Impact of Business Environment Factors on Marks and Spencer Operations

This essay provides a comprehensive analysis of the micro and macro environmental factors influencing the business operations of Marks and Spencer (M&S), a UK-based retail enterprise. It begins with an introduction that highlights the impact of business operations on overall organizational performance. The main body of the essay delves into the internal and external environments, including a SWOT analysis of M&S that identifies its strengths, weaknesses, opportunities, and threats. The micro-environmental factors, such as suppliers, competitors, customers, employees, investors, stakeholders, and regulating agencies, are examined for their influence on the business. The essay also explores the macro-environmental factors, including political, economic, social, technological, environmental, and legal factors. The importance of responsible management of individual and organizational operations, considering social, cultural, economic, and environmental issues, is also discussed. The essay concludes by summarizing the key findings and emphasizing the significance of environmental analysis for improving the performance and operational capabilities of the retail enterprise.

Context of Business

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Essay...........................................................................................................................................1
Micro and macro environment factors........................................................................................1
Importance of individual and organisation to manage responsibly in order to carry out the
operations....................................................................................................................................3
CONCLUSION................................................................................................................................3
REFERENCES................................................................................................................................4

INTRODUCTION
Carrying out the business operations will impact the overall performance of the
organisation. It also impacts the overall performance level and thus will lead the organisation and
enhance its performance. This will impact the overall performance of the organisation. The
report will cover the details about the micro and macro environmental factors that will help in
improving the sales and overall performance of the organisation. The micro environment
contains the internal factors that can influence the performance of the organisation while the
macro environmental factors include external environmental factors that will help in carrying out
of assessment of factors influencing the business operations. The essay will cover the details of
micro and macro environmental factors with management of individual and organisation
operations on social, cultural, economic and environmental issues faced by UK based retail
enterprise Marks and Spencer.
MAIN BODY
Essay
Micro and macro environment factors
Internal assessment of M&S will help in identifying its strengths and weaknesses with
proper assessment of potential opportunities and threat factors. The SWOT of M&S is as
follows:
Strength:
High brand recognition: The brand is known to have high brand value that enables it to
have a high level of accessibility to its customers. It also supports the rise in increasing the
revenue generation of the firm.
Wide variety of products: M&S has a wider product portfolio as compared to its
competitors. The products and services include food, clothing, electronics, groceries and toys,
helping it to cater wider consumer base (Shi, Li and Bigdeli, 2016).
Larger number of outlets: M&S has a larger number of outlets, facilitating higher
number of sales and revenue generation for the organisation.
Weaknesses:
Non trendy store: The outlets of M&S have not updates as per the changing current
trends that will impact the sales of the organisation. The young generation or consumers are
reluctant to visit its stores due to this reason.
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Manual working: The selected firm still uses the manual store keeping measures to be
applied and placed within its store that impacts the performance of the organisation (Souto,
2015).
Opportunities:
M&S can opt to develop their personal e commerce website in order to sell the goods and
services online as well as offline. This will help in improving the productivity of the operations
within organisation in much effective way. They can also expand their operations to foreign
countries for improving the customer base and revenue generation.
Threats:
Rise in competition in retail sector and the political or social differences are the major
threat factor that can impact the sales of the organisation in an effective and significant manner.
This will impact the sales of their organisation (Apenko, 2017).
The micro environmental factors will impact the performance of the organisation that will
influence the planning of operations in an effective way. This includes following factors to be
taken in consideration.
Suppliers: they will provide essential raw material for the proper execution of the products and
services of the organisation.
Competitors: Organisation will carry out assessment of the developing the brand equity and
business operations of their competitors and develop their strategies accordingly.
Customers: They will provide the demands and neds t the organisation and thus will lead the
