Marks & Spencer is most recognized British retail brands having 760 stores more 30 countries on the world, which was very successful in term of profitability and market share until the late 1990 and then its fortune turned to decline.
The report depicts about the competitive strategy behind its successful growth until 1990 and the highlights the causes behind its decline. It also suggests the future competitive strategy to sustain competitive advantage in current scenario.
Generic strategy described by Porter (1985) is being used to describe the competitive strategy while supportive corporate and value chain strategies also discuss that help to strengthened strategic competitive choice of Mark & Spencer.
Porter (1985)…show more content…
The key issues are:-
1. What was the basis of Marks and Spencer Competitive strategy? 2. Why did the organization suffer a downturn in 1990? 3. Why competitive strategy should M&S seek to follow and why? 4. Evaluation of theories and model applied
During analysis, critical approach is adopted in which more focus is given to explain and evaluate the issue of M&S by using appropriate academic models and lesser to explain model itself, academic reference is also being mentioned by using Harvard business technique, where needed.
1. What was the basis of marks & Spencer competitive strategy?
The basis of competitive strategy of organization is usually considered as a polemic issue in theoretical grounds (Mintzberg, 2000). In order to identify the competitive strategies of M&S, I rely mostly on Porter Generic Strategies and lesser extent to investment and some competitive tactical strategies.
M&S structured business formula is being analyse by using academic model as following:-
1.1. Generic Strategy
Porter (1980) describes generic competitive strategies to sustain competitive advantage (1) cost leadership, (2) differentiation, (3) Focus Cost