Marks & Spencer: Business Model, SWOT Analysis, and Competitors 2024

In this blog article, we will delve into the business model of Marks & Spencer, a renowned British retailer. We will explore the various elements that contribute to their success and resilience in the competitive market. Additionally, a comprehensive SWOT analysis will be conducted to assess the strengths, weaknesses, opportunities, and threats the company faces. Furthermore, we will shed light on their key competitors in the industry and how Marks & Spencer plans to stay ahead of the game in 2024.

What You Will Learn:

• Who owns Marks & Spencer and the significance of their ownership in the company's operations and decision-making.
• The mission statement of Marks & Spencer and how it guides the company's strategic direction and goals.
• How Marks & Spencer generates revenue and the key factors that contribute to its financial success.
• An in-depth understanding of the Marks & Spencer Business Model Canvas, including the various elements and how they interact to create value for the company.
• The major competitors of Marks & Spencer and the challenges they pose in the retail industry.
• A comprehensive SWOT analysis of Marks & Spencer, examining its strengths, weaknesses, opportunities, and threats, providing insights into the company's current position and future prospects.

Who owns Marks & Spencer?

Overview of Ownership Structure

Marks & Spencer, a renowned British retailer, has a complex ownership structure that involves both individual and institutional investors. The ownership of Marks & Spencer is distributed among its shareholders, who collectively hold the company's shares.

Major Shareholders

The largest shareholders of Marks & Spencer include both individual and institutional investors. As of the latest available information, here are some of the major shareholders:

1. Individual Shareholders: Several individual investors, including both current and former employees, own shares in Marks & Spencer. These individuals have acquired shares either through employee share ownership plans or by purchasing them on the open market.

2. Institutional Investors: Various institutional investors hold significant stakes in Marks & Spencer. These institutions include pension funds, investment firms, and asset management companies. Some notable institutional shareholders include BlackRock, The Vanguard Group, and Legal & General Group.

Employee Ownership

Marks & Spencer has a long-standing tradition of employee ownership. The company encourages its employees to become shareholders by offering them various share schemes. This approach aims to align the interests of employees with those of the company, fostering a sense of ownership and commitment among the workforce.

Through schemes such as the ShareSave and Share Incentive Plan, Marks & Spencer provides its employees with opportunities to purchase shares at a discounted price or receive shares as part of their remuneration package. This strategy not only rewards employees but also encourages them to actively contribute to the company's success.

Share Price and Market Capitalization

The ownership of Marks & Spencer is reflected in its share price and market capitalization. The share price represents the value of an individual share in the company, while market capitalization is the total value of all outstanding shares.

Both the share price and market capitalization of Marks & Spencer can fluctuate based on various factors, including market conditions, financial performance, and investor sentiment. Investors and shareholders closely monitor these metrics to assess the company's performance and value.

Changing Ownership Landscape

Over the years, the ownership landscape of Marks & Spencer has evolved. Shareholders come and go, and the percentage ownership of different investors can change. It is essential to stay updated with the latest information regarding ownership, as it can impact the company's decision-making processes and strategic direction.

Understanding who owns Marks & Spencer provides valuable insights into the company's governance and stakeholders. By analyzing the ownership structure, investors, employees, and other interested parties can gain a better understanding of how the company is positioned in the market and who influences its decision-making processes.

What is the mission statement of Marks & Spencer?

The Mission Statement of Marks & Spencer: A Commitment to Quality and Sustainability

Marks & Spencer, a renowned British multinational retailer, has a clear and concise mission statement that encompasses its core values and principles. The company's mission statement reflects its commitment to delivering high-quality products and services while maintaining a strong focus on sustainability.

Marks & Spencer's mission statement is centered around three key pillars:

1. Quality

Marks & Spencer's mission is to provide customers with exceptional products that are synonymous with quality. The company aims to offer a wide range of merchandise, including clothing, food, and household items, that meet the highest standards of craftsmanship and excellence. By focusing on quality, Marks & Spencer strives to create a distinct and trusted brand identity that resonates with its customers.

The company's dedication to quality extends beyond its products. Marks & Spencer aims to provide excellent customer service, ensuring that every interaction with their brand is positive and memorable. By consistently delivering a superior experience, Marks & Spencer aims to build long-lasting relationships with its customers and establish itself as a trusted retailer.

