................................6
Competitive .....................................................................................................................................6
Organization.....................................................................................................................................6
Markets ...........................................................................................................................................7
M3, M4.................................................................................................................................................7
SWOT analysis..................................................................................................................................7
Strengths:.........................................................................................................................................7
Weaknesses:....................................................................................................................................8
Opportunities:..................................................................................................................................8
Threats:............................................................................................................................................8
References...............................................................................................................................................8

Part 1
P3
The function of the organization
Mark & Spencer’s is one of the largest retail sectors in UK. Entire function of the organization
has so much updated than the other retail marketing organization. Various types of products
have stored in the retail hub. The function of the retail organization is very fruitful to conduct
all types of employees, stuffs, workers & other stakeholders. The structure of the organization
is covered a huge area in the UK.
Strategy and Structure of the organization
Structure is an important part of an organization chart. Every organisation structure made up
with the help of all the employees,position of the people in the business, events, culture, plant
and machinery and related fundamentals that involve the company. It explain the how the all
process are coordinate with each other in business. (or fail to do so).As the organisation
strategy help to company to achieving the goal and objective of the company. If a company
dismisses its strategy, it must revise its structure to sustain the new strategy (Austin et al.,
2012).when the company adopt the new strategy. As before said structure, supports approach
so whatever the organization activity it reflects its own strategy. To change the policy of an
organization means to change the working practice of its employees. When a company modify
its structure but not change the strategy of the company then the planning will evolve
automatically to adjust to the new structure. After some time the management discovers any
undesirable change in the organizational strategy. Actually, it has been accomplished
involuntarily. In reality, company structure is the most powerful weapon. This is not possible
to accomplish any goal or run any organization for a long time unless the structure and strategy
are not compatible.
Interrelationship between organizational function
The sum total work of an organization depends on its strategy. When a company is going to
make changes in the plan, it must consider every aspect of the structural advancements to
support the imminent strategy . That is the only way to ensure the impact of the structural

changes on the productivity. The vision and direction of the organization is what bridges the
strategy and structure. Intranet working system must be incorporate so all the efforts and
resources are aligned with the strategy. The right structure is essential for a successful of the
business. Management that is targeting higher revenue can have a predisposition of controlling
everyone on what they should do without paying attention to the deviation from the current
way of organizational procedures. While individual adherence to the direction might be carried
out, unless all components are integrated in their operations support strategy that can meet the
company direction the goals remain unattainable (Zavadskas. et al, 2011). During the last 25
years, more over 42 industries have consulted for many ways to achieve the organizational
objectives. Improvement of current strategies and creation of new strategies in line with
organizational objectives has been one of offerings to these clients. However, this years, it has
been noticed that some clients are not success for implementation of new strategy in the
businesses . It is a matter of concern so it is necessary to decipher the cause. Top management
cannot just implement a new strategy and vision and expect everyone to follow it. To
implement such a strategic shift requires a complete reshuffle within the organizational
structure. The organization’s structure has to based on changes to the existing structure or t he
change will cause the new strategy to fail and the change back to the old strategy will happen
involuntarily.
M1
Organizational objectives
Leadership and personnel are essential for the every organizational strategy or structure.
Everyone might talk about people and leadership but too often, this is ignored by the
management by focusing on the quarterly goals which put pressure on the production line. As
according to above report, it focus on client’s revenue had to be balanced and change effect of
the employees. The organization did not want to leave clients with reports that were not
implemented or failed due to the lack of correct focus of the approach. So many years ago, this
organization became project partners for its client’s implementation efforts to ensure that their
new approach designed to increase profits actually functioned and heralded the change. It
cannot be improved plan, increase income, even augment the performance of a sales force
without addressing the organization, people, culture, communication; capacity and leadership

aspects of the organization or at least that part of the organization that are being changed. A
decision is to change one requires an all out effort focused through cause and effect analysis. It
should not be just modifying a structure to change it. It should ensure that the changes would
support that strategy. At that time it can’t be just implemented a better leadership and
engagement approach in a accompany or alter the organizational chart without evaluating the
compatibility with the firm’s ability to carry out its current strategies (Chetty et al., 2013). HR
management has traditionally fulfilled two main roles, administrative and operational
activities. Most of these processes are focused on smooth operation for the organization, while
additionally ensuring that personnel were treated fairly and were happy and motivated at work
and were aware of their objectives. Most HR task aims to add value to their business. They
want to be capable in their transactional tasks, while contributing strategically to the success of
the business by their individual role. Therefore, Human Capital Theory seeks to explain the
benefit of knowledge and training as a form of investment in human resources.
Part 2
P4, P5, P6
Positive & negative effect of macro environment
There are some negative & positive effects of macro environment, which is very crucial factor
for the organization here it has written below briefly:
Political
Marks and Spencer operates in the global environment and has expansive in all over the UK.
The political environment is also helped the influence the performance of Marks and Spencer.
The political situation of the UK is even, Marks and Spencer has affected through the effects
of the great dumps that touch the supermarket industry. The supermarket industries has largely
influenced by the laws and Marks and Spencer again is aware that and political situation of the
trade unions the forces governing the recruitment.
Regulatory
The penetration of the new players deals with UK’s supermarket. Therefore, there is a
restriction of Marks and Spencer to selling their grocery items. However, the EU values and

