25+ documents containing “Business Success”.
Can you help me to write a literature review according to the topic attached?
My problem and propositions are listed below and also see the attached business proposal.
Problem and Proposition:
Problem: Creativity and Business
Proposition A: Creativity is important and business success relies on employee creativity.
Proposition B: Some businesses do not maximize employee creativity
Proposition C: Although business creativity relies on employee creativity some do not maximize employee creativity.
My instructor reviewed the attached proposal and please also find his comments below:
"You raise some interesting questions but it is still not clear what the problem is that your research question will inform or solve you have some choices to make"
Question 1
A) Suggest an idea that could turn into a business proposition using business competition chain. Word count: 400 words
B) Based on the idea produced in question 1 part A, explain the main difficulties/barriers? Word count: 400 words
Question 2
A) Reflect on the possibility to finance the new business. Note the case study ?Supporting new business start-ups? provides you with different ideas to be considered. Word count: 250 words
B) Illustrate on the types of risks when answering. (Refer to enterprise value-cycle.) Word count: 400 words
Question 3
List and clarify STEEP and seven P?s when introducing a business idea. Word count: 400 words
Question 4
Identify and explain what is meant by the market research cycle. Word count: 625 words
Guidance to Question 01
Keep in mind that this question is intended to test the ability of being innovative. Try to express your idea logically creatively using the business competitive chain. B) Each venture has its barriers; you should propose solutions to overcome these obstacles.
Guidance to Question 02
This questions aims to reflect various types of finance to start a business. B) Enterprise Value-cycle will help you identify those risks when applying the idea.
Guidance for Question 03
You should be able to connect STEEP and the 7P?s to the proposed ideas.
Guidance for Question 04
Enable the reader of your conscious of the seven stages of the market research cycle as to what each entails.
Case Study
Supporting new business start-ups
This case study looks at the challenges of setting up a new business. It looks at some of the decisions that must be made by a budding entrepreneur. It outlines some of the services and support that are offered to business start-ups by a financial institution like Barclays.
The business idea:
An obvious starting point is the business idea. Many people think that they might have spotted a business opportunity. Translating that thought into action is another matter. There are many ways of coming up with a bright idea.
Source of Ideas Examples of idea Example
Developing a hobby A gardening service
Using your skills A service creating and maintaining websites
A chance idea Producing a musical toothbrush
Combining two ideas Running an Internet caf?
Many people are inspired by existing businesses. Tim O?Neil runs T&T Vision, a business that sells spectacles through an online shop on eBay. Tim got the idea for his business in his first year at university. His father bought a pair of reading glasses online. This seemed a good idea for an e-commerce business.
Before setting up a new business, there are important questions to answer. This requires
market research to systematically gather, record and analyze data about the market for
the planned goods or services. This is an ongoing process as markets are always changing. However, some market research is essential before starting any new business.
Secondary (or desk-based) research will answer many of these questions. Secondary research involves scanning already published materials such as reports, patents and statistical data. This research will help a business to decide on its marketing mix. The marketing mix or/and the seven P?s
Types of business organization: If the initial market research suggests the idea is a good one, then the entrepreneur must consider the practicalities of setting up the business. There are three main types of business form:
1. A sole trader is simple to set up - there is no complicated paperwork. The owner of a
sole trader enterprise, such as plumbers, window cleaners and professional writers, has
complete control of the business. However, there is nothing to prevent a sole trader taking
on employees and many do. The sole trader takes all the profits (after tax) but is liable for
all debts the business incurs. This means that if the business makes a substantial loss, the
sole trader may be forced to sell personal assets such as their house to cover the business
debts. In worst cases, sole traders may face bankruptcy.
2. A partnership consists of between two and 20 partners. Partnerships are a common
form of business for many enterprises offering professional services, such as doctors?
surgeries, accountancy practices and design businesses. Partners can bring more capital
and a wider range of skills, work and ideas to the business. However, partners can and do
fall out. Like sole traders, most partnerships also have full liability for any business debts.
3. A limited company is a legal entity. This means, for example, that if a company owes
someone money, the creditor can take the company to court. Because of its legal status,
it is more complicated and more expensive to set up a limited company. Any new (or
small) business choosing this form of structure will become a private limited company. The entrepreneur setting up a new company is likely to retain a large shareholding but may offer shares to some investors in return for capital. However, unlike the public limited companies (PLCs) listed on the stock market, these shares cannot be sold to the general public.
A limited company is owned by its shareholders, who are entitled to a share of any profits and a say in the running of the business. The main advantage of this type of business ownership is that it offers shareholders limited liability. Shareholders are not responsible for the full amount of any debt incurred by the business. The liability of each shareholder is limited to the amount of capital they have invested in the business. This is why this form of business is attractive to many entrepreneurs.
Budgeting and business planning: Many businesses fail in their first year of trading. There are many reasons, but typical ones include: a) lack of understanding of the market ? a failure to carry out market research b) underestimating the strength of the competition c) failure to secure adequate finance d) inaccurate estimates in constructing budgets ? for example, revenue forecasts are too high and/or cost estimates too low.
A well-structured business plan, including budgets, can help a new business to avoid
such problems. A business plan provides a forecast of costs and revenues over the planning period. It sets out how sales will be achieved and how the business is to be financed. Banks expect to see a business plan before agreeing to any loan request. Many banks provide tools to help owners draw up business plans.
It is important for a new business to have clear budgets. A budget is based on the business objectives and identifies key factors, such as what money is needed, for what purpose and where it will come from.
A budget also considers the assumptions a business may need to make about variable
factors, such as interest rate changes or volume of sales. A detailed budget plan with clear
targets will help give a business control by: a) ensuring money is spent on the right activities b) drawing attention to waste or loss c) focusing on areas of the business that need review, for example, if revenue is not meeting target or if costs are rising.
A budget will also take into account expected cash flow so the business can assess if its
income will cover its expenditure. Difficulty with cash flow is common. It is unlikely that a new business will make a profit in its first few months of trading. It takes time to build up a business and win new customers. Many new businesses offer credit terms to customers so they must wait to be paid. The result is that the business is often short of cash.
Financing a new business
Some new businesses need little start-up capital. An online retail business like T&T Vision does not require substantial funds to buy premises or a large selection of stock for display. Other types of business require significant finance for premises, equipment and stock before they can start trading. The owners of any new business, whether sole trader, the partners in a partnership or the shareholders in a limited company will be expected to provide some capital. However, there are other sources of business finance available to meet day-to-day expenses or to buy more expensive capital items:
? An overdraft. This arrangement, agreed in advance with a bank, allows a business to
spend more than the funds available in its account up to an agreed limit. The business can
dip into this ?pot? as and when it needs to, for example, to pay a pressing bill. The
flexibility of an overdraft means the business can pay the bill immediately and the overdraft is automatically repaid once sufficient funds are deposited in the business? account. However, a business pays interest on the amount it owes. Interest rates on overdrafts can be higher than on other, less flexible, ways of borrowing.
? A business credit card enables a business to borrow flexible amounts quickly and for a
short period of time. Banks will usually place tight limits on the amount that a new
business can borrow on a credit card. If the amount borrowed is paid back in full at the
end of each month, the business does not pay any interest. However, interest is charged on any remaining balance until the amount is repaid. Like overdrafts, these interest rates can be higher than other ways of borrowing because of the flexibility of the arrangement.
? A bank loan. Most banks offer bank loans for business. They are useful for borrowing larger amounts, for example, to pay for set-up or expansion costs. For example, it may have to be located in an area of economic deprivation or the owner may have to be under a certain age. One avenue not usually open to business start-ups is venture capital. As the television program Dragons? Den shows, venture capitalists put money into an enterprise in exchange for a share of the business. They would always expect to see some evidence of business success before investing.
A new business is also likely to need financial advice. Banks recognize that a business has different needs to that of an employed person who has regular pay coming into a bank
account:
? A business needs a means of handling payments from its customers, of making payments to its suppliers and of managing its cash flow.
Conclusion
Starting up in business is an exciting challenge. However, it is necessary to have a good idea, a clear understanding of the market and financial knowledge and skills to support the business? development. A detailed business plan will help a business avoid failure by:
a) Researching the market b) Assessing the competition c) Predicting revenue and costs accurately d) Securing adequate finance.
Note:
? Please to use the Times New Roman Font Size 12
? Line spacing should be 1.5
? All pages should be numbered
? Keep wide margins
? Align text to the left. Don?t justify leaving spaces between words
* Harvard Style Referencing.
APA Style 11 pages 20 references 12-point, double-spaced, Times New Roman font
The paper need to be on What a small business needs to do to compete against big box stores such as Wal-Mart, Home Depot, ect. I have the references and title for the paper.
I also have an account with Questa
Paper should have a stated introduction, developed body, and a conclusion or summary.
The paper needs three major headings developed to a third stage.
Body of paper talk about it in the body
a. Management what a small business needs to do to compete against a big box store.
b. Marketing how can a small business market to customers in a way large business do not?
c. Service how can a small business offer service in a way that big business big box stores dont?
Conclusion tell them what you talked about.
References (below are approved already)
References can be no older than five years old.
Backman, M., & Butler, C. (2003). Big in Asia: 25 Strategies for Business Success. New York: Palgrave Macmillan.
Bannock, G. (2005). The Economics and Management of Small Business: An International Perspective. New York: Routledge.
Call to Women to Increase Exports. (2003, August). Business Asia, 11, 29.
Clinkinbeard, C. (2005). Hypergrow your business: double, triple, or quadruple any business by harnessing the natural laws of growth. Topeka: Strive publishing.
Daily, C. M., & Dalton, D. R. (1993). Board of Directors Leadership and Structure: Control and Performance Implications. Entrepreneurship: Theory and Practice, 17(3), 65+.
Edmond, A. (1994, February). Making the Most of NAFTA: Here's What to Do When the Barriers to Mexico's Markets Come Down. Black Enterprise, 24, 39.
Gilliam, S. (2007, November). In Case of Emergency: Strategize Preparedness for Small-Business Owners in Handling a Crisis Is Key. Black Enterprise, 38, 52+.
Grossman, L., & Jennings, M. M. (2002). Building a Business through Good Times and Bad: Lessons from 15 Companies, Each with a Century of Dividends. Westport, CT: Quorum Books.
Henderson, W. (2007, January 30). Small-Business Nightmare. The Advocate 13.
Holmes, T. E. (2007, June). Making Sense out of Energy Deregulation: What Small Businesses Need to Know to Cut Back Costs and Boost Their Bottom Lines. Black Enterprise, 37, 62.
Huff, P. A. (2003). Understanding Fundamentalism: Christian, Islamic, and Jewish Movements. International Journal on World Peace, 20(1), 83+.
Hunter H., & Saperstein, J. (2008). Improve your marketing to grow your business: insights and innovation that drive business and brand growth. New Jersey: Wharton School Publishing.
Johnson, D., & Turner, C. (2003). International Business: Themes and Issues in the Modern Global Economy. London: Routledge.
Julien, P., & Raymond, L. (1994). Factors of New Technology Adoption in the Retail Sector. Entrepreneurship: Theory and Practice, 18(4), 79+.
Kaplan, S. (2008). Bag the elephant! How to win & keep big customers. New York: Workman Publishing.
Kaye, R. & Hawkridge, D. (Eds.). (2003). Learning & Teaching for Business: Case Studies of Successful Innovation. London: Kogan Page.
Krug, B. (Ed.). (2004). China's Rational Entrepreneurs: The Development of the New Private Business Sector. New York: Routledge.
Mccrea, B. (2003, October). To Join or Not to Join? Trade Groups Can Boost Business-If You Pick the Right One. Black Enterprise, 34, 38.
Mccrea, B. (2004, June). Seeking New Streams: Multiple Revenue Sources Are Critical to Small Businesses. Black Enterprise, 34, 68.
Mccrea, B. (2005, November). Virtually Yours: The Growing Virtual Assistant Industry Presents Opportunities for Aspiring Entrepreneurs and Small Business Owners Alike. Black Enterprise, 36, 116+.
Naim, M. (2006, July/August). Megaplayers vs. Micropowers: Rising Instability Is Good News for the Little Guy-And Bad for Everyone Else. Foreign Policy 96+.
Pietrobelli, C. & Sverrisson, . (Eds.). (2003). Linking Local and Global Economies: The Ties That Bind. New York: Routledge.
Prencipe, A., Davies, A., & Hobday, M. (Eds.). (2003). The Business of Systems Integration. Oxford: Oxford University Press.
Ries, A., & Trout, J. (2001). Positioning: the battle for the mind. New York: McGraw-Hill
Small Business, Big Dreams: As the Nation Copes with an Ever-Tightening Economy and the Highest Unemployment Rate in a Decade, Many Gay and Lesbian Entrepreneurs Are Finding Happiness-And Financial Security-By Going into Business for Themselves. (2003, February 18). The Advocate 24+.
Stanat, R., & West, C. (1999). Global Jumpstart: The Complete Resource for Expanding Small and Midsize Businesses. Cambridge, MA: Perseus Publishing.
Taylor, D., & Archer, J.S. (2005). Up against the wal-marts: How your business can prosper in the shadow of the retail giants. New York: American Management Association
Young, S. (2007, May). Above and Beyond: Dedicated and Determined, This Year's Nominees Are True Models of Success. Black Enterprise, 37, 49+.
Analyze and discuss small business growth in terms of growth strategy, business forms, short and medium term goals, financing assistance, organizational structure and staffing needs, customers and promotion, and ethics and social responsibility. Students are expected to apply business and management concepts learned in our course.
By completing this assignment, students will meet the outcome(s):
? identify the critical business functions and how they interact in order to position the organization to be effective in the current business environment;
? explain the importance of the integration of individuals and systems to organizational effectiveness;
? describe the ethical and social responsibilities that confront a business.
?
Required Elements of the Final Project:
? Read critically and analyze the case below, Planning for Growth;
? Review the project description listed above and review the final project grading rubric, which you will find in the Syllabus and under the Course Content area of our classroom;
? In your paper, answer the following questions:
? What steps should Kelly take to organize and prioritize her business growth strategy?
? What business form might make sense, given her expansion plans, and why?
? Focusing primarily on Kelly?s short-term goals, what kind of financial assistance might be available to Kelly? Which options would you recommend, and why?
? How might Kelly?s staffing needs change? What kind of organizational structure do you think Kelly?s expanded business should have, and what is the best way for her to organize, orient, and train her restaurant staff (e.g., functional categories, units, teams, flat or vertical hierarchy) to meet the needs of her new business?
? How should Kelly deal with her current customers in regard to the change? What kind of promotion should she consider in attracting customers to her new location?
? What are the ethical issues and potential social responsibilities highlighted by this change? (Consider customers, employees, the current and new communities, and other stakeholders.) How might these issues be dealt with most appropriately?
Required Formatting of Paper:
? This report should be double spaced, 12-point font, and four to five pages in length excluding the title page and reference page;
? Format in Microsoft Word or Rich Text Format (rtf);
? Title page;
? Follow this format for your paper (based on elements detailed above)
? Title page
? Introduction
? Body, in paragraph form. Use the following section headings:
? Growth Strategy
? Business Form
? Financial Assistance
? Organizational Structure and Staffing Needs
? Customers and Promotion
? Ethical Issues and Social Responsibility
? Summary paragraph
? Reference page formatted according to APA requirements. Include at least three
? This paper is to be written in the third person. There should be no words in the paper such as ?I and we;?
In-text citations from the course material. If you use additional sources from the Internet or the library, do not forget to use in-text citations and include in the reference.
? Paraphrase and do not use direct quotes.
Case Study: Planning for Growth
Kelly?s Sandwich Stop is one of the best-known and most loved sandwich concessions in town. In business for about five years, she sells sandwiches and other lunch items made from locally produced food from her mobile food trailer. Kelly?s passion and talent for creating reliably fresh, tasty lunch fare popular among a business clientele (largely employees and shoppers) has made her small enterprise a booming success.
In the last year, Kelly added a bicycle-towed concession that travels to different strategic locations in town, selling her popular sandwiches to customers who work beyond walking distance of Kelly?s Sandwich Stop. She now has a total of four employees, all part-time, working both concessions. Because she caters to urban customers, her concessions operate on week days from 10 am to 2 pm. To promote word-of-mouth advertising, Kelly uses Facebook to publish her daily menus and the locations of the bicycle concession.
As a sole proprietor, Kelly has been pleased with her lunch business success. Now it?s time to get serious about the future of her business. In the short and medium term, she wants to see it grow into a potentially more lucrative enterprise, implementing a greater variety of food products and services, and increasing her competitive edge in the region. Ever the ardent entrepreneur, Kelly?s long-term dream is to develop her creative, health-conscious culinary skills and services into a wider clientele outside the region.
An opportunity has arisen to lease restaurant space about 10 miles away from her trailer concession location, close to a mall and the suburbs and nearer to her local food producers. Kelly has jumped at the chance. While she has hired professional business consultants to help her set up the space, design the menu, and implement the opening of the restaurant, she must also consider the short- and long-term financial, HR, and management needs of such an expansion. Kelly is particularly sensitive to her relationship to her customers, employees, and the community.
Assignment 2: Ethical and Socially Responsive Business
Because of the human aspect of ethics and its links to business success, corporate leaders must be careful about their behaviors, and how they address problems.
For this assignment, you must select the code of ethical conduct for one (1) of the following restaurants
?Cheesecake Factory (http://investors.thecheesecakefactory.com/phoenix.zhtml?c=109258&p=irol-govconduct)
?Ruby Tuesday (http://phx.corporate-ir.net/phoenix.zhtml?c=83799&p=irol-govHighlights)
?Chipotle (http://ir.chipotle.com/phoenix.zhtml?c=194775&p=irol-govConduct)
*** The choice of resturant is up to the writer I do not have a preference***
As a basis for your written assignment, you will assume that you are the CEO of your chosen restaurant. Be sure to identify the restaurant you have chosen in your written paper.Write a two to three (2-3) page paper in which you:
1.Describe key areas of the selected company's code of conduct that are of significant importance to the business, and explain why.
2.Explain the key steps that the company should take to ensure that employees follow the code of conduct.
3.Suggest three (3) ways in which the restaurant can engage in socially responsive activities in the community within which it operates.
4.Use at least two (2) quality resources. Note: Wikipedia does not qualify as a quality resource
The purpose of this study is to analyze the factors which led for the Hyundai Motor Company to expand successfully its sale marketing to the United States and intercultural management issues faced by offshoring because the mix of foreign and domestic employees and diverse human resource practices present always both opportunities and challenges. While most existing research papers have studied on the Hyundais technological operation system strategy which contributed to its success abroad, I examine on intercultural issues caused for Hyundai to divert its strategy in offshoring its production facilities and organizational changes of HMMA have contributed to the successful bottom line profit in the United States.
As the view of global marketing analyses, most manufacturing organizations have chosen their offshoring site in cheap labor wage countries such as China, India and Eastern Europe. However, in 1980-2000, many big auto manufacturing enterprises have transferred its subsidiaries to the United States which is the most developed and relatively high labor wage country. The Hyundai Motor Company was one of the countries sought in expanding the bottom line profits overseas. Therefore, I select HMMA as a role model of successful offshoring organization in the intercultural management practice.
The factors Hyundai chose Alabama for its subsidiary plant site
There were several factors appeared in Hyundais decision in selecting Alabama. According to research by McClenahen, factoring into Hyundais selection of Montgomery were the presence of a high-quality workforce, proximity to markets, an established automotive parts supply chain, and commitments made by the state of Alabama and the city of Montgomery which the Alabama legislate approved a $118 million incentives package in hopes of attracting Hyundai, and the state and local incentives approved total $234 million (McClenahen, 2002).