2. Sustainability

Marks & Spencer recognizes the importance of sustainability in today's world and places a strong emphasis on incorporating sustainable practices throughout its operations. The company is committed to minimizing its environmental impact, reducing waste, and promoting responsible sourcing. Marks & Spencer sets ambitious targets to tackle climate change and works towards achieving them by implementing innovative and sustainable solutions.

Furthermore, Marks & Spencer focuses on promoting fair and ethical practices within its supply chain. The company works closely with its suppliers to ensure that they adhere to strict environmental and social standards. By actively promoting sustainability, Marks & Spencer aims to contribute to a greener and more sustainable future for both its customers and the planet.

3. Innovation

Innovation is a core aspect of Marks & Spencer's mission statement. The company strives to continually evolve and adapt to meet the ever-changing needs and preferences of its customers. By embracing new technologies and trends, Marks & Spencer aims to stay ahead of the curve and deliver innovative products and services that exceed customer expectations.

From introducing new clothing lines that cater to diverse body types to developing sustainable packaging solutions, Marks & Spencer consistently seeks opportunities for improvement and innovation. By fostering a culture of creativity and forward-thinking, the company aims to remain relevant and maintain its position as a leading retailer in the competitive market.

In conclusion, Marks & Spencer's mission statement encapsulates its commitment to quality, sustainability, and innovation. By focusing on these pillars, the company aims to deliver exceptional products and services while minimizing its environmental impact and embracing new opportunities for growth. Marks & Spencer's mission statement serves as a guiding principle that shapes its strategic decisions and ensures that it remains a trusted and responsible retailer.

How does Marks & Spencer make money?

Retail Sales

The primary source of revenue for Marks & Spencer is through its retail sales. The company operates a vast network of stores across the United Kingdom and internationally. These stores offer a wide range of products, including clothing, home goods, and food. By leveraging its strong brand reputation and extensive product portfolio, Marks & Spencer attracts customers who are willing to pay a premium for quality and style. The revenue generated from retail sales accounts for a significant portion of the company's overall earnings.

Online Sales

In recent years, Marks & Spencer has also expanded its presence in the e-commerce market. The company operates a robust online platform that allows customers to shop for their favorite products from the comfort of their own homes. This online sales channel has become increasingly important for Marks & Spencer, especially considering the growing trend of online shopping. By investing in user-friendly interfaces, efficient logistics, and digital marketing strategies, the company has successfully capitalized on the online shopping boom, further boosting its revenue streams.

International Expansion

Marks & Spencer has strategically expanded its operations beyond the borders of the United Kingdom. The company has established a strong international presence, with stores in various countries worldwide. By entering new markets, Marks & Spencer can tap into new customer bases and generate additional revenue. International expansion provides the company with opportunities to reach a wider audience, adapt products to local preferences, and take advantage of emerging economies. This diversification of revenue sources helps mitigate risks associated with market fluctuations in specific regions.

Franchise Partnerships

Another way in which Marks & Spencer generates revenue is through franchise partnerships. The company collaborates with local partners in certain markets, allowing them to operate Marks & Spencer stores under a franchise agreement. This approach enables Marks & Spencer to benefit from the local expertise and knowledge of its partners while expanding its brand presence without directly investing in all aspects of operations. Revenue generated through franchise partnerships includes licensing fees, royalties, and a share of the sales generated by these stores.

Financial Services

In addition to its core retail operations, Marks & Spencer provides financial services to its customers. The company offers various financial products, including credit cards, personal loans, and insurance. By leveraging its customer base and brand loyalty, Marks & Spencer has been able to establish a foothold in the financial services sector. Revenue from these services is generated through interest, fees, and commissions. This diversification into financial services not only generates additional revenue but also strengthens customer loyalty and engagement with the Marks & Spencer brand.

Overall, Marks & Spencer employs a multi-faceted approach to generate revenue. By focusing on retail and online sales, international expansion, franchise partnerships, and financial services, the company ensures a diversified stream of income while leveraging its brand reputation and customer base.

Marks & Spencer Business Model Canvas Explained

Introduction to Marks & Spencer

Marks & Spencer, commonly known as M&S, is a well-established British retailer that has been in operation for over 136 years. With a focus on quality, innovation, and sustainability, Marks & Spencer has become a household name in the UK and has expanded its presence to over 50 countries worldwide. In this section, we will explore the Marks & Spencer Business Model Canvas and gain a deeper understanding of how this iconic brand operates.