rule have helped the consumer population to suffer healthy diet, that is why companies like as
Marks, and Spencer is required to display the nutritional information of their items. Food
Retailing Commission (FRC) has made a rule that it is essential for all the retailers to adhere to
the articles of drill while dealing with the suppliers in receiving merchandise.
Economic
The stability of the UK’s economy is proven by overcoming the depression inn 2008-09.
According to the reports, there is growth of economy and it is growing around by 0.3%.
Marks and Spencer is actually concerned about the impact of the changes that affect the
straight outcome upon the demand, prices and the success of this casual discounter (Cetina et
al., 2014. ).
Social
The structure of UK population is expected to decrease the labour supply. Moreover, expected
that the expenditure of the population in the UK this will be subjective to the buying habits of
the consumers and this is likely force the consumers into focusing on the products quality. The
currently population of UK are shifted on to bulk shopping and accordingly Marks and
Spencer adjusted on to the trend by the sale of non-food products (Fleisher et al., 2015).
Technology
Today in retailing zone internet plays a great role. There are some incorporated innovations of
Marks and Spencer like as online delivery, electron advertising, intelligent scales and self-
check out system, electronic point of sale (EPOS),Electronic funds transfer, and RFID systems
Competitive
Marks and Spencer deals with German supplier in the UK and focuses on quality grocery and
supermarket items at good cost. Marks and Spencer has some strong competitors like as Tesco,
ASDA, Sainsbury and now the competition has turned over in the market to other discounters
like as LIDL, which is relatively high (Cetina, et al., 2014).
Organization
Marks and Spencer sells grocery, foods, beverage and other items. The discounter earns
revenue of € 54 billion. The efficiency of employees is too high as in the Marks and Spencer

that sum up to almost 7.5%. This discounter is able to control expenses, as well as the prices,
and thus is a popular discounter in the UK compared to competitors of larger scale like Tesco,
ASDA, and Sainsbury.
Markets
Marks and Spencer distribute across Australia, Europe, USA and According to Kantar World
panel, the company holds and secures a share of market of almost 6.3% in the UK as
compared to several players.
M3, M4
SWOT analysis will help to develop in depth of understanding impact of macro environment
regarding this organization, here it has describe below:
SWOT analysis
The SWOT deals with “Strengths”, “Weaknesses”, “Opportunities” and “Threats”. By
Carrying a SWOT would be formative to assess their private consistency with the
circumstance, they are performing within for organizations. The SWOT helps Marks and
Spencer to appreciate strengths, attenuation of its and the institution must defeated,
opportunities that Marks and Spencer can accept significant benefit of and the impendence that
the institution must take into account on precedence grounding(Messai et al., 2013). The
SWOT for Marks and Spencer has been revising beneath:
Strengths:
The organization does taste an important sword figure and prestige that they exhibited upon the
period in UK. The cause aback their brawny set over Germany because the institution actually
started their institutional performances over in UK. The organisation has also proper and exact
in forms of characteristic to their items and services, and it is helped them to income
international confession. Another benefit of this organisation is that it has a wealthy power on
their rank of items since the institution have their personal customized Bilbo and items. A
simple performing mechanism and organisational plane supported the organisation to carry
their necessary level of the state of production ability.

Weaknesses:
It also has some weakness of its own characteristics. The organisation also deals with some
poor brand identity that is why there are some refusals from multiple manufacturers to take
their offering of association. The efficiency level also reduced and multiple competitors that
offer modernised processing in their generation and daily performances is gaining ground.
Opportunities:
The organization is set in its position where it can take advantage of the lowest cost and
maximizing the profit. After globalization of world market, it has resolved into a global village
that asks for no limitations or regulations for institutions to spread to the world at large. It is
flourishing the organisation. There is a most advanced way that is Advertisement, this is the
way we gather the information related to market segment and need demand of the customers
and perception of customers for buying the product.
Threats:
This term “globalisation” has pulled important pleasing benefits for an individual ambitious
group of institutions. It also fetched important tough conditions for organisations that touched
with the market. However, there are some competitors of Marks and Spencer the competitors
that offers the operation significant challenges. The medium size, it faces with some huge
competitors such as Tesco Plc, ASDA, and Sainsbury and so on (Huselid et al., 2010). The
competitive advantage that Marks and Spencer is that the competition gives the great strength
to Marks and Spence and achieves a high confidence to face a bigger challenge than previous.
The organisational culture that Marks and Spencer has constructed within their organisation
can never defend a significant continuation.
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