How successful has Marks and Spencer been in meeting objectives?

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By Naveed Hussain

How successful has Marks and Spencer been in meeting objectives

Under the ‘Vision’, ‘Mission’, ‘Values’ objectives comes other, more intricate objectives such as “focusing actions on the customers and their needs”, “improving performance by setting clear and demanding targets”, “communicating with other stakeholders on the issues that are important to them”.

To have completed objectives successfully Marks & Spencer need to raise performance levels to a rate at which they are deemed industrious in their respective market.

Satisfying a host of stakeholders who, in the end, determine the objectives, is a step towards a financially secure and hence successful company.

Owners, workers, managers, the government, consumers and environmentalists all have an influence on the outcome of an objective.  Owners will want substantial returns from their investment and so will be looking for objectives to maximise profits.  The government will require the company to follow laws and legislations making objectives rather less influential on the firm’s revenue.  Consumers will expect quality products and services orientating both the objectives and strategies to this goal.

Behavioural theories of different stakeholders suggest that the faction which governs the business will determine its objectives.  However, there are different factors that may influence the choice of objective for instance the size of the firm.  Where smaller businesses may be satisfied with maintaining profits or survival, larger companies like M&S may want growth or monopolisation.  The state of the economy is another factor M&S has to unravel to decide upon its objectives.  During a recession many firms concentrate on survival (this applies to large firms as well).

Marks and Spencers profits have fallen by £74m before tax for the year with sales continuing to slide in the past months despite the retailer’s much publicised efforts to change things around, objectives haven’t been consistent to market trends.

Clothing, footwear and gift sales were down by 5.5% compared to last year.

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Its adult clothing department, womenswear in specific, performed poorly as the chairman and chief executive Luc Vandevelde emphasizes, “Sales of adult clothing during the period were unacceptable”.

Consumers, who pursue their own objectives, may not necessarily want the cheapest item on sale but one which they perceive as being ‘value for money’.  Consumers also want service to be of a high standard.

There is currently a highly competitive retail market in the UK, which has consequently affected M&S in the clothing sector. The UK retail clothing market was estimated to be worth £30.07bn in 2000, having grown by ...

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