Tuesday, November 19, 2019

Strategic analysis of a company and its competitive environment Essay - 2

Strategic analysis of a company and its competitive environment - Essay Example The company capitalises in the distribution high quality, stylish and great value home products and clothing. The business is also popular in selling food products, fashioned clothes, gifts, and home furnishing. The company has also establishment in financial service segment. In addition to coming up with effective means that can support its development, the business success can also be linked to its affordable prices of its products. In addition, the business vision is to offer great quality value and services. The business popularity is largely enhanced by its quality products as well as its ability to distribute products that meets international standards. The current success of Marks & Spencer can also be attributed to its effective and operational management strategies as well as it reliable and affordable promotion strategies (Burns, 2008, p. 12). Internal Analysis of the Firm Political stability in United Kingdom has proved to be effective in facilitating the success of Marks & Spencer. However, the Iraq civil conflict largely affects the activities and operations in Marks & Spencer. This is owing to the fact that, the business has several branches in Iraq. The political changes in United Kingdom have also affected the activities and operations of the business. ... The existing social situation in United Kingdom has also changed the customer concept in the market. This has forced the company to figure out and come up with new fashions that will meet the interest of its customers. In addition, the price sensitivity has produced a more competitive environment. Although a good number of the business products are old fashioned, the company has adopted new strategies of increasing its sales with limited loss. The new technology has also been vital in communicating new products to its customers. The company is currently relying on online services to promote its products in new markets. The new technology is also useful in identifying products that can meet the demands of its customers. Just like any other business in global market, Marks & Spencer has also been significantly affected by global warming. To counter the impact of environmental challenges, the company has introduced mechanisms that could be used to advance business operations. For instan ce, the business has embarked on a mechanism that aims at recycling plastic products. Marks & Spencer also sell legally acceptable products to its customers. In addition, the business sells high quality products that meet the set international and local standards (King, 2007, p.21). Compared to other competitors in the market, Marks & Spencer competitive rivalry is high. Studies have confirmed that Marks & Spencer faces high rivalry in clothing sector from new entrance in the market. The company is also facing huge competition in food industry for Sainsbury and Tesco. The company bargaining power of buyers is also high. This is owing to the fact that other huge retailers in their area of coverage surround the

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