Key Partnerships

Marks & Spencer's success can be attributed, in part, to its strong network of key partnerships. From suppliers to technology providers, these collaborations enable M&S to deliver high-quality products and services to its customers. The company works closely with suppliers to ensure the sourcing of ethically produced and sustainable materials. By partnering with reputable suppliers, Marks & Spencer can maintain its reputation for quality and support its commitment to sustainability.

Additionally, Marks & Spencer has formed strategic alliances with various technology providers to enhance its digital capabilities. These partnerships enable the company to stay at the forefront of technological advancements, improving operational efficiency and enhancing the customer experience. By working together with key partners, Marks & Spencer can leverage their expertise and resources to drive innovation and maintain a competitive edge in the retail industry.

Key Activities

Marks & Spencer engages in a variety of key activities to deliver value to its customers. One of its primary activities is product development and design. With a team of skilled designers and trend analysts, Marks & Spencer continuously creates new and innovative products that cater to the ever-changing needs and preferences of its target market. This focus on product development allows M&S to stay ahead of the curve and offer unique and desirable merchandise.

Another crucial activity for Marks & Spencer is its supply chain management. The company carefully manages its supply chain to ensure the efficient and timely delivery of products to its stores. By optimizing logistics and distribution, Marks & Spencer can minimize costs and maximize customer satisfaction. Additionally, the company places a strong emphasis on sustainability throughout its supply chain, actively working towards reducing waste and carbon emissions.

Key Resources

In order to operate effectively, Marks & Spencer relies on a variety of key resources. One of its most valuable resources is its strong brand reputation. Over the years, Marks & Spencer has built a trusted and respected brand that is synonymous with quality and style. This brand reputation allows the company to attract and retain loyal customers, providing a competitive advantage in the market.

Furthermore, Marks & Spencer's extensive network of physical stores serves as a critical resource. With over 900 stores worldwide, the company has a strong presence in both high street and online retail. These physical stores act as touchpoints for customers, providing them with the opportunity to experience the brand firsthand and make purchases. Additionally, these stores serve as distribution hubs, allowing for efficient product delivery.

Conclusion

The Marks & Spencer Business Model Canvas provides a comprehensive overview of the key elements that drive the company's success. From strategic partnerships to key activities and resources, Marks & Spencer's business model enables it to deliver value to its customers while staying true to its core principles of quality and sustainability. By understanding and leveraging these key components, Marks & Spencer continues to thrive in the highly competitive retail industry.

Which companies are the competitors of Marks & Spencer?

Introduction

In the fiercely competitive retail industry, it is crucial for companies like Marks & Spencer to identify and analyze their competitors. Understanding the landscape of competitors helps businesses stay ahead of market trends, make informed decisions, and devise effective strategies to maintain their competitive advantage. In this section, we will explore some prominent competitors of Marks & Spencer.

1. Next plc

Next plc is a British multinational clothing, footwear, and home products retailer. It operates through multiple channels, including physical stores, online platforms, and catalog sales. Next plc offers a wide range of products similar to those provided by Marks & Spencer, such as clothing for men, women, and children, as well as home furnishings. With a strong brand presence and extensive product offerings, Next plc poses significant competition to Marks & Spencer.

2. Primark

Primark is an Irish fast-fashion retailer known for its affordable clothing and accessories. With its focus on low prices and trendy fashion, Primark appeals to a younger demographic, particularly budget-conscious shoppers. Although Primark's product range may not be as extensive as Marks & Spencer's, its competitive pricing and ability to quickly adapt to fashion trends make it a formidable competitor in the retail market.

3. John Lewis Partnership

John Lewis Partnership is a well-established British high-end department store chain. It offers a diverse range of products, including clothing, beauty, electronics, and home goods. Known for its quality and exceptional customer service, John Lewis Partnership has built a loyal customer base over the years. While it caters to a slightly different market segment than Marks & Spencer, its reputation and product offerings make it a strong competitor in the retail industry.

4. ASOS

ASOS is a popular online fashion and beauty retailer, mainly targeting young adults. It offers a vast selection of clothing, accessories, and beauty products from various brands, including its own label. ASOS's digital-first approach, extensive product range, and focus on fast fashion trends have made it a significant competitor to Marks & Spencer, particularly in the online retail space.