HMMAs relocating to the U.S. is to circumvent trade barriers and to move closer to their market by responding to growing the U.S. protectionism in the 1980s (Jung, 2006). Many other foreign auto assembly plants arrived to the Alabama State because it was cheaper to ship parts to assembly plants than to ship finished vehicles across the country (Jung, 2006). Alabamas low wages and union-free environment, local government incentive package, the availability of a workforce, and the site location which provided an easy access to market played major roles in being selected (Jung, 2006). In historically, the Hyundai Motor Company had experienced market-seeking expansions in many countries before transferring to the United States, such as Canada, Turkey, and India (Wang et al., pp. 15). One most distinguished feature of HMCs investment in the U.S. plant was the creation of North American R&D, engineering and design facilities to improve the companys technical expertise (HMC, 2003). This was necessary for HMC to acquire Americans technology to become a global automaker. Accordingly, unlike adopting only market-seeking strategy in China, India, and Turkey, the HMMAs strategy was employed as a combination of marketing-seeking and asset-seeking (Wang et al., pp. 17). For example, in China, India, and Turkey, the HMC subsidiaries introduced labor-intensive production technology and used less automated manufacturing process than its plants in Korea. There were no R&D facilities and all unassembled products were developed in Korea and transferred to China and Turkey. Thus the strategy of Hyundai transferring to the United States was innovative and aggressive methodology to seek the bottom line profit for the globalization.
During 1970 - 1990, the HMCs production management had suffered in its original Ulsan production plant in South Korea due to violent labor union activities. When South Korean economy was depressed in the late 1990s, Hyundai tried to lay-off 27 percent of workforce in South Korea and cut pay and benefits to decrease expenses. However, its militant labor union resisted the managements decision. All across South Korea, 1,200,000 employees from 125 companies participated in protests against the Hyundai and the Government.
In December 2001, the Hyundai made a 74.5 percent in net income and made a 42 percent sales increase compared to the previous year (Jo and You, 2011, p. 57). Hence, workers at the Ulsan plant went on a two day strike demanding higher wages, higher bonuses, and 30 percent share in the profits of the year as a performance bonus. However, the company opposed clearly that even though the company had done well that year, it could not accept workers demands because the increasing imported cars into South Korea were bound to Hyundai market share in South Korea. In addition, General Motors purchase of Dawoo was a threat to the company and the appreciation of the Korean currency which was becoming less competitive in international markets. The unions refused to compromise and the management also did not take a step back. The demand was high, and the negotiation was unsuccessful. Thus, the HMC decided to relocate the manufacturing plant to Montgomery which was relatively free from the influence of strong labor unions. The average percentages of unionized workers in the southern states were under 10 percent including Alabama, while those in the Midwestern States were about 20 percent (Hirsh, Macpherson, and Vroman, 2001, 52). According to Alabamas labor laws, labor union membership is not mandatory even when a labor union is organized within a company (Jo and You, 2011, p. 53).
Another reason for the HMCs relocating its plant in Alabama was the state governments incentive package. The Alabama State Government offered the HMC an attractive incentive package that included tax abatement, a site preparing grant, and access road and bridge. The state government also promised to provide job applicants with education and training programs which were worth approximately $253 million (Jo and You, 2011, p. 57) (Yang H., p.2). Furthermore, Montgomery City also tremendously supported the HMMA to build, with not only financial support but also friendship bondage between Korean culture and American culture.
The Impact of Globalization on Cross-Cultural management
Due to todays globalization, there are not only at HMMA, but today many companies still set plans for offshoring with many reasons such as competitive labor cost, setting forward bases for expanding sales markets, and advanced technology acquisition. However, most of the companies faced difficult time when initially expending their manufacturing plant to other countries due to many heterogeneous dependent and independent variables such as leadership style, organizational structure, organizational communication, governmental unknown regulatory, and tax and compliance issues (Self at el, 2011). Offshoring is defined that the transferring to overseas seeking for any bottom line profit is called offshoring, in the shift of productions, employment, and locations (Offshoring, 2004).
To be successful in offshoring, an organization requires not only adequate transportation and telecommunication infrastructure but also advanced intercultural management system. In the early part of 1980s, Japanese forerunner Subaru-Isuzu Automotive (SIA) brought the concept of Japanese Lean Production System to the United States (Jo and You, pp.45). However, in the beginning, without modifying their system to be adapted in the foreign environment, they utilized the Lean Production System so that SIA had hard time in managing because local workers resistance in emerged in the form of sabotage, protest, and confrontation against the management (Jo and You, pp.45). Without the research and development of the new system, it could be huge damage to host countrys human resource management even if the project or program is beneficial to both the originated and the host countries. This SIAs case displays that both home and host countries must be sensitive to how national cultural issues impact organizational behavior and human resource practices in becming an intercultural organization.
Due to historical and geographical reasons, South Korean and Japanese management systems as well as language structures are very similar because both countries were under Chinese culture for several centuries. Both management systems advocate the idea of strict obedience to superiors and emphasize the harmony necessary among people in the same ranking (Chan, 2011). In addition, Korean and Japanese management styles are quite different from American employment relations and management style because of Asian cultures seniority-oriented, collectivism, and power distance which may have an strongly effect on organizational behaviors and managerial operation styles. Instead of Western individualism and competition, it is critical to the business success to create and maintain a harmonic environment between employees as well as between superior and subordinates (Chan, 2011). Such cultural heritage has penetrated into Korean management practices and processes for long time. Accordingly, their managements expect naturally obedience and loyalty without any questions from employees, particularly between superior-subordinate relationships. However, the expectation of obedience and loyalty has created high power distance between a superior and a subordinate because it is inappropriate for subordinates to directly confront their superior under Korean cultural management. It had caused many human errors occurred under imminent circumstances. For an example, Korean Air Lines had more plane crashes than almost any other airlines in the world for a period at the end of the 1990s. Finally, the incumbent Korean president ordered to investigate problems. As a result, investigators found that plane crashes could be attributed to captains mistakes and his subordinates were not directly confronting the captains to correct their boss mistakes. It leads to the crashes because there were high power distances between Korean captains and subordinates. In addition, high power distance creates many passive subordinates in leading to very few suggestions coming from the subordinates, and it creates the management to be centralized unlike American decision-making style which input from the bottom, not from the top. Thus the power distance between intercultural employees in HMMA may influence communication in its organization.
The Impact of Globalization on Cross-Cultural Communication
Communication plays a vital role in domestic and global business to effectively communicate for effective operation and management as well as necessary for the individuals to express themselves and to fulfill basic needs. Even though people speak the same language, there can still be misunderstandings due to ethic and cultural backgrounds. Moreover, many misunderstanding have occurred, not only because of mistakes in the usage of words or expressions, but also because of the lack of goodwill and cultural knowledge (Najafbagy, 2008). Under different cultural knowledge, people see, feel, and process decision-making differently because of individual different perspectives on the same phenomenon. Thus it is highly possibility that miscommunications occur in an international or intercultural company if there is not cultural awareness trainings for employees. Companies that are successfully able to communicate cross-culturally have a competitive advantage because they can devote more time and resources to conducting business and less time on internal and external communication issues (Matthews & Thakkar, 2012). Thus Hyundai put maximum effort to overcome the communication disadvantage of the heterogeneous cultural management. To encourage employees to expand their cultural awareness, Hyundai encourages three-month assignment to overseas duties. For example, when the company was building a site in Alabama it allowed employees to visit and study the regional culture and the company promoted backpack travel program around the world where teams of three design their cultural experience (Matthews & Thakkar, 2012). More than 47 teams have traveled over 70 countries, including Peru, Turkey, and Greece (Matthews & Thakkar, 2012). Hyundai learned an importance that participants bring experience and knowledge to share with their co-workers and friends. Accordingly, sharing experience and knowledge spread to all other employees so that the organization grows the strength of offshoring in intercultural environments. Cross-cultural communication can affect how we interpret the action of other so that we misunderstand others action in leading to percept wrongful conclusion. For example, while a young girl alone was watching on the television, she was crushed to death when a heavy television set fell over her at a Korean immigrant family home. When the police arrived at the home, her mother cried and expressed herself saying that I killed her. She was dead because of me. But American police accused the mother of murdering because the police interpreted what the mother said literally without considering cultural background. Actually, she meant that she was ethically responsible for the young girls dead because she did not take well care of her. This story presents usual happenings not only at an immigrant family home but also at many intercultural workplaces. Therefore global leaders need to aware intercultural training at workplaces to help employees gain knowledge of the host country, enhance cultural sensitivity, and develop cross-cultural communication skills (Chein, 2012). Actually, intercultural training can help people understand culture differences, provide information and knowledge of a specific culture, and help reduce emotional challenges (Chein, 2012). Effective intercultural training can be extremely beneficial to peoples adaptation to the culture of the host country, and vice versa.
Hyundai Motor Company was established in 1967 and has developed itself as company that focuses on quality improvement and innovation for long time. Today Hyundai still expands its global sales marketing to counties which have potential to glow its bottom line profit. For the expansion to take place, the company requires effective communication that is able to overcome cultural barriers and accomplish global management initiatives. In the auto industry, effective communication is applied not only human resource management practices but also valuing the needs of its customers. After Hyundai lost market share in Canada and Turkey in the early 1990s, Hyundai learned the importance of researching the culture of a country before making profound business decisions (Matthews & Thakkar, 2012). In addition, Hyundai realized that cross-culture communication involves adapting organizational polices to fit the context of where business transactions will occur so that the management changed its strategy to more proactive on the need of customers with careful communicating. Thus the key of Hyundais success is its corporate philosophy that places the need of customers as to priority in all business areas (Matthews & Thakkar, 2012).
In 1980s, the Japanese transplants were joint ventures with US automakers such as NUMMI (joint venture of Toyota and GM), located in California, and Diamond Star Motor (joint venture of Mitsubishi and Chrysler), located in Illinois (Jo and You, 2011, p. 45). It had difficult time in overcoming the old practices of mass production of the United States due to the unmodified lean production system under the joint venture management. The Japanese employees well acquainted in the Lean Production System but it was not acquainted on the American Mass Production System. In 1988, in cooperation with Mitsubishi, the Hyundai Motor Companys first venture was offshoring its production plant in Canada, but the production plant was not successful because of poor quality products and ineffective human resource policy. In effect, HMC was not able to produce competitive vehicles against competitors such as Toyota and Honda and HMC mismanaged Canadian workforce without adopting an appropriate human resource management approach. Te subsidiary plant had to be closed after five years of operation from 1989 (Rhee M. p.3). This implies that the relationship between globalization and employment relations plays a critical role in an interaction approach of offshoring as well as system barriers. According to research by Matthews and Thakkar, connectivity is defined as the ability to orchestrate organizational networks to move in the same direction in order to accomplish the companys mission. Employees must feel contacted to the organization and understand how their individual effort contributes to the bottom line. Global leaders must look for opportunities to connect everyone within the organization to overall goals and objectives. When employees understand the big picture and the direction the organization is taking innovation and change are supported. However, although the first venture was failed, HMC was able to come back for another opportunity due to learning a lesson from the failure. HMMA also put efforts drastically to change intercultural barrier on its human resource management and operational system. Thus keys to the success of HMMA were Hyundais relatively low dependence on skill formation and high reliance on numerical flexibility of its production system relative to its Japanese counterparts (Jo and You, pp.41).
America, H. M. (2004). ENVIRONMENTAL ASSESSMENT/HABITAT CONSERVATION PLAN FOR ISSUANCE OF AN ENDANGERED SPECIES SECTION 10 (A) 1 (B) PERMIT FOR THE INCIDENTAL TAKE OF THE DESERT TORTOISE.
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Chappell, L. (2004). Union complains about foreign workers. Automotive News, 78(6091), 6.
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Matthews, L. C., & Thakkar, B. (2012). The Impact of Globalization on Cross-Cultural Communication.
Najafbagy, R. (2008). Problems of Effective Cross-Cultural Communication and Conflict Resolution. Palestine-Israel of Politics, Economics & Culture; 15/16(4/1), 146-150.
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There are faxes for this order.
1.Create an environmental scan for the company indicating the most significant environmental threats and discuss how the company should respond to each threat to ensure that the impact to the business is minimal.
2.Based on the environmental scan, evaluate the companys strengths and evaluate how the company can leverage these strengths so as to yield a competitive advantage in the marketplace.
3.Identify a significant competitor for the company and assess how your company will compete against it to maximize profits and create value for stakeholders.
4.Assume that the U.S. economy is in a state of decline requiring modifications to the strategy. Evaluate how the strategy should be modified. Provide a justification of how this will help the company continue to compete in the marketplace.
5.Evaluate how global competition may impact the business strategy and determine how the company should respond.
Previous Paper that this paper should build upon:
A companys success or failure can be directly associated with its ability to develop a strategic plan for the business. As important as this plan is to the birth of company, it is even more important for the leadership to identify its successes and failures, and implement changes to the plan as needed or as the market dictates. Strategic planning is an organizational management activity that is used to set priorities, focus energy and resources, strengthen operations, ensure that employees and other stakeholders are working toward common goals, establish agreement around intended outcomes/results, and assess and adjust the organization's direction in response to a changing environment. It is a disciplined effort that produces fundamental decisions and actions that shape and guide what an organization is, who it serves, what it does, and why it does it, with a focus on the future. Effective strategic planning articulates not only where an organization is going and the actions needed to make progress, but also how it will know if it is successful. (Balanced, 2013)
There are many different frameworks and methodologies for strategic planning and management. While there is no absolute rules regarding the right framework, most follow a similar pattern and have common attributes. Many frameworks cycle through some variation on some very basic phases: 1) analysis or assessment, where an understanding of the current internal and external environments is developed, 2) strategy formulation, where high level strategy is developed and a basic organization level strategic plan is documented 3) strategy execution, where the high level plan is translated into more operational planning and action items, and 4) evaluation or sustainment / management phase, where ongoing refinement and evaluation of performance, culture, communications, data reporting, and other strategic management issues occurs. (Balanced, 2013)
Mission Statement:
Provide our customers, partners, stakeholders, and shareholders with the most innovative products, best customer service, and a positive atmosphere for our employees.
Vision Statement:
To always be on the forefront in the technology industry. Deltacom Technologies is committed to providing the most innovative products, best customer service, and a positive workplace for our employees. At Deltacom we believe our employees are the basis for our business success. We are committed to providing our employees with the benefits and resources they need to make the business a success allowing the company to produce quality products that are both innovative and forward thinking. Through strategic partnering with other leaders in the industry we will be successful in our future.
Key Objectives:
Human resources; the procurement of talented, resourceful and innovative employees. The basic fundamental part of any organization is the people that formulate and make the business a success. The leadership at Deltacom believes that our employees from the bottom to the top are our most beneficial resource. We strive to provide these employees with benefits that make their lives easier to manage and to eliminate life concerns as much as possible. By taking this approach our employees are happier and more inclined to give back more to the business as needed. Our employees are also provided the best in computers, software and other resources to ensure they effectively execute daily tasks in the workplace.
Financial Aspects; At Deltacom we believe in fiscal responsibility from all aspects of the business. We are committed to moral and ethical practices as outlined in the Sarbanes-Oxley Act and other federal guidelines. Our employees will benefit from competitive pay, bonuses and incentives that meet or exceed industry standards. We will always strive for excellence in maintaining these principles.
Operational Aspects; Deltacom is committed to efficient operational functionality. Some of the cost-cutting measures is to be LEED certified as a green company. This will be executed via the capital investment in solar technologies and other reusable fuels. Our campus buildings have been built to ensure the most efficient use of cooling and heating techniques and efficient use of the space these buildings provide. It is our belief with continued financial responsibility we can eliminate the need to downsize headcount in the future unlike most businesses that experience growth and contractions in the marketplace. Again showing the importance of our employees.
Innovative, quality products; as a technology industry leader our products are what make Deltacom standout from our competition. After employing the best minds in the business we are able to focus on developing the best, most innovative products in the marketplace.
Strategic Partnering; Deltacom leadership is committed to strategic partnering with companies that have similar missions and visions as ours. We believe these partners are critical to our success and growth in the technology sector. Other stakeholders include manufacturing partners, product resellers, and parts suppliers. Teamwork is key ours and our partners success.
Marketing Strategies; As with the other objectives discussed earlier Deltacom will pursue and maintain marketing campaigns that will best benefit the company today and in the future. We will use different media to portray our marketing campaigns to include but not limit to television, social networking, active sales models, and strategic partnering.
Public Relations; Maintaining positive public relations is directly tied to marketing and developing strategic partners. Our focus for this objective will be to chair industry standards committees, engage local, state and federal governments to be active in the development of these standards for our business.
As you have read our business objectives are tied directly with the companys mission and vision statements as they should. Taking a different approach to the business Deltacom will achieve success as outlined in these statements versus focusing solely on revenues and profits. We seek to establish and grow the company based on our employees, partners and products.
Week Two-Learning Team Assignments
1. Organizational Behavior Forces Paper
Examine the organizations of each Learning Team member. Prepare a 1500-word paper in which you analyze how internal and external forces impact organizational behavior in each organization. Post your paper to the Main newsgroup no later than Day Seven of Week Two. Examples of internal and external forces which you may include in your paper are:
a. Restructuring
b. Organizational mission
c. Fiscal policies
d. Competition
e. Economy
f. Customer demands
g. Globalization
I HAVE INCLUDED MY TEAM PLAYERS INFO BELOW:
Internal Forces Impacting faithHighway Inc.
faithHighway Inc. has many internal forces impacting the organization and its behavior in both positive and negative fashions. As with any successful organization the key to a stable and successful future for the company lies with strategically planning by capitalizing on the positive internal forces and minimizing the threats exposed by the negative internal factors. faithHighway, in this author's opinion, from a management standpoint, invest more time and energy into studying the impacts of the internal forces within the organization, both positive and negative. The internal forces acting on the faithHighway organization, particularly the positive in nature, are not being capitalized upon to their fullest. With the positive forces not being capitalized upon, the organizational culture and productivity of the company in general is not as strong as it could be.
Clan Control
One of the most important yet under appreciated positive internal factor at faithHighway is the use of clan control as a practical management practice that reinforces our company culture, value and belief system. faithHighway is a hybrid organization which is half for profit business and half Christian ministry. faithHighway (2005) vision statement states the vision very well ?faithHighway is an evangelistic organization with its primary purpose to spread the gospel of our Lord and Savior Jesus. We are experts with Media Products such as Television Commercials and Custom Production pieces created to tell your story. ?Most if not all employees are Christians who share similar beliefs and values such as compassion, caring, commitment to each other and to the organization as a whole. This author would argue that faithHighway could maximize the effective clan control by doing some other away from the office activities more often such as pizza outings, movies, or sporting events, either sponsored by faithHighway or the individual employees.
Technology
Currently, faithHighway struggles in the area of technology. This is an internal force that is hindering the maximizing of our productivity and profitability. Our company still uses paper for the majority of our internal business dealings. Additionally our database, while effective, is still somewhat antiquated. The bureaucratic system in place to work clients through the system requires a file of paperwork that is then input into the database. Many companies that we have used to benchmark against, are moving towards a paperless office, and we are looking at the possibility of changing to a new on line database system where all client information would be entered in immediately into the computer, and this information could be entered from anywhere in the world as long as one had Internet access.
External Forces Impacting faithHighway
Lack of Competition
faithHighway serves a niche market of churches and ministries that are looking to use today?s current media, such as billboards, television and print pieces to market their organization. This is a very tight niche market speaking specifically of faithHighways specialty in creating and placing high quality evangelistic television commercials shot on motion picture film for churches, there is no competition. This external force has both advantages and disadvantages for faithHighway; the advantage being that we control the market, the disadvantage is that faithHighway must convince many churches for the need to use 21st century media as an evangelistic tool to market the church.
Internal Forces Impact on Save-A-Lot
Save-A-Lot is a discount retail food store. It is in roughly 38 of our 50 states. Some stores are corporate, while others are franchised. Save-A-Lot Corporation has several internal and external factors in which affect how we do business. Some internal factors that affect our daily business operations are our employees, corporate plans, ethics and operating procedures. Some external factors that affect our daily business are our economy, weather, location, and people.
