Task 2: Choice of Topic

Who are the main stakeholders in Marks and Spencer? What are the main objectives of each and
to what extent are they consistent?

Marks and Spencer is a food and clothing company founded by Michael Marks and Thomas

Spencer which began in 1884 in the United Kingdom. The main stakeholders at Marks and

Spencer are the Government, the management team, the board, customers, the community,

suppliers, investors and partners.

Stakeholders are any group or individuals who can affect or are affected by the achievement of

the organization’s objectives (Freeman, 2010). Bryson (1995) defines stakeholders as any

persons, group or organization that can place a claim on an organization’s attention, resources or

output or are affected by that output. Marks and Spencer’s stakeholders are their employees,

customers, shareholders and investors, suppliers, local communities, government and pressure

groups. Some of these stakeholders are internal and others are external to the organization.

1. Employees- Marks and Spencer has over 78,000 employees who devote their time

working for the organization in order to earn a source of their livelihood (Marks and

spencer Annual Report, 2019). Employees will demand fair treatment, job security,

benefits, good pay, good working environment and protection from abuse. Employees

directly influence the profits of the organization since they are the ones involved in the

day to day operations. Marks and Spencer have independent internal hotlines and they

conduct activities that involve employees’ participation as part of engaging their

employees.
 2. Customers-they are critical stakeholders for Marks and Spencer because they are the

buyers

of the company’s products. Customers will want high quality products and services with

wide range and variety of products and choices at an affordable price. Marks and Spencer

monitor the movement of their products through sales and they are able to predict

customer needs based on sales records. Through their Retail Customer Services, they are

able to contact customers, conduct surveys to discover customer needs and preferences

and provide feedback to customers.

3. The local and national government set laws and regulations that govern trading and how

Marks and Spencer should act and deal with people in the organization. They ensure that

the company adheres to the laws such as company’s acts, health and safety regulations

and other customs. The government also makes sure that the company is able to create

more jobs for the citizens and also pays taxes to the government. Marks and Spencer

conduct meetings with the government, dialogues with trade bodies, stakeholder

conferences and provides responses to consultations.

4. Suppliers- they are companies that provides goods or raw materials to the company.

Marks

and Spencer suppliers are globally and these need secure contracts and fair prices for

their products and services. The influence of suppliers depends on their relative size and

the number of available suppliers.

RWC Asset Management LLP 104,965,660 5.36%

Schroder Investment Management Ltd. 86,673,730 4.43%
Threadneedle Asset Management Ltd. 82,524,463 4.21%
Majedie Asset Management Ltd. 81,070,667 4.14%
The Vanguard Group, Inc. 59,544,000 3.04%
Norges Bank Investment Management 57,796,956 2.95%
1832 Asset Management LP 51,135,576 2.61%
Capital Research & Management Co. (World Investors) 43,378,000 2.22%
Brandes Investment Partners LP 42,282,000 2.16%
BlackRock Investment Management (UK) Ltd. 37,746,745 1.93%
5. Shareholders and Investors- these are groups or individuals who have invested in the

company through buying of shares or injecting cash in business during the tough times.

They are interested in the growth of the company and making sure that the company is

able to make profits. Investors will pressure the management if things are not going well

and request management to change their tactics in order to remain productive. Marks and

Spencer conducts annual general meetings, meetings with institutional investors and SRI

indexes and information requests as a way of keeping investors and shareholders updated.

6. Local communities- the community provides customer base through which sales are

conducted. They can determine whether a store should be situated in the area or not and

can tarnish the company reputation if they are not properly informed. Marks and Spencer

maintains the good relationship with the community through visits and meetings, joint

projects and stakeholder conferences among others.

References

Bryson, J. M., 1995. Strategic Planning for Public and Non-profit Organization. Revised
ed. San Francisco: Jossey-Bass.
Freeman, E. R., 2010. Strategic Management: A stakeholder Approach. New York:
Cambridge University Press.
GlobeScan 2015, M & S Stakeholder Transparency Study, Highlight Report, Available at:

www.GlobeScan.com, (Accessed: 16 October, 2021).

Market Screener, Marks and Spencer Group PLC, Available at:

https://www.marketscreener.com/quote/stock/MARKS-AND-SPENCER-GROUP-P-

9590119/company/ (Accessed: 15 October, 2021).

Marks and spencer Annual Report, 2019. Marks and Spencer. [Online] Available at:

corporate.marksspencer.com (Accessed 16 October 2021).