Thursday, June 20, 2019
Debenhams Plcs Competitive Position in Its Various Markets Essay
Debenhams Plcs Competitive Position in Its Various Markets - Essay ExampleThe gross hit margin is at 13.59%, while the net profit margin is at 5.6%. Return on equity and assets also appear favourable at 18.20% and 6.06% respectively (Global Business Browser, 2014). The company has stated that it would expand its ball-shaped operations by increasing the number of stores to 150 by the end of 5 years from this day.As per reports, the retail sector of UK has seen a rise in revenue by 1% in its 103 businesses that employ over 123,000 people. Before the crisis, the buying patterns were instinctive and the retail industry was booming. After 2008, the economy has somewhat stagnated and hence, has ordinate a dent in sales. High levels of unemployment have led to lower levels of disposable income and lower consumer confidence because of which discretionary purchases have been forced to cut back. It is pass judgment that the retail industry shall post the decline in the forthcoming financia l year 2013-14 to the tune of 0.8% (Ibisworld, 2013).The authorship aims to bring forth a comprehensive abridgment of the company in the grocery where it operates. The paper shall seek to throw light on the competitive position of the company in relation to the markets within which it operates through Porters Five Forces, PEST, and Porters Generic Strategies. It moves on to discuss various cross-cultural issues that the company has come across in present times and how these were dealt with Hofstedes five dimensions and Trompenaars seven dimensions model. The paper also analyses the companys CSR attempts with a view of sustainable growth objective for various groups of stakeholders. The paper concludes with a discussion of the present position and rest of the company in relation to its peers and future growth prospects.The paper tries to make a justification regarding the strategies being followed by Debenhams Plc and attempts to draw strategic directions for future market analy sis. A study of the external environment and cultural challenges brings forth the trend of challenges faced by Debenhams while the internal study and CSR initiatives highlight the key sustainability attempts towards dispute competition in retail business.
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