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| Topic: |
Business
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| Number of pages / Number of words: |
11 / 3047 |
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This would be the case of M&S if they were to kept here prices high they are likely to lose there customers to another more cheaper substitute. In this oligopolistic structure the best strategy would be to keep prices the same as they tend to be rigidly set due to the companies interdependence changes of the demand curve...
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M&S has a strong relationship with its suppliers and a strong "Brand Image" which has taken years to develop. M&S have had a consistent record of success and profitability until recently when they experienced falling sales. They were unprepared for this slump and while they were expanding the business their competitors were strengthening
The decrease in sales was probably due to the lack of innovation, (See appendix)...
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