The main purpose of the research is analysing the overall business environment of M&S. The research will be carried out to identify the current issues facing by M&S as a specialist strategic marketing consultant. It explores the relationship between stakeholders and perception of customer attitude toward the organisation. In addition, it finds out the competitive position with rivals, sustainability strategy, marketing tactics, and management structure of communication system, which is presented through strategic audit. However, this analysis helps to understand the clear marketing strategic position of M&S. The research is gathering the evidences of strength and weakness, which is useful to determine future recommendations for strategic marketing strategy.
The research is based on secondary data. The information is gathered from websites, annual reports, case study, financial reports and any reliable sources related to the topic area. These resources help to analyse and find out the current business position and problems faced by M&S.
3. Background of M&S
In 1884, Michael Marks started as a booth in Leeds to sell various items in Penny. Marks and Spencer is a British grown retailer, which sells food, clothes and home furniture in Europe, the Americas, and the Far East. It also operates the M&S financial services in the UK (Alon, 2012,PP. 49). It employed about 82,000 staff and operates worldwide above 50 territories. It has built the trust among the people and running the business with same ethics such as value, quality, innovation and service (Spencer, 2014). They understood the concept of Ansoff matrix and has been utilized it appropriately to diversify the business across the world that reduces the reliance on UK.
It also started an online business aiming to deliver a better shopping experience for consumers. Through the multichannel gateway customer can buy the products at any time (Spencer, 2014). M&S is running various socioeconomic, ecological and ethical programs via Plan A. However, it was succeeded to engage stakeholders through sustainable plan.
4. M&S Current Position
M&S is considerably improving the total sales by 1% in 2013 but it seems to be low performance compared to competitor where John Lewis Partnership Waitrose and Sainsbury up by 13.5% and 4.6% respectively (see appendix III). This figure shows that M&S is not fully recovering their business from recession. M&S is not performing well in general merchandise that leads sales down by 2.4%. Similarly, its net profit is £458m in 2013 down by 6.3%, but its rivals John Lewis has increased by 11.6% (PLC, 2013). However, 1% growth in sales helps to slightly increase the market share by 0.3% in 2013 because of good performance in food store. This small portion of rising trend inspired M&S to increase efficiency through various activities (PLC, 2013).
Indeed, M&S holding the 11.6% market share in 2013 up by 0.3% compared to 2012. It...