organisation to improve the sales and carrying out of the operations that will support a good rise
in carrying out of business activities.
Employees: The workers must be treated with respect in order to ensure their proper productivity
and trust level towards the firm.
Investors: They will provide essential financial support to enterprise in order to carry out their
business operations.
Stakeholders: They will also contribute and look after their share within the selected enterprise
and its growth.
Regulating agencies: they will look after that the quality and work standards and laws are been
followed by the organisation in an effective way.
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External assessment of M&S will analyse the external environmental factors that will helps
in making suitable strategies which will help in proper assessment of the operations and gaining
a good, strategic stability of the organisation that will help in proper assessment of the
operations. The external factors involve:
Political: The political factors like Brexit, changes in governmental policies, tariff rates and
other business factors will impact the overall operations of the organisation. M&S is required to
manage these factors in order to improve their performance.
Economic: The Inflation rates, exchange rates of currencies and post Brexit economic
disturbance will impact the sales and operations of selected retail enterprise. Management of
selected enterprise is required to see through proper assessment of these factors in order to
improve their sales.
Social: The demographical factors and other social elements like many products chains to
called off by M&S due to excessive operations by the social trends of the organisation. Besides
this, the labelling as non trendy store impacts the sales and overall productivity of the
organisation.
Technological: effective implementation and utilization of the technological factors like CRM
system or a ERP module will influence the sales of the organisation to a greater extent. However
any technological glitch like system failure of leakage of data security may impact the
performance of the organisation in adverse manner (Bell, Bryman and Harley, 2018).
Environmental: the organisation is required to look after its CSR operations that will
impact the sales and overall customer perception in an effective way. The usage of organic food
and cosmetic product may help in growth of their operations.
Legal: Trade policies, employment laws and other legal obligations are certain measures
that can impact the sales of the M&S and may impact the business operations in an effective
way. Failing to meet any legal obligation may land the company into serious issue.
All these factors will impact the sales and productivity of the organisation that will help in
meeting the sales objectives and help in meeting the targeted goals of the organisation.
Importance of individual and organisation to manage responsibly in order to carry out the
operations
M&S is req1uired to look after the proper assessment of the operations that will help min proper
planning of the operation to a greater level. On the basis of the cultural, social, economic and
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environmental issues that will impact the operations of the organisation in an effective manner. It
will help min meeting the operational goals; improve the performance level of the retail
enterprise (vom Brocke, Zelt and Schmiedel, 2016).
Besides this, it supports the rise in the operational capability of the organisation to meet the
operational needs and thus will help in carrying out of the retail business operations. The rise in
performance will enhance customer satisfaction level and leads to gain the high level of
productivity and revenue generation for the organisation. Besides this, it will help in improving
the sales and profit generation of the organisation. Besides this, the brand equity of M&S will be
improved.
CONCLUSION
On the basis of the operations that will be carried out by selected retail enterprise will lead to
the rise in overall operational capacity of the organisation. The report summarises the assessment
of internal and external factor's including customers, employees etc and Political, economic and
social factors, affective performance of a firm. It will facilitate the operational rise and
improvement of productivity of the selected enterprise. Besides this, effective assessment of the
social, cultural, economic and environmental obligations that are been undertaken by the
organisation is been selected. This will improve the overall rise in carrying out of wider range of
business functions and improvement in overall growth and performance of the organisation.
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REFERENCES
Books and Journals
Apenko, S., 2017. Human resource management of innovative projects in the context of business
strategy. Strategic Management. 22(1). pp.3-6.
Bell, E., Bryman, A. and Harley, B., 2018. Business research methods. Oxford university press.
Shi, X., Li, F. and Bigdeli, A.Z., 2016. An examination of NPD models in the context of
business models. Journal of Business Research. 69(7). pp.2541-2550.
Souto, J.E., 2015. Business model innovation and business concept innovation as the context of
incremental innovation and radical innovation. Tourism Management. 51. pp.142-155.
vom Brocke, J., Zelt, S. and Schmiedel, T., 2016. On the role of context in business process
management. International Journal of Information Management 36(3). pp.486-495.
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