Student Number: s173768 Module: Financial and Risk Management Module Leader: Dr. Atul Shah Assignment Title: John Lewis Partnership Assignment Weighting: Assignment 1: Semester 1 Hand-out Date: 14th May 2017 Hand-in Date: 12:00 Noon, 29th May 2017 Assignment Length: 4000 words +-10% Actual word count: 4126 Words Table of Contents 1. Evaluate the core business of JLP and its key sources of Risk, Profit, and Financial Value. Critically analyze its financial performance for the financial year-ended 2016. (40 marks) 3 1. 1 Core Business of JLP 3 1. 1. 1 JLP Products 3 1. 1. 2 JLP Services 4 1. 1. 3 Waitrose Products and Services 5 1. 2 Key Sources of Risk 6 1. 3 Key Sources of Profit 8 1. 4 JLP's Financial Value and Performance for the year ended 2016 page30 10 2. Critically evaluate the operating culture and ethics of JLP. How do these influence JLP's financial performance, relative to the retail sector? (30 marks) 12 3. Compare the stakeholders and governance of JLP with that of Marks and Spencer. Critically comment on your findings. (30 marks) 14 References 18 1. Evaluate the core business of JLP and its key sources of Risk, Profit, and Financial Value. Critically analyze its financial performance for the financial year-ended 2016. (40 marks) John Lewis Partnership (JLP) is a chain of upmarket departmental stores and supermarkets called Waitrose. The company was founded and started from the heart of the United Kingdom by the JLP group led by John Spedan Lewis in 1864. Ever since they started operating, the business has managed to grow to a group of over 80 000 partners who are actively engaged in the business, as owners. The business now comprises of 39 JLP shops, 294 Waitrose supermarkets and an online and catalog business. The JLP Departmental store specializes in selling a wide range of products from clothes, furniture, hardware and technology, as well as a variety of services. Waitrose focuses more on groceries and online services. Therefore, as a Partnership their core business is better explained by what they offer as a business.
1. 1 Core Business of JLP The JLP owns two main businesses which are the JLP Departmental store and Waitrose Grocery store; both businesses offer distinct products and services, so to begin with let us look at the departmental store's core business.
The JLP departmental store offers quite a vast range of products and services which are explained below:
1. 1. 1 JLP Products
At the departmental store, they sell clothing products from distinct brands, including their own branded clothes for all ages. They also sell tailor-made clothes where they take actual measurements from the client, and they design them according to what the customer desires. They sell home furniture for instance garden chairs, beds, couches or sofas and curtains. Most of these products are manufactured from their Lancashire mill called Hebert Parkinson. Under electricals, they offer products such as televisions, sound systems, and kitc...