Internal factors are those factors in which we may be able to change. We create them and have say over how much or how little power they have over the company as a whole. Employees are the biggest internal factor within Save-A-Lot. Our employees are on the front lines dealing with out customers on a daily basis. It is because of the employees we have that our customers return week after week. If our employees were not so friendly and helpful we would see a decline in sales. Save-A-Lot?s corporate plans have propelled us into the running for the #1 grocery store in America. We are now competing with Pathmark and Shop Rite. I good business plans and the continuation of them will keep Save-A-Lot climbing the ranks until we reach our goal. Once the goal is met we need good business plans to keep us there. Ethics play a big part in the success or failure of any company. Good ethics will make you know and respected within a community, while unorthodox ethics will more than likely put your organization out of business.
Save-A-Lot believes in its people and strives to provide a service to the community in which it services. We hire from our communities and give every individual the opportunity to climb their way through our corporate ranks. Everyone is treated equal and there is no one individual that may be allowed to do something any other individual was not allowed to do. Our CEO, Bill Moran, also likes to hear from his employees at store level and encourages them to call him with any concerns they might have. This open door policy ensures every employee has a voice. Every organization has a set of operating procedures in which they operate. Save-A-Lot has revamped their overall operating procedures over the last 10 years. They have made managers more accountable for cash losses, and overall shrink. This has made Save-A-Lot more profitable and has allowed us to take a portion of our overall profits and reinvest in our people by giving bonuses and pay increases. It has also allowed us to recruit individuals from other organizations
to make ours better. The internal factors within Save-A-Lot are affecting us in a positive manner currently, however, if any one of these factors changes and becomes problematic, it could cause loss of revenue and possible store closings.
External factors are those factors that occur outside of our organization in which we have very little if any control over at all. Our economy is probably the biggest external factor within Save-A-Lot. Our economy has been on a decline for a few years. Several businesses have been forced to tighten up their belts due to the lack economic wealth. However, the business that we are in at Save-A-Lot is discount retail foods, so we have been literally unscathed in the shrinking economy. In fact, we have been seeing a slight increase in shoppers wishing to save money and still feed their family. Location is key to any businesses success. Where you locate your store will make or break you. Wawa Food Stores locates their stores off of major highways because they are a convenience store and their main shoppers are those that travel. However, if a highway shuts down for rebuilding purposes, Wawa will most likely have to close that location losing all of that revenue. Save-A-Lot locates their stores in the inner city, because their main shoppers are people that are on public assistance and those people that are trying to make their dollars stretch. If newer homes were built and the projects of nearby locations were demolished, it would have a negative affect on Save-A-Lot. Save-A-Lot cannot make people shop with us instead of our competition. If people for some reason choose not to shop with us, that will not be good for business and would be a negative external factor. Another factor that has become even more relevant over the last few of days; is the weather patterns within the location in which you wish to operate. Save-A-Lot has lost some stores located between New Orleans, Mississippi and Alabama over the last 3 days. This will put a big dent into the overall profits for that region and for the company as a whole. We have no idea even if we will be able to rebuild those locations or if there will be any employees left to work in them if we do. These external factors give us little or no control over them and we are at their mercy. Some factors work in our favor and that is really good for business, but when these factors work against us it can mean devastation for the company as a whole.
References
faithHighway (2005) About Us/Vision. Retrieved August 30th, 2005 from www.faithhighway.com
Save-A-Lot (2005) Retail Employee Guide
Save-A-Lot (2003) Strategic Plans
NOW HERE IS MY INFO:
I am a Director of Development and you can go to my www.ochsgalv.com. For any info And I would like to talk about the organizational mission that is listed on the www and customer demands which in my case are students. They want a school that is college prep and we are, also please elaborate on the fact we a private Catholic college prep school with many competitive schools in the Houston area. The only good is we only charge $5800 yearly tuition while surrounding schools $9000/year. We hire top teachers and most with masters and have been in the system many years. As far as my team members you can revise, cut down, or what ever to make it sound correct. They know our limit is such words. 1100 +
Vivian Hernandez
[email protected]
Dear Writer,
I would like you to rephrase this paper, also write in great depth and discussions in part 1.2 Key Stages in Relationship Development please.
Thanks a lot
Here is the paper:
1.1 Key Factors in Relationship Development
What exactly makes a successful business relationship? Many writers have suggested a variety of relationship components, each of which is assigned different levels of importance depending on the stage of the relationship. Czepiel (1990) for example, sees long-term relationships developed through the accumulation of satisfactory encounters - active participation based on mutual disclosure and trust, creation of a double bond (personal and economic) and psychological loyalty to the partner. Kanter and Corn wonder whether the " . . . circumstances under which the cross-culture interaction . . ." takes place would affect business performance (1994:7). Their research identified six contextual factors, which they claimed, were instrumental in ensuring the success of cross-cultural business co-operation: Relationship, Desirability, Business Compatibility, Investment Without Interference, Open Communication and Mutual Respect, Business Success, and the Passage of Time (1994:13-18). Morgan and Hunt (1994) believe that trust and commitment are key elements in a relationship as they encourage marketers to work at preserving relationship investments by co-operating with exchange partners. They also aid in resisting the attractive short-term alternatives in favour of the expected long-term benefits of staying with existing partners. When trust and commitment are both present, they produce outcomes that promote efficiency, productivity and effectiveness.
The greatest number of variables is identified by Wilson (1995): commitment, trust, cooperation, mutual goals, interdependence/power imbalance, performance satisfaction, comparison level of the alternative, adaptation, non-retrievable investments, shared technology, summative constructs, structural bonds, and social bonds. He does, however, suggest that: Given situational factors, one might add or delete from the list to capture the relationship situation. (1995: 337). Other major studies include those by Jttner and Wehrli (1994), Dion et al (1995), Mller and Wilson (1995), Dawar et al (1996), Holm et al (1996), Selnes (1998), Ali and Birley (1998), Lin and Germain (1998), Arias (1998), and Zhu et al (2005). Conway and Swift (2000) suggest five factors that they consider important when developing cross-cultural business relationships: (i) cultural empathy, (ii) experience (iii) satisfaction, (iv) commitment/trust, and (v) communication. From these and other studies, a list of six variables has been distilled, as key factors when developing cross-cultural relationships:
1.2 Key Stages in Relationship Development
Dwyer et al (1987) suggest five stages in the development of a relationship:
(i) awareness
(ii) exploration
(iii) expansion
(iv) commitment
(v) dissolution.
Scanzoni (1979), simplifies the process somewhat, and avoids the seeming ??" inevitability of relationship dissolution, by suggesting only three stages of involvement: (i) exploration, (ii) expansion and (iii) commitment. Hkansson (1982:15) hypothesised that relationships go through two basic stages of development, the first of which he calls the "Episodes" stage, and consists of an exchange of products/services, information etc between companies. Once this stage has been achieved to the mutual satisfaction of the parties concerned, they progress to the next stage, termed "Adaptations and Institutionalisation" - which is largely based on the concept of developing relationships and mutual expectations. Eventually these expectations become institutionalised and form part of the traditional way of operating. It would serve us little to examine all the suggested permutations of business relationship development: possibly the best summary is that provided by Halln and Wiedersheim-Paul (1984), who suggest four broad stages or phases:
Pre ??" Contact
As the parties to be involved have not yet met each other, any picture that is formed of the other side is likely to be based of second hand appreciations of the nation as a whole ??" so the level of cultural affinity is probably the starting variable. As suggested previously by Inglehart (1991), there is likely to a predetermined level of trust, based on secondary information, and this level of trust can have a significant impact on the subsequent relationship. If there is a positive attitude towards the other culture at this juncture, then this will mitigate towards the development of trust.
The communications factor runs throughout this whole process, acting as the glue that links the variables and the stages. The feedback aspect of communications ensures that each variable reinforces the positive aspects of the relationship, at each level. Specifically, the main role of communications, according to Conway and Swift, 2000:1406), is to develop cultural awareness and empathy/affinity within the organization with regard to partners. It is argued that, at this stage, there are unlikely to be any other variables involved in the development of the relationship ??" the remainder come into play once contact has been made.
Initial Interaction
This refers to the first meeting (s) that are held between prospective partners. The phase roughly equates to the exploratory phase cited by other writers, and may last from a number of months to a year or more ??" depending on the frequency of contact.
Development
The relationship is established, and has moved beyond the initial interaction stage. This is the stage at which problems are most likely to emerge, as the initial honeymoon period has passed, and those involved are more likely to be focusing on business objectives rather than the establishment of the relationship.
Maturity
Once a relationship has reached the stage of maturity, the parties concerned should know each other sufficiently well to anticipate each others needs and wants. Just as partners in a marriage become comfortable with each other, those working together understand (and accept) the parameters within which they are operating. This is the most profitable stage of the relationship, as very little has to be invested in developing that which is already well-established. By now, the parties concerned should have a high level of mutual trust ??" after all each has invested so much in the relationship that they would suffer should the relationship break down.
Because of the human aspect of ethics and its links to business success, corporate leaders must be careful about their behaviors, and how they address problems. For this assignment, you must select the code of ethical conduct for one (1) of the following restaurants:
? Cheesecake Factory (http://investors.thecheesecakefactory.com/phoenix.zhtml?c=109258&p=irol-govconduct)
? Ruby Tuesday (http://phx.corporate-ir.net/phoenix.zhtml?c=83799&p=irol-govHighlights)
? Chipotle (http://ir.chipotle.com/phoenix.zhtml?c=194775&p=irol-govConduct)
As a basis for your written assignment, you will assume that you are the CEO of your chosen restaurant.
Be sure to identify the restaurant you have chosen in your written paper.
Write a two to three (2-3) page paper in which you:
1. Describe key areas of the selected companys code of conduct that are of significant importance to the business, and explain why.
2. Explain the key steps that the company should take to ensure that employees follow the code of conduct.
3. Suggest three (3) ways in which the restaurant can engage in socially responsive activities in the community within which it operates.
4. Use at least two (2) quality resources. Note: Wikipedia does not qualify as a quality resource.
Your assignment must follow these formatting requirements:
? Be typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides; citations and references must follow APA or school-specific format. Check with your professor for any additional instructions.
? Include a cover page containing the title of the assignment, the students name, the professors name, the course title, and the date. The cover page and the reference page are not included in the required assignment page length.
The specific course learning outcomes associated with this assignment are:
? Discuss the roles of ethics and social responsibilities in business.
? Use technology and information resources to research issues in business.
? Write clearly and concisely about business issues using proper writing mechanics.
Assignment 1: Case Study: Geico
Due Week 3 and worth 150 points
Go to the Geico Website to read the ?Total Rewards Program? at http://careers.geico.com/working_at_geico/total_rewards_program.
Write a five to seven (5-7) page paper in which you:
1.Determine which facets of the Geico total rewards program align with the five (5) top advantages of a total rewards program outlined in Chapter 2 of the textbook and discuss your reasoning.
2.Create a strategy for ensuring that the Geico plan addresses all of the advantages.
3.Evaluate the effectiveness of the communication of Geico?s total rewards program based upon the Website?s descriptions of the benefits. Recommend two (2) areas for improvement.
4.Assuming employees are unhappy with the current plan, offer two (2) improvements or changes to Geico?s total rewards program.
5.Use at least five (5) quality academic resources in this assignment. Note: Wikipedia and other Websites do not quality as academic resources.
Your assignment must follow these formatting requirements:
?Be typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides; citations and references must follow APA or school-specific format. Check with your professor for any additional instructions.
?Include a cover page containing the title of the assignment, the student?s name, the professor?s name, the course title, and the date. The cover page and the reference page are not included in the required assignment page length.
The specific course learning outcomes associated with this assignment are:
?Define total rewards and describe the advantages of a total rewards approach.
?Analyze an organization?s strategy, workforce, operating environment, and key stakeholders to identify critical factors in designing a total rewards strategy.
?Evaluate the elements of a total rewards communication program.
?Use technology and information resources to research issues in total rewards.
?Write clearly and concisely about total rewards using proper writing mechanics.
Required Resources
WorldatWork. (2007). The WorldatWork handbook of compensation, benefits, & total rewards. Hoboken, NJ: John Wiley & Sons. Supplemental Resources
Ellig, B. R. (2007). The complete guide to executive compensation. New York: McGraw-Hill.
Gross, S. E., & Friedman, H. M. (2004). Creating an effective total reward strategy: Holistic approach better supports business success. Benefits Quarterly, 20(3), 7-12.
Hiles, A. (2009). Tough times demand focus ? Total rewards strategy. Benefits Quarterly, 25(4), 44-47.
Koppes, L. L. (2008). Facilitating an organization to embrace a work-life effectiveness culture: A practical approach. Psychologist-Manager Journal, 11(1), 163-184.
Panitz, P. G. (2009). Executive compensation: What?s reasonable? Journal of Accountancy, 207(6), 56-61.
The book is digital on coursesmart.com called "The Manager's Bookshelf" my login is jaelb34atyahoodotcom with password $1Dollarbill. click on my bookshelf and it is there.
Eight (8) readings are required for this week in preparation for each class.
Readings:
The Fifth Discipline: The Art and Practice of the Learning Organization
Competitive Advantage: Creating and Sustaining Superior Performance
The One Thing You Need to Know about Great Managing, Great Leading, and Sustained Individual Success
Big Winners and Big Losers: The 4 Secrets of Long-Term Business Success and Failure
Beyond Teams: Building the Collaborative Organization
The Strategy Paradox: Why Committing to Success Leads to Failure
Responsible Restructuring: Creative and Profitable Alternatives to Layoffs
Treat People Right! How Organizations and Individuals Can Propel Each Other Into a Virtuous Spiral of Success
Review Research and Documentation from "The Business Writer's Companion".
Eight (8) readings are required for this week in preparation for each class.
Readings:
The Fifth Discipline: The Art and Practice of the Learning Organization
Competitive Advantage: Creating and Sustaining Superior Performance
The One Thing You Need to Know about Great Managing, Great LEading, and Sustained Individual Success
Big Winners and Big Losers: The 4 Secrets of Long-Term Business Success and Failure
Beyond Teams: Building the Collaborative Organization
The Strategy Paradox: Why Committing to Success Leads to Failure
Responsible Restructuring: Creative and Profitable Alternatives to Layoffs
Treat People Right! How Organizations and Individuals Can Propel Each Other Into a Virtuous Spiral of Success
Write 6+ page paper commenting on and analyzing the readings from "The Manager's Bookshelf".
1. Highlight the management theories or principles of each reading (2 pages).
2. Apply them to your organization (2 pages).
3. Compare and contrast two of the articles as they relate to your organization (1 page).
4. Evaluate your organization in the light of your analyses (1 page).
Grading Criteria
1. Clarity of ideas.
2. Effective Application of Management Principles
3. Effective Introduction & Conclusion
4. Grammar and Mechanics---few surface errors
5. Utilizes subheading for clarity and transitional words or phrases to link paragraphs.
6. APA Citation Style required.
Additional information - Lectures
? The Fifth Discipline: The Art and Practice of the Learning Organization, by Peter M. Senge
The author identified seven learning disabilities that may be fatal to an organization. He noted that firms that are learners will succeed in the competitive global market. Further, he identified five disciplines for a learning organization: personal mastering (personal learning and growth), mental models (internal images of how the world works), shared vision (a sense of purpose that provides energy and focus for learning), team learning (alignment where teams function as a unit with focused and harmonized energies), and system thinking (viewing organization from system's perspective). The author outlined the laws of the Fifth Discipline.
?
Competitive Advantage: Creating and Sustaining Superior Performance, by Michael E. Porter
The author maintained that a firm in an industry creates competitive advantage over its competitors by providing more value for customers than their competitors. The possible competitive advantages are based on costs, differentiation and technology.
Competitive Advantage through Low Cost
A firm is considered to have a cost-based competitive advantage if the total costs of all its products are lower than any competitor. Factors that are generally under control are: Economics or diseconomies of scale, learning, capacity utilization, linkages within the value chain, interrelationships between business units, integration, timing, policies, location and institutional factors.
Competitive Advantage through Differentiation
Differentiation occurs when a firm creates a unique product for which buyers are willing to pay premium in excess of the extra costs incurred by the firm. The differentiation-based competitive advantage can be sustainable if the competitors do not imitate the uniqueness of the product and the buyers' need and perceptions remain stable or high.
Competitive Advantage through Technology
A firm can achieve low cost or differentiation through technology or technological improvements. If competitors are unable to meet the technological challenge, this could be a source of sustainable competitive advantage .
?
The One Thing You Need to Know about Great Managing, Great Leading, and Sustained Individual Success, by Marcus Buckingham.
In this reading, the author contends that greatness is not accomplished by avoiding what causes failure, but rather by following a distinct set of behaviors. He believes that the controlling insight for managers is to capitalize the concept of uniqueness. To do this, managers should: select the right people, define clear behavioral expectations, motivate and shape employee behavior using praise, and demonstrate care and concern for employees.
He also espouses to be a successful leader, one must begin with a vision. Furthermore, sustaining individual success requires using the talents that are found to be the most rewarding and fulfilling, over a long period of time.
?
Big Winners and Big Losers: The 4 Secrets of Long-Term Business Success and Failure, by Alfred Marcus
The author identified big winners and losers from Wall Street Journal's scorecard on the basis of stock market returns from 1992 to 2002. He noted that over 500 experienced managers participated in the effort to identify what differentiated the big winners from the big losers. Knowledge of customer's needs was considered essential for the success of the big winners. Common traits shared by the winners were Agility, Discipline and focus.
Evidence of Agility
Respond quickly to changes in market condition
Flexibility with focus to profitable growth areas
Seek growth in customers' changing needs
Focus on underserved and perceived unattractive or ignored market
Evidence of Discipline
Reduce cost and raise quality
Control Distribution
Integrate acquisition effectively
Create a culture of employee involvement
Monitor and influence regulatory changes
Evidence of Focus
Emphasis on core strengths
Develop high-growth, application-specific products for growth market
Expand growth opportunities to overseas market
Losers shared the following characteristics:
Rigidity- Lack of offensive initiate to align with customer's need.
Ineptness- Losers lacked the skill to create best-value for their customers.
Diffuseness- Ineffectiveness in building competitive advantage because of lack While Safeco Insurance moved from a loser's position to a winner's position because of embracing focus, cutting back on acquisition and divesting non-core business, manufacturer SPX, a winner, became a loser by losing its strategic direction and spreading too thin.
?
Beyond Teams: Building the Collaborative Organization, by Michael Beyerlein, Sue Freedman, Craig McGee, and Linda Moran.
The authors of this reading espouse the use of "Collaborative Work Systems" which provide the fundamental principles for organizations to be flexible, adaptable, and competitive. Their 10 principles include:
1) Focusing collaboration on achieving business results.
2) Aligning organizational support systems to promote ownership.
3) Articulating and enforcing rules.
4) Exploiting divergence and convergence.
5) Managing complex trade-offs.
6) Creating higher standards for discussion, dialog, and sharing.
7) Fostering personal accountability.
8) Aligning authority, information, and decision making.
9) Treat collaborating as a disciplined process.
10) Designing and promoting flexible organizations.
?
The Strategy Paradox: Why Committing to Success Leads to Failure (And What to Do About It), by Michael Porter
Porter discusses the Strategy Paradox and that the commitments required to achieve breakthrough success make it difficult to adapt when the future turns out differently than expected. He elaborates upon various principles, including commitment, adaptability, and forecasting. He believes that the use of "scenarios" are the hallmark of a flexible organizational strategy. These scenarios can be created by: asking the right questions, identifying the dimensions of uncertainty, determining the limits of uncertainty, determining the final scenario set, and determining relative probabilities.
?
Responsible Restructuring: Creative and Profitable Alternatives to Layoffs, by Wayne F. Cascio.
