Analysis of M&S Environment: Factors Affecting Business Strategy

This report provides an analysis of Marks & Spencer (M&S) and its business environment, encompassing both external and internal factors influencing its strategies and decisions. The external analysis focuses on the PESTEL framework, examining the impact of political, economic, social, technological, legal, and environmental factors. It highlights areas where M&S struggles, such as understanding social trends, environmental impacts from plastic use and outdated technology, and adherence to legal frameworks. The internal analysis considers organizational structure, recruitment processes, and customer service, identifying areas affecting the company's performance. The report concludes that these factors contribute to challenges in meeting sales targets and overall business growth, emphasizing the need for M&S to address these issues to improve its competitive position. Desklib provides students access to similar reports and solved assignments for comprehensive study.

Introduction
Marks and spencer is a multinational retailer, headquarters in
London, UK. The firm produces a wide variety of products and
deals in clothes, beauty products, homeware and food products.
The company was founded by Michael Marks and Thomas
spencer at Leeds in 1884. the working employees in company
are over 78,000 and served their products globally.
M&S And Its Environment
External Environment
External analysis :- The external factor which affect the Marks
and spencer is PESTEL. It is an acronym of political, economical, social,
technological, legal & environmental factor. It helps to identify which
factor can affect the business strategy and decision.
• Political Factor
• Economical Factor
• Social Factor
• Technological factor
• Environmental Factor
• Legal Factor
How the company impact
its context External
Environment
• The company is not understanding the social trends and
culture which impacts on the external environment.
• The using of plastic bags and selling the products which
harms the environment
• The using of old technology and not adopting the new
technologies indirectly affects the business
• Not following the legal framework, rules and
regulations
Internal Factors
Internal analysis-It refers to the internal factor which affects
the Marks and spencer company such as organisational
structure, recruitment process, customer services. In the
context of Marks and Spencer, it is explained below:
• Organisational Structure
• Recruitment process
• Customer service
References
Naidoo, M. and Gasparatos, A., 2018. Corporate
environmental sustainability in the retail sector: Drivers,
strategies and performance measurement. Journal of Cleaner
Production, 203, pp.125-142.
Nandonde, F.A., 2019. A PESTLE analysis of international
retailing in the East African Community. Global Business
and Organizational Excellence, 38(4), pp.54-61.
CONCLUSION
It is concluded that the company deals in
various products. The company has presence all over the
market, including outlets and online platforms on the grounds
of domestic as well as international. There are several external
factors- political, economical, social, technological,legal and
environmental which affects the business. Internal environment
are – organisational structure, recruitment process and
customer services which impacts the business. Due to this
factors the company does not able to achieve sales target and
hence decline in sales. There are also several factors in
business which impacts on the external environment. In the
nutshell, this causes the firms to face the challenges and
issues, restrict to grow