Analyzing Marks & Spencer's International Trade Strategies

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MANAGING A SUCCESSFUL BUSINESS
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Table of Contents
INTRODUCTION...........................................................................................................................................3
LO1..............................................................................................................................................................4
P1.............................................................................................................................................................4
P2.............................................................................................................................................................4
P3.............................................................................................................................................................7
LO2............................................................................................................................................................10
P4...........................................................................................................................................................10
LO3............................................................................................................................................................19
P5...........................................................................................................................................................19
P6...........................................................................................................................................................19
LO4............................................................................................................................................................21
P7...........................................................................................................................................................21
CONCLUSION.............................................................................................................................................22
REFERENCES..............................................................................................................................................23
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INTRODUCTION
In the world of globalization, there are many different kinds of organization which has been enhancing
their business in many other areas of the world, to develop the good relations with the employees and
the customers of various parts of the world which contributes towards the effective profit generation
within an organization. Thus, the types of companies which develop the business in many different parts
of the world are termed as the multinational organizations, where the investment made such types of
organizations serves to deal with the tax breaks with reference to the FDI. In a country like the UK, the
effect of the multinational organization is seen directly on the people of the country in terms of getting
the employment which provides the standard living to the employees, leading towards the increase in
the overall economic growth of the country (Smith, 2015).
The multinational organization named as Marks and Spencer is defined as the one of the most popularly
known British retailing organization which is specialized in the market of clothes, products related to
home and food, this company was founded in 1884, and the founder of the company is Thomas Marks
and Michael Marks. Apart from this, the name of the company has been also identified in the list of the
London Stock Exchange Rating as per the FTSE100 index (Taylor et al., 2015). The mission of the
company with respect to the business depends upon the outlined clothing of M&S along with the
effective products in terms of the home and the food products; the basic objective in terms of the
financial conditions of the company is to increase the shareholder preference within the organization.
The company has established its market in various parts of the world which includes over 1483 stores all
over the world, where about 615 stores concentrate on selling food products. In the UK, the company
has 914 stores in which 348 serves to franchise and 222 serves to be owned which helps in establishing
their relationship with around 7million users all over the globe (Thomas et al., 2015).
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LO1
P1
In terms of developing the global market of the company, the leaders of the company have provided the
many sets of policies and legislation which aims to define the more effective way to maintain the global
business of an organization. The FDI has initially enhanced the set of labor costs in the various countries,
which contributes to enhancing the economic growth of the country which has been in the state of
development. Thus in order to achieve the marketing strategies in the country, the organization has the
partnership with Reliance Trends in terms clothing, which can define the effects over the working
conditions in terms of the social responsible investment, serving to provide the hike in terms of the
productivity generation (Zhu et al., 2015). As per the times of India, the M&S Reliance Company of India
serves to open 50 new stores in the upcoming 5 years, which provides the growth of Marks & Spencer in
the international business by 15-20% from the revenues going to be generated in next 5 years.
The motive of the research is to provide the capture of the various parts of the world in terms of
generating a large amount of profit towards the multinational companies in the business environment of
the host countries. The critical evaluation of the various barriers and the opportunities for globalizing
the Marks & Spencer giving the development and growth towards the trade has been defined with
reference to the international trades and FDI (Meredith and Mantel, 2011), where the major objectives
of conducting the research are:
 To determine the agreement of trade among the Marks & Spencer and the Reliance Trends in
order to develop the international and the foreign direct investment of the products such as
home-related products and the food products along with the clothing.
 To define the effect of the FDI and international trade over the host country named as India
 To define the opportunities for jobs and inequality in terms of income in order to provide tough
competition within the market
 To determine the various set of opportunities in terms of providing the wages and jobs leading
towards the worker’s exploitation (Ahworegba, 2017).
P2
DEFINITION OF PROJECT
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The project includes a detailed study about Marks & Spencer which has been recognized as the
multinational company, which has established the agreement with the host country named as India as
international trade. The motive of the project is to identify the various opportunities and the challenges
faced by Marks & Spencer in order to establish globalization and the foreign trade investment in terms
of the business.
