Competitive Advantage of Marks and Spenser Essay - 1

Competitive Advantage of Marks and Spenser - Essay Example The present research has identified that during the 1997 period Marks and Spencer took important strategic decisions like pushing the supplier groups to procure materials the far eastern and African region to help lower the cost of production. Side by side the firm also focused on not only enhancing the product assortments but also transforming its image from conservative to fashion minded.In taking such decisions the company found that the cost of supply chain activities increased for the goods being procured from Asiatic and African countries to their United Kingdom distribution houses. Again focusing on enhancement of product assortments meant the display of garments in small numbers thus failing to counter high demand. Moving over to high trend fashion wear also led the company to bear large chunks of unsold merchandises. Thus the past strategic decision taken by Marks and Spencer is found to render negative impact on its competitive advantage. In the present scenario, Marks and Spencer also were noted to carry out some important strategic activities like focusing on rendering diversification to the existing category and groups of products. Moreover, the company also worked in an expansion of the size of the stores from small units to help in the effective stocking of its diversified displays and thus gaining in more consumers. Other strategic decisions incorporated by the firm are acquiring of other small firms for expansion of business to other areas and also in creating distribution houses for stocking merchandises. Marks and Spencer did not only focused on filling up the stores with different product categories and assortments but also in opening up diversified units like food marts and other specialty stores. Strategic decisions like changing on in displays to help stock more products also helped the store in grabbing more consumers. Again the business of Marks and Spencer also took resort of a diversification strategy thus moving into newer service se ctors like finance and insurance. All these strategic decisions taken by the company helped in augmenting the level of competitive advantage of the concern in the light of other competitors.