Can your business survive?
Marks and Spencer is a retailer department that offers high quality home products, fashionable clothes for women, men and kids as well as luxury food & wine in store and online; from 2,000 suppliers globally. M&S also provide services such as TV installation for free when you buy TV from them, energy resources, insurance, gift wrapping and flowers deliveries. Marks and Spencer belong to the Private sector organisation and it’s registered as a public limited company (PLC) as it sells shares to the public. M&S are one of the UK is most retailer that expanded internationally as it have more than 700 stores in the UK and 337 stores in 41 territories oversees employing 78,000 people (approximately). The business’s finance resources are from retained profit, the owners, shareholders, and bank loans. They compete with BHS, John Lewis, Debenhams and House of Fraser.
Marks and spencer (2012) company overview [Online] http://corporate.marksandspencer.com/aboutus/company_overview
[accessed on 04/01/2012]
M&S are able to survive because it’s a very established organisation in the UK and internationally. Marks & spencer are the leader of women wear and lingerie in the UK which mean that there is a high demand for their products and the customers are loyal to them. This will make the business continue growing and so it will survive, it will also give M&S the power to grow their market share and suppliers channels. The international stores will support M&S stores in the UK that are affected by the economy’s decrease at the mean time as M&S could invest back its profit from the other oversees countries in the UK stores. However if M&S open a new store in another country and it didn’t survive it will make major loss to the organisation. Shareholders play important parts in making the company survive as they make investment in the business and take action on making changes to develop and improve M&S’s products and services. The organisation could also sell their assets to their shareholders. M&S have 15.85 Million shares and the share prices close at 306.20 on the 5th January 2012.
M&S’s stakeholders are:-
The Owners of the organisation which are responsible of making decision of what products or services they want to provide to their customers discuss the location of new stores and interview applicants for employments. M&S Owners are always aiming to make the business profitable and expanding it globally. The Owners might have conflicts on deciding to include young adult’s products to their chain some owners will agree to this change as they might find the idea of producing new products to new market will make the profit of the business to increase and it will expand the products and the services M&S deliver. Other owner might disagree as it is a big risk because M&S has to spend much money to produce and promote the new products without a grantee that they will make sales as young adults don’t usually buy their clothing from M&S also having lots of competitor will be a huge problem which will make M&S to produce unique selling point to encourage young adults to shop from them. The employers and employees deliver the product and services that are provided in high standard customer services. They expect the organisation to provide good working condition, have contract of employment to save their rights and know clearly what their responsibilities and they would also seek job security. The customers give feedback and complaint that will help the business to make an improvement. Customers would expect M&S to provide them with high quality products and services for good value. The customers might have different point of view regarding M&S selling young adults clothing. Possibly the customers who will be interesting in this new change will be customers that have teenagers as member of their family for example mothers as they would like to...
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