In 1884 Michael Marks, a Russian born Polish refugee opened a stall at Leeds Kirkgate market. Since then, Marks and Spencer was born, opening over 300 stores worldwide and also being the UK’s largest clothing retailer. In 1999, online shopping was introduced to their website for customers to enjoy in the comfort of their own home. The internet had just started to become known and more and more people were staring to use it, so Marks and Spencer took this opportunity and set this up at the correct time. In 2000, M&S brought out their healthy ‘Count on us’ range, for the healthier people on diets or who were just watching what they ate. Their 1st ‘Simply food’ stores opened in Surbiton & Twickenham in 2001, selling nothing but healthy food, no home furnishing or clothes like the normal stores. They also launched ‘Per Una’ a brand of clothing specifically targeting the fashion-conscious women. Shortly after in January 2001, ‘Blue Harbour’ was introduced, a casual wear brand for males. ‘View form’ and ‘DB07’ another brand of clothing was introduced in 2002, ‘View form’ for sportswear and ‘DB07’ for children designed in collaboration with David Beckham.
Marks and Spencer’s mission statement is broken into 3 parts which include:
Vision - To be the standard against which others are measured Mission - To make aspirational quality accessible to all and Values - Quality value, service, innovation and trust.
This mission statement has been kept up since the start of making it; M&S have worked hard to achieve all these factors. Even though there have been ups and downs during the years they have tried hard and have kept to their word. There are many companies which look up to M&S and measure themselves against them, helping their company to improve and gain more customers. Marks and Spencer’s have been known for their quality value, service, innovation and trust to all their customers who as a company they have stuck to very well. They are continuing to attract new customers as well as keeping their old ones, offering them new and improved products all the time.
Every year M&S had many objectives which were to be met, they were not really split into long term and short term but just objectives as a whole for each coming year. In 2001, they had many objectives but their main ones were attracting new customers, developing stronger relationships with their suppliers, aim for market leadership and also to restore the heart of M&S, stop non-core and profit losing activities and also to keep an effective balance sheet calling these three sectors their fundamental strengths. In 2002, not only did they want to develop stronger relationships with suppliers but also to build on a unique relationship with their customers. They needed to keep rebuilding on their fundamental strengths, continue to regain market leadership with value, quality and also appeal. It was aimed for M&S to open their 1st standalone home store in spring 2003, also to improve every aspect of their company, overcome the competition and continue to attract more customers to their stores. Before 2004, the M&S fundamental strengths were changed, which included improving the management team, still ensuring the balance sheet was effective and also delivering impactful but low cost improvements. In 2005, M&S only wanted to refocus on their core values in their business which is quality, value, service, innovation and trust.
In this section a PESTEL analysis will take place and will look at the external factors that impact on Mark and Spencer’s performance.
According to the Marks and Spencer website there are constraints on out of town shopping has been but in place by the government. This is causing problems for M and S. This is because it is highly expensive for retail stores to be in the centre of large towns and cities...