What extent was Honda apparent strategy deliberate and or emergent

CASE 1

THE HONDA EFFECT

Q: 2 To what extent was Honda apparent strategy deliberate and or emergent?

Definition of Emergent Deliberate:

1An emergent strategy is a pattern of action that develops over time in an organization in the absence of a specific mission and goals.

As per Honda case research was not enough to convince the implementation of large machine motorcycle for American market (my opinion).

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Deliberate strategy this involved planning and study bases on the environment and industrial performance.

2As per Honda Case the Emergent are as follows:

Americans external restrictions on investment were very powerful but Honda was not give-up although they wait for so long to get started.

Since from the beginning the publicity was bad compared with other rivals, the undergraduate students of the university tried their best on Honda campaign to advertise the Honda, although the Honda Management was against the proposed selected with the advertising firm.

Promotions made for bigger motorcycle machine which at the end ceased due to the engine fault. They were confident with 250cc to 350cc motorcycle machines, the appearance was amazing and attracted.

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As per Honda Case the Deliberate are as follows:

Technical problems with larger motorcycle 250cc and 350cc were sluggish and plagued by mechanical failure Honda incurred cost on airfreight motorcycle back to Japan for repairs.

Honda’s staff decided to use 50cc supercub for transport apparently was advantageous to use as sport activities. The awareness of being fun for sport helps Honda to sell those supercubs.

Conclusion and Recommendation

Honda was supposed to be very careful before starting implementing big machine in USA, they was supposed to export few motorcycle in order to see the outcome before exporting much.

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References

CASE 2

LAURA ASHLEY

Q. 3 Recommend a new Mission Statement and/or Vision Statement for Laura Ashley

Mission & Vision Statement

3Vision Statements and Mission Statements are the inspiring words chosen by successful leaders to clearly and concisely convey the direction of the organization. By crafting a clear mission statement and vision statement, you can powerfully communicate your intentions and motivate your team to realize an attractive and inspiring common vision of the future.

4Mission Statement aims to provide employees and stakeholders with clarity about the overall purpose of the organization.

5Vision Statements is an organizations purpose which communicates both the purpose and values of the organization also it gives direction about how they are expected to behave and inspires them to give their best.

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6Importance of Vision and Mission Statement

Facilitate the translation of objectives into a work structure.

Specify organizational purpose and then translate these purpose into objectives in such a way that cost, time and performance parameters can be assessed and controlled.

Serve as a focal point for individuals to identify with the organizations purpose.

7Recommended Mission Statement for Laura Ashley

To offer customers new ideas with exclusive collection of unique home decorations and help them to express themselves how proud are they for internal design of their homes. We will realize our mission by setting the highest standards in service, consistency and quality.

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8Recommended Vision Statemet of Laura Ashley

Being known worldwide as the brand of home decorator, to inspire moments of optimism and happiness to customers, to create value and make difference and accomplish, quality growth and implement innovative strategies that build enduring customer relationships.

References:

CASE 3

APPLYING A BALANCED SCORECARD

Q. 2 What arguments would you use to persuade an organization to adopt the Balanced Scorecard approach?

What is Balanced Scorecard?

9The balanced scorecard is a key issues from the business environment and the strategic capability of organisation that are most likely to impact on strategy development. This can also be useful as a basis against which to generate strategic options and assess future courses of action.

History of the Balanced scorecard

10In 1992 Harvard Business School professor Robert S. Kaplan and Management Consultant David P. Norton. Kaplan and Norton’s research led them to believe that traditional financial measures.

11An Example of the Balanced scorecard

The Balanced Scorecard concept involves creating a set of measurements for four strategic perspectives: 1) Financial 2) Customer 3) Internal business process and 4) Learning and Growth.

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12What arguments would you use to persuade an organization to adopt the Balanced Scorecard approach?

Comparison – Balanced scorecard is very important tool which helps to compare future and past experiences within the firm and other firms.

Better Alignment – Dutch Shell group used balance scorecard to align between all operating units within the company and focuses attention on identifying areas where needs to improve.

Measurement – Performance measures that considers Customers, Financial, Learning and Growth and Business Processes. Balanced scorecard helps a firm to develop and grow by easy targeting customer groups from which the business expects growth and profitability by measuring market share, account share, customer retention, customer satisfaction and customer profitability.

Conclusion

Balanced scorecard helps companies focus on what has to be done in order to create a breakthrough performance, and meet the company goal.

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CASE 4

FIAT; REBIRTH OF A CAR MAKER

Q: Analysis for 2004 and 2008 SWOT factors. Briefly explain your analysis.