5. H&M

H&M, a Swedish multinational fast-fashion retailer, competes with Marks & Spencer on multiple fronts. With its affordable and trendy clothing, H&M appeals to a wide range of customers. The brand's ability to quickly produce and distribute fashion-forward pieces at competitive prices has allowed it to gain a strong market presence globally. H&M's emphasis on sustainability and collaborations with high-end designers further enhance its competitive position.

Conclusion

As a renowned retailer, Marks & Spencer faces stiff competition from various companies in the market. Understanding the strengths and strategies of these competitors is vital for Marks & Spencer to sustain growth and maintain its position as a leader in the retail industry. By continuously monitoring the competition, Marks & Spencer can adapt and innovate, ensuring that it remains a preferred choice for customers.

Marks & Spencer SWOT Analysis

Strengths

Marks & Spencer has several key strengths that contribute to its success in the retail industry.

Firstly, the brand has a strong reputation for high-quality products. For over a century, Marks & Spencer has been known for its commitment to delivering great value and excellent quality to its customers. This reputation has helped build a loyal customer base that trusts the brand and continues to shop at their stores.

Another strength of Marks & Spencer is its extensive product range. The company offers a wide variety of products, including clothing, home goods, and food. This diversification allows them to cater to different customer needs and preferences, making them a one-stop-shop for many consumers.

Additionally, Marks & Spencer has a strong online presence. The company has invested heavily in its e-commerce platform, allowing customers to shop conveniently from their homes. This has become particularly important in recent years, with the rise of online shopping. Marks & Spencer's online platform has helped them stay competitive and reach a wider customer base.

Weaknesses

Despite its strengths, Marks & Spencer also faces certain weaknesses that can pose challenges to its success.

One weakness is the company's relatively high pricing strategy. While the brand is known for its quality, some customers may find the prices of Marks & Spencer products to be higher compared to its competitors. This can make them less attractive to price-sensitive consumers, especially during times of economic uncertainty.

Another weakness is the company's limited international presence. Although Marks & Spencer has a strong presence in the UK, it has struggled to expand and establish a significant foothold in other countries. This limits their potential for growth and exposes them to risks associated with relying heavily on a single market.

Furthermore, Marks & Spencer has faced criticism for its slow response to changing fashion trends. The company has been known to have a more traditional and conservative approach to fashion, which might not always align with the rapidly changing tastes and preferences of consumers. This can result in missed opportunities and a loss of market share to more agile competitors.

Opportunities

Marks & Spencer has several opportunities that it can capitalize on to drive future growth and success.

One opportunity is the growing demand for sustainable and ethically sourced products. As consumers become more conscious of their environmental impact, there is a rising interest in purchasing products from companies that align with their values. Marks & Spencer can leverage its reputation for quality and extend it to include sustainability, attracting environmentally conscious consumers and gaining a competitive advantage.

Additionally, the company can further expand its online presence and invest in digital marketing strategies. With the increasing popularity of e-commerce, there is a significant opportunity to reach new customers and boost sales through online channels. By enhancing its online platform and leveraging social media and digital advertising, Marks & Spencer can attract a wider audience and increase brand awareness.

Threats

Despite its opportunities, Marks & Spencer also faces threats that can hinder its growth and profitability.

One major threat is the intense competition in the retail industry. Marks & Spencer competes with a wide range of retailers, including both traditional brick-and-mortar stores and online giants like Amazon. This competition puts pressure on the company to continually innovate and differentiate itself to stay relevant in the market.

Another threat is the uncertainty and volatility in the global economy. Economic downturns can impact consumer spending habits, leading to reduced demand for discretionary items such as clothing and home goods. Additionally, currency fluctuations and trade barriers can affect the cost of sourcing products and impact profitability.

Lastly, changing consumer preferences and shopping habits pose a threat to Marks & Spencer. As consumers increasingly turn to online shopping and favor convenience, traditional retail stores may struggle to attract foot traffic and maintain sales. Marks & Spencer must adapt its strategies to cater to the evolving needs and preferences of its target market to stay competitive in the long run.

