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Business and Tourism Assignment

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The business world is becoming complex and due to this, organisations are facing a lot of issues in managing the firm in an appropriate manner. The competition had also increased to a greater extent and for this, it is important for the firms to focus on business management in an appropriate manner(Aithal, 2017). The businesses focus on using different management models that help them in managing all the business operations and the entire firm in an effective manner. In this report, the researcher would consider the case of a private organisation and will discuss the concept of management models. Along with this, the report will include a macro environment analysis of the case company. For this report, the researcher would consider M&S as the case company which is a multinational retailer in the UK.


Marks and spencer are one of the leading retailers of UK and they are having an effective brand image in the international retail market. The company is offering wide range of products to different nations across the globe. The case company needs to manage a lot of things related to the internal and external business environment efficiently. For managing the entire workforce and business operations in an appropriate manner it is crucial for the firms to use different management models. In general terms management models are terms as the different models that can help the organisation and keeping their entire management focused on the company goals and objectives(Bhattacharyya, 2020).

In the present business world, the organisations undergo through different types of changes in the firm.M&S is operating in a dynamic and customer driven industry and for surviving in this industry and maintaining their position it is important for them to focus on bringing changes in their working pattern and business operations according to the changing trends.There are different factors such as technological advancement, organisational factor or any other factor of the business environment can develop a need to make the change. The case company needs to focus on using an effective change management model for making successful changes(WIWATREUNGDECH, 2021). For example, due to the pandemic situation the entire business world is going through major transformations and the firms are making a lot of changes in their business operations. Similarly,M&S is also focusing on bringing changes in the firm for making their business operations more hygienic and safer so that they can deliver safe products to their customers across the world.

McKinsey 7S change management model is one of the effective models that is widely used by the businesses while managing change in the firm. For example, the new guidelines made by the government and the changing customer preference due to the covid-19 the case company needs to make change in the firm(Razmi, et. al.2020). McKinsey 7S change management model is an effective model that can help the case company in bringing change in an appropriate manner. According to this model there are seven important elements that are required to be considered by the firm while working on change management. Those seven elements are explained below such as:

  • Strategy: the first stage for bringing a change is that the company needs to make a strategy and a complete plan that can help the firm in bringing the change in a systematic manner.
  • Structure: the different employees and top executives as per the organisational structure needs to be involved in the change management so that they can perform their roles properly.
  • Systems:in this stage the company needs to consider that the change needs to be implemented in which departments and how the company policies would have affected them.
  • Shared values: in this stage M&S needs to ensure that their organisational culture should except the change and the culture should support the change then only it would be successful.
  • Style: the leadership style of the leader is also a significant factor that affect the change management. If the case company would implement this model, then it is crucial for them to focus on having an effective leadership in the firm that fits well with the organisational culture.
  • Staff:for this stage the company needs to ensure that all the employees involved in the change management should take active participation and should work with better cooperation, collaboration and teamwork.
  • Skills:in this stage the company needs to analyse that the workforce is having all the skills for excepting the change or not. If the company finds any skill gap, then it is important for them to offertraining to them for developing those skills so that they can accept the change.

Form the above explanation it can be said that the employees play a major role in making the change successful. When the company is focusing on making changes in the firm related to the covid-19 norms then it is important for them to motivate the employees to understand the need of the change and work effectively for making it successful. The case company can focus on using the motivational models such as Herzberg two factor theory for motivating the employees to except the change by working on both hygiene factors and motivational factors.According to this theory the company needs to focus on reducing the hygiene factors that demotivates the employees and needs to increase motivational factors(Alshmemri, et. al.2017). Along with this the company needs to work on developing better strategies and making effective strategic decision that would help them in making the change successful.

The management model discussed above is very effective as it focuses on working on all the different important factors of the internal business environment that are having an impact on the changes made in the firm(Gökdeniz,et. al. 2017). Along with this when the companies focus on using this model then it helps them in approaching and executing the change in a systematic manner that makes it effective.


The business environment is becoming competitive day by day and different factors of the external business environment are playing a major role in it. When the organisation is operating in any of the industry then it is important for them to focus on analysing all the different factors of the external business environment and its impact on their business operations. M&S is operating at international level and for such firms the factors of external business environment are very important. Business around the world focuses on using the PESTLE analysis for analysing that how the factors of external environment are affecting theiroperations. All the different factors of the macro environment such as political, economic, social, legal, environmental and technological factors are important for the businesses as it affect their business operations(Perera, 2017). For conducting the analysis of the macro environment of business operations of M&S the report will focus on conducting PESTLE analysis of the case company.PESTLE analysis for M&S is mentioned below such as:

Political Factors:the firm is operating at international level and due to this reason, they need to focus on the different political factors related to the nations in which they are operating. The political stability and taxa policies of the nation are having a major impact on the organisation. For M&S it is important that all the nations in which they are operating. The EC’s trade agreement helps them in having minimum sourcing cost and doing business effectively in all the EU nations. The company focuses on having better terms with government authorities so that they can manage their business operations in an appropriate manner. Along with this M&S focuses on keeping an eye on the tax policies so that they can make strategies for managing their sales properly even if the taxes would increase.

