Analysis Term Paper Example | Topics and Well Written Essays - 3000 words

Analysis - Term Paper ExampleAs the market is changing and including more and more firms in the business scenario, a proper(ip) screening of the environment is part and parcel of a firms success. It is essential for a business enterprise to mention itself aware of skirt environment because the success of business depends to a great extent on its awareness about surrounding environment (Jain et al. 2010, p.84) PESTLE Analysis In hostelry to analyze the business environment for M&S we will first use the PESTLE analysis. Political, economic, social, technological, legal and environmental (PESTLE) analysis is an analytical tool for assessing the involve of external contexts. (Basu 2011, p.21) a. Political The UK retailer is faced with the changing setup in price of the political environment. Although the caller-out enjoys a fairly persistent government with stable policies regarding the economy and the retail business as a whole, but changes have been brought into the system due to the recent terror vibes. However the efficient UK government has tapped this fare with proper security plans. The company is a part of the system where the tax net is not too high as compared to other countries. Also the multinational trade agreement with China for instance has been relaxed with the new double tax treaty that reduces taxes, thus facilitating opportunities of global trade. b. Economic The economy in which Marks and Spencer is direct is one of the largest economies of the world with a loose monetary policy and a stable employment scenario. The company does face the risks of sudden financial upheavals like the 2007-2009 financial crises that originated in the US mortgage market but influenced the entire world especially the larger economies. So M&S have to keep a continuous check on the global outlook and the UKs economic indicators and their trends in order to fully capitalize on the economy. c. Social In terms of the social factors M&S has to analyze the local environment as well as the foreign territories in which the company operates. The company needs to put one over into account the youth as they are the lucrative target market for clothing and apparel. Its loyal customer base is now in the age angle bracket of 50 plus years. It needs to analyze the UKs youth for their lifestyle which is independent and trendy and portray such vibes in their clothing line. d. expert The company faces a technological lag as compared to its competitor. The company did not use the plastic money till the 2003 and had no loyalty card schemes for its customers. The company started these cards and schemes along with vouchers and reward points in 2003 much later than its competitors. The technological advances are the most speedy ones these days, with companies using technology in terms of harvest-time availability in the form of online deliveries for better customer service etc. M&S needs to keep on adapting to the technological change in order to compe te well with the rivals. Also UK like other big economies is witnessing an era of online shopping frenzy and this hype needs to be catered through proper implementation of correct design of customer friendly website and the accompanying distribution strategy. e. Legal The laws in the UK are always changing for the better. M&S keep a check on all the new legislations through yearly training. Health and Safety laws, Packaging laws, commercial laws etc have to be maintained