MARKETING ASSIGNMENT

Marketing Assignment

Marketing assignment

Task 1 Research Planning for Decision Making

Marketing decisions should be guided not only by technical feasibility, but also by many other factors. These include a detailed understanding of the ever-changing needs of potential customers, the variables of the marketing mix, and the factors of the external environment. Occasionally, knowledge and intuition are sufficient for developing appropriate managerial strategies. Almost invariably, these are not enough and additional information is required. Frequently, survey research is the chosen (and most appropriate) approach to gather the additional data needed for sound Marketing strategy decisions.

Marks & Spencer has been committed to work-life practices for many years, valuing a balance between employee and customer needs. The company believes in continuously updating its policies and in creating innovative solutions for both customers and staff. In order to remain an employer of choice it needs to keep developing imaginative working practices.In the 1980s high street competition intensified for Marks & Spencer. Companies like Next took customers away and forced Marks & Spencer to look at how it could change to compete in this new environment. By the mid-1990s, Marks & Spencer directors had turned the business around and it reached profits of over one billion pounds a year. It was estimated that the company still bought 75% of the UK domestic textile production in 1995. Other fashion chain stores bought as little as 14% of their supplies from British companies. The success or failure of Marks & Spencer was critical to the prosperity of the British knitting industry. (Dohan 2004, Difficult Times for Marks and Spencer)A slump in sales hit the fashion retail sector in 1999 and marked the beginning of further problems for Marks & Spencer. Profits were halved to between £500 and £600 million, market share fell from 15% to 11%, and its shares lost two thirds of their value in three years. Other companies faced similar problems and did not survive. C&A closed all its UK stores after losing a million pounds a week for two or three years.Marks & Spencer responded to the crisis by undertaking a further review of its strategy. For the British knitting industry, a devastating blow was struck when Marks & Spencer sought to save £110 million by sourcing supplies from overseas. Major companies, including Richard Roberts of Leicester, lost their Marks & Spencer contract. Other contracts were reallocated to focus the production of specific ranges on individual companies. Lingerie contracts were increased with the Martin Emprex Group, Sutton in Ashfield, at the expense of their knitwear contracts which were transferred elsewhere. (Dohan 2004, Difficult Times for Marks and Spencer)The security provided by a contract with Marks & Spencer had been wiped out for many companies and the knitting industry was left with an uncertain future. For those companies that retained a contract, competitive pressures had reduced the profits made on them. Coats Viyella decided that it was time to close its knitwear division, four factories were closed and three sold ...