International retailing and marketing Essay Example | Topics and Well Written Essays - 2500 words

International selling and marketing - Essay ExampleA check up on of literature has provided a consistent definition of the term International Retailing which is the operation, by a maven firm, of shops, or other forms of retail distribution, in more than one country (Findlaey and Sparks, 2000 p. 40 Alexander, 1997p. 27). This definition encompasses several(prenominal)(prenominal) types of company schemes such as the Body Shop and Bally which work outs their own stores and franchise arrangements GIB, Vendex, Aeon and Ahold which operate separate chains of stores internationally and the IKEA, Sogo and Toys R Us which operate a single chain.Every line of credit move must be thoroughly studied before application and given the complex personality of retailing in an international setting, it would be prudent to conduct a study aiming to obtain the indispensable scheme to be adapted by the interested company. There are many methods for determining credit line environment such as t he Political, Economic, Social and Technological (PEST) analysis which is mainly concerned on the operating(a) environment and the Strengths, Weaknesses, Opportunities and Threats (SWOT) analysis which considers also other competitors already present in the market. These analyses shall be used to determine strategies for a successful entry scheme. Retail companies can opt to establish presence by modes such as direct establishment of stores or franchising. Since any business is an on-going process of learning and growing, many retail companies find it necessary to incorporate strategic factors in their business plan along the way. III. Marks and Spencer A BackgroundMarks and Spencer PLC is a companyr, established in the late 1800s by a partnership and is before long one of UKs leading retailer of clothing, food, home products and technology. Last 2008, Tthe company employs more than 65,000 people with 339 stores in the UK and one hundred fifty-five stores franchised in 30 countries found in Europe and Asia. It is also involved in financial go such as loans, savings and credit cards. The company made news in 1998 as it affix a pre-tax profit of over than 1.15 billion pounds sterling but later suffered a downfall for several years until 2003. (MarksandSpencer, 2009a)The company operates primarily by producing high quality products carried by a recognized and valued brand name. Products are affordable but not necessarily cheap. The prevailing philosophy for advertising was barely by word of mouth which was very powerful as many customers are likely to obtain in the shop favoured by those close to them. This method was also very cost effective as there was no need for expensive adverts. From its inception until 1998, it had the policy of sourcing only from British suppliers and thus endeared them to the British public. Marks and Spencer officially adapted and carried the brand St. Michaels for middle age and young apparel distribution in its stores. Stores a re mainly located centrally in capital cities and important venues so that critical volume (number or buyers) can be realized. M&S is in possession of several prime holdings slightly the globe and is using it to establish presence.The company experimented in internationalisation by exporting its St. Michael line to