M&S International Growth: Org Structures, Functions, Digital Impact

This report examines the organizational structure of Marks & Spencer (M&S) and its impact on international expansion. It highlights the company's flat organizational structure and the functions of various departments such as marketing, human resources, customer service, finance, research and development, and sales. The report further analyzes how digitalization, including reduced transactional costs, increased competitiveness, productivity gains, and enhanced brand awareness, has influenced M&S's international expansion strategy. The study concludes that digitalization plays a vital role in global economic contribution and provides businesses with opportunities for wide-ranging expansion, despite challenges like legal rules and trade norms.

Organizational
Structures and
International
Expansion

Table of Contents
INTRODUCTION ..........................................................................................................................3
MAIN BODY...................................................................................................................................3
The considered company has expanded into global market, justify the organisation
structure and functions are suitable to assist the expansion. .....................................................3
TASK 2............................................................................................................................................5
The impact of digital technologies have on their international expansion strategy :..................5
CONCLUSION ...............................................................................................................................7
REFERENCES:...............................................................................................................................9
Books and Journals:....................................................................................................................9
Online .........................................................................................................................................9

INTRODUCTION
Organisational structure helps in understanding the business that how should perform the
business action in the company in order to make them successful institution in the market. It
presents the role of and responsibility of the business functional areas that perform their action
according their skills and ability. The structure assist both the company and the employees as in
by making a proper strategy of workings and assigning the roles to the members (De Vos,
2020). The following report is considering mark and Spencer, it is an UK based company which
provides services in worldwide. It deals in supermarket and act as retail stores. It is counted in
top brand companies in UK with the huge market share in United kingdom market or others
market. The company was founded in 1884 by Michael marks and Thomas Spencer. This report
will cover the organisational structure and how functional area serves their service further it will
include that how digitalisation will impact on the business while expanding company in global
market.
MAIN BODY
Task 1
The considered company has expanded into global market, justify the organisation structure
and functions are suitable to assist the expansion.
Organisational structure is a process which helps in analysing the hierarchy in the company. It
concentrates on every department, it operations and who is answerable to whom in the
institution. It is build and planed that how the company manages and assist in achieving the
organisational objectives. The further details is discussed by considering the M&S (Cornut and
Dale, 2019).
In context of Mark and Spencer, the company follows the flat organisational structure.
This type of organisation structure consist a less number of management levels with in the
workplace, and in this the subordinates have long time of duration of the authority with its
workforce or mangers and basically it have a small chain of management. This is usually adapt
in big companies in regards of having a successful management.
Organisational functions:

It states to the departments of the institution that perform activities which are done by the
employees according their skills and power. The work is divided in various sections or
operations in the organisation and all are interlinked with each others all the are work for a
common reason of attaining the organisational goals (Woodley, 2019). Different working areas
are listed below.
 Marketing - Marketing define as the process of different set of activities which are used
by an organisation in order to increase the awareness of goods and services of the
company. This comprises advertising, selling and distribution of the product to the
customer or the other business. In context of Mark and Spencer, the company is broadly
served with the help of internet or sites as it price efficiently in order to promote the
brand in a huge quantity in global markets.
 Human resource - This department is hired for recruiting a skilled workforce that can
create a effective and efficient working in the work environment. The major function of
this department is staffing, managing the working environment, providing a fair policies
and regulations that can be effective for both employees and managers. Mark and
Spencer, the management hire a various expertise in different markets in order to create a
professionalism in the market where company is expanding business.
 customer service - This section of the business is organised to focus on maintaining the
relationship between the company and the customers. The major function of this
department is to satisfy the consumers by providing the services before buying and after
utilising the product of the company. In terms of Mark and Spencer, management should
set the services as per addresses issues or quires of the users. Concern can accquire this
by introducing a area with workers who have a clear and full knowledge of companies
products and having a good communication skills with having a knowledge of various
languages. This can help organisation in providing best customer services to its
consumers, in order to satisfy them and make them happy by the services of the company
(Englisch, 2018).
 Finance - This department plays a major role in maintaining the funds in the institution
by including a proper and effective planning. It contain different practices like recording
transactions, inflows and outflows of capital and many more. It concentrate on both long
term and short term financial needs of the business and its main task is to rise the profit

