Marks and Spencer by Minesh Patel

_Marks &Spencers _


By: Minesh Patel

Marks &Spencer are one of Britain s largest high street retailers, they sell
various good and services, some of these include: • Clothes • Food • Furniture
• Loans They were at one stage Britain s largest retail outlet; they usually
have at least 1 store in every town if not more. However recently the group
has been facing their worst times ever. The problems began at the start of
this financial year (April 99). The problems to date so far include, their
profits halved, they have lost some of their best directors, they are nearing
to financial ruin, and yesterday they reported the sharpest profits decline in
its history. These recent events have caused damage to Marks &Spencer s
market, profitability and organisation. Market: Marks &Spencer have lost
their summer season income due to poor timing, last years summer collections
did not reach the stores until late august by when it was too late. This meant
that customers had to go elsewhere to find the products that they needed. Then
again the same problem occurred with the winter products, which hit the stores
in late November by which it was to late, once again. This means that Marks
and Spencer s lost a huge market share due to poor timing, and this has cost
them dearly
Other factors also affect the consumer, some of these include:
• Marks &Spencer do not take credit cards this means that some customers would
find it inconvenient to shop with them. • Marks &Spencer tend to be quite
expensive in comparison to other retailers in the same field. • Mars &Spencer
do not sell any clothes other that the St Michaels label and these may be of a
fashionable nature however the brand may not appeal to younger generations nor
the designer label conscious. Profitability: Marks &Spencer have not been able
to make high profits due to: • Bad timing over the past year • Lack of variety
in their clothing departments (labels) • Over pricing of products thereby... [continues]

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