Responsible Restructuring is an approach that views employee expertise and contributions as central to any solution. They view their employees as essential in providing solution to competitive challenges. Broad-based layoff is considered only as a last resort. Examples of companies that utilize this approach are; Southwest Airlines, Cisco, Procter & Gamble and 3M.
The author noted that responsible restructurers use layoffs and compensation cuts as a last resort. They use a variety of varieties developmental and effectiveness oriented practices to maintain competitive edge or viability. Some of the practices they utilize include the following:
1. Flatten the organizational structures
2. Create an empowered team-oriented work environment
3. Seek labor-management partnership
4. Share information
5. Use training extensively
6. Maintain culture of continuous learning
7. Link compensation to performance and skills
The responsible restructuring tend to provide lasting solutions, increased customers' satisfaction and maintain a recruiting and retention advantages over its competitors.
?
Treat People Right! How Organizations and Individuals Can Propel Each Other Into a Virtuous Spiral of Success, by Edward Lawler.
In this reading, the author asserts that to be effective organizations must have alignment between their strategy, their capabilities, their core competencies, and their environment. He articulates seven key principles for treating people right:
1) Attraction and Retention
2) Hiring Practices
3) Training and Development
4) Work Design
5) Mission, Strategies, and Goals
6) Reward Systems
7) Leadership
There?s no luck involved in my business success ? it?s a case of smelling the market. You have got to have a nose for certain things.?
Sir Alan Sugar
Identify and research an entrepreneur. This could be based on interviewing someone or through ?desktop? research. Critically evaluate their journey in light of the relevant literature and discuss the role of luck?.
What conclusions do you draw about successfully creating a new venture?
Frameworks such as Bygrave ,Timmons,Drucker,Zacharakis,Saravathy etc must be used to critically evaluate their journey.
Based on your response to the previous task, results of the GET test and other forms of evaluation reflect on your own personal competencies and aptitude for being ?entrepreneurial?. How could you enhance your profile?
An Example Essay has been attached,but the quality of the essay was not good,but structure seems to be right and frameswork used ok.It is Just to give an Idea of what i need.
Please rewrite
Classic Airlines and Marketing
Classic Airlines is the fifth largest airline in the world with annual earnings of $10 million. After being in business for 25 years, they have amassed more than 375 jets with 2,300 flights daily (University of Phoenix, 2010). Even with this success, there are concerns for their financial stability. The challenges facing Classic Airlines are common among airline companies. These challenges include stock instability, low employee morale, pubic uncertainty about flying; declining rewards program membership, increasing costs for labor and fuel along with a recent directive to reduce 15% over the next 18 months. This leads to major concerns by the management team. To reach stable ground, the management team will attempt to improve and increase the value of the rewards program, enticing previous members back while ensuring retention of current members. Rewards programs can be detrimental to the success of a business, according to Furinto, Pawitra and Baliah ?Programs that are perceived favorably by consumers will in turn create stronger attitudinal loyalty and higher consumer profitability? (p. 307, 2009).
The Small Business Administration suggests that ?marketing activities and strategies result in making products available that satisfy consumers while making profits for the company? (para. 1, Market and Price). The goal of marketing is to use resources to increase the number of consumers while improving their perception of services and products. These goals also support meeting stated goals and objectives (Wienclaw, 2009). Marketing is a functional part of a business that encompasses all departments. The other functions of a business (finance, production, accounting, operation) will not matter if the demand for the product or service is not sufficient. Effective marketing produces results because consumers receive products that meet their needs and businesses obtain financial success.
According to Kotler and Keller, there are five marketing concepts within an organization: production, product, selling, marketing, and holistic (p. 15, 2006). The marketing concept focuses on meeting the needs of the consumer; the basic premise behind this concept is not to find the right consumer for the product, but find the right product for the consumer (Kotler & Keller, 2006, p. 16). A company that can discover what is important to the consumer and market it effectively has the greatest chance of success. The marketing concept and marketing strategy must work together seamlessly. The development of a marketing plan will include specific actions along with the integration of marketing goals, policies, and tactics of the business. This is good marketing strategy (Kotler & Keller, 2006).
Knowing the consumer?s needs, desires and demands is the first step in successful marketing. Classic Airline management must determine: what is missing from the current rewards program; what does the consumer want; and how much will the consumer be willing to pay to participate. This information is obtained through market research by using questionnaires, qualitative measures, and mechanical devices (Kotler & Keller, 2006, p. 46). Remaining above the breakpoint of consumer satisfaction is very important. The breakpoint is the fine line between where the consumer will express strong dissatisfaction in comparison to when they could not be happier. The higher breakpoint can have significant ties to financial success (Duvall, 2009, para. 4). Classic Airline must also keep their competitors actions in mind. Benchmarking other companies to see what they are offering will allow them to offer their members a better product mix and therefore gain a competitive advantage.
To complete the marketing plan, it is vitally important to obtain buy-in from management and employees. The management team must understand that by backing this process and therefore spending money to implement; the initial cost is small in comparison to the return on investment as the implementation can increase bottom line profits.
Understanding key marketing concepts and how daily business is affected is important to business success. When done correctly, the multi-faceted functions of marketing can assist in the development and delivery of a successful product or service. If Classic Airline wants to survive in the competitive airline industry, they must be aware of and ready to tackle their challenges. If done correctly, they can make a difference in their financial stability, providing excellent service to their consumers and building their corporate culture to an all-time high.
References
Biznik. (2010). Marketing strategy basics. Downloaded on October 23, 2010 from http://biznik.com/articles/marketing-strategy-basics
Duvall, J. (2009). Customer service breakpoints. Electric light & power, 87(1), 26. Retrieved from MasterFILE Premier database.
Furinto, A., Pawitra, T., & Balqiah, T. (2009). Designing competitive loyalty programs: How types of program affect customer equity. Journal of targeting, measurement & analysis for marketing, 17(4), 307-319. doi:10.1057/jt.2009.20.
Kotler, P., & Keller, K. L. (2007). A framework for marketing management (3rd ed.). Upper Saddle River, NJ: Prentice Hall.
Kotler, P., & Keller, K. L. (2006). Marketing management, (12th ed.). Upper Saddle River, NJ: Pearson-Prentice Hall.
Market and price. (2011). Small business administration. Downloaded on October 24, 2011 from http://www.sba.gov/smallbusinessplanner/manage/marketandprice/SERV_UNDMARKETING.html
Wienclaw, R. (2009). Marketing management. Marketing management -- research starters business, 1-6. Retrieved from Research Starters - Business database
Building on the paper below provide research for the following questions:
1. Create an argument for diversification of your business that will be presented to the board of directors or business investors.
2. Develop a strategy for diversification indicating the products and industries for the diversification and how synergies may be gained from the diversified activity.
3. Identify and discuss the foreign market that the company should enter and discuss the strategy it should use to enter the market.
4. Discuss the challenges that company may face in the foreign market, and how it might respond strategically to minimize the impact of these challenges.
5. Create a scenario when it would not make sense for the company to diversify or expand into a foreign market. Provide support for your rationale.
6. Assess how the company will create a business environment conducive to ethical behavior.
Current papers to build upon:
Paper #1
A companys success or failure can be directly associated with its ability to develop a strategic plan for the business. As important as this plan is to the birth of company, it is even more important for the leadership to identify its successes and failures, and implement changes to the plan as needed or as the market dictates. Strategic planning is an organizational management activity that is used to set priorities, focus energy and resources, strengthen operations, ensure that employees and other stakeholders are working toward common goals, establish agreement around intended outcomes/results, and assess and adjust the organization's direction in response to a changing environment. It is a disciplined effort that produces fundamental decisions and actions that shape and guide what an organization is, who it serves, what it does, and why it does it, with a focus on the future. Effective strategic planning articulates not only where an organization is going and the actions needed to make progress, but also how it will know if it is successful. (Balanced, 2013)
There are many different frameworks and methodologies for strategic planning and management. While there is no absolute rules regarding the right framework, most follow a similar pattern and have common attributes. Many frameworks cycle through some variation on some very basic phases: 1) analysis or assessment, where an understanding of the current internal and external environments is developed, 2) strategy formulation, where high level strategy is developed and a basic organization level strategic plan is documented 3) strategy execution, where the high level plan is translated into more operational planning and action items, and 4) evaluation or sustainment / management phase, where ongoing refinement and evaluation of performance, culture, communications, data reporting, and other strategic management issues occurs. (Balanced, 2013)
Mission Statement:
Provide our customers, partners, stakeholders, and shareholders with the most innovative products, best customer service, and a positive atmosphere for our employees.
Vision Statement:
To always be on the forefront in the technology industry. Deltacom Technologies is committed to providing the most innovative products, best customer service, and a positive workplace for our employees. At Deltacom we believe our employees are the basis for our business success. We are committed to providing our employees with the benefits and resources they need to make the business a success allowing the company to produce quality products that are both innovative and forward thinking. Through strategic partnering with other leaders in the industry we will be successful in our future.
Key Objectives:
Human resources; the procurement of talented, resourceful and innovative employees. The basic fundamental part of any organization is the people that formulate and make the business a success. The leadership at Deltacom believes that our employees from the bottom to the top are our most beneficial resource. We strive to provide these employees with benefits that make their lives easier to manage and to eliminate life concerns as much as possible. By taking this approach our employees are happier and more inclined to give back more to the business as needed. Our employees are also provided the best in computers, software and other resources to ensure they effectively execute daily tasks in the workplace.
Financial Aspects; At Deltacom we believe in fiscal responsibility from all aspects of the business. We are committed to moral and ethical practices as outlined in the Sarbanes-Oxley Act and other federal guidelines. Our employees will benefit from competitive pay, bonuses and incentives that meet or exceed industry standards. We will always strive for excellence in maintaining these principles.
Operational Aspects; Deltacom is committed to efficient operational functionality. Some of the cost-cutting measures is to be LEED certified as a green company. This will be executed via the capital investment in solar technologies and other reusable fuels. Our campus buildings have been built to ensure the most efficient use of cooling and heating techniques and efficient use of the space these buildings provide. It is our belief with continued financial responsibility we can eliminate the need to downsize headcount in the future unlike most businesses that experience growth and contractions in the marketplace. Again showing the importance of our employees.
Innovative, quality products; as a technology industry leader our products are what make Deltacom standout from our competition. After employing the best minds in the business we are able to focus on developing the best, most innovative products in the marketplace.
Strategic Partnering; Deltacom leadership is committed to strategic partnering with companies that have similar missions and visions as ours. We believe these partners are critical to our success and growth in the technology sector. Other stakeholders include manufacturing partners, product resellers, and parts suppliers. Teamwork is key ours and our partners success.
Marketing Strategies; As with the other objectives discussed earlier Deltacom will pursue and maintain marketing campaigns that will best benefit the company today and in the future. We will use different media to portray our marketing campaigns to include but not limit to television, social networking, active sales models, and strategic partnering.
Public Relations; Maintaining positive public relations is directly tied to marketing and developing strategic partners. Our focus for this objective will be to chair industry standards committees, engage local, state and federal governments to be active in the development of these standards for our business.
As you have read our business objectives are tied directly with the companys mission and vision statements as they should. Taking a different approach to the business Deltacom will achieve success as outlined in these statements versus focusing solely on revenues and profits. We seek to establish and grow the company based on our employees, partners and products.
Paper #2
Environmental Scan
The environmental scan is focused on identifying and analyzing the threats in the external environment. There are factors outside of the company that can reduce revenue or profits for the future. These can be obstacles, externally-driven changes or just competition (MindTools, 2013). Deltacom faces a number of such threats. The main threats in the external environment are competitors, regulators, and economic threats. Competitors are a significant threat. Deltacom operates in eight southern states, competing against other national and regional players. Deltacom has been purchased by Earthlink and renamed Earthlink Business, indicating that it competes for business with corporate customers (Deltacom.com, 2013). The competition includes some major companies, like AT&T, Verizon and many others, in addition to smaller, more regional players. Competitors will use all manners of enticements to attract consumers potentially affecting Deltacms profit margins.
The second major environmental threat is regulatory. While all businesses face basic regulatory burdens in the form of human resources and environmental laws, the telecommunications industry is one of the most heavily-regulated industries. The industry is governed by the Federal Communications Commission (FCC), a body that among other things investigates the conduct of telecommunications firms and auctions off wireless bandwidth. Because most of Deltacom's business is landline-based, the company is not as heavily-impacted by regulatory burden as many other firms in the industry.
The third major environmental threat is economic. When the economy is struggling, firms will often reduce their expenditures on items, including communication services. It could be argued that a sluggish economy represents an opportunity to grow telecommunications businesses as a substitute for travel, but when businesses are contracting and closing, the net effect is at best a wash, and more likely a revenue downturn for firms that service these other businesses.
Strengths
Deltacom does not have many strengths. The company was bought by Earthlink, giving it two main sources of strength. First, the Earthlink brand is more widely-known as this was one of the tech companies that rose to prominence in the late 1990s. Second, Deltacom has a presence in eight states, and has built up a network of customers in that region ??" this geographic base is a source of strength should the company seek to improve its share, building on its established reputation. The company has a group of talented, dedicated employees who can help recover operations after a difficult period surrounding the Earthlink acquisition.
However, the challenge for Deltacom is that many of its competitors possess the same strengths, and in some cases more strengths. Larger firms have greater capacity to invest in technology upgrades, for example. Earthlink itself is struggling after the purchase. It lost money in the last fiscal year, and with the debt it assumed from Deltacom, Earthlink has seen the book value of its equity decline in the past couple of years. It does not look like there is much financial strength at present for the company, but compared to pre-acquisition, Deltacom is in a much better place financially.
It will be difficult for Deltacom/Earthlink Business to leverage these strengths in the marketplace. Their competitive position as a smaller, regional firm is such that they need to leverage the familiarity of the Earthlink name in one of two ways. They need to either be a low cost provider or a high-end provider. They should not seek the middle ground, taking on the major competitors head-to-head (QuickMBA, 2010). Earthlink does not really have the money to invest in technology to be a high end player, so management should focus on developing a low cost strategy that sees them undercut the major players in order to build the business. They should still provide strong services, but must keep costs lower than the national competitors.
Significant Competitor
The industry leader in the telecommunications business is AT&T. This company is much larger than Deltacom, and therefore has more capital to invest in superior technology. AT&T is a national telecommunications company, which can be viewed as a strength or weakness. AT&T offers a wide range of business services and unlike Deltacom has a strong presence in wireless and even handheld devices making AT&T a tough competitor. From a human resources perspective, AT&T has more capital to attract top industry talent, which challenges firms like Deltacom, as well.
The best strategy for Deltacom is to avoid a head-to-head competition with AT&T and other larger national providers on their company's strengths. Due to AT&Ts large size, there is a strong risk that a customer may feel like just another number therefore they might not be able to provide to personal touch and outstanding customer service as a smaller company may. With Deltacom, that need not be the case. Deltacom can offer something that AT&T cannot ??" customer service. Being a southern company operating in the south Deltacom can focus on providing its customers with excellent customer service in a southern hospitality fashion. This is important as smaller companies like Deltacom, can offer the type of service that southerners expect, in contrast to the impersonal service offering of a major competitor like AT&T. This is a source of competitive advantage for Deltacom, especially if it can undercut AT&T on price on certain key products. This strategy allows Deltacom to win customers who are dissatisfied with the major firms, while carving out a niche as a low-cost player with great customer service.
Recession Strategy
The last recession nearly wiped-out Deltacom, leaving it vulnerable to takeover, one that perhaps was so bad for shareholders that legal action is being investigated (Korsinky LLP, 2010). A recession will have the following consequences for Deltacom ??" reduced revenues, tighter margins and an increasingly hostile competitive environment. Deltacom will need to take drastic measures to prevent a repeat of the last recession's devastation.
The first step to reducing expenses will be to cut staff. This is necessary because costs will need to be reduced in line with revenue as the company's margins are too tight to absorb any sharp revenue declines. Further, Earthlink is already losing money so the cuts might have to be fairly severe. The next step should be to contact customers in an attempt to explain how much their business is valued, to communicate a desire to work with customers who are also struggling in the economic downturn. This drastic step is necessary as larger companies are always looking for new customers, and they have the cash reserves to undercut Deltacoms business. Thus, Deltacom needs to remind customers of the high quality of its service and the importance of partnering with a local company that understands their business. Further, Deltacom needs to prepare for a recession by paying down as much of its debt as possible. It needs to do this because firms with a high degree of leverage are most vulnerable in an economic downturn because of the need to divert cash flows to interest payments. Deltacom needs to pay down the debt during the good times so that it can reduce as much risk as possible for the harder times.
Global Competition
Global competition is an interesting issue in the telecommunications business. Usually for national security reasons, most governments have strict regulations in regards to telecom companies. However, there is a move to open up telecom and foreign players are interested in the US market. Likely, as the US pushes for access to foreign markets, it will have to reciprocate. That will only serve to bring more competition to the doorstep of Deltacom. This competition is likely to be just as strong as the domestic competition, but just as mainstream in its approach. This is a strategic factor for the Deltacom/Earthlinks business future. Deltacom needs to influence its customers with its service-first southern charm strategy and leverage it. Global competitors will try to steal customers with attractive pricing and service offerings, but they will likely struggle in the customer service part of their business. There is little doubt that if the Deltacom strategy works against the likes of larger telecommunications providers like AT&T, it will work against British, German or Canadian companies as well.
In closing, Deltacom/Earthlink will need to develop a strong business strategy if it intends to continue providing communications products. This strategy will likely need to be revisited quite often in an attempt to keep pace with the competition.
Customer is requesting that (bolavens) completes this order.
Question: What Lay ahead for Six flags? Would management's turnaround strategy save the firm, or would the heavy debt burden eventually sink the company?
Case:
Internet Mini Case #15
Six Flags, Inc.: The 2006 Business Turnaround
Patricia A. Ryan
?The business was broken,? commented Daniel Snyder in June 2006, the new Chairman of the Board of Six Flags. Fixing the business would not occur overnight for Snyder, who owned the Washington Redskins, but clearly he thought it would be doable and profitable, as was the proxy fight to run the theme park company in late 2005. According to Mark Shapiro, CEO of Six Flags:
We?re investing more in our operations because the health of the business de-pends on bringing back families. Our first priority is to fix the operation and that is not going to happen overnight. We see this as a long-term investment.
Over the past five years, Six Flags stock had underperformed relative to Cedar Fair, its clos-est competitor, as well as compared to market indices. In May 2001, Six Flags stock traded at $23.25, and it sank nearly 80% in value to the $5 range in 2005. In 2004, Snyder?s company, RedZone, increased its ownership in Six Flags, as did Bill Gates? investment vehicle, Cascade Investments. Together, the two parties owned over 20% of the stock, and they demanded chang-es to improve financial and operating performance. Snyder and Gates used their ownership to try to influence the Board to make some drastic changes, but the parties were at odds as how to im-prove the performance of the company. Snyder then made a successful move to remove the old Board of Directors and senior management, replacing them with his own hand-picked executives and board members. The fight for the company was over. In 2006, Snyder had Six Flags in his hands?it was now time to implement the changes he saw necessary to increase the value of his investment.
?The company was so ground down; it won?t reverse in a year or two,? commented Dennis L. Speigel, President of Consultancy International Theme Park Services. Clearly, it would take skill and time to turn this company around.
___________________________________________________________________________
This case was prepared by Professor Patricia A. Ryan, Colorado State University. Copyright ? 2006 by Patricia A. Ryan. The copyright holder is solely responsible for case content. Reprint permission is solely granted to the pub-lisher, Prentice-Hall, for the books Strategic Management and Business Policy?12th Edition (and the International version of this book) and Cases in Strategic Management and Business Policy?12th Edition, by the copyright hold-er, Patricia A. Ryan. Any other publication of the case (translation, any form of electronics or other media) or sale (any form of partnership) to another publisher will be in violation of copyright law, unless Patricia A. Ryan has granted an additional written permission. Reprinted by permission.
