In an attempt to improve international trade, Marks & Spencer (M&S) is planning to implement significant price cuts in its overseas stores to revitalise the business.
The apparel brand is taking this step amid the growing competition in the overseas market where M&S prices are nearly more than double the prices of competitors. M&S CEO Stuart Machin has identified a significant pricing disparity between M&S stores and competitors, particularly in markets like Singapore.
To address this, Machin plans to renegotiate franchise agreements to prioritise customer value and product diversity. He aims to reduce the risk burden on franchise partners, encouraging them to take more chances with new products and trends.
M&S is exploring various strategies to improve its international operations, including faster stock replenishment and the introduction of innovative products. The retailer’s recent promotion of Mark Lemming to Managing Director of International underscores its commitment to strengthening its global presence.
With 434 international stores, including 264 franchise-operated locations, M&S is poised to make significant changes to its overseas business model. By focusing on price competitiveness, product innovation, and efficient supply chain management, the retailer hopes to regain market share and drive sustainable growth.