PROBLEM STATEMENT
The accurate analysis of the research defines the effect of lower wages and job opportunities identified
in the developing countries, which provide the impact on an environment, sovereignty and the culture
along with defining the income-based issues among the nations (Balcioglu, 2016).
PROJECT STRATEGY
The project strategy defined with respect to the research is based on the 3major levels which are
defined as:
 The enhancement in terms of improving the opportunities of job and the income-related
disparities are being identified successfully by defining the various literature models.
 By providing the Meta-analysis of research by the literature review, the effect of international
and foreign trade can serve to be effective upon the host countries.
 In terms of defining the varieties of services in terms of defining the effective set of policies and
regulations made by the WTO can be determined by defining the empirical analysis with respect
to the designated survey.
PROJECT SCOPE
With an aim of analyzing multinational companies impact over the environment of business defined of
the host country, the study serves to be helpful in terms of achieving the goal, which may serve as the
helping hand for the Marks & Spencer to develop the effective trends within the Indian Market, on
which the decision making capability can be determined in terms of the wages and opportunities. In
addition to this the study will also serve to be helpful for the scholars in order to meet with the business
professionals and guide them with respect to the trade done in international way, along with evaluating
various business cases, contributing towards the development and enhancement in terms of applying
various new trends of the technology, leading towards the effective output generation of the research
(Brancu and Bibu, 2014).
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PROJECT COST AND TIME
As the project includes one of the most popular retailing companies of the world as the multinational
company, the estimated cost of the project will be $130 billion including all the taxes, and the duration
of the project is expected to be 22 weeks in order to establish the treaty and agreement with the host
country.
PLAN OF COMMUNICATION
To satisfactorily manage the various agreements and policies among the business owners of Mark &
Spencer with that of the government of the host country, the communication plan has been
constructed, which leads the establishment of an organization in an effective way (Brannen, 2017).
Stakeholder Information Method Time of
frequency
Sender
Mark & Spencer’s
Senior
Management
Progress of the
Project
Information
Documentation
Fortnight Designated
Manager
Investors of
organization
Investment
Planning and
Trade
Implementation
Conferencing Monthly Coordinators
of Project
Employees of
organization
Proofs to the
agreement
Weekly meeting,
email, and Memo
Management
Vendors of
organization
Regualting Email and
telephone
On a regular basis Purchasing
and Marketing
team
INVOLVEMENT OF RESOURCES
In order to effectively meet the upcoming challenges and opportunities defined due to the financial
resources, the requirement of the human resources serves as the important factor in terms of analyzing
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the accurate understanding of the upcoming opportunities and the barriers in an organization evaluated
on the basis of cost and time associated in the business project.
PROJECT ASSUMPTIONS
The major assumptions of the research can be defined as:
 For having more accurate results, the data gathered by the secondary research serves effective.
 The variation of the culture, job, equality, and wages will generate profit towards the Marks &
Spencer Company.
 The positive effect over the business environment among the countries will be achieved by
introducing the satisfactory trade agreement among the Marks & Spencer and the Reliance
Trends Company.
 With the help of the survey, the issues related to the wages and the income disparities can be
resolved ineffective manner (Brannen, 2017).
P3
As per the knowledge and the information provided by the Project Management Body of Knowledge
(PMBOK), the work breakdown structure serves in converting the project scope into the set of the
essential deliverables, in which the project has been subdivided into various small parts which provide
the enhanced development of the project by focusing towards every small issue and need of the project,
which is defined as:
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Apart from effectively defining the work breakdown structure, another tool which can have been
majorly used for the effective project planning with respect to the organization, Gantt Chart can be
implemented, which was initially given by L. Henry in 1917, defined as:
PROCEDURES
AND ROLES
Week
1-2
week
3-4
week
5-6
week
7-8
week
9-10
week
11-
12
week
13-
14
week
15-
16
week
17-
18
Week
19-
20
Brainstorming/
group focus
Determining
motives and
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1.0 EFFECT OF THE MULTINATIONAL COMPANY OVER THE
BUSIENSS ENVRIONMENT OF THE HOST COUNTRY
1.1 PROVIDING AIMS AND
OBJECTIVES
1.1.1 BRAIN STROMING
1.1.2 FOCUS GROUP
1.1.3. DETERMINING AIMS
AND OBJETIVES
1.2 SECONDARY RESEARCH
1.2.1 DATACOLLECTION
1.2.2 LITRATURE REVIEW
1.2.3 META ANALYSIS
1.3 PRIMARY RESEARCH
1.3.1 QUETIONAIRRE
(SURVEY)
1.3.2 DATA COLLECTION
1.3.3 QUANTITATIVE
ANALYSIS
1.4 RESULTS AND
CONCLUSION
1.4.1 EVALUATION
1.4.2 FINDINGS
1.4.3 IMPLICATION

objectives
data collection and
Secondary
research and
Meta-analysis
data collection
Primary research
data analysis
Quantitative
Establishing
outcomes
Suggestions
Regulations
The Gantt chart provides the in the detailed analysis of the various set of the methods and procedures
applied within an organization in order to critically evaluate the most effective set of methods with
reference to the time taken for the completion of the method.
