M&S And River Island Essay

3169 words - 13 pages


Assignment Title -Management Report on M&S and River Island.
Name -
Student Id -
Module name -Business Management and Decision-Making Process
Module code -
Module teachers –

Date of submission - 07-04-2013.

Word count – 2500 words.

TABLE OF CONTENTS

1) executive summary 3

2) introduction 3

3) COMPANY PROFILE OF marks & spencer…………4

4) COMPANY PROFILE Of RiVER ISLAND………………..4

5) swot analysis……………………………………………5

6) Management OF M&S AND RIVER ISLAND………….6

7) COMMUNICATION………………………………….….……7

8) Corporate Social Responsibility……….…….…8

9) ...view middle of the document...

Most of the companies are going bankrupt in this competitive world. Other companies, who are on the verge on bankrupt, are in search of merging with other companies. For example, few years back Nokia was going to bankrupt due to extreme competition and lack of innovation in the smartphone market. But after merging with Microsoft, Nokia is back on the track with their windows smartphones. Management of the company are always the primary cause of success or the failure of the company.

The main aim of this report is to analyse both the organisation (Marks & Spencer and River Island) and to help Caifu Investment Ltd in selecting any one of those company for investment. River Island is a high street clothing brand, whereas M&S deals in clothing as well as food market. As Caifu Investment Ltd has an ambition to invest in the high street fashion industry; this report will focus only on clothing market of M&S.

3. Company Profile of Marks & Spencer

Marks & Spencer is in operations from over the last 129 years, founded by Michael Marks and Thomas Spencer in Leeds, United Kingdom. M&S have 766 stores in UK and over 418 international stores operating in 51 countries across Europe, Asia and the Middle East. It employs over 81000 people throughout the world (Corporate.marksandspencer.com, 2014). M&S are specializing in selling clothing and high quality foods with its 5 core principles of Quality, Value, Service, Trust and Innovation. Not only in-store, but it also provides convenient services to people for shopping online or by phone as well in order to provide best shopping experience to all the customers.

M&S is the first British retailer to make a pre-tax profit of over £1 billion in 1998 (Corporate.marksandspencer.com, 2014). Turnover of the company for the year ended 30 march 2013 was £10,026 million which is increasing year by year. But the company’s net profit is tremendously declining as it made only £458 million of net profit in last year, whereas it made £821 million of net profit in the year 2008. More than 80% of the company’s revenue is generated in UK and is further splits between food (54%) and Clothing / General Merchandize (46%) (Corporate.marksandspencer.com, 2014).

4. Company Profile of River Island

River Island is in operation from over the last 60 years and is considered as one of the most successful companies on the high street of fashion retailing. Bernard Lewis founded it in 1984, starting from a small shop in the East end of London trading as ‘Lewis Separates’. However, since it has went through several name changes such as Chelsea Girl, Concept man and then finally River Island in 1988. River Island has nearly 300 stores across UK, Europe, Asia and the Middle East with employing around 10000 employees throughout the company (River Island, 2014).

River Island has recently opened 14 new stores (7 of them in UK and 7 overseas), renovated 8 stores and also relocated their...

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