Key Takeaways

• Marks & Spencer is a publicly traded company, meaning it is owned by its shareholders who hold shares of the company's stock.
• The mission statement of Marks & Spencer is to be the best retailer in the UK and provide high-quality, great value clothing and home products to its customers.
• Marks & Spencer generates revenue through its retail operations, including the sale of clothing, home products, and food.
• The Marks & Spencer Business Model Canvas outlines the key elements of the company's business model, including its customer segments, value proposition, channels, customer relationships, revenue streams, key resources, key activities, and key partnerships.
• Competitors of Marks & Spencer include other retailers in the UK market such as Tesco, Next, and Primark.
• A SWOT analysis of Marks & Spencer reveals its strengths (strong brand, loyal customer base), weaknesses (lack of online presence, declining sales), opportunities (expansion into international markets, increasing demand for sustainable products), and threats (intense competition, economic downturns).

Conclusion

In conclusion, Marks & Spencer is owned by its shareholders, with no single individual or entity holding a majority stake. The company's mission statement is to be the world's most sustainable retailer, offering high-quality, responsibly sourced products. Marks & Spencer generates revenue through the sale of clothing, home products, and food, both in physical stores and online. Their business model canvas is built on key elements such as customer segments, value propositions, channels, customer relationships, revenue streams, key resources, key activities, and key partnerships.

However, in the face of fierce competition, Marks & Spencer operates in a challenging retail landscape. Some of its main competitors include Zara, H&M, and Next, who offer similar products and target similar customer segments. To stay ahead, Marks & Spencer must continuously assess its strengths, weaknesses, opportunities, and threats through a SWOT analysis. This analysis helps the company identify areas for improvement, capitalize on market trends, and mitigate potential risks.

Overall, Marks & Spencer's commitment to sustainability, quality, and responsible sourcing sets it apart in the retail industry. By understanding its business model, competitors, and conducting a thorough SWOT analysis, Marks & Spencer can navigate the ever-changing market dynamics while striving to achieve its mission of becoming the world's most sustainable retailer.

FAQs

What are the strengths of Marks and Spencer?

Some of the strengths of Marks and Spencer include:

1. Strong brand image: Marks and Spencer has a long-standing reputation for quality and reliability. It is recognized for its commitment to providing high-quality products and services.

2. Wide range of products: The company offers a diverse range of products, including clothing, food, home furnishings, and beauty products. This allows them to cater to a broad customer base and creates opportunities for cross-selling.

3. Strong supply chain management: Marks and Spencer has an efficient supply chain system that ensures timely delivery of products and minimizes inventory costs. This enables them to maintain good stock levels and meet customer demands effectively.

4. Focus on sustainability: The company has a strong commitment to sustainability and ethical practices. Marks and Spencer has implemented various initiatives to reduce waste, promote recycling, and source products responsibly. This resonates well with customers who prioritize environmentally friendly brands.

5. Global presence: Marks and Spencer has a significant international presence, allowing them to tap into various markets and diversify their revenue streams. Their established presence in multiple countries gives them a competitive advantage.

6. Customer loyalty: Marks and Spencer has a loyal customer base that trusts and values their products. This loyalty is built on the company's consistent delivery of quality products and excellent customer service.

7. Strong financial performance: Despite facing challenges in recent years, Marks and Spencer has maintained relatively stable financial performance. This indicates the company's ability to adapt to market conditions and generate consistent profits.

8. Online presence: Marks and Spencer has a well-developed online platform that offers convenience to customers, allowing them to shop from anywhere at any time. This digital presence has become increasingly important, especially in the modern retail landscape.

What is M&S competitive advantage?

M&S (Marks & Spencer) has several competitive advantages that have helped it stand out in the retail industry:

1. Strong brand image: M&S has a long-standing reputation for quality, reliability, and trustworthiness. The brand has built a loyal customer base over the years, making it a go-to choice for many shoppers.

2. Quality products: M&S is known for its focus on delivering high-quality products across various categories, including clothing, food, and home goods. The company emphasizes attention to detail and ensures that its products meet stringent quality standards.

3. Wide product range: With its diverse product range, M&S caters to different customer segments. It offers a selection of clothing for men, women, and children, along with home and food products. This variety allows M&S to attract a wide customer base and offer a comprehensive shopping experience.

4. Sustainable practices: M&S has made sustainability a priority by implementing various initiatives, such as reducing waste, using more sustainable materials, and promoting ethical sourcing. This commitment to sustainability has helped the company attract environmentally-conscious consumers.