The Business
Six Flags operated the largest regional theme park company in the world with a sole focus on theme and water parks. Six Flags operated 29 theme parks as listed in Exhibit 1. Regional theme park companies such as Six Flags located parks within a day?s drive for visitors and worked to place its parks near large population bases within 50 and 100 miles for a one- or two-day mini-vacation. Unlike national entertainment parks such as Disneyworld and Universal Studios, they were more likely to attract visitors for a day or two as opposed to being a vacation destination. Six Flags? management estimated that their parks were within 150 miles of two thirds of the U.S. population. Specific population bases for each park are given in Exhibit 1.
EXHIBIT 1
Theme Parks by Focus, Location, Population, and Size: Six Flags, Inc.
Theme Park
Type of Park
Location
Population within 50 and 100 Miles, Re-spectively (in millions)
Size (acres)
Six Flags America
Theme and water
Largo, Maryland
7.4, 12.4
523
Six Flags Darien Lake and Camping Resort
Theme and water
Darien Center, New York
2.1, 3.1
978
Six Flags Elitch Gardens
Theme and water
Denver, Colorado
2.9, 3.9
67
Six Flags Fiesta Texas
Theme and water
San Antonio, Texas
2.0, 3.6
216
Six Flags Great Adventure, Six Flags Hurricane Har-bor, Six Flags Water Safari
Theme, water, safari (three separate parks)
Jackson, New Jer-sey
14.3, 28.1
2279
Six Flags Great America
Theme and water
Gurnee, Illinois
8.8, 13.5
324
Six Flags Kentucky King-dom
Theme and water
Louisville, Ken-tucky
1.5, 4.8
59
Six Flags Magic Mountain and Six Flags Hurricane Harbor
Theme and water (two separate parks)
Valencia, California
10.6, 17.7
262
Six Flags Marine World
Theme and mammals
Vallejo, California
5.7, 10.7
135
Six Flags Mexico
Theme
Mexico City, Mexi-co
NA, 30
107
Six Flags New England
Theme and water
Springfield, Massa-chusetts
3.2, 15.8
263
Six Flags New Orleans*
Theme
New Orleans, Loui-siana
NA
140
Six Flags over Georgia and Six Flags White Water At-lanta
Theme and water (two separate parks)
Atlanta, Georgia
4.8, 7.7
290
Six Flags over Texas, Six Flags Hurricane Harbor
Theme and water
Arlington, Texas
5.7, 6.8
285
Six Flags Splashdown
Water
Houston, Texas
5.1, 6.3
60
Six Flags St. Lou?s
Theme and water
Eureka, Missouri
2.7, 3.9
503
Six Flags Waterworld Parks
Water (two parks)
Concord and Sac-ramento, California
7.6, 11.3
NA
Enchanted Village and Wild Waves
Water and rides
Seattle, Washington
3.5, 4.6
66
Frontier City?
Western theme
Oklahoma City, Ok-lahoma
1.3, 2.6
113
La Ronde
Theme
Montreal, Canada
4.3, 5.8
146
The Great Escape and Six Flags Great Escape Lodge and Indoor Waterpark
Theme and water (two parks)
Lake George, New York
1.1, 3.2
351
White Water Bay?
Tropical theme
Oklahoma City, Ok-lahoma
1.3, 2.6
21
Wyandot Lake
Water and rides
Columbus, Ohio
2.2, 6.8
18
* Closed for 2006 season because of hurricane damage from Hurricane Katrina.
? Scheduled to close at the end of the 2006 season.
Six Flags was founded in 1961 by Angus G. Wynne with the opening of Six Flags over Tex-as, a pirate-themed adventure theme park. Over the next 45 years, the company grew into a chain of theme parks with such parks as Six Flags over Georgia, and Great America in Gurnee, Illinois. Known for their fast roller coasters and adventure rides, the company successfully built a group of theme and water parks under the Six Flags name.
The theme parks changed hands several times over the 45-year history and in 1991 were sold to Time Warner. In 1998, Time Warner sold the theme parks to Premier Parks. Premier Parks continued the rapid expansion of Six Flags, using the Six Flags name for several smaller theme parks that Premier had developed including Darien Lake, Elitch Gardens, and Adventure World (CITIES). The Six Flags name was adopted for the entire firm in 2000 and by the end of 2005, the company was the largest amusement operator in the United States.
Six Flags held licenses for multiple Warner Brothers and DC Comics characters including Bugs Bunny, Tweety Bird, Daffy Duck, Yosemite Sam, Batman, and Superman. This meant they could market these characters through merchandise sold in the parks, as well as use the charac-ters to enhance the park experience and for advertising the parks.
Multiple factors affected the business success of Six Flags. The theme parks were seasonal, with 85% of theme park attendance in the second and third quarters of the calendar year. Given the outdoor nature of the theme parks, adverse weather conditions affected attendance and thus revenue. There were multiple competitors for family entertainment dollars; competition came both from direct competitors, such as Cedar Fair and Busch Entertainment, and other competi-tors, such as Walt Disney World, Disneyland, Sea World, and family fun centers. Cedar Fair owned 12 amusement parks and five outdoor parks including Knott?s Berry Farm in California and Cedar Point in Ohio. Busch Entertainment, a subsidiary of Anheuser-Busch, owned nine theme parks in five states. It included Sea World parks in California, Florida, and Texas and two Busch Gardens parks.
The Financial Picture
Six Flags had not turned a profit since 1998. In the last six years, its net losses had been $51,959,000 in 2000, $58,102,000 in 2001, $105,698,000 in 2002, $61,713,000 in 2003, $464,809,000 in 2004, and $110,938,000 in 2005. During that time, its revenues totaled $1,041,197,000 in 2000, $1,075,989,000 in 2001, $1,059,095,000 in 2002, $1,048,643,000 in 2003, $1,037,692,000 in 2004, and $1,089,682,000 in 2005. It had been the huge loss of $5.23 per share in 2004 that had forced a management change at the company. Furthermore, long-term debt had been continually increasing during the past six years. This left Six Flags burdened with excessive debt payments. In 2000, long-term debt accounted for 52.34% of total assets, whereas at the end of 2005, long-term debt had increased to 60.94% of total assets. Six Flags was bur-dened with about $2,242.4 million in total indebtedness at the end of 2005. On August 2, 2006, Moody?s downgraded Six Flags? $2.4 million in debt from B2 to B3. It further lowered Six Flags? senior unsecured debt to lower junk level at Caa2 from Caa3. The ratings agency ex-pressed concern about potential higher future expense associated with management?s changes on the currently weak financial position. On the day the debt was downgraded, the stock price fell 22.7% to $5.76. Clearly, the stock market interpreted this as a negative signal, and one that was a surprise to the market. The annual maturities of long-term debt subsequent to December 31, 2005 were as follows:
2006
$113,601,000
2007
7,148,000
2008
317,675,000
2009
314,400,000
2010
299,754,000
Thereafter
1,189,779,000
Total
$2,242,357,000
After 2000, the company had lost money each year, with losses skyrocketing in 2004 to 17.08% of sales. Total operating costs were over 80% of revenue in all but one year, with interest payments on debt swallowing the rest of the revenue. Nevertheless, the company?s operating in-come (before debt payments and park closing costs) had been consistently positive at $195,686,000 in 2000, $205,454,000 in 2001, $230,389,000 in 2002, $188,723,000 in 2003, $149,573,000 in 2004, and $183,347,000 in 2005. The company?s overall poor performance was reflected in its falling stock price. Although the stock showed strong gains during the exuberant market of the late 1990s, since the market decline in 2000 Six Flags had struggled to maintain its value in the stock market. (For financial statements, see www.sixflags.com.)
In October 2005, Six Flags AstroWorld in Houston was closed. The 104-acre site was placed on the market and Six Flags planned to use the proceeds to retire some of its debt. Six Flags New Orleans sustained extensive damage from Hurricane Katrina in August 2005 and did not open for the 2006 season. The company was in negotiation with its insurance carrier for insurance claims and planned to rebuild the park.
In January 2006, Six Flags announced it intended to sell its Oklahoma City theme and water parks after the 2006 season. The proceeds were to be used to repay some of the debt. Six Flags, according to industry analysts, had considerable potential in the theme park industry, but Snyder had his work cut out for him. Would he succeed?
Enter Bill Gates
Bill Gates, founder of Microsoft, one of the world?s wealthiest men and a major shareholder of Six Flags, was not pleased with the company?s recent performance. His ownership was under the name of his Canadian investment company, Cascade Investments. Gates began buying Six Flags stock in 1999 and accumulated 10,810,120 shares, which accounted for 11.5% of the firm?s stock in 2004, at a market value of $54 million. It was stated in SEC filings that Gates had become in-creasingly dissatisfied with the financial performance of Six Flags over the past five years. He expressed intent to discuss with Six Flag?s board the company?s strategic decision making and recent financial and operating performance.
When Gates began investing in Six Flags, the stock price had fallen about 80%. Rather than recovering over time, the stock fell further. Gates and Snyder combined owned over 20% of the company?s stock, and the pressure to remove old management was great.
Enter Daniel Snyder and Mark Shapiro
In 2005, there was a full management and board turnover. Unsatisfied with how things were be-ing run, Daniel M. Snyder, owner of the Washington Redskins and Red Zone LLC, entered a proxy fight to gain control of Six Flags. Successful in his bid, he became Chairman of the Board in late 2005. Additionally, two of his designates joined the board. This included Mark Shapiro, the new President and CEO. Shortly after this change, there were six new directors placed on the Board and five resignations, two of which were new directors.
Mark Shapiro became CEO of Six Flags on December 14, 2005. For the previous year, Shapiro had served as CEO of RedZone LLC, a private investment firm founded by Daniel Snyder. Snyder held an 11.5% interest in Six Flags.
Although the management turnaround may have been exactly what Six Flags needed, the new management team and directors did not have a proven success record with Six Flags. The management was young in age and in tenure with Six Flags. Only four members had been asso-ciated with Six Flags prior to 2005. The rest of the management team and board were new to the company in 2005 or 2006. Given the change in management and the new operational plan to turn around Six Flags, the risks of failure must be assessed.
Turnaround
At the end of 2005, Six Flags employed about 2,500 full-time employees with an additional 31,500 seasonal employees. Many of the seasonal employees were college students. According to CEO Shapiro,
While we see 2006 as a transitional year, by reaffirming previous management?s guidance we are underscoring confidence that our redefined strategy, coupled with celebration of our 45th anniversary, will broaden our customer base by at-tracting families as well as teenagers, boosting our per capita revenue.
In June 2006, Six Flags announced that it was considering the closure of six more of its 30 theme parks. These were Six Flags Darien Lake near Buffalo, New York; Six Flags Waterworld in Concord, California; Six Flags Elitch Gardens in Denver, Colorado; Six Flags SplashTown in Houston, Texas; Wild Waves and Enchanted Village near Seattle; and Hurricane Harbor outside Los Angeles, California.
Six Flags Darien Lake, one of the six parks facing closure, announced that it would close four weeks early for the 2006 season, closing October 1 rather than November 1. The situation was becoming dire for the company. According to Robert Niles, founder of themeparkinsid-er.com, ?In many respects, they?ve slid to a point where they resemble a souped-up county fair more than world-class theme parks.?
The Future
Six Flags changed its ticker symbol from PSK to SIX on June 5, 2006. On August 17, 2006, Shapiro rang the closing bell on the NYSE to celebrate the new ticker symbol. He commented:
The 2006 season is winding down, and we?ve witnessed families returning to our parks, spending more, and driving our guest approval ratings to a five-year high. We?re proud of what our employees have accomplished in this transitional year, and we?re looking ahead to new horizons in 2007.
There were many challenges facing Six Flags. Shapiro felt that the company?s new strategy of closing the less productive theme parks and working to increase spending from guests who were in the parks was working. Management eliminated the deep discounts to maintain sales and instead focused on stronger sales techniques. Shapiro felt that the new strategy was working.
Increased guest spending is continuing at a strong pace?a clear indication that our strategy is working. The drop-off in attendance was driven primarily by an anticipated decline in our season pass sales, which we are no longer deeply dis-counting in an effort to restore price brand integrity, and to wean ourselves from those teens who don?t spend money in the park.
Looking to the future, Shapiro felt that management had clarified the company?s mission. They were repositioning Six Flags as a set of themed parks, rather than as a collection of indi-vidual amusement parks. They were increasing the bang for the buck for visitors hoping they would stay longer, spend more, and return faster. The emphasis on customer satisfaction was stronger?as indicated by Shapiro?s comments:
This means Six Flags will get back to being genuine theme parks?not merely amusement parks. It means we will restore diversified entertainment offerings such as the Chinese acrobats. It means reinvigorating the parks with ?streetmos-phere??a process of enhancing the spaces between the rides with a variety of en-tertainment offerings. It means that daily parades, in-park celebrations, acrobatic and juggling acts will dazzle our guests. It means the casts of our Looney Tunes characters and Justice League superheroes will expand dramatically from one or two per park in 2005 to at least 30 in every Six Flags branded park, every hour of every operating day, mingling with the crowds, greeting our customers, posing with them for photographs, even riding the rides. By offering a true character program, we will have created new revenue streams that are sorely needed.
Six Flags faced a number of challenges as it ended the 2006 season. Management was in the middle of implementing a new operational plan and there was uncertainly about its success. Management was young and energetic, but fairly new to the company. Given that 85% of park attendance occurred in the second and third quarters of the calendar year, Six Flags faced the challenges of managing a seasonal business. This was a problem for Six Flags given that a number of its parks were in northern locations. As more recreation facilities competed for the consumer?s recreation dollar, pressures would surely intensify. Finally, there was the huge mound of debt from which Six Flags needed to unbury itself. There was a risk that the company would not be able to meet its debt obligations. This would affect management?s ability to obtain future funding as well as possibly force the company into bankruptcy.
(THIS IS AN INDIVIDUAL ASSIGNMENT)
Part 1: Company Background - Oasis Bicycles
Oasis Bicycles is a Taiwanese-owned bicycle company but designed in the UK and made in the Netherlands a global company. The Oasis Bicycles Company is based in Taiwan and is one of the worlds biggest bicycle manufacturers with annual sales of around US400 million 93 per cent outside Taiwan. According to its CEO:
Because of the small market for bicycles in Taiwan, we dont have any choice we have to be a global company. The biggest market for us so far has been Europe, which account for just over half our sales. We started manufacturing in the Netherlands because of the attractive market in Europe. We expected to sell more than 400 000 bikes by the end of 2015. Thats out of a demand for bikes in Europe of about 15 million annually. To start with, we will be making just 100 000 bikes a year from our European factory, but we envisage this climbing threefold in the next 10 years. The main reason for transferring some production from the Far East to the Netherlands is to increase flexibility.
Fashions are changing quickly and market trends must be followed closely. Having a production base next to the market means that we should be able to satisfy our customers better. Wage costs in the Netherlands are 60 per cent higher than in Taiwan but, because we should get better productivity in Europe, this will not affect overall costs too much. We are considering opening another plant in the US and to actively increase our marketing effort there we expect to decide on this around year 2010. Our Taiwan plant makes about 1 million bikes a year out of a total 2.5 million bikes for our company including bikes produced by a joint venture in China. I expect the proportion of Taiwanese bikes to decline over the next few years as we switch production from Asia.
Developing new products is as important as manufacturing. Bicycles are as much a fashion item as a piece of machinery. We sell bikes in several thousand variations. In the early 1990s we introduced up to three new products every year. Today, however, that figure has grown to between five and ten, reflecting increased demands by customers. One of our strengths is the ability to introduce regional product lines, within the context of an international approach. About three-quarters of the products we sell around the world are the same but for the remaining 25 per cent we give our regional people freedom to specify products they think will appeal locally.
Worldwide, we have 65 designers and development engineers. We spend 2 per cent of our annual sales on design. Forty-five of the designers are in Taiwan, the rest are based in China, Japan, the US and the Netherlands. Through the global design approach we aim to pool many different concepts the people in China and Japan concentrate on commuting bikes, the designers in the Netherlands contribute ideas from the European racing bike tradition, while in the US they are more likely to be working on variants of mountain bikes. In Taiwan, we try to incorporate all of the ideas, working on new materials such as carbon fibre to reduce the weight of the frame. Our designers can talk on the phone and swop ideas using computer-aided design, but they get together twice a year in Taiwan to review their work. The common language we use is English.
Subsequently, the company has shifted some manufacturing from Taiwan to mainland China because the latter has lower costs for labour and land. China now accounts for over half the companys production. However, the company still believes that its Taiwanese based research and marketing teams are best placed to understand both the developed markets of the West and the developing markets of Asia.
Issues for you to consider:
Communications
Communications is important to the companys business success, a point that was made clear at your appointment. Although the technical, managerial, and planning expertise of the company is not in question, the profitability of the enterprise depends crucially on the quality of the communications within each division, between the company and their clients/customers, between the company and their component suppliers and between each division and senior management.
As Oasis Bicycles have decided to move their manufacturing to Taiwan, senior project managers will now have to spend a great deal of their time in travelling around, visiting divisional headquarters and departmental sites for meetings with senior management and the various project teams for which they have responsibility.
To support this range of communication needs, there are several systems and services in place already in UK and Netherlands. The systems have been developed over a period of several years, using hardware platforms and network operating systems software from a variety of vendors, and running on a range of proprietary and open protocol standards.
In general, the systems have adequately supported existing business practices in Netherlands, where all business functions are located at one site. But a number of problems have been experienced in the recent past involving, for example, the loss and corruption of data. In addition, current systems do not adequately support emerging trends in working practices, such as the creation of dispersed and virtual project teams, adequately catered for in terms of their telecommunications needs.
A particular problem connected with sub-contractors is making sure that they supply their products from Taiwan for manufacturing in the Netherlands at the point in time that they are needed. Should a supplier fail to do so, then the consequences for them might be the triggering of a penalty clause in the contract, which might cost them 20,000. However, the failure of a piece of equipment to arrive on time might well cost the company over 1 million because of the knock-on effects, i.e. materials unable to arrive on time from Taiwan.
Management has made the decision that a significant investment in leading-edge telecommunications technology is likely to result in considerable savings. Existing telecommunications systems have been developed in a somewhat ad hoc fashion over several years. Some of the sub-systems are quite sophisticated, particularly those supporting the exchange of massively-detailed engineering plans. However, other component systems are variously sub-optimum and nearing obsolescence, or else cause problems by introducing unnecessary redundancy: the company as a whole supports four different and largely incompatible electronic mail systems, none of which offers seamless communication with those of other branches.
If Oasis Bicycles are to expand into other countries, the need for a good telecommunications system is vital. Communication in this sense involves real-time, person-to-person links, backed up with appropriate asynchronous links, together with access to appropriate information stores, such as remote databases.
Oasis Bicycles realises that the role of the CIO is to lead, rather than control. The lead which they are to take is that of the strategic implementation of emerging Web 2.0 collaboration technologies in the company. This transformation will require changing more than technology, it will also drive change in cultures and leadership approaches. IT can lead by inviting broad participation in solving these challenges while providing the structure required for scale and focus.
Network
The companys belief is that systems will probably need to be significantly enhanced to maintain efficient working practices and, ultimately, to support the companys market position. This may well involve creating and implementing a new network design, possibly incorporating an organisational Intranet. One possibility that has been mentioned is the creation of a wide area virtual private network (VPN), embracing all office and remote sites within these European operations.
This is envisaged as using a combination of public and private networks as appropriate. It is also explorng the possibility of making better telecommunications provision for certain construction teams, such as more adaptable Local Area Networks (LANs) configurations to incorporate wireless LAN. The management may also consider investing into satellite technology to help workers to access the company databases and other resources while still on the move.