By performing the literature review of the secondary research, with reference to the trade agreement
and the foreign trade, despite of this the primary research can also serve effective by utilizing the survey
methods in the most effective way in form of listing the questions in the form of questionnaires, which
helps in determining the various factors and the elements to evaluate the effect over the business
environment (Bryman, 2016).
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LO2
P4
LITERATURE REVIEW- QUALITATIVE
According to the Zhu et al (2015), the foreign direct investment has been defined to be an essential
element in terms of determining capital towards the country’s economic development in the classified
as developing. The FDI leads towards the generation of various opportunities and the jobs leading
towards the effective economic growth, which can serve beneficial towards the development of an
organization, it can also define the new set of technologies defined in terms of taking the organization at
a higher level, by providing the job opportunities for the backward and the forward people of the
country. Thus, to meet the demands of the commercial areas and generate advantages in terms of
health, infrastructure and measures, which leads towards the establishment of stability in the economic
development of the country.
Hunya (2012) defined the fucntioning of multinational companies towards the business integrating in an
international form, which can serve helpful in globalizing the concept of economic development, leading
towards the strengthening of the globalization in many other parts of the world. In order to determine
the huge requirement, it serves necessary for the company to develop the framework along with the
effective working conditions with reference to the macroeconomic and financial analysis of the
organization’s environment. Hence, to meet with the various situations of defined with respect to the
organization, the managers and the major bodies of an organization plays a major role towards the
development and growth of the country as well as the country.
Narula and Pineli (2017) defined the effect of the multinational companies over the environment of the
host countries, in terms of defining the development and growth towards the economic field which
serves as the way of attracting the major number of people, it can be also said that the multinational
company can define the new path for the growth of the country. The maximum key towards the
effectiveness and the development of the company depends upon the quality of FDI, which can also
serve as an agent to meet the motivational and inspirational related with the spillovers and the potential
linkages.
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The policy of the FDI is majorly designed to meet the capital investment range and improve the local
demands of the company, which are defined in terms of the globalization of the business and the
economic development of the business. Thus, without realistic project estimation and equity, the value
chain can be controlled. There may be a positive or negative effect of the non-engaged foreign
investment along with the change in time, which can lead towards the increase in the gross domestic
product along with the improvised factors allocated towards the production (Buckley and Ghauri, 2015).
SURVEY –QUANTITATIVE
In order to implement the primary research over the research analysis, the primary data collected by the
survey has been applied towards the quantitative approach, by including the response of 100
individuals. Within such type of method, the questionnaires are made with reference to the range of the
distributed services, where the response collected can be defined as:
1. How much has the globalization defined economic growth of the country?
 1 (Not at all)
 2
 3
 4
 5 (Greatly)
1 24
2 18
3 46
4 9
5 3
Total 100
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1 2 3 4 5
0
5
10
15
20
25
30
35
40
45
50
1. How much has the globalization
affected the economic growth of the host
country?
1. How much has the
globalization affected the
economic growth of the host
country?
2. How is the net import in the UK is balanced in terms of Marks & Spencer in host Overall
business
 Overall Business
 People involved in projects
 The investment made to the project
 Technology development
Overall Business 26
People in projects 27
The investment made to the project 27
Technology Development 20
Total 100
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