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Marks and spencer marketing strategies
Marks and spencer marketing strategies
Strategic issues of Marks & Spencer
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Country, Industry and Competitor Analysis
This situation analysis focuses on the suitability of Marks and Spencer in Holland and the necessary factors the company has to take into account before venturing into this market. The market has several advantages which Marks and Spencer can tap into going by the level of success it has experienced in the UK. The company can focus on developing a clothing product line that appeals to young, urbane and career individuals who are not afraid to try out new concepts. These products can be for both sexes with special focus being given to individuals of the ages 15 to 50 of both genders who are conscious of how they look and how people perceive them through their manner of dressing. The majority of the country’s population are aged 25- 65 (Knijn, T., & Rijken, A., 2003, pp. 3-4).
This represents a good demographic range which the company can exploit to its advantage. The company can also explore the jewellery market within the country and try and tap into the demand for the goods among the upper class of the Dutch society (Euromonitor, 2010, p.3). Marks and Spencer can position itself to target a market consisting of demographics ranging from the ages of 15- 50 and develop a product line that meets the expectations of this demographic. The company should focus on producing clothes which can last both winter and summer for the targeted clients. This demographic represents the largest population in the country and they are likely to take up foreign concepts more easily (Hebig, 1997, p. 46).
The industry in Holland is dominated mainly by HEMA, Vroom& Dreesman, De Bijenkorf and Maison de Bonneterie. These companies have several branches across the country and they are likely to create compet...
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The company that I chose to research for my company profile paper is on the clothing store Francesca’s. Francesca’s is a boutique like store that contains different women’s fashion trends that range from clothing, jewelry, and shoes. Francesca’s also offers specialty items and gifts that include candles, wall art, and gag gifts (Coltrin, 2010). The reason I chose Francesca’s for this project is because this store interests me. I first started shopping at this store when I was about sixteen years old. The store quickly became very popular for my friends and I as the store offered something that we had never seen before; boutique items for reasonable prices. Francesca’s is becoming increasingly popular among women of all ages that are looking for fashionable one-of-a-kind items without breaking the bank.
Hill, C.W.L (2005). International Business: Competing in the Global Marketplace (5th ed.). McGraw-Hill/Irwin. New York, NY
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When looking at the Dutch market, the most surprising thing is the youth of population. 40% of the population is under the age of 25. This is an important demographic stat because a lot of younger women are the ones who use cosmetics, but it is important to note that the fastest growing populations are those of age 25 and older which might be important to the market of hair colorants. Another interesting trend is the number of Dutch women who work outside the home with a labor force rate of 29% and it is increasing more rapidly than those of other countries like the United States and the United Kingdom. This is very interesting because these women will have more money, independence, and self-confidence. In these terms, these women will more than likely use more cosmetics because of the increase in time that they spend outside of the home. A final insight into the Dutch market shows that Dutch women tend to shop for value, especially in cosmetics, which needs to be taken into account. The overall Dutch market looks somewhat promising to the introduction of Synergie and Belle Couleur lines, but other factors must also be looked at.
The principles of marketing (The Times 100, n.d) are a range of processes concerned with finding out what consumers want, and providing it for them. This involves the ‘4ps’ of marketing; price, place, product and promotion. The product decision in any company involves dealing with goods that should be offered to a group of customers (Jobber & Ellis-Chadwick, 2012). Burberry maintains a product line with great width and scope in which their products fall into two main categories; fashion or continuity. Their fashion products are designed to be responsive to fashion trends and are introduced on a collection to collection basis (Burberry, n.d). Continuity products however have life cycles that are expected to last for a certain time period. Burberry also has 3 primary collections; womenswear, menswear and accessories, with the variety of products they can utilize their product mix greatly. Burberry also has...
Conclusions will be drawn from the SWOT analysis, which will attempt to review the company’s position and identify the marketing priorities. Also, Marks & Spencer’s recent marketing activities will be critically analysed in order to ascertain what improvements have been made since 1998.
In order to expand as a brand in Europe, Abercrombie & Fitch should consider the targeting stategy in order to maximize profit and brand expansion. Due to the growing consumption of consumers A&F needs to decide if they want to sell the idea of providing a specific casual quality, that others may not be as accessible, or if they are committed to selling the experience in order to enhance
Porter has identified five competitive forces that shape every industry and every market. These forces determine the intensity of competition and hence the profitability and attractiveness of an industry. The objective of corporate strategy should be to modify these competitive forces in a way that improves the position of the organization. Porters model supports analysis of the driving forces in an industry. Based on the information derived from the Five Forces Analysis, management can decide how to influence or to exploit particular characteristics of their industry.
Hendersern and Stern 2000, ‘Untangling the origins of competitive advantage’,Strategic Management Journal, Vol. 21, pp. 1123-1145.
Porter, M. E., 1999. The Five Forces that Shape Competitive Strategy. Harvard business review, p. 80.
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...enture into overseas market comes with expectations as well as uncertainties due to unfamiliarity. Charles and Keith, the fashion retailer, has to understand clearly that what appeals in one market might not be accepted in the others and this is almost the same for all industries. Thus, a thorough research on cultural background has to be done before entering an unfamiliar ground.
“To become a top performing international retailer”, Mr. Price strives to add value to their customers and worth to their partners’ lives. Since the opening of the first Mr. Price store in 1987, the company has pulled out all the stops to make it as successful as it is today. It offers on trend clothing, footwear and accessories at competitive prices. Mr. Price’s apparel is pitched to 16-24 year olds who want to ‘keep abreast of the latest international trends at exceptional prices”; it is no surprise that they have many competitors like Jay Jays and Cotton On.