Professional Documents
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M&s
M&s
05) Describe and explain the adaptations to M&S business model in different countries.
06) Is M&S multinational or global retailer? Explain and defend your answer.
In Canada, they customize the products according to the needs of the people.
In France, M&S decided to adopt the store to French life styles. Due to a lack
of brand name recognition, the company also relied on advertising to spark
interest in the stores.
In United States, they did not change the name of the acquired department
store because of their loyal customer base. M&S invested in a new warehouse
management system to increase service efficiency.
M&S not a global retailer because they do not market their products through the
use of the same brand name (M&S) in the all markets theyre operating. In France they used
French styles and also in US they used acquired companies names to market their products.
So Marks and Spencer is a Multinational Retailer.
08) Should the company standardize more of their international operations? Compare
Europe and Asia.
No.
Standardization is a framework of agreements to which all relevant parties in
an industry or organization must adhere to ensure that all processes associated with creation
of good or performance of a service are performed within set guidelines. Standardization can
be found in business processes when companies require a consistent level of quality.
M&S should not standardize their some operations because,
Most of the European countries are developed so that the purchasing power of the people is
high, good infrastructure is there. But in Asian country, most of the countries are developing
so that the purchasing power of the people is less.
Most of the sourcing of products done by M&S is from UK, so that the price range of those
products will be higher. These products are easily saleable in European countries because of
higher purchasing power of the people. It is necessary for M&S that they will manufacture or
acquire products from the local vendors of an Asian country so the cost of the product
remains low and people will prefer to buy their products in Asian countries.
So M&S should not standardize their all operations as a multinational retailer.
09) What should be the future strategy of the firm?
Business strategy is long term plan of action designed to achieve a particular
goal or set of goals or objectives. Strategy is game plan for strengthening the performance of
the enterprise. It states how business should be conduct to achieve the desired goals.
M&S should adapt the multi nationalization because in multi nationalization
the company should customize its merchandise according to the need of customers of the
country in which the company is entering. M&S can follow following strategies for their
future strategy decision making.
M&S should acquire top management personnel from the host country. So that
M&S will have better knowledge about that countries scenario.
M&S should buy their clothes from the domestic manufacturer so that the cost of
the product decreases or lower down. And new innovations and ideas took place.