Record Accounts
The managers at Oasis Bicycles would like a computerized system (centralized, federalised or decentralised) that would allow them to record the sales transactions and update their inventory across all countries. In addition, management would like several reports that would allow them to monitor sales on a daily, weekly, monthly, or yearly basis. Moreover, management would also like to be able to view sales and manage inventory for a particular product line or item.
Part 1: Report
You are required to put together an individual report which would include strategic plans and solutions/recommendations on the basis of the evidence supplied in the case study.
Report should include:
1. An identification of the problems facing the organisation (main focus on telecommunication, wireless technologies, networks and other IT problems as well as problems that underlie the company structure, strategies and business processes). A rationale/justification needs to accompany your identification of problems. Your analysis should examine the major issues or problems currently facing Oasis Bicycles. Keep in mind: All of these activities can benefit from innovative uses of technology. Increased use of collaboration tools can improve communication with customers and suppliers. Technology can be leveraged to provide better, and more timely information to help companies act with speed. Better information can also help mitigate many business risks. (20 Marks)
2. Smart companies work to determine how to manage change rather than simply react to it. Recommend solutions to the problems you identified above, in relation to currently available IT-communication systems and services. Priority of these problems should be identified and a rationale as to why these problems are considered to be of high priority. (20 Marks)
3. Every CIO can feel the momentum as consumer use of Web 2.0 tools raises expectations for flexibility and personalization in the enterprise user community. Global trends of growth and talent availability in emerging markets amplify the urgency for enabling technology. However, requirements regarding scale, security, and ongoing regulation continue to increase, creating seemingly opposing forces in the business environment. Discuss your views. (20 Marks)
Part 2: One Year Later
Issues:
Almost twelve months has passed since you presented your report/analysis of the different AIS applications in use across the company. In the interim the CIO retained a company of IT consultants to carry out a similar review of the key functional areas; Operations, Production, Sales, Marketing and CRM, Accounts (incl. Payroll) and Human resources.
Their report has recommended that Oasis Bicycles invest 100m in a company wide ERP system from one of the large vendors. This would allow the company to consolidate all of its IS (excluding the cargo tracking and approximately ten other specialist applications) onto a so called single instance ERP platform. The CFO is very reluctant to invest such a large amount of scarce capital in IT and he is concerned about the long term competitive advantage and return on investment from the expenditure. The CIO and CKO in turn have argued that moving to the single instance ERP approach will significantly lower the total cost of ownership of the IT/IS in the long run and will provide a significant cost saving.
The CFOs preferred approach is to sign what he terms a Transformational Outsourcing Agreement with one of the major IT outsourcing companies. Under this Agreement a significant portion of the companys existing IT activities would be transferred to a third party provider and that provider would take responsibility for transforming the systems over the seven year life of the contract. The CFO has done a preliminary analysis to show that this option would be cash positive from day one and allow the company to focus its investment on core activities.
The board of Oasis Bicycles is due to consider the IS investment alternatives at a board meeting in two weeks time. The CFO has wondered in the past whether the company should now outsource its IT functions rather than continue with its own IS unit, and with this cash positive option, he has asked for your advice as whether to go ahead.
Report
1. CEOs want IT to provide quality, reliable IT services. However, CEOs also want CIOs to lead innovation and promote change by employing technology to drive the kinds of business transformation that supports corporate objectives, enables new business models and exploits new opportunities. Outline what possible vendors you may suggest Oasis Bicycles to invest with. Also, choose one particular vendor and outline one package/application which you suggest for their Operations, Production, Sales, Marketing and CRM, Accounts (incl. Payroll) and Human resources. (20 Marks)
2. A key strategy that the CIO can drive is to outsource noncore activitiesfrom human resources and back-office operations to manufacturing and fulfillmentor consolidate them internally as shared services to maximize return. What would your advice be to Oasis Bicycles regarding outsourcing? (20 Marks)
There are faxes for this order.
I need help with an introduction and I would like you guys to help me write MODULES 1,2 and 3. I need an intro for the hole paper The paper is going to be about Barnes and Noble going to Australia and then answering Modules 1,2 and 3. Use standard research format and APA.
Module 1: Identifying Global Business Opportunities
Once the country and product is selected, evaluate potential markets for feasibility as well as a look at both comparative advantage and/or absolute advantage. Further analysis such as a SWOT, for example would be a good start for a paper.
Module 2: Analyzing International Competitors
Using the 3 steps in the module, evaluate the competitive environment. This would include competitive advantage, core competence, standardization vs. customization, and is the competitive environment fragmented, consolidating? What stage of the life cycle does the INDUSTRY fit into? If you are evaluating a country rather than a firm, then what types of businesses are the oldest, the newest upstarts. What foreign investments are there already? What is the attitude toward American companies?
Module 3: Assessing the Economic/Geographic Environment
This is where you start to really get to the meat of your investigation. By now you should have a country in mind AND a product or service in mind. As you evaluate the economy and natural resources, do so with your product or service in mind. Do you need waterways and shipping docks? Do you need telecommunications? How stable is the economy? Is your product/service purchased with discretionary income or disposable income? What is the GDP/capita in US dollars? Compare it to the US GDP/per capita.
DONE!
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Module 4: Assessing the Souci-Cultural Environment
Using the 4 categories in this module, paint the cultural picture. You may want to look at future trends and predictions. In the US for example, we have the aging babyboomers. The largest segment of the US population was born between 1946-1964. Beginning on Jan. 1, 1996, the first of the baby boomers started turning 50. This segment will have 2500 people turn 50 every day (365 days) every year for the next 10 years. Starting in 2006, those same people will start turning 60. By 2014, the largest segment of the US population will be 50 70 years of age. The same thing is happening in Japan. What are the implications of that kind of cultural influence? Look at those kinds of statistics as well.
Module 5: Assessing the Political Legal Environment
There are 4 areas here to consider which will either inhibit or facilitate your expansion. Identify the obstacles and opportunities within your country and how you might be successful.
Module 6: Selecting a Global Company Structure
Use the 4 key steps to determine the Action Plan at the bottom. Primarily, this will be your Operational Recommendation for how to gain entry and what structure will be the best. Support your decision. On the other hand, you can list pros and cons to each alternative. Based on that analysis to capitalize on the strengths and opportunities as well as the benefits, minimizing risks, what is the best course of action?
Module 7: Financing Sources for Global Business Operations
Ok this is the section for Show me the money!
Module 8: Creating a Global MIS (Management Information System)
On Step #4: The Action Plan is your best summary in this section as what you will need.
Module 9: Identifying Human Resources for Global Business Activities
The primary focus here is Step #1. Determine the method and make a case as to why it is the best method. From there, discuss items such as average wages in the country, compare that to US wages for the same job and determine what additional compensation will be necessary for your expatriates.
Module 10: Managing International Financial and Business Risks
You should have most of the necessary research for this section already. What is necessary here is to EVALUATE the information in terms of impediments, obstacles, risks, loss, etc. and how to mitigate them. For example, in a strategic alliance how might you ensure the safeguard of any proprietary information so that the alliance cannot become a direct competitor?
Module 11: Product Target Market Planning for Foreign Markets
In this section, you will discuss the benefits and features of your product in a way that should appeal to a group of potential REPEAT buyers. The key to successful business is having REPEAT buyers. That is who your target market will be generally. A group of people with identifiable characteristics with similar needs who have the ability, authority, and desire to buy or use what you have. What features and benefits does your product or service have that will appeal to the group you have identified?
Module 12: Designing a Global Distribution Strategy
Distribution IS transportation. How does the product or service get to the consumer? Do you need a good infrastructure (roads, waterways, railroads), or good telecommunication equipment (telephones, servers, computers, fax), or refrigeration or electricity? You should have enough information gathered to evaluate what is feasible what might present obstacles to delivery.
Module 13: Planning a Global Promotion Strategy
Promotion IS communication. How do you plan to communicate your product/service? What is available to you? If you rely on TV advertising, for example, what percentage of households have TVs in the home. How much is government a controlling factor in advertising? What are the preferred method people in your country get the news? Newspaper, TV, radio. Would it work to use a sales force?
Module 14: Selecting an International Pricing Strategy
Competitors, cost, and demand are the primary determinants to price. Cost is related to the economy. Competitors reflect the pricing based on standard of living and to a certain extent the demand. Be sure to review your economics and know whether your product or service has an elastic demand or an inelastic demand concerning price.
Module 15: Determining Organizational Financial Results
This is partly a review from Module 7. However, the best approach would be to see if you could develop a pro forma income statement. Even if you are estimating the numbers, see if you can create an Income Statement that will indicate your costs, revenue and profit.
Module 16: Measuring International Business Success
Measuring success IS a cost/benefit analysis. Look at costs and benefits financially, socially, and politically. You can even add an environmental cost/benefit component. Does you business plan provide more benefits than costs in all those areas? If yes, then your plan is a go decision. If on balance, it costs more than it benefits (financially, socially, environmentally, politically), then your decision would be no-go.
Module Title Contemporary Business
Level/Year Level 5 ? Second Year
Assessment title Contemporary Business Portfolio
Weighting and marking This assessment contributes 100% to the overall marks for the module. See below for individual mark allocations
Deadline date Monday 7th January 2013
Company Name ROBERT BOSCH
Please note that submissions up to 5 (five) working days after this date will have their marks capped at 40%. The only exceptions to this are:
? If you have a disability statement granting you extra time to complete the assessment.
? If you consider that you have exceptional extenuating circumstances that prevent you submitting your assessment on time you may either:
o Request deferral of your assessment attempt until the next time the module is assessed, which will probably be at the resit or next time the module is taught
o Request a coursework extension.
? For either of these cases you must follow the University procedures for submitting a claim for Exceptional Extenuating Circumstances and make this claim seven working days before the assessment deadline.
You are advised to make yourself familiar with the Standard Undergraduate Assessment Regulations if you need to use this process.
Note on Plagiarism, Collusion and Cheating
When you submit the assignment you declare that you:
? Have read and understand that university?s guidance on plagiarism and cheating.
? You confirm that it is solely your own work or, in the case of a group submission, that it is the result of joint work by members of the group that you represent.
? That it contains no unreferenced material from another source.
? That you keep a copy of the assignment.
Failure to abide by the rules will result in disciplinary action against you.
Advice
? Do not copy tracts of work from printed material, the internet or another student.
? Do not share an electronic copy of your work with anyone not concerned in its production.
? Use the Business School standard for Harvard Referencing http://www.bcu.ac.uk/essential/harvard.html
The assignment brief starts on the next page
Assignment Brief
The module?s purpose is to investigate current issues that impact upon business organisations. On completion of this element of the module you should be able to:
? Have greater awareness of critical business issues.
? To be able to discuss knowledgeably current business issues.
? Refine investigative skills.
? Source contemporary business issues debating forums.
? To be able to participate in the discourse of contemporary issues.
? Apply the issues in a critical analytical way; as to the effect of contemporary forces have on business success and economic growth.
Exposure to the module should have the outcome of raising your awareness of current business issues, their management, rational modelling and effect upon business; whilst forming effective Business Relationships.
Organisation of the Assignment
In week 2 you will select an organisation that is either listed in the Fortune Magazine Global 500 list of the world?s largest firms, or the FTSE 250 Index. This will be done by blind ballot.
The organisation you select in the ballot will be the company you must research and report on for this assignment.
The Schedule indicates ten Activity topics, which will form the basis of seminar discussion and debates:
1. The Lugus principle
2. Analysis of your Firm?s global spread
3. One aspect of your firm?s activities in the field of globalisations, such as off-shoring, outsourcing, migration, etc.
4. Financial Analysis of your firm
5. Report on the firm?s use of Social Media
6. Report on your firm?s use of the internet and its website
7. Report on your firm?s customer groups
8. What is Greece going to do for us? Report on the problems the EU faces
9. Report on one aspect of your firm?s policy regarding use of rare resources, etc.
10. Report on your firm?s green credentials
11. Report on your firm?s Corporate Social Responsibility and its Ethical behaviour
The Module will be assessed by ONE Portfolio of work, containing THREE elements:
1. The first element is to be a 600 word report, with diagrams if appropriate (minimum word count to be 540 words and maximum word count to be 660 words), based on the second activity - Analysis of Firm?s global spread.
This must be submitted for marking by the beginning of week 5: that is by 12.00 noon on Tuesday 16th October 2012.
This work will be marked and returned to you by FRIDAY 23rd November 2012.
Even though this piece of work carries an assessment weighting of 10% of your final mark, it is very important to submit this first piece of work and obtain feedback for it, in order to help you to maximise your mark for the portfolio as a whole.
2. You should then select FOUR more of the weekly Activity subjects and for each of these activity areas also produce a report on your firm?s activities, policies, behaviour, etc. Each should be the same word length as for item one (minimum 540 words ? maximum 660).
3. Finally, selecting ONE of the eleven activity areas NOT covered in 1 and 2 above you should write an article that would be suitable to be published in a quality newspaper such as the Financial Times, Times, Guardian or Telegraph or in a suitable magazine (the Economist, Fortune), based on an aspect of the firm?s behaviour, policies, etc, within that topic area. This article should have a maximum length of 1200 words.
You will therefore cover SIX of the ten activity areas as a part of this assessment.
Submission of work
The marked article from part one, the four topics forming part 2 above, and the journalist article from part three, should be presented as a single portfolio of work and:
? handed in by 12.00 noon on Monday 7th January, 2013
Assessment
The weighting of marks for the portfolio is as follows:
1. First Report: Analysis of your firm?s global spread 10%
2. Four reports selected from the remaining activities 15% each (60% total)
3. Journalistic article on your final topic 30%
HERE IS MY INTRODUCTION ALREADY
ROBERT BOSCH
Robert Bosh commonly known as Bosch, is a German multinational engineering and electronic companies based in Stuttgart Germany. Bosch's core products are automotive components (such as high quality brakes, controls, electrical drives), industrial products (such as drives and controls, packaging technology) and consumer goods and building products (such as household appliances, power tools, security systems). Bosch also provides more than 15,000 Bosch Car Service garages, Bosch Diesel Service Centres, and Bosch Diesel Service garages around the world ensure greater safety and reliability on the road.
Bosch is active on every continent and has subsidiaries and associated companies in more than 60 countries. Bosch operates roughly 260 countries worldwide, of which nearly 200 are located outside Germany ? in Europe, North and South America, Africa, Asia and Australia. Bosch has been around for 125 years and Bosch automotive technology has a history stretching back 114 years. At first, the company?s success was modest. The automobile was still in its infancy. Indeed, in 1897, Robert Bosch himself could not have imagined just how important his first automotive product ? the magneto ignition device ? would become in today?s world
The Global spread of Bosch
Bosch is German company that started production in Germany and if not for its global spread, it would not be the organisation it is today.
Bosch in Europe
In 1899, Robert Bosch entered into a joint venture with Frederick R Simms to sell Bosch products in London United Kingdom, this provided extremely successful and by 1914 the sales company was supplying over 90% of the country?s automobiles with Bosch magneto ignito systems, in 1954 the Hendon London branch was opened as well. By 1991 Bosch had started manufacturing alternators in Miskin, near the Welsh capital Cardiff. This was Bosch manufacturing operation in the United Kingdom
By 1899 after the joint venture was setup in the United Kingdom, Bosch starts supplying to the French market and by 1905, the company began manufacturing operations in Paris. After the Second World War Bosch started manufacturing in Saint- Oven near Paris. By 1907 Bosch was ready to take on Australia, A.E Kemsley started selling Bosch products in Melbourne. Eight years after that Pyrox starts manufacturing Bosch design spark and plugs, a 50-50 joint venture with the objective of setting up a manufacturing facility in Clayton. In 2002, Australia started manufacturing diodes at the Clayton plant near Melbourne.
More importantly, Boschs? globalisation also goes hand-in-hand with its social commitments, in so far as the company has undertaken to invest in third world or developing economies to help these countries improve their employment and economic conditions. For example, Bosch in Brazil and India. Bosch in India, in 1951 a number of India partners and Peter Bosch set up a joint venture that was producing spark plugs and diesel injection pumps in Bangalore. In 1979, Mico industry provided financial support and advice to the Sri Sadguru Shankar Trust for a development project in Kaggalipura Bangalore where 47 families lived at that time. In 2007, Mico becomes Bosch Limited and Robert Bosch gradually increased his share holdings from 9% to 70% and was producing in 4 other cities in India. Almost the same approach was that of Brazil when Robert Bosch decided to open a 40 bed hospital in 1973 at Campinas Sao Paulo for the community and as of August 2007, the manufacture of Antilock Braking System (ABS) started in Brazil.
There are other similar ways through which Robert Bosch has more than 350 subsidiaries across over 60 countries and its products are sold in around 260 countries. Bosch employs around 300,000 people and had revenues of approximately ?41.8 billion in 2011.
Pls rewrite #A2042966 and make some addigns:
- task 2
What do you understand by the term quality culture? Make a comparison between the view of quality in the United Kingdom and one other country.
plus addings on task 1
- What are the strategic objectives of your organisation or one with which you are familiar?
- For your chosen organisation, how successful are operations objectives in meeting organisational objectives?
plus addings on task 3 (betw. 1,000 - 1,500 words count)
- How can problems and opportunities for quality improvement be identified?
For an organisation of your choice, compile an organisational performance improvement programme. This should be presented in the form of a report of approximately 1000 -1500 words. It should include details of improvement recommendations which concur with the organisation?s objectives and stakeholder interests, an evaluation of the implications of proposed changes, and suggestions for their implementation.
_______________________________________________-
what you have written so far:
Task 1
1. Strategic objectives of operational management
In a competitive market environment, organizations employ different strategies to achieve market advantages. Wining new markets and maintain the existing markets depend on the quality of the products and services that organizations produce. To enhance quality of the products, and achieve market competitive advantages, firms should employ operations management techniques to produce and distribute products. Operations management focuses on the various strategies that firms employ to create, develop, produce, and distribute products and services to achieve market advantages. (Slack, Chambers. & Johnston, 2008). Model of operation management is very critical to business success because it influences how managers understand his customers and translate customers? needs into performance objectives, which is translated into operation business strategy. (Slack, Chambers, & Johnston 2010).
Operations management is the method that an organization employs to coordinate business operations in term of efficient utilization of resources. Typically, strategic operations management can create core competencies and develop management capacities within an organization.
The objective of this paper is to discuss the strategic objectives of operational management.
1.1: Role Played by Effective Operations Management within an Organisation
Operations are defined as the method of transforming set of resources into good and services. Operation performs three roles:
? Implementer of business strategy.
? Supporter of business strategy.
? Driver of business strategy.
The input resources may be raw materials, facilities, or staff that an organization transforms into final goods and services. However, the concept of operations management is the overall strategy that an organization employs to manage the organization inputs into finished goods. The success of an organization depends on its fulfilment of business process. Efficient implementation of operations management within an organizational could lead a firm to attain success. Operations management can improve organizational performances through product design and specification, process reengineering, and strategic capacity planning for products and services. Operations management could enhance organizational supply chain management, improve waiting times, enhance efficiency, and inventory management. (Islam & Ali 2011). The operations management is widely implemented in the manufacturing industry than other industries. In the implementation of operations management, manufacturing organizations use the overall process in planning and controlling for the production of goods. While application of concepts of operations management has focused mainly on the manufacturing sector, the service sector has also started to integrate the concept of operation management in their business process. Davis & Heineke (2005) argue that many concepts of operations management currently being applied in the manufacturing sector are now being applied in the service sectors. For example, many service companies have started to apply Information Technology (IT) to assist boosting workers? productivity and deliver quality service to customers. Amazon.com is a good example that applies operations management to increase workers productivity. In 2001, Amazon increased workers productivity and the company was able to achieve 35% increase shipped by the same number of workers. Amazon introduced new software to improve the company forecasting, and accuracy of customers purchase. With the introduction new software, Amazon was able to reduce the inventory by $31 millions in the fourth quarter of 2001. Moreover, between 2000 and 2002, Amazon was able to boost revenues from $2.7 billions to $3.9 billions revealing a 4.4% increase in revenues within two years. To lower the costs, Amazon decided to streamline the number of workers. Amazon reduced the workforce from 9,000 to 7,500 workers. Despite the 17% reduction in the workforce, Amazon was able to achieve 73% increase in worker productivity from ?$300,000 in sales per employee in 2000 to $520,000 in sales per employee in 2002?. (Davis & Heineke 2005 P5). Amazon has been able to boost productivity and revenue due to the implementation of effective operations management in the business process. In 2001, Amazon integrated the IT advantages by introducing six Amazon computerized warehouses. In 2003, Amazon was able to handle 3 times of the warehouse volume as they did in 1999, and the company was able to develop its supply chain with retailers that led the company to double its overall profit margins.
