Marks & Spencer store in Central Tower, Hong Kong. (Photo Credit: WiNG/CC BY-SA 3.0)
UNITED KINGDOM
Friday, April 04, 2014, 23:50 (GMT + 9)
British retailer Marks & Spencer has revealed plans to open 250 stores abroad, which would represent a 40 per cent increase in international profits over the next three years.
The new expansion move, which will be backed by an online offering, includes stores in markets such as France, India, Russia, China and the Middle East, BBC News reported.
"We need to build a brand internationally and be dotcom ready. That is where our future is," Chief executive Marc Bolland told an investor seminar in Paris.
And he added: "Our strategy of becoming an international, multi-channel retailer is more relevant than ever before because of the strong growth potential of international markets."
Following in the footsteps of both Tesco and B&Q owner DIY retailer Kingfisher, M&S is planning to find a local partner in the crucial Chinese market, the financial website This is money informed.
Firm sources stated that M&S Food, from toasted crumpets in The Hague to red wine in China, is in demand worldwide.
Its plans also include flagship stores in major cities but also 20 standalone food stores in Paris and a collection of new dedicated lingerie and beauty stores, The Daily Telegraph informed.
The company is also looking at relocating up to five of its 15 stores in the Shanghai area, since some of the stores are located on the outskirts of the city where proposed commercial developments are yet to be completed. M&S will explore closing these shops and targeting sites at the centre of other major cities.
M&S’s overseas expansion comes as it continues to struggle in its traditional United Kingdom (UK) market. The firm has reported there have been falling sales in its key UK clothing and homewares unit as well as a 2.1 per cent reduction in Like-for-like sales at the unit in the three months to the end of December, representing the 10th successive drop in quarterly sales.