Definition: SWOT

13The SWOT Analysis is one of several strategic planning tools that are utilized by businesses and other organizations to ensure that there is a clear objective defined for the project or venture, and that all factors related to the effort, both positive and negative, are identified and addressed. In order to accomplish this task, the process of SWOT involves four areas of consideration:

14SWOT

Strengths: characteristics of the business or team that give it an advantage over others in the industry.

Weaknesses: are characteristics that place the firm at a disadvantage relative to others.

Opportunities: external chances to make greater sales or profits in the environment.

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Threats: external elements in the environment that could cause trouble for the business.

152004

162008

17The change of the General Manager helped Fiat to change direction to greatest strength compared to past years. It has been very known and growing carmakers and most solid European car makers. The SWOT comparison for 2004 and 2008 indicates less Weakness and Threats in 2008 compared with 2004, this is good sine for Fiat growth from emerging markets and to be the world’s leading manufactures in the rapidly expanding market. Fiat expected to play in lower cost and use the new technical skills. Fiat has joint venture with Tata in India and also has similar deal with of launching in China.

CASE 5

THE PROFITABILITY OF UK RETAILERS

Q. 1. Are British Supermarkets more Profitable than their European and US counterparts?

Introduction

18A supermarket is a self-service store offering a wide variety of food and household merchandise, organized into departments. It is larger in size and has a wider selection than a traditional grocery store, also selling items typically found in a convenience store, but is smaller and more limited in the range of merchandise than a hypermarket or big-box store.

19As per the case study British Supermarkets are very successful with high growth, more profitable innovative, confident and willing to invest more compared with other European counterparts. It is very strong for the international competitors.

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20British Supermarkets have an advantage of having high quality buildings compared to other European counterparts who have restrictive land and very expensive. It will be very difficult for them to increase their market share and development opportunities on running business in the small shops. Another advantage is application of new technology to logistics their distribution systems are centralized with delivered to a small number of company warehouses, lower labour costs due to the lower social costs borne by employers and proportion of part time labour in supermarkets.

21The comparison results shows that British Supermarket groups are the best compared with other counterparts this is because the gross margin is very higher due to the average cost of goods sold is lower than others.

British margins and those of Continental and US operators is the nature of competition in the different markets Price plays a much more important role in USA and other country in Europe than Britain.

Reference:

CASE 6

NOVOTEL VALUE CHAIN

Question: What are Novotel’s Competitive Advantages?

22Competition is a contest between individuals, organisations, etc. for territory, a niche, or a location of resources. It arises whenever two or more parties strive for a goal which cannot be shared.

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23Novotel is brand Hotel chain within the Accor group. Novotel operates within both individual and corporate business and leisure markets in different countries.

24Novotel has a lot of advantages to compete with their competitors, including unique layout of the Hotel, advanced technology, good facilities, marketing and promotion and good location. Most of Novotel Hotels are located in the cities with excellent atmospheres.

25The organization is strong and stable as have been established for a long time and managed to change system in order to maintain universal quality standards.   They can exploit new areas fairly quickly and easily, largely due to the fact that they have management control.

26The concept of hospitality is to implement by other key elements in service delivery. Novotel doing the best to monitor and to control the standard of service. Implemented of ’95 Bolts” in Novotel helps to direct, control and emphasise structure elements of service.

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27Staff is the main key point in hospitality industry, Novotel doing very well to train their staff, motivate and retain. Skilled manpower staff enables developing, flexibility and performance to the multi function within the company, the results of these are delivering of excellent services to the customer to make them happy and memorable stay.

Reference

CASE 7

THE LEVI’S PERSONAL PAIR PROPOSAL

Q. 4: Should Levi go ahead the joint venture with CCTC and implement the Personal Pair project? What would you recommend and why?

28Levi Strauss & Co. is the very known and largest private brand company owned by the family of Levi Strauss. Levi dealing with selling Jeans for women, men and children, for the sell of shorts, skirts, jackets etc.

The company did very well from 1964 – 1975 and became very recognized brand and leading purvey of blue jeans worldwide. Competition resulted Levi Strauss to drop by 35% of the income.

Challenging which Levi Strauss was facing including the size better fit as most of women were not happy with their jeans size, colour and style. New technology which would lower distribution costs and inventories of unsold products.

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I am recommending Levi Strauss & Co to go ahead the joint venture with CCTC as this specialized with serve for customer’s requirement which will work with the competition which Levi facing. Implementation of the new technology will bring products to the market at the earliest. Accurate measurement record will help to get what customers need and within a very short time will be in a position to get best available size.

