M&S Strategy
Content
Abstract 2
Methodology 2
Introduction 2
Corporate Strategy Analysis: A Resource Based View 3
Developing New Capabilities 5 I. Mergers and Acquisitions 6 II. Strategic Alliances 6 III. Incubating Capabilities 6
Current Strategies 7
International strategy-why did they fial? 8
Conclusion 9
Bibliography 11
Abstract
Marks & Spencer Group is ranked 53 on the FTSE All-Share Index Ranking as at close on Tue, 4 December 2012. This essay explores how specific resources have influenced its strategies, and how M&S possess its resources and capabilities to establish competitive advantage. Also included a very brief analysis of its failure to enter the global market
Methodology
The research resources focused primarily on M&S news releases, media articles and relevant academic papers.
The analysis is based on Porter’s Generic Value Chain (see Figure 1) to describe the activities within and around an organization, and relates them to an analysis of the competitive strength of the organization.
Introduction
Marks & Spencer is a major high street retailer in UK. Its product ranges from clothing, food products and household accessories etc. It entered the international market by franchising in countries include Canada, USA, France, Belgium, and Ireland etc. By the end of 19th century, the international market was on the verge of collapse due to improper management by the senior management of the company. Thus the company decided to withdraw its presence from the international market and instead concentrate only on the home market. (M&S company history, 2011)
Corporate Strategy Analysis: A Resource Based View
According to Grant’s representation of the resource based view, the firm is essentially a pool of resources and capabilities, and these resources and capabilities are the primary determinants of its strategy and performance. (Grant, 2005) Thus the key to achieve a competitive advantage over
Abstract 2
Methodology 2
Introduction 2
Corporate Strategy Analysis: A Resource Based View 3
Developing New Capabilities 5 I. Mergers and Acquisitions 6 II. Strategic Alliances 6 III. Incubating Capabilities 6
Current Strategies 7
International strategy-why did they fial? 8
Conclusion 9
Bibliography 11
Abstract
Marks & Spencer Group is ranked 53 on the FTSE All-Share Index Ranking as at close on Tue, 4 December 2012. This essay explores how specific resources have influenced its strategies, and how M&S possess its resources and capabilities to establish competitive advantage. Also included a very brief analysis of its failure to enter the global market
Methodology
The research resources focused primarily on M&S news releases, media articles and relevant academic papers.
The analysis is based on Porter’s Generic Value Chain (see Figure 1) to describe the activities within and around an organization, and relates them to an analysis of the competitive strength of the organization.
Introduction
Marks & Spencer is a major high street retailer in UK. Its product ranges from clothing, food products and household accessories etc. It entered the international market by franchising in countries include Canada, USA, France, Belgium, and Ireland etc. By the end of 19th century, the international market was on the verge of collapse due to improper management by the senior management of the company. Thus the company decided to withdraw its presence from the international market and instead concentrate only on the home market. (M&S company history, 2011)
Corporate Strategy Analysis: A Resource Based View
According to Grant’s representation of the resource based view, the firm is essentially a pool of resources and capabilities, and these resources and capabilities are the primary determinants of its strategy and performance. (Grant, 2005) Thus the key to achieve a competitive advantage over
Bibliography: Marks and Spencer plc. 2011. Company history. [Online] Available at: http://corporate.marksandspencer.com/aboutus/ourhistory [Accessed: 1st Dec 2012]. Collis, D. J., & Montgomery, C. A. (1995). ‘Competing on resources’, Harvard business review, 73(4), 118-128. Wernerfelt, B. "From critical resources to corporate strategy." Journal of general management 14.3 (1989): 4-12. Baker, R 2011, 'M&S takes steps to build own ecommerce platform ', Marketing Week (01419285), 34, 34, p. 7, Business Source Premier, EBSCOhost, viewed 2 December 2012. Bold, B 2011, 'We know where you live ', Marketing (00253650), p. 17, Business Source Premier, EBSCOhost, viewed 11 December 2012. Baker, R 2011, ‘M&S targets bloggers to bolster the brand online’. Marketing Week (01419285). 34 ,5, p.7, Business Source Premier, EBSCOhost, viewed 11 December 2012. Bevan, J. 2001. ‘The Rise and Fall of Marks and Spencer: And how it Rose Again’. Profile Books, London. Jackson, P & Sparks, L, 2005, ‘Retail internationalization: Marks and Spencer in Hong Kong’, International Journal of Retail & Distribution Management, Vol. 33 Issue: 10, pp.766 – 783 Mellahi, K, Cameron. et al. 2002, ‘International Review Of Retail’ , Distribution and Consumer Research. 12(2), pp 191-219. Eyring, M.J. et al. 2011. ‘New Business Models in Emerging Markets’. Harvard Business Review. Vol. 89. 2011.