Financial Problems: Marks And SpencerMarks & Spencer is one of Britain's largest High Street retailers, selling various goods and services, some of these include: clothes, food , furniture and loans. they were at one point Britain's largest retail outlet; they usually have at least 1 store in each city, if not more. However, the group is facing the worst moments ever. The problems started in early 1999. The problems to date include: their profits halved, the loss of some of their best directors, approaching financial ruin and yesterday they recorded the steepest drop in profits in its history . These recent events have caused damage to the market, profitability and organization of Marks & Spencer. Market: Marks & Spencer lost summer season revenue due to poor timing, last year's summer collections did not reach stores until the end of August, by which time it was too late. This meant customers had to go elsewhere to find the products they needed. Then again the same problem occurred with winter products, which arrived in stores at the end of November, when once again it was too late. This means that Marksand Spencer lost huge market share due to poor timing, and this cost them dearly. Other factors also affect the consumer, some of these include: • Marks & Spencer does not accept credit cards, meaning that some customers would find it inconvenient to shop with them. • Marks & Spencer tend to be quite expensive compared to other retailers in the same field. • Mars & Spencerdo does not sell clothing other than the St Michaels label and these may be fashionable in nature, however the brand may not appeal to younger generations who are not designer label conscious. Profitability: Marks & Spencer has not been able to make high profits due to: • Bad timing in the last year • Lack of variety in clothing departments (labels) • Over pricing of products, thus losing competitive advantage over others companies. Organization: As I established above, Marks and Spencer had poor timing, largely due to poor management. The M structure has been described as autocratic and uncertain. Their board of directors has been back and forth recently, which has led to poor communication, which in turn has cost them a lot. They recently elected a new CEO, Peter Salsbury. When Salsbury was elected CEO, investors expected him to quickly solve all of M's problems. However that wasn't the case, since then the group has attended huge 3-day conferences and produced a 700-page strategy.