Economic Factors:the economic factors are having a major impact on the sales and this is an important factor that can affect the company. Inflation rate is an important factor that affect the price of the products offered by the retailers and all other businesses. Along with this other factor such as the interest rates, economic growth of the nation and foreign exchange rates are also important factors that affect the case company in the nations in which they are operating. In UK the government focuses on maintaining low rate of inflation that helps the case company in operating in an appropriate manner. For example, the recent event of covid-19 pandemic had affected the world economy to a greater extent and due to this the sales of M&S are also affected negatively(Mattera, et. al.2021).

Social Factors:the social factors are having a higher influence on the buying preference and consumer behaviour towards the different products and services offered to them. The case company focuses on understanding the factors related to the local culture and local trends so that they canwork effectively. Along with this they focus on understanding the changing trends in the market(Bonate, 2020). They focus on all the different factors that can affect the consumer purchase. The young generation focuses on buying cheap cloths and on the basis of it the company is making strategic changes for their clothing sector so that they can offer the products with the price that can suit with the trends related to the current generation. Along with this the company is responding positively to the use of online payment methods and online purchase and for this they are focusing on using better technologies.

Technological Factors:in the technologically advanced world it is important for the businesses to use better technologies that can help them in making their business operations easy to manage. M&S is an international firm and needs to manage the business operations at international level and due to this factor, they focus on using the best technologies. The company invests better capital in their research and development department for using the best technologies(Adamyk, 2019). M&S is focusing on their technological transformation which would help the company in going digital and offering best customer experience. Also, the company is designing technology and the entire system that can help them in managing their supply chain in a faster manner.

Legal Factors:the case company needs to focus on following all the different rules and regulations made by the government of the nations in which they are operating. The case company focuses on all the rules and regulations made by the government regarding the quality standard of the products offered by them. Along with this M&S focuses on ensuring that they should follow all the employment rules and offer a safe and secure workplace to all the employees(Schleper, et. al.2021).

Environmental Factors:with the increasing concern for environmental protection the environmental factors had gained a lot of importance in recent decades.The case company need to follow both the national and international environmental laws otherwise they might face penalties. Along with this, the company is investing better capital in their CSR activities that are helping them in reducing the negative impact of the firm and their business operations on environment and society as well.

On the basis of the above-mentioned macro-environmental analysis, it can be said that due to internationalisation the firm’s managing different factors. It is important for such firms to make changes in the working patterns, business operations and strategies according to the changing business environment.


The above-mentioned report had explained the concepts and models related to business management. M&S is considered as the case company and the management model is suggested for the case company. McKinsey 7’s change management model has been discussed in the report and this is one of the effective management models used by the businesses while executing and managing the change in the firm. Along with this the report include the macro environment analysis of M&S which had explained that how the different factors are affecting the case company. The report concludes that it is important for the businesses to focus on analysing the business environment and then applying effective management model that can help them in operating effectively in different situations. 


Adamyk, K., 2019. PESTLE Analysis on Tesco PLC.

Aithal, P.S., 2017. Industry Analysis–The First Step in Business Management Scholarly Research. International Journal of Case Studies in Business, IT and Education (IJCSBE)1(1), pp.1-13.

Alshmemri, M., Shahwan-Akl, L. and Maude, P., 2017. Herzberg’s two-factor theory. Life Science Journal14(5), pp.12-16.

Bhattacharyya, D.K., 2020. Normative Change Management Model in Covid-19 Pandemic. Journal of Research in Administrative Sciences (ISSN: 2664-2433)9(1), pp.19-21.

Bonate, P.L., 2020. COVID-19: opportunity arises from a world health crisis.

Gökdeniz, I., Kartal, C. and Kömürcü, K., 2017. Strategic assessment based on 7S McKinsey model for a business by using analytic network process (ANP). International Journal of Academic Research in Business and Social Sciences7(6), pp.342-353.

Mattera, M., Gonzalez, F.S., Ruiz-Morales, C.A. and Gava, L., 2021. Facing a global crisis-how sustainable business models helped firms overcome COVID. Corporate Governance: The International Journal of Business in Society.

Perera, R., 2017. The PESTLE analysis. Nerdynaut.

Razmi, J., Mehrvar, M. and Hassani, A., 2020. An Assessment Model of McKinsey 7S Model-Based Framework for Knowledge Management Maturity in Agility Promotion. Journal of Information & Knowledge Management, p.2050036.

Schleper, M.C., Gold, S., Trautrims, A. and Baldock, D., 2021. Pandemic-induced knowledge gaps in operations and supply chain management: COVID-19’s impacts on retailing. International Journal of Operations & Production Management.


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