5. Strong supply chain management: M&S maintains tight control over its supply chain, ensuring efficient sourcing, production, and distribution processes. This allows the company to respond quickly to changing customer demands and maintain a consistent supply of products.

6. Innovation and technology: M&S continuously invests in innovation and technology to enhance its operations. This includes initiatives like the "Digital First" strategy, which focuses on improving its online presence and providing a seamless omnichannel shopping experience for customers.

7. Customer loyalty program: M&S has a loyalty program called "Sparks," which offers personalized rewards and benefits to its customers. This helps in building customer loyalty and encourages repeat purchases.

Overall, M&S's competitive advantage lies in its strong brand image, quality products, wide product range, sustainability practices, efficient supply chain, innovation, and customer loyalty program.

What are the challenges faced by Marks and Spencer?

Marks and Spencer (M&S) faces several challenges in today's competitive retail market:

1. Intense competition: M&S operates in a highly competitive market, facing competition from online retailers like Amazon and fashion retailers such as Zara and H&M. These competitors offer trendy and affordable clothing, which can be a challenge for M&S to attract customers.

2. Declining sales: M&S has experienced declining sales in recent years, particularly in its clothing and home division. This decline is partly due to changing consumer preferences and increased competition. Reviving sales and regaining customer loyalty is a major challenge for the company.

3. E-commerce expansion: M&S has been slow to adapt to the growth of e-commerce, which has impacted its sales. The company is now investing in online platforms, but catching up with established online retailers can be difficult and requires substantial investment.

4. Changing consumer preferences: The preferences of consumers have evolved, with a demand for fast fashion, sustainability, and ethical production. M&S needs to adapt its offerings to meet these changing preferences and ensure their products align with consumer values.

5. High operating costs: M&S has a large physical store network, which comes with high operating costs, including rent, maintenance, and staffing. These costs can pose a challenge in an increasingly digital retail landscape where online sales are growing.

6. Brand perception: M&S has faced criticism for being perceived as outdated and lacking innovation. The company needs to work on rejuvenating its brand image and appealing to a younger demographic to stay relevant.

7. Brexit uncertainty: As a UK-based retailer, M&S faces uncertainty due to Brexit. Factors such as potential trade barriers, currency fluctuations, and changes in consumer spending patterns can impact the company's operations and profitability.

8. Supply chain management: Ensuring efficient supply chain management is crucial for M&S to maintain product availability and quality. Managing international suppliers, reducing lead times, and optimizing inventory levels are challenges faced by the company.

Addressing these challenges requires M&S to focus on improving its product range, enhancing its online presence, revitalizing its brand, and adapting to changing consumer preferences.

What is a SWOT analysis of a clothing brand?

A SWOT analysis of a clothing brand involves evaluating its strengths, weaknesses, opportunities, and threats. This analysis helps identify areas of the brand that are performing well, areas that need improvement, potential growth opportunities, and external factors that may pose challenges. Here is an example of a SWOT analysis for a clothing brand:

Strengths:

1. Strong brand reputation and recognition.
2. High-quality and trendy clothing designs.
3. Efficient supply chain management.
4. Strong relationships with suppliers and manufacturers.
5. Established distribution channels and retail partnerships.
6. Effective marketing and advertising strategies.
7. Dedicated and skilled design team.

Weaknesses:

1. Limited product range or lack of diversification.
2. Price competitiveness compared to other brands.
3. Inconsistent sizing or fit issues.
4. Limited online presence or e-commerce capabilities.
5. Relatively small customer base or lack of brand loyalty.
6. Inadequate production capacity to meet high demand.
7. Lack of innovation or failure to adapt to changing fashion trends.

Opportunities:

1. Expansion into new markets or geographic regions.
2. Collaborations with popular influencers or celebrities.
3. Launching an e-commerce platform to reach a wider customer base.
4. Developing sustainable or eco-friendly clothing lines.
5. Utilizing social media platforms for targeted marketing campaigns.
6. Offering customization options to cater to individual preferences.
7. Capitalizing on emerging fashion trends or market segments.

Threats:

1. Intense competition from other clothing brands.
2. Economic downturns or fluctuations in consumer spending.
3. Counterfeit products or copyright infringement.
4. Fast fashion trends and short product lifecycles.
5. Fluctuating raw material prices or supply chain disruptions.
6. Negative publicity or brand reputation issues.
7. Changes in consumer preferences or shifts towards alternative fashion choices.