On my opinion Levi Strauss will improve their value chain when will be approached CCTC to be joints. No more cost will be incurred encore as they will use same jeans materials for the processing. Jeans would become a political statement and an American icon, as all jeans soon become known generically as Levi’s. Levi Strauss has been, and remains, largest bran – Apparel Company in the world and number one purveyor of blue jeans in the world.

Reference

CASE 8

THE VIRGIN GROUP

Q. 2. Are there any relationship of strategic nature between the business within the Virgin Group?

YES:

29Relationship of strategic is agreement between two or more entities to conduct specified activities or processes, to achieve specified objectives such as product development or distribution.

30As per the case study Virgin group have a little sense of Management hierarchy and there seemed to be a minimum of corporate bureaucracy.

The implementation of joint ventures helps Virgin group to be flexible and limited risks. Although each business or group of business ran its own affairs but were tied together through a degree of shared ownership and values.

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31Joint Ventures is a strategic alliance in which two or more firms create a legally independent company to share some of their resources and capabilities to develop a competitive advantage (http://en.wikipedia.org/wiki/Strategic_alliance).

32Virgin group expanded into new market by provided the brand and majority of capital.

It has joint venture with an Australian Logistic company, Wireless industry and clothing and cosmetics, Airline.

Advantages of joint venture are, the company will benefit by the growth of turnover without having to lose their identity, competition may be eliminated, company shares responsibilities.

Disadvantages of Joint Ventures sometimes failed to achieve the desired results, also management disagreement might occur.

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Virgin group has consolidated companies among them are Virgin Cola and Virgin Vodka these companies consolidated into one drinks business. This help financial statements to be consolidated in one of Virgin group for internal use.

33Franchise is among of relationship of strategic to Virgin group for being utilized by the trains. Virgin Trains is the brand name of Virgin Rail Group. It has operated the West Coast passenger train franchise since 1997.

Reference:

CASE 9

EASY GROUP

Q. 2. How would you characterize easyGroup’s growth strategies in terms of the Ansoff Matrix?

34Introduction

Easy Group is a brand and licenses which offers the varieties of activities in productivity, Sales and Marketing level. Easy brand operates in most of important sectors including travel, leisure, serviced office accommodation etc.

The Ansoff Matrix

The Ansoff growth matrix is a tool that is engaged in business which assists the business to decide their growth strategy. It is useful tool to use as entails combinations of Market Penetration, Product Development, Market Development and Diversification.

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35Market Penetration: Easy group achieving the productivity benefits on growth of existing products, the achievement will help the company to grow. The main strategies is gaining competitors customers, better product quality, maximum level of services and efforts to encourage new customer eg. Easyrenta Car.

Market Development: Another strategy of Easy group growth is by targeting its existing products to new market segments. Easyjet is targeting business travellers with its low air ticket fare.

Product Development: Easy group, particularly Easyjet has grown by introducing new flight routes thereby further developing its product range.

Diversification: Easy group is bringing forward new business ideas for its existing market segment such as easyInternetcafe, and easymoney.

Conclusion:

Easygroup have the access of lowering their prices of their products; incentives and discounts. Different channels of distribution, apart from the new Technologies help customers to make them more attractive.

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CASE 10

MANTERO SETA SPA: A STRATEGY FOR CHINA

Q. 4. Would you recommend transferring Mantero Seta’s production capacity , in – full or in – part, to China?

Introduction

Mantero Seta Spa is an Italian company producing and distributing of high-end accessories and garments.

36Chinese Market overview

Couple of issues appeared on decided to implement Chinese business although already have an office in China which supplies of silk fibre and yam.

It is potential to implement Chinese business, as the number of population is very high and also China have stable economic growth. Most of International luxury brands had decided to move to China for business which creates a lot of competition and brand recognition. Lower cost of material, labour, internal transport, energy and communication are the main advantages on operating in the Chinese market.

China is facing with undervalued currency compared to US Dollar this is due to sustainability for the high level of economic growth and consumption. Government adopted registration policy for new companies that planned to enter to Chinese market for the full protection of fake fashion luxury products. The lever of technology and techniques used in China’s was still old, therefore implementing new technology cost and training workers will be high.

37Conclusion:

My view Mantero Seta SPA will fail if will fully engaged with transferred full products in China. I am recommending to transfer in part, they are supposed to plan how flexible enough to deal with changes and radical adjustments.

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