Similar to Amazon, Apple Inc has also been able to boost the productivity since 2006 due to the effective product differentiation that the company employs as business strategy. With product differentiation, the company has been able to rank top position in the computer and iPhone industry.
1.2: Apple Inc Strategic Objectives
Apple Inc is a company that specializes in designing, and manufacturing of Apple computers, portable digital music players, varieties of software, digital contents, and application. The company also produces varieties of products, which include Apple TV, iPod, iPhone, iPad, and Mac OS X operating system. (Annual Report, 2010).
Apple strategic objectives is to bring the ? best personal computing experience to students, educators, creative professionals and consumers around the world through its innovative hardware, software and internet offerings." (Apple Annual Report, 2010 P 27). Apple uses its strategy objective to meet the organizational objectives. Apple has become one of the top producers of computer equipments because the company has been able to levy its operations objectives to meet its organizational objectives.
1.3: Apple Operations Objectives and Organizational Objectives
Apple has been able to meet its organizational objectives using its operations objectives. To meet the organizational objectives, the company employs technological innovation to produce various products. Apple has developed pool of skilled employee to develop high quality products. The company business strategy levies on using pool of high skilled workforce to design and develop its operating systems, application software, hardware, and service. With the company unique design system, Apple has been able to focus on customers superior ease-of-use innovative and quality products. To produce high quality products, Apple believes in investing in research and development (R&D) to design and build innovative products. By producing high quality and innovative products, Apple has been able to achieve the organizational objectives. For example, Apple has continued to introduce new products that could assist students, educators, creative professionals, and consumers around the world to have computer experience. Apple has developed robust innovative products such as Macintosh computer, Window-based computer, Mac OS X, iOS and wireless iPhone, iPad, and iPod. With apple products, more customers are able to enjoy computing experience.
Using the operation objectives, Apple has been able to reach more customers globally making Apple to boost its revenues annually. For example, Apple increased its net sales by 52% between 2009 and 2010. The company also increased its net income from $8,235 millions to $14,013 millions between 2009 and 2010. (Thomas, 2008).
Task 2
2: Description of two systems used to ensure quality of products and services.
The concept quality is defined as the degree by which products or services meet the preset standards. Organizations could use two systems to ensure quality of products and services. One of the system is to use customer-defined quality to achieve business success. Since 2003, Honda Motor Company and Ford Motor Company have been using customer-defined quality to make customers number one priority. Typically, Ford is implementing quality program called Six-Sigma Sigma, where the level of defects is reduced to approximately 3.4 parts per million to achieve customer satisfaction.
?Both GE and Motorola have had a primary goal to achieve total customer satisfaction. To this end, the efforts of these organizations have included eliminating almost all defects from products, processes, and transactions. Both companies consider quality to be the critical factor that has resulted in significant increases in sales and market share, as well as cost savings in the range of millions of dollars?.(Wiley , 2008 P 140).
Another system an organization could employ to ensure quality of products and service is to promote training culture within an organization. Employee training is an important tool that organizations could employ to deliver quality product and services. With training, employees could develop required skills to design products or service that will be acceptable to customers. Moreover, training will enhance the skills of the employee to deliver quality service. For example, Apple Inc has developed its pool of employed through training and development to design and produce high quality products that could attain market advantages.
Moreover, many service companies such as Deloitte & Touche, Ernst & Young, and PricewaterhouseCoopers have been able to deliver high quality services to customers and achieving international reputations by enhancing employee skills and development.
2.1: Use of ISO 9000 Standards to Monitor Quality
Total Quality Management (TQM) is the management initiatives aimed to deliver quality products and services. TQM could be used to monitor quality by focusing on improvement of customer satisfaction through production of quality products. International Organization for Standardization (ISO) is an international organization formed to set quality standards for companies around the world. To promote international quality standards, ISO has established agreement with 91 countries, and ISO 9000 has been created to set standard and certification process for companies.
?The ISO 9000 standards offer companies the capability to develop and implement an effective and dynamic quality system, with a focus on continuous improvement and adaptation, as long as the companies show the necessary willingness and commitment to exploit it?. (Gotzamani & Tsiotras 2001P 1329).
To monitor quality to a satisfactory level, an organization must satisfy the ISO 9000 requirements. In Europe and the United States, ISO certification has become a requirement for doing business, and before a company could be deemed to produce quality products, it has to be certified by ISO. Organizations that have received ISO certifications have gained global acceptance. Organizations could use ISO 9000 certifications to monitor quality standards of its suppliers. Customers could also use ISO 9000 certification to monitor the quality of the products produced by an organization.
To enhance quality within an organization, organization should develop quality culture.
2.2: Overview of Quality culture
?A quality culture is an organizational value system that results in an environment that is conducive to the establishment and continual improvement of Quality?. (Ahmed, 2010 P 3). Organizations inculcate quality culture to implement quality standard based on the ISO 9000 standard. To maintain quality culture, organizations must maintain awareness of quality as the key cultural issue, and organization should empowers employees to maintain quality culture.
Many companies in the UK inculcate quality culture, and adopt quality culture as the strategic objectives. The major objective for adopting quality culture is to produce high quality products for the satisfaction of customers. Since the UK is a member of ISO, many UK companies have obtained ISO certifications to demonstrate the quality standards of their products. In addition, there is a law in the UK that protects consumers against sub-standard products. Under consumer right, a consumer could sue an organization for producing defective products.
On other hand, China does not implement quality culture compared to the UK. Many Chinese companies produce sub-standard products compared to the products produced by the UK companies. In China, many companies copy the products produced in the UK and in other advanced countries. Unlike the UK, China does not have law that protects consumers against sub-standard products. (Zhao, 2005).
Task 3
3: Organisational performance
Organization performance is measured in term of its financial, output or market performances. An organization is able to achieve high performance if it is able to demonstrate growth in its financial statement, output, and market performances. There are three key criteria to measure organizational performances:
1 Financial performances
2. Product and market performances
3. Shareholder returns.
An organization is able to demonstrate a healthy financial performance if its annual net profits increases yearly or if the company has been able to reach financial target set for itself. Product and market performances are measured when organizations have been able to produce high quality products that meet customer requirements. With the production of high quality products, organizations will be able to achieve market performances. (Richard 2009). For example, Apple Inc has been committed to increase high quality products for its customers. Over the years, Apple has been able to increase its net profits, and market performances. Between 2009 and 2010, Apple increased its net sales by 52% and increases its net income from $8,235 millions to $14,013 millions leading to the cumulative increase in shareholders returns. (See Fig 1). (Thomas, 2008).
Fig 1: Apple Cumulative Total Returns from 2006 to 2010
Source: Apple Annual Report, 2010
3.1: Identification of Problems and Opportunities for Quality Improvement
There are three criteria to identify problems and opportunity for quality improvement.
First, an organization could set up internal failure costs associated to discover quality products before actually reaching the market. Sometimes defective products could be corrected internally. An organization needs to set up this cost to identify problems and ensure quality improvement.
Similar to internal failure cost is the appraisal costs, which organizations incur to uncover defects. This includes costs of quality inspections, product testing, and performing auditing. The tasks are to identify problems and enhance quality improvements.
Finally, an organization could use external failure costs to identify quality problems. This involves recalling defective products from the customers. For example, auto-manufacturers could recall the cars from the customers due to malfunction in the braking system. A manufacturer of launch meat or hotdogs could also recall its products due to the bacteria contamination. External failure costs should be the last resort organizations should use to identify and enhance quality improvement. Using external failure costs to identify problems and enhance quality improvement could lead to long-term reputation damage of a firm, and this could put an organization out of business overnight. (Reid & Sanders 2010). To prevent quality problems and enhance quality improvement, an organization should implement performance improvement program.
3.2: Apple Inc Performances Improvement Program
To enhance quality of the products, Apple Inc has set up performance improvement plan. For example, Apple believes investing in research and development to improve the quality of the products. Apple believes that by investing in R&D, company will be able to produce high quality and innovative products that will be acceptable to customers. To demonstrate performance improvement in its products, Apple increased expenses on R&D investments between 2009 and 2010. For example, Apple spent $449 million on R &D in 2009 and in 2010 and the company spent $1.8 billions on R&D demonstrating an increase of 34% increase in R& D expenses. (Apple Annual Report, 2010).
Another method Apple uses to demonstrate performance improvement program and enhance quality of its products is by opening Apple training center to develop the skills of the employee. Apple believes that company could develop high quality products by empowering employee through training. ?The Apple Authorized Training Center (AATC) program was developed along the same principles of quality, simplicity, and innovation?. (Apple Inc, 2010 P 3). To develop its employees, Apple uses computer and digital media technology to improve the skills of its employee. The main objective of the training is to improve the skills of the company workforce to develop high quality products.
Another method that Apple employs to implement performances improvement program is by setting up the Apple?s Supplier Diversity Program to monitor the quality of the materials supplied to the company. Apple is committed to source for high quality products from its suppliers. The company uses the program to screen all its suppliers in order to source thigh quality materials.
4: Recommendations
Apple Inc should embark on the training program for its suppliers. Typically, suppliers form essential part in the Apple strategic advantages. By educating supplies on the method to supply high quality products, Apple will be able to continuing producing high quality products for its customers.
Apple should mandate all its suppliers to have ISO 9000 certifications. In the contemporary business environment, ISO certifications have become the requirements for doing business. By mandating its suppliers to possess ISO certifications, Apple will continue to enjoy the patronage of its customers. Moreover, Apple will continue to be supplied with the high quality materials since it is known that a supplier with the ISO certificate has the requirement to supply high quality materials. Apple should refrain to deal with the suppliers from China or other developing economies. Before Apple could deal with the suppliers from these countries, they should possess the ISO certifications. Typically, China is widely known to produce sub-standard products and materials. In China, there is no law that controls the companies or suppliers against substandard products. Thus, Apple should be very careful dealing with the suppliers based in China.
Moreover, Apple needs to form another transformation leader just like Steve Jobs who will continue to guide the company in the designing and producing innovative and quality products. Steve Jobs was a computer genius who has assisted Apple to become one of the top computer companies in the world. Steve Jobs possessed high skill and innovative talents that he instilled in his employees in order to transform the company from the point bankruptcy to one the biggest computer company in the world. Now that Steve Jobs has passed away, the Apple competitors could use his absence against Apple, and this may make Apple to lose its quality performance that the company has enjoyed when Steve Jobs was CEO. Thus, Apple needs to develop another transformational leader to continue to enjoy market performance.
References
Apple Inc, (2010). Apple Authorized Training Center Program Overview.
Ahmed,S.M. (2010). Quality Culture. College of Engineering & Computing Florida International University, Miami, Florida.
Annual Report, (2010). Apple Inc.USA.
Davis, M.M. & Heineke, J. (2005). Operations Management and Integrating Manufacturing & Services (Fifth Edition).McGraw-Hill.USA.
Gotzamani,K.D. & Tsiotras,G.D. (2001). An empirical study of the ISO 9000 standards?
contribution towards total quality management. International Journal of Operations & Production Management. 21(10): 1326-1342.
Islam J & Ali, M.M.(2011). Identifying Problems of Strategic Operations Management in Business Organizations in Bangladesh: An Empirical Analysis. Journal of Business and Policy Research: 6(1):75-86.
Richard et al. (2009): Measuring of the Organizational Performance: Towards Methodological Best Practice. Journal of Management
Reid, R.D& Sanders.N.R (2010). Operations Management and the Integrated Approach, (fourth Edition) International Student Version. Wiley.USA.
Slack,N. Chambers. S. & Johnston (2008). Operational Management (Sixth Edition). Pearson Education. USA.
Slack, N. Chambers, S. & Johnston.R. (2010). Operation Management (4th Edition).Pearson Education. USA.
Thomas, F. (2008). Stock Report Apple, Inc. University of Missouri.USA.
Zhao, M. (2005). The China Gap: of Culture, Rules and Quality Control. Montrose Journal.
Wiley (2008).Total Quality Management. Chapter 5. Wiley Inc
paper title: u10a1 Project ??" Final Marketing Analysis
Syllabus
Marketing Analysis Project Description
Overview : Research and produce a marketing analysis of a product, service, or company. This will include a current marketing profile developed from Internet research of business periodicals with specific focus and analysis of the four Ps of marketing and how they apply and are managed in that situation.
Product: AVON ANEW Lash-Transforming Mascara + Serum
o Brand decisions.
o Product features.
o Packaging.
o Product lines.
Place:
o Channels of distribution.
o Physical distribution.
o Retailing choices.
o Inventory decisions.
Price:
o Cost-based pricing.
o Value-based pricing.
o Competition-based pricing.
Promotion:
o Communication plans.
o Public relations.
o Advertising.
o Sales and selling activity.
Your final marketing analysis should include the following:
Company Description section describing the company you chose for this project.
Product Analysis section.
Place Analysis section.
Price Analysis section.
Promotion Analysis section.
Overall Marketing Strategy Analysis section with a discussion of the company's overall marketing strategy, and your analysis of how that will impact their business success.
Integrated Marketing Program Analysis section with a discussion of how well integrated their marketing program is, and your analysis of how that will impact their economic success.
Recommendations and Management Implications section, with your key recommendations related to the above areas. This should include the impact your recommendations will have on management, such as when and how your recommendations should be implemented.
References page.
Grading criteria:
Examines basic use of product in the marketing mix and recommends improvements.
Examines basic use of place in the marketing mix and recommends improvements.
Examines basic use of price in the marketing mix and recommends improvements.
Examines basic use of promotion in the marketing mix and recommends improvements.
Examines the implications of an integrated marketing program to business economic success, and draws conclusions related to a specific business situation.
Examines the relationship of basic marketing strategies to business success, and draws conclusions related to a specific business situation.
Evaluates the management implications of marketing and sales plans, and draws conclusions related to a specific business situation.
I have papers written that I swill send as attachments that has some of the information I have, done by your company, that needs to be used in the writting of this paper.
There are faxes for this order.
Instructions
I am a doing my masters in luxury Brand Management, this class is called Research Methods.
What I need from you is the business proposal for a business start up in fashion luxury that you will be creating. The business proposal must be 3000 words minimum
I will be sending you pictures of a business proposal that someone made in my class in the past, the business proposal that I will be sending you as an example concerns a company that already exists but that was changing owners, this is NOT OUR CASE; our business proposal is for a business start up that does not exist and that we are creating.
I am sending you that example so that you get an idea of how professional you must be, and what style of business proposal I will be expecting.
Please follow the exact same style when it comes to the presentation of the proposal (appearance) as well as the way the sources have been cited.
Here are the MUST points that must absolutely be included, I will expect you to use this as minimum and add much more points:
INTRODUCTION:
what is the business idea?
where is it based and why?
what is the mission (reason behind me doing this company, why I think it is needed in the market)
Aim and objectives, what do we want?
discover if there is an interest for the product we want to sell
Literature review:
Market place
size of market
existing competitors
how costly wil it be to enter this market (high market entry? low market entry? therefore risk high or low?)
SWOT analysis (strength, opportunities, weakness...)
what sort of capital investment you think is necessary to be in the market?
how costly will advertising be to ensure your presence in the market? (identify optimum size and then you get your approximate)
realistically as far as we know in the market are there no providers of this product in the country?
can competition produce for less expensive?
If someone bigger than you does it, why would your consumers buy from you and not from them?
Target consumer
Target market
Demographics
where do you get your supply from?
How will you Measure (track)the business success
Methodology conclusion
How will you get the data? (focus group? questionnaires? straight forward interviews or semi-structured interviews?)
Do you think this is viable?
Sincerely,
SC
Imagine that you are an expert in the principles of business leadership. You have been invited to present at a conference held for some of the top executives at Fortune 500 companies. Your assigned topic is ?Leveraging Leadership to Maximize Business Success.?
Prepare a 1,000 ? 1,500 word paper that addresses:
? Introduction to leadership
o Explain the differences between management and leadership, and how cultivating leadership skills in managers can benefit the organization.
o Explain how managers can set effective expectations for their employees to increase organizational performance.
? Organizational culture
o Describe how managers, when applying leadership principles, can contribute to a healthy organizational culture.
? Leveraging diversity
o Summarize some of the best practices for leading a diverse workforce, and the benefits that can come to the organization through leveraging diversity.
Support your paper with the concepts discussed in class and in the text.
Format your paper consistent with APA guidelines.
Thisis a book report paper " Nuts! Southwest airline"
Twenty-five years ago, Herb Kelleher reinvented air travel when he founded Southwest Airlines, where the planes are painted like killer whales, a typical company maxim is "Hire people with a sense of humor," and in-flight meals are never served--just sixty million bags of peanuts a year. By sidestepping "reengineering," "total quality management," and other management philosophies and employing its own brand of business success, Kelleher's airline has turned a profit for twenty-four consecutive years and seen its stock soar 300 percent since 1990.
Today, Southwest is the safest airline in the world and ranks number one in the industry for service, on-time performance, and lowest employee turnover rate; and Fortune magazine has twice ranked Southwest one of the ten best companies to work for in America. How do they do it?
With unlimited access to the people and inside documents of Southwest Airlines, authors Kevin and Jackie Freiberg share the secrets behind the greatest success story in commercial aviation. Read it and discover how to transfer the Southwest inspiration to your own business and personal life.
*** I will fax the professor reqire sheet to you
There are faxes for this order.
In this Session Long Project, work as a marketing consultant to develop a feasible marketing plan for your client. Conduct both secondary (search secondary sources) and primary research (interview customers or conduct surveys) in order to glean the necessary information for your marketing plan. When conducting primary research, you will collect only qualitative data (i.e., personal in-depth interviews with at least three target customers) for this study.
It is important to conduct quality market research on your focal product/company in order to develop realistic and workable marketing plans. Generally speaking, there are two types of research. One is secondary research, which refers to data collection using existing sources, and the other is primary research, which is your own data collection for the specific study at hand. The purpose of market research is to collect usable information to make more informed decisions on the business problem, thus increasing the chance of business success in the marketplace.
Here is the Marketing Plan Outline, which provides information on:
1.The format for your final SLP.
2.A list of topics for the marketing plan.
In this module SLP, conduct the issue analysis for your marketing plan, and develop goals and objectives, as well as the specific marketing strategies.
Issues Analysis
The SWOT analysis and the outcome of the primary research efforts are the basis for the issues analysis. Here the primary focus should be on the charge for your research project. What are the most important issues and decisions that the organization is likely to face when trying to sell the new brand iPad 4? Furthermore, if the previous research steps (situation analysis, SWOT analysis, and primary research efforts) have shown that previous marketing efforts were unsuccessful (and why), then include the lessons to be learned as issues.
In general, issues can include, but are not limited to (the issues depend on the charge of the respective marketing plan and are likely to differ from plan to plan):
?Should the company focus on the charge in question?
?What rate of growth is necessary and sustainable?
?Does the company need to increase promotion to thwart the competition or to successfully reach its target market?
?Does the company need to develop new promotional efforts to reach the identified target market?
?What would be the most promising way of communicating with the target market?
?Does the company need to increase the target market?s knowledge base?
?Does the company need to address/change the target market?s belief systems?
?Does the company need to develop persuasive messages tailored to the specific brand at hand?
?Does the organization need to work on its reputation?
