Strategic Management for Taste and Preference - myassignmenthelp

Question: Discuss about theStrategic Management for Taste and Preference. Answer: PESTLE analysis Political New Zealand is having stable government with having favorable political regime in the country. The political regime change in every three years. Thus, it may pose challenge to the organization due to the fact that, with the change in the political scenario, business policies of the government may change (Kelsey, 2015). Thus, indigenous produce will have to adhere with the change in the political scenario. Economic New Zealand is one of the prominent developed countries with having high purchasing power of the customers. Moreover, rate of unemployment is also very low, which will have positive impact on the business (Kelsey, 2015). Thus, indigenous produce will have the favorable economic environment in their business operation. Social The social taste and preference pattern of New Zealand is inclining towards the locally grown food items (Denver Jensen, 2014). Thus, they will have the advantages of having local made goods in their portfolio. Moreover, the customers are educated and are having high rate of literacy. Thus, using of latest technologies and marketing strategies will also be beneficial for them. Technology Being one of the prominent developed countries, New Zealand is having good infrastructure of technologies. Thus, in this case, Indigenous produce will have the access to the latest and updated technologies. This will help them in providing the effective customer service to their customers along with enhancing their level of satisfaction and convenience. Legal Currently, New Zealand is having stable legal systems in their country. In addition, the government is initiating various incentives for the local manufacturing facilities. Thus, they will have the favorable business environment in term of the legal environment in New Zealand. Moreover, due to the reason that they are planning to export in the later stage, thus, they will have the access to the export incentives of the government. Environmental Awareness regarding the environment and climate is increasing among the customers in New Zealand. Accordingly, the government is initiating various legislations in relation to the protection of the environment (Lawrence et al., 2015). Thus, they have to maintain and adhere to these legislations. Moreover, due to the fact that they will cater to the agricultural products, thus, they have to regulate the use of artificial chemicals, which will have impact on the environment. Threats of globalization One of the key threats of globalization for indigenous produce is the increase in the competition. There are various global organizations, which are operating in the same sector of them (Almeida, 2012). Thus, entry of these organizations in New Zealand will make difficult for indigenous produce to operate. Moreover, due to the fact that they are a start up, thus it will be difficult for them to compete with the global brands. Another threat of globalization for them will be the inflow of more sophisticated technologies, marketing activities and produce portfolio. The entry of global organizations will also make the way of having diversified product portfolio in the market (Dancygier Walter, 2015). This will make difficult for indigenous produce to compete in the market. the technologies that will be used by the global organizations will cannot be matched by them. Vision statement The vision statement of them should be to be the market leader in the agricultural food sector with having the most market penetration along with having global presence in every major city around the world. This vision statement is serving the basic business principles of them. This is due to the fact that, this vision statement is stating the objective of having the market leader in their business sector (Kirkpatrick, 2016). Thus, accordingly they will operate in the market. Moreover, this vision statement is also stating the objective of being the global leader, which will also motivate them to enter in the global market. Mission statement The mission statement of them will be to provide the customers the best quality products with having no artificial pesticides and fertilizers along with providing the customers enhanced convenience. This mission statement will help them to provide the customers organic agricultural products to the customers (Dermol, 2012). Moreover, customer convenience is also being mentioned in this mission statement. This will motivate them to concentrate more on the enhancing the convenience of the customers. SWOT analysis Strengths Product portfolio having locally manufactured items. Cost efficiency in marketing the local items. Preference of the customers towards the locally manufactured goods (Autio et al., 2013). Weaknesses Being a startup they are having less experience in the market. Product portfolio is having only the agricultural food products, which will limit their market expansion opportunity. Inferior quality of the locally manufactured goods compared to the global items. Opportunities Entry in the global market is having huge opportunities for them with increase in market share. Preferences for the organic food items are rapidly increasing. Opportunity in entering in other sector of organic food items in future. Threats Entry of the global competitors in the market of New Zealand (Hill, Cronk Wickramasekera, 2013). Change in the preference pattern of the customers from locally manufactured foods. Increase in the cost of production in the local agriculture crops. McKinseys 7s analysis Strategy The strategy of indigenous produce is to tap the domestic market first and then going for the global market (Singh, 2013). Accordingly, they have chosen the locally manufactured goods to offer to the customers. Thus, in order to cut off the competition in the market. Their strategy is to offer local and organic products among the artificial products being offered by the competitors. Structure Due to the reason that, indigenous produce is a startup organization, thus, currently, they do not have any hierarchy in the organization, which will help them to work in more coordinated manner in the initial stage along with effectively determining the ground requirement (Singh, 2013). Systems As discussed earlier, they currently do not have any hierarchical structure and thus, the organization is not being divided in various departments. However, the founder members have being assigned the departments based on their background. Shared values The value that this organization maintains is enhancing the ethics in providing the effective and true products to the customers. The internal organization is being managed in such a way that, all the stakeholders will strive to provide the positive customer experience. Style Due to the reason that, this organization is not having proper organizational structure, thus they are following shared and participative style of leadership (Gonos Gallo, 2013). It helps them to determine the requirement of the market and the employees more effectively. Staff Currently, they do not have any gap in the organization due to their limited approach in the market. However in the later stage, they will have the need of having more diversified employees with the increase in their business presence. They will have the need of having expertise employees in developing the agricultural products, which will help them to gain competitiveness in the market. Skills The skills being possessed by the employees ranges from marketing skills to having the skill of communicating and managing the partners. Financial skills are required. However, currently, they are in the need of marketing skills, which are not being managed by the current employees. Thus, as they are expanding their market presence, the need for more marketing people will be faced by them. Five force analysis of Vodafone Rivalry with competitors Vodafone is having high number of competitors in the markets. Moreover, some of the competitors are providing the same service in much lesser price. This is further depreciating the business potential of Vodafone (E. Dobbs, 2014). Bargaining power of buyers With having several competitors in the market, customers are having upper hand in selecting their network provider. Thus, this force is high for Vodafone (E. Dobbs, 2014). Bargaining power of suppliers Vodafone is having higher profit margin than its competitors and thus, it helps them managing the risk of the increase in the cost of the suppliers (E. Dobbs, 2014). Moreover, there are various suppliers being available to Vodafone. Threat of entrant Entering in the telecom sector involved huge cost and thus, the threat of new entrants is lower for them. Treat of substitute Vodafone is having huge number of substitutes in the market with having good number of competitors in the market. Thus, this force is lower for them. Thus, from the above analysis of the five force of Vodafone, it can be concluded that, telecom industry in the New Zealand is having huge number of organizations and competition. Thus, industry is not attractive enough for the new entrant as this will only reduce the profit margin. Growth strategy is being implemented by Amazon. This is due to the reason that, the core business of Amazon is online shopping and thus entering in the Smartphone market is a dimension of growth strategy (HAllback Gabrielsson, 2013). This will help them to cater to more number of customers. Prior to the release of this device, Amazon have identified the shopping pattern so the customer in their shopping portal. This helped them to identify the use of the Smartphone by them for online shopping. Accordingly, they have added features in their new phone. This strategy will not be successful due to the reason that, in the current scenario, Smartphone is associated to the customers for various alternate uses. Online shopping is one of the dimensions. Thus, concentrating only on one dimension will not help Amazon to market their products. Reference Almeida, P. (2012). Subnational opposition to globalization.Social Forces,90(4), 1051-1072. Autio, M., Collins, R., Wahlen, S., Anttila, M. (2013). Consuming nostalgia? 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