in the firm with its effective utilisation. In terms of Mark and Spencer, the department
provides the funds to other departments in order to complete the task successfully and
efficiently. It invest amount with the view of growing business globally in the different
different segments of markets.
 Research and development – This department plays a vital role in the administration
as it gives a innovative thoughts for working and research that assists business in getting
a competing advantage in the market. It also helps in producing new commodity in the
company as per the consumer requirements. Its main operation is to develop a new ware
as per the needs of the market segments and trends or capture an opportunities that can
impact positively on business. In relation of Mark and Spencer, the area help in
analysing the market taste and consumer mindset in existing market or in new market as
in regards of producing a new ware in the market. This helps in reducing the risk and
uncertainties that can occur a loss for business (Castro and Espinosa, 2019).
 Sales - The main aim of the area is to rise or promote the product of the company and
grow the brand image in the market or in the sight of the consumer by making a proper
strategy and offers. It main function is to create an increment in sales scale and build a
loyal customer base for the company that can give a good business and that can converted
in profits. In the terms of mark and Spencer, the sales department of the company sets a
target for a day or for a month quantity of units to sell in the marketplace In regards of
covering the overheads of expansions and creates a increment in economic scale.
TASK 2
The effect of digitalisation have on their international expansion strategy :
Digital modification has been the main factor in the process of operating business, it can improve
the productivity and save the time or overhead cost in the organisation. It is used in changing the
business structure or creates an opportunity of increasing revenue. The digitalisation creates an
way for expanding the business internationally which can lead to increase in growth rate of
country economy and develop new offers and goods (Shahrina, 2019). It helps in building a
good relation between the host country and the country in which the organisation is already
existed. digitalization refers to the current trend of technology of business management and data
exchange at the territorial and global level while importantly improving efficiency and

effectiveness in business operations. Current developments of the Internet, physical-cyber
systems, server systems, databases, networks, etc. have modify the speedy exchange of
extremely increasing volumes of information, and at the same time have managed to create new
opportunities of doing business internationally. The impact of digital technology on expansion
of business intentionally are explained below in relation of Mark and Spencer.
 Reduce the transactional cost in foreign market- Transactional cost is the value in
building an economic transactions like buying a goods and purchasing a foreign exchange
it involved paying margin to an intermediary, searching costs, bargaining to gain the best
contract. Trade facilitates a competitive advantages in country, by taking various steps. It
reduces the cost in exporting of goods in terms of money and time spent in order to
improve the simplicity of business competitiveness. The other key concern with the
global business are compliance and trade facilitation issues which effect various sectors
with different ranges. In relation of mark and Spencer, the operations of expanding
business in various countries tends to reduction in the transformational values like trade
and tariffs that create a good and positive point for business to expand more in different
countries. The company uses different methods of expanding their business like
franchising, exporting etc. and every types has varied legality of working (Nowacki, and
Willits, 2018).
 Helps business to be competitive - competition is an inevitable section of the
organisation of any range. It can be effective tool for growing and improving the
concern as it provides the choices in the market, it highlights the business secret source, it
can upgrade the competitiveness of the business online and it helps the customers more
in quickly recognise the business, it build a loyalty between customers and it allows for
market research for business in regards of expanding business globally. The major
function of the competitive edge is to improve the brand position and image in the eyes of
consumers. In relation to Mark and Spencer, the digitalisation helps the company in
expanding business in various countries by introducing the company first through digital
media them company research the consumer behaviour and taste then they implement
their stores and outlets in that target market. As the company is well recognised in
worldwide. So it assess the company to expand more in vast stage (Nagy, 2018).

 It increase productivity - The digitalisation in the company increases the productivity
in various areas like saving the time as of work is being done by the machines and robots
and moreover the technology helps the organisation in reducing risk. It assist in
assessing the documents through the cloud or any other system that are converted into
digital formate, it helps in eliminates the use of paper that can be useful for social values
on the other hand it reduces the amount of risk and disaster. In the extent of mark and
Spencer, the digitalisation impact business in many ways like saves the extra cost and
reduce the wastage of resources in addition it saves the time of labour and management in
terms of producing the product (Vasconcelos, 2021).
 It increase brand awareness - The most effective impact of technology on company is
that the reach of the business in worldwide through the social apps and websites. While
expanding the business internationally the digitalisation made easy to converse with the
clients or the host country through apps like Skype or many more. Through the social
apps or digital platform the brand reaches to the target consumers easily and that create
the brand awareness in the market segment. In case of mark and Spenser, digitalisation
impact the business in spreading a awareness of the brand in present era the company can
be operate through the domestic country to host countries online it increase the brand
value of the brand.
CONCLUSION
From the above report it is concluded that digitalisation plays a vital role in contributing the
world economy. It creates a big opportunity for the business in the terms of expanding their
business in wide range with investing a huge amount of investment by including the methods of
operations like research and development, human resource and financial resources etc. while
expanding the business globally. The company has to face the issues like legal rules and trade
norms etc. on the other hand they enjoy the opportunities that is occurred in the business of
expansion and growing on long term basis. The above study states that the impact if technology
on the business have provided the big stage of chances to grow the business in the view of
earning revenue and brand image internationally. As the mark and Spencer, it is the well
recognised brand in UK and now it is planning to expand their business in international country

like Asian market in order to create a loyal customer base and increase the profitability or
maximise the market share.

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