Marks and Spencer (2) Success

Marks and Spencer expanded to become a chain of stores with a well-located branch in every big town in the UK and an enormous flagship store in London. It was different from any other retailer. Firstly it sold only own-brand food and clothes manufactured by a group of UK suppliers . Marks and Spencer did not own these suppliers but was able to control them very tightly by building up exclusive relationships. Secondly it saved a lot of money by deciding not to do any advertising. In fact its clothes and food developed such a good reputation for quality, innovation and value for money that advertising was not necessary. "M&S" or "Marks and Sparks" had become household words. Thirdly the staff were well-trained and well-treated so it was a popular place to work as well as shop. By 1998 Marks and Spencer was the most successful retailer in Europe and second only to Wal-Mart in the USA in terms of profitability. The Marks and Spencer brand was one of the best-known in the world.

 

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