Strategic Management Report: Leadership and Management Comparison

This report provides a comparative analysis of the strategic management approaches of John Lewis and El Corte Ingles. It begins with an introduction to the complexities of the business environment and the importance of effective management. The report then provides detailed overviews of both companies, including their management structures, cultures, and strategic focuses. John Lewis, a high-end department store chain in the UK, is examined in terms of its partnership model and executive team. El Corte Ingles, a major European department store group, is analyzed with respect to its management structure and Spanish cultural influences. The report utilizes the TLMC theory to compare the strategic differences in leadership and management between the two companies. It discusses the contrasting management philosophies, highlighting how John Lewis emphasizes endogenous factors and El Corte Ingles focuses on exogenous factors. The report recommends that John Lewis adopt a more balanced approach, considering both internal and external factors. The conclusion emphasizes the significance of integrating both internal and external environmental analyses for success in the global business environment.

Running head: STRATEGIC MANAGEMENT
Strategic Management
Name of the Student
Name of the University
Author note

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Introduction
In the entire complex and dynamic environment of the business, the world is considered
the global village wherein there are different issues that affects the business and it influences the
performance of the organization as well. There is different kind of complexities in the business
environment that makes very essential for the higher officials of the organization to manage the
business effectively. This will help the organization to survive in the different complex situations
and be effective in nature. On the other hand, the business environment has become highly
complex, as there are different kinds of issues that are creating huge impact on the decisions that
has been implemented by the organization.
These kinds of decisions that are taken by the organizations have to abide properly with
the different norms in the organization. These kinds of issues include technological, legal, human
resource and financial issues. These are the different kind of issues that will be handled with the
help of different strategies. It is seen that the organization cannot perform on their own it is
necessary that there are different factors that will help in operating the business.
The analysis is based on two companies that include El Corte Ingles and John Lewis
wherein there are different differences in the management of the organization. With the help of
TLMC theory, the different strategic differences relating to the leadership and management will
be discussed. The analysis is essential in nature, as this will help in conducting the comparative
analysis in an effective manner.
John Lewis
John Lewis is chain of department stores that is high end in nature and it is operating
throughout United Kingdom. The firm is owned by partnership of John Lewis and it started their

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business in the mid of 1800s. The first store was opened in the Oxford Street in London and
slogan of the chain is “Never Knowingly Undersold”. There are more than 49 stores throughout
Scotland, Wales and England and they have flexible format stores in York and Exeter. The
concession of John Lewis was first opened in South Wales in the year 2016 and they are
performing well in the entire market as well (John Lewis, 2018).
John Lewis Partnership comprises of the partnership board as well as Chairman manages
the entire departmental store. The entire partnership board and chairperson helped in providing
different strategic direction for making the business effective in nature. The respective company
comprised of the executive team and John Lewis has a separate Divisional Departmental Board
as well. The culture of the company is based on the culture of the management wherein they are
anti corrupt in nature. The employees are punctual in nature and they follow the CSR program as
there had been different unsustainable consumption of natural resources that is affecting the
natural environment.
Executive Team
They help in making different clear agreements and tradeoffs
Divisional Departmental Board
Day to day management is management by board of management wherein it is
accountable to Chairman for performance of the council.
El Corte Ingles
It is one of the biggest departmental store groups in Europe and it ranks fourth in
worldwide. This store was founded in Madrid, Spain in the year 1940 and the locations wherein

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it is serving are Africa and Europe (Elcorteingles.es, 2018). The products that are sold by them
are footwear, clothing, bedding along with house wares. This respective company is one of the
remaining stores in Spain as well. Dimas Gimeno is the CEO of the company who takes care of
the different activities of company.
Management Team
The management comprises of the executive board of directors along with subcommittee
of directors. The main decision making of the firm is taken care by the executive board. On the
other hand, sib committee members take care for the different decisions on the organization. The
culture and sustainability followed by Supermarket is Spanish culture wherein they are particular
about their tasks, punctual and they have fixed working hours.
Comparison between two Super Markets
John Lewis El Corte Ingles
The management of the respective supermarket has
conservative outlook towards the management.
This supermarket follows the theory that has been
proposed by David Teece (Trigeorgis and Reuer
2017)
The management of the respective supermarket has
modern as well as advanced kind of outlook
towards the management (Durand, Grant and
Madsen 2017). The effectiveness in the
management process is essential in nature and the
theory that is followed by the organization is of
Michael Porter. They follow the exogenous outlook
in their approaches (Morschett, Schramm-Klein

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and Zentes 2015)
This theory helps in analysis of the markets that are
endogenous in nature and workforce culture is the
driving force for gaining competitive advantage in
the company (Morden 2016)
The outlook that has been followed by the
respective company has restricted the growth of the
entire organization (Bryce 2017)
The respective theory helps in analysis of the
external factors that is responsible for the success
of the entire organization (Gans and Ryall 2017).
The success of the organization is dependent on the
economic, social and other legal factors.
The outlook of the respective organization has
helped the organization in moving forward (Chen,
Delmas and Lieberman 2015)
Recommendation
From the analysis, it can be identified that both exogenous and endogenous techniques
are essential in nature and both have merits and demerits as well. However, in the present
scenario, there are different factors that influence the business environment; therefore, it is
essential for the organizations to follow both endogenous and exogenous methods. The
endogenous technique helps in improving the internal environment of the business, on the other
hand exogenous approach will help the organization to face the different challenges of the
external environment.
Furthermore, it can be seen that John Lewis has followed and concentrated on the
endogenous environment and therefore it could not perform well in their different activities.
Therefore, it is recommended that John Lewis needs to focus on the external environment as
done by El Corte Ingles to perform well in their different activities.

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Conclusion
Therefore, from the entire analysis, it can be stated that both the views of Michael Porter
and David Teece are essential for the management of the different organizations in the global
context. Furthermore, it can be seen that David Teece focuses more on the internal or
endogenous environment advantages; on the other hand, Michael Porter focuses on the external
factors related to environment. Both the views have certain limitations and advantages. In order
to succeed in the global business environment, proper implementation of the both external and
internal environmental analysis is essential to succeed in the future.

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