Quickly they are shade to the large group

Napoleon Bonaparte, connoisseur of British morals, took England to "a nation of shopkeepers." Trade is actually there old and serious thing. This is probably that the country has resisted so far the onslaught of hypermarkets and other "hard discounters". Britain prides itself on its "High streets" animated, these main streets of towns and villages rich signs of all kinds. Although since twenty years, the independent left the place to large integrated chains. But since last year, "high street", become the term to designate the trade of ville, go wrong.

On its Internet site, the "guardian" newspaper offers a small interactive animation. Stroll along the main street and is clicked signs whether they have won or lost the competition of the balances of Christmas. In fact, more than one in two is a "loser". And the recent bankruptcy of Centennial Woolworths showed that it was no longer a game. Or then a game of massacre, which best reflects the alarming state of the British economy and is strip the smaller distributors. Since the beginning of the year, there are more than 30 major signs that have put the key under the door or is placed under the protection of justice. And those that are still standing are not large. Last week, the most prestigious institution of "high street", Marks & Spencer, has announced closing 27 stores and deletions of jobs at its headquarters.

To save his season, the chain held monsters balances before Christmas. At the time, it has preserved its market shares of over its profit margin. Old dilemma of the grocer that prices and market share against the margin. When he opened his first store in Leeds in 1884, Michael Marks, a Russian émigré, hung a sign which was registered in the pediment "Don't ask for the price, it's a penny" (do not ask the price, it's a penny). But, since then, Marks & Spencer rather became the chic classic british specialist, promoting all - going. Meanwhile, the company invented almost all codes that are now the fortune of the great trade around the world: mark followed clean, direct relationships with suppliers, quality, service. It is now the first seller of clothes of the country and a niche player in the high end food.

But the conditions that depressed morale of British consumers does not explain everything. Because, if sales of Marks & Spencer have plummeted in the last quarter of 2008 (the second of its fiscal year offset) more 7, this is not the case of all its competitors. The grocer Sainsbury, for example, which has been more cautious on discounts, managed to record an increase of more than 4 of its sales. He sold less but more expensive. In fact balances, a fortiori when they occur in times of crisis, act as a ruthless developer. Because, if the signs are forced to stand in the labels of spectacular 50, it is because they must liquidate of unsold to save a turnover over nothing.

In the case of Marks & Spencer, the difficulties come from below.

The Group seems to be getting in trouble whenever he attempts to get out of its square meadow which has made its reputation. He sold at approximately equal clothes, man, woman and child, and food, primarily of prepared dishes, rather high-end, and other fruit and organic vegetables. Two complementary specialties: very cyclical high margin clothing, the other the more stable and less dependent on fluctuations alimentaire monetary car produced locally. Product innovation (permanent press, washable clothing machine, panties and socks economical, exotic dishes, etc.) have long made the reputation of its production still sold under the Brand Marks & Spencer (and his Saint-Michael label). The decades of 1980s and 1990s were those of the export of this model to success. The British empire in the reconquest of the world.

An epic which brutally ended on the threshold of the year 2000, when appeared new emblems of small price, such as Zara and H & M fashion, and that the wise men crossed blazers and other pleated skirts were eventually tire consumers. Company had, moreover, seen too large with large stores, such as the boulevard Haussmann in Paris. The blow of bar was brutal, as often revel, where the pressure of the shareholders is considerable. Just arrived, the new CEO, Belgian Luc Vandevelde, the former of Carrefour, size axe. Change of the management team, closure of the stores in continental Europe, sale of us subsidiaries and refocusing on the core business: own brand for classic customers, the only United Kingdom. In passing, he regains control of the logistic chain a little released in periods of expansion and launches the company still in fashion (but with another brand) and decoration.

In 2004, small weakness, new beginning, Stuart Rose, a veteran of the House, is equivalent to the commands. Without change course, but in renewing the direction yet, he understand that ambition time returned to reconnect "with the image of the glory days". The profits go back up to 1 billion books for $ 9 billion in sales. National expansion (new stores) and international resumes, but remains shyly at the stage of the franchise. But, as soon as Marks & Spencer out of his specialty, the problems return. To develop the power, the group opens small specialized surfaces. Quickly they are shade to the large group. In addition, they must open up to other brands to attract consumers but, suddenly, do differentiate more than a regular grocer, if this is the high price of dishes... and the difficulty of supply.

As of 2007, sales in this area begin to decline. The crisis is only accentuate the phenomenon. It is finally as if the company remained trapped in the past, condemned to the Kashmir, to wise underwear turtlenecks (the firm is one-quarter of the English market) and chicken tandoori, when its new British or foreign competitors compete daring youth and families. It is not some 8 of sales abroad, made only in high-growth area but where everything is to rebuild, which will change the situation. Unlike what Stuart Rose, the problem is not that the firm has lost the image of its glory days, but that it is locked.