?Is the company?s current distribution in order?
?Should the company review its pricing strategy?
?Does the company anticipate any major competitive attacks in its current markets?
Note: Be realistic when proposing issues. For example, suggesting that the company should invest funds in stocks or real estate is not appropriate for the marketing plan. First, it has nothing to do with the charge at hand; second you are unlikely to have enough information to address this issue in the following sections (i.e., Goals and Objectives, and Marketing Strategies).
Goals and Objectives
Goals and objectives both need to be driven by the issues analysis.
Establish corporate goals: qualitative statements of desired general accomplishments that are indicative of the direction and priorities of the company or the outcome that the company hopes to accomplish (e.g., improve customer satisfaction and loyalty, increase consumer knowledge, change consumer beliefs, persuade the target audience to buy the new brand, have the most recognized and effective advertising campaign in the industry, improve service quality, have lower prices than all competitors, increase market share, produce the most loyal customers in the industry).
Set specific measurable corporate quantitative objectives: targeted dollar amount of sales; number of iPad 4s sold; targeted market share; and so on. That is, express the goals you have outlined above in quantitative (numerical) terms, and place them within a time frame. In other words, the objectives are driven by the goals you outlined above. Avoid listing objectives that have nothing to do with the identified goals.
Note: If you are dealing with a new product (i.e., your charge), do not express objectives for the first year in percentage terms. In other words, stating that you would like to increase awareness by 5% for a new product does not make sense, because a new product will start out with a market share (or awareness) of zero and 5% of zero is still zero. In such a case, phrase your objectives differently (e.g., the objective is to increase the brand awareness among 10% of the target market within the next six months).
Have at least one goal. Make sure that those goals (and your objectives) focus on your charge and also reflect your issues analysis. Have at least two objectives for each goal.
The format for this section should appear as follows:
Goal 1
Objective 1
Objective 2
Goal 2
Objective 1
Objective 2
Marketing Strategies
Marketing strategies encompass recommended positioning, competitive differentiation, and customer value strategy. These include a description of your target market, intended image/position in the market, and the value proposition.
A. Target Market Definition
The process of selecting a target market is one of the most important decisions an organization can make. Most organizations segment the entire population into groups with homogeneous needs. For a market segment to be viable it must be measurable,meaningful,marketable. A segment is measurable if its size can be determined, its purchasing power can be estimated, and other characteristics can be identified. It may be difficult to segment on the basis of social class, but easy to segment along income levels. A segment is meaningful when it is large enough to have sufficient sales and growth potential to serve in the long run. A marketablesegment is one that may be reached and served efficiently. In general, a company wishes to serve the largest possible homogeneous group that also seems to be most likely to be persuaded to buy the product in your charge.
When companies write the marketing plan, defining the target market often proves to be the most challenging aspect of the plan. However, if you do not choose the right markets to target, you will often never achieve complete success. Too often, companies see that their solution can serve the needs of multiple markets and they try to establish multiple markets at the same time. Ultimately, this may lead to failure because they overextended themselves and did not successfully meet the needs of any market. Choose a well-defined market when you write your marketing plan and stick to it until the market dictates a change.
Bases for segmenting consumer markets include demographic, benefit, psychographic, and behavioral characteristics. Demographic segmentation includes the characteristics of age, family size, family life cycle, gender, income, occupation, education, religion, race, generation, nationality, and social class. Benefitsegmentation describes why consumers buy a product (e.g., makes me feel good, makes me feel useful, etc.). Psychographic segmentation encompasses lifestyle (e.g., outdoors, athletic), and personality (e.g., compulsive, gregarious). Behavioral characteristics include occasion (e.g., Valentine?s Day, birthday), usage rate (e.g., light, medium or heavy users), or attitude (loyalty).
Note: You do not have to use all of the above-listed bases for segmenting consumer markets. However, demographic segmentation and benefit segmentation will always have to be used. Follow the instructions below:
1. Primary (and Only) Target Market
?Describe the primary target market in demographic terms (use the descriptors that are most useful in terms of your charge).
?Describe the primary target market using benefits sought by that market.
?Describe the primary target market using one of the following bases: geographic, psychographic, benefits sought, or usage (depends on your target and your charge).
?Estimate the number of customers in your primary market.
?Justify the choice of your primary target market (if applicable).
This section is very important. Do not take shortcuts.
B. Strategy Statement
1. Image/Market Position
Positioning is the act of designing the offering and its image so that both occupy a meaningful and distinct competitive position in the minds of the target market.
What is the intended image you wish the product to portray? What is the position you wish the product to obtain?
2. Value Proposition
Why should customers buy from the agency instead of its competitors?
What does the agency have to offer to its customers that outperforms its competitors? products?
SLP Assignment Expectations
Use the following outline to organize your paper. Note that the letters ?a, b, c?? and the numbers ?i, ii, iii, iv?? below are used to show the major issues you need to include in your paper, but should not be used to format your paper.
V. Issues Analysis (2 pages maximum)
1.Given your complete marketing analysis, what are the key issues that the company/organization must understand in order to address the charge that is being considered?i.Note: This section concisely identifies the most important issues and decisions that the organization is likely to face when trying to sell the product in your charge.
?Bullet points (or numbered statements) are acceptable.
VI. Goals and Objectives (2 pages maximum)
1.The goals and objectives should be stated clearly and concisely.i.(Think S.M.A.R.T. i.e. Specific, Measurable, Achievable & Result Traceable).
2.Each goal/objective should be easily understood given your previous analysis and summary of key issues.i.Do not ?discuss? the goals/objectives. Just present them.
VII. Marketing Strategy Statements (2-6 pages)
1.Note: These are literally statementsi.Do not provide detailed descriptions.
ii.These statements will guide your implementation.
iii.These statements should be logical given your analysis and goals.
2.Target Market Definitioni.Note: This is a short, final description of who your action plan will be intended to reach. You may simply be restating target population previously identified.
?Describe the target market in demographic and/or psychographic terms.
?Describe the key benefits/behaviors this target market seeks/prefers.
?Estimate the number of customers in this segment.
3.Strategy Statementsi.Value Statement ?Why should ?customers? adopt your strategic initiative?
?What does your initiative provide (or what do you suggest it provide) in order to encourage/support behavioral change?
?Identify ?the set of benefits that the strategy offers.?
Note: The value proposition is intangible, but it is made tangible through specific offerings/activities.
ii.Proposition Statement ?What is the key proposition on which the strategy and its activities should be based?
?Refer to the ?4 Ps? of marketing.
iii.Accessibility Statement ?What information or support materials must be made easily accessible?
?Refer to the ?4 Ps? of marketing.
iv.Communication Statement ?What method of communications should be sought? Print/radio and other traditional media? Social networking?
Note: Use double-spaced, black Verdana or Times Roman font in 12 pt. type size. Include a title page and references. Revise your Module 3 SLP based on the feedback from your professor and your additional research, and include the SLPs from Modules 1-3 in the Module 4 SLP.
Explain clearly and logically the facts you find about your company and charge, and use the required reading to support your positions on the issues. Do not repeat or quote definitions. Your use of the required readings to support your opinions (that is, contentions or positions) should demonstrate that you understand the concepts presented.
Paraphrase the facts using your own words and ideas, employing quotes sparingly. Quotes, if absolutely necessary, should rarely exceed five words.
Academic papers at the master?s level should include citations and references. Look at different sources, especially credible and reputable resources such as The New York Times, The Wall Street Journal, Businessweek, and The Economist, to find the information for your paper. Also use Trident University?s online library databases such as ProQuest and EBSCO to find information for your project. Your discussion on each topic should be a synthesis of the different sources. Taking shortcuts on the number and quality of your sources will result in a poor-quality marketing plan that will be of no use to your client.
Also, it is important that you reference your sources throughout the text of your marketing plan. Take the following paragraph as an example:
?As a result, telephone interviewers often do not even get a chance to explain that they are conducting a survey (Council for Marketing and Opinion Research, 2003), and response rates have steadily declined (Keeter et al., 2000) to reported lows of 7% (Council for Marketing and Opinion Research, 2003). This decrease presents a problem because not only does it increase the cost of conducting telephone surveys, but it also leads to questions concerning the generalizability of the results (Struebbe, Kernan & Grogan, 1986; Tuckel & O?Neill, 2002).?
There are different citation and reference formats such as APA, MLA, or Chicago. No matter which format you adopt for your marketing plan, make it consistent throughout the plan.
Also note: The marketing plan should use third person business writing. Avoid ?we,? ?our,? and ?you.? Do not use contractions in business writing.
Guidelines for handling quoted and paraphrased material are found at:
Anonymous (n.d.) Purdue Online Writing Lab. Copyright ?1995-2011 by The Writing Lab & The OWL at Purdue and Purdue University. Accessed 3/9/12 at: http://owl.english.purdue.edu/owl/
Anonymous (n.d.) Quoting, Paraphrasing, and Summarizing. Purdue Online Writing Lab. Copyright ?1995-2011 by The Writing Lab & The OWL at Purdue and Purdue University. Accessed 3/9/12 at:
http://owl.english.purdue.edu/owl/resource/589/01/
Anonymous (n.d.) Avoiding Plagiarism. Purdue Online Writing Lab. Copyright ?1995-2011 by The Writing Lab & The OWL at Purdue and Purdue University. Accessed 3/9/12 at:
http://owl.english.purdue.edu/owl/resource/589/1/
Your SLP should not simply be a list of facts. Take the facts you find about the company, the charge, and the environments that the company faces, and explain how you think those facts will affect the financial future of the product or brand in your charge. The emphasis in grading your paper will be on the breadth and depth of your discussion of each topic, critical thinking, the clarity of your discussion, and the proper organization of the paper
Example Outline below:
Outline for Completing the Marketing Plan Assignment
MKT501? Strategic Marketing
Use this format to plan your research and complete the SLP assignments. Your final paper in module 5 SLP should follow this outline. Note that the letters ?a, b, c?? and the numbers ?i, ii, iii, iv?? in the outline below are used to show the major issues you need to include in your paper and you may not use these letters and numbers to organize your paper.
I. Cover Page (1 page)
a. Marketing plan title
b. Course title and number
c. Your name and date
d. Name of Instructor
e. Executive Summary (2 pages maximum)
f. Summary of what plan is designed to achieve
g. Summary of key elements of internal environment and external environment analysis (only points that are relevant to understanding the action plan, only the point, not the analysis)
h. Summary of primary research (include key conclusion(s) and reference the key data that supports the conclusion(s)).
i. Summary of prescribed goals and strategic approach to achieving them.
j. Summary of key actions that are outlined.
II. Table of Contents (as many pages as needed)
III. Product Statement (2 pages maximum)
a. Describe the company/organization
b. Provide brief background of the organization
c. Describe charge you have for this marketing plan
d. Provide a brief overview of what issue you are studying, and how a marketing perspective can help address the issue.
IV. Situation Analysis (3-6 pages)
NOTE: only include sections which are relevant to your charge. The relevance of each section of analysis should be clear to the reader.
a. External Environment Analysis
i. Context Analysis
? Industry forces that might impact success of any actions taken
ii. Competitor Analysis
? Any organization or message which may prevent any actions taken from being successful
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iii. Technological and Economical situation Analysis
iv. Political, legal and cultural Analysis
b. Customer Environment Analysis
i. Customer Analysis
ii. Collaborator Analysis
c. Internal Environment Analysis
i. Company Analysis
V. SWOT Analysis (3-6 pages)
a. Strengths and Weaknesses(Internal)
i. Strengths
ii. Weaknesses
b. Opportunities and Threats (External)
i. Opportunities
ii. Threats
c. SWOT Table
VI. Primary Research (3-6 pages)
a. Qualitative research
i. Identify that subjects and the research process
ii. Identify the purpose of your research
? What issues did you want to study?
iii. Present the key findings
? Questions used in this analysis should be included in the appendix.
? Complete report of each interview should be included in the appendix.
iv. Present a concise conclusion of what you learned
VII. Issues Analysis (2 pages maximum)
a. Given your complete marketing analysis, what are the key issues which the company/organization must understand in order to address the charge that is being considered?
i. NOTE: This section concisely identifies the most important issues and decisions that the organization is likely to face when trying to promote the product in your charge
? Bullet points (or numbered statements) are acceptable.
VIII. Goals and Objectives (2 pages maximum)
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a. The goals and objectives should be stated clearly and concisely
i. (Think S.M.A.R.T.).
b. Do not ?Discuss? the goals/objectives. Just present them.
i. Each goal/objective should be easily understood given your previous analysis and summary of key issues.
IX. Marketing Strategy Statements (2-6 pages)
a. NOTE: These are LITERALLY STATEMENTS.
i. Do not provide detailed descriptions.
ii. These statements will guide your implementation.
iii. These statements should be logical given your analysis and goals.
b. Target Market Definition
i. NOTE: This is a short, final description of who your action plan will be intended to reach. You may simply be a restating target population previously identified.
? Describe the target market in demographic and/or psychographic terms.
? Describe the key benefits/behaviors this target market seeks/prefers
? Estimate the number of customers in this segment.
c. Strategy Statements
i. Value Statement
1. Why should ?customers? adopt your strategic initiative?
2. What does your initiative provide (or what do you suggest it provide) in order to encourage/support behavioral change.
a. Identify ?the set of benefits that the strategy offers?
b. NOTE: The value proposition is intangible, it is made tangible through specific offerings/activities.
ii. Proposition Statement
1. What is the key proposition on which the strategy and its activities should be based?
a. Refer to the ?4ps? of marketing.
iii. Accessibility Statement
1. What information or support materials must be made easily accessible?
a. Refer to the ?4ps? of marketing.
iv. Communication Statement
a. What method of communications should be sought?
i. Print/radio and other traditional media?
ii. Social networking?
X. Marketing Implementation (2-6 pages)
a. Follow the format provided in the module 5 SLP.
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b. Remember, you should suggest at least 2 actions to be taken which can help achieve your stated goals and which are consistent with your strategic statements.
c. What is the cost/budget of implementing the suggested actions?
XI. Marketing Budget (1 page)
XII. References
Previous SLP1 below:
Overview ? Apple Computer Founded in 1976 with a marketing model based on integration, aesthetics and design, never a low price leader, always an innovator. Introduced iPhone in 2007; 2013 Apple Iphone 5 series sold 9 million devices in initial three days of launch. By November 2013, all major US cellular companies offer the IPhone and over 760 mobile customers in China as well as millions globally. Currently has about 17% of market share. (Apple signs deal, 2013).
Competitive Analysis ?
? Android currently dominates market, Windows growing (81% or so Android phones)
? Apple around 13% - but all profitable
? Apple and Samsung, though, are only manufacturers making money
? HTC, LG, Motorola, Nokia and BlackBerry all lost money in 2013
? 81% of Androids are ?junk phones? and make no money
? Real world usage ? Apple has overwhelming share of smartphone and table app sales, Apple?s iOS is making the money (Bradley, 2013).
Market Description - Market is truly global, Apple has a top tier reputation in all markets, and is seen as a status symbol in many.
? Segmentation ? middle-upper middle class individuals, small home and offices, larger businesses with design focus
? Targeting ? turn the ordinary into something extraordinary, worry less about price and more about justification and lifestyle
? Value proposition ? Focus on value and design to build, build through tribe mentality
? Consumer Behavior ? Push the envelope and ease of use, be part of the innovative generation and first line of consumer
? Push the elite and exclusivity angle ? while Android and Windows have many apps, push the fact that many Apple apps are unique and trademarked for Apple OS only
? Apple offers more seamless integration between phone, tablet, laptop and computers
? Buying decision process- consumer must be engaged; merge IPhone with other Apple products ? push consumers as ?Apple Users.?
Distribution Review ? Available only through certified Apple locations certain cellular distributors; usually also offer IPads as well; service must be done at a designated Apple center or cellular manufacture; product is global in nature.
? Design and Engineering done in the USA; Manufacturing with partners (Asia and China), global distribution to decrease costs
? Applications (Software) can only be written by authorized Apple vendors
? Tight control on exclusive market; low price elasticity and price wars
? Designed to increase perception of luxury and aesthetics
? May limit exposure to some markets
Micro and Macro-Environmental Issues
Strengths Weaknesses Opportunities Threats
Pioneer innovator, quality Lower market share due to higher price Synergistic relationship with partners Android and now, new upgraded Windows Phones
Global branding, high impact brand Dependency on CEO and Charisma Huge and consistent market growth Comparably expensive as industry catches up
Strong R&D Switch often to new models Growing CSR and sustainable market issues High product substitution effect
Strong presence in educational market Eroding share of educational Market Increasing demand for cloud, music and seamless integration Can Apple continue to innovate?
Still unique after 35 years Apple stores limit opportunities Partnerships and synergisms Loss of Steve Jobs, market perception
Environmental Solutions for pushing Market Share ?
? Clearly, Apple is a successful, multidimensional and global corporation. Sales have more than doubled between 2005 and 2009 domestically and more than tripled internationally
? Focusing on the ability to have a phone, pad, and computer device that are all interconnected and can handle any conceivable business situation is paramount.
? Updating the iPhone and continually pushing the envelope with new editions keeps the market price elastic, competitive, and ensures continued sales and new customers.
? Rumors abound about Apple introducing a new, compatible HD Television platform, which would certainly increase visibility and market share.
? Apple must improve their image as a globally responsible and sustainable corporation that thinks globally, not just locally. They need to push their proprietary system as something special that deserves protection, and come out looking like the hero rather than the villain.
? Apple needs to push towards its strengths. Apple is not, nor has never wanted to become, a manufacturing company. Instead, Apple is an innovator of electronic devices, and they wish to retain that expertise.
? Partnering with other organizations that are more focused on manufacturing allows Apple to retain its core knowledge, its proprietary technology (Satell, 2013).
REFERENCES USED and CONSULTED
Apple Signs Deal to Open Connection between iPhones and China Mobile. (2013, December). The Guardian. Retrieved from: http://www.theguardian.com/technology/2013/dec/22/apple-iphone-china-mobile-deal?CMP=EMCNEWEML6619I2
7 Key Strategies That You Must Learn From Apple?s Marketing. (2009). Retrieved from: http://blog.kissmetrics.com/7-strategies-apple-marketing/
Bradley, T. (2013, November). Android Dominates Market Share, But Apple Makes all the Money. Forbes. Retrieved from: http://www.forbes.com/sites/tonybradley/2013/11/15/android-dominates-market-share-but-apple-makes-all-the-money/
Deidu, H. (February 27, 2012). The Value of the OS X Monopoly. Asymco. Retrieved from: http://www.asymco.com/2012/02/28/the-value-of-the-os-x-monopoly/
Linzmayer, O. (2004). Apple Confidential 2.0. San Francisco, CA: No Starch Press
Satell, G. (2013, April). Why Apple?s Future is Uncertain. Forbes. Retrieved from: http://www.forbes.com/sites/gregsatell/2013/04/24/why-apples-future-is-uncertain/
SLP 2 below:
Marketing Research: Products and Brands
Introduction
In previous years, Apple Inc has progressed from being an abstract participant in the computer market to a major player in the technology market. Through courageous advancement, they have developed items that have totally changed the technology market. As a result, their brand recognition has increased significantly, and they have added remarkably to their legion of dedicated supporters. The Apple Company is about design, their electronic items are fashionable, their advertising is trendy, their hardware and software are stylish, and like all factors fashionable, there is a substantial price tag. However, like all other factors of fashion, consumers are unpredictable and their tastes frequently change with the next big technology improvement. In addition, Apple company still dominates over every aspect of their item lines, this in previous times turned out to be a mistake that directed them to a specialized niche in the PC market. The following is a SWOT analysis of key strengths and weaknesses as well as important threats and opportunities.
Strengths
Factor I ? iTunes
The iTunes line is a leading source of income for the company. This has rendered various Apple products to be compatible with Windows platforms.
Factor II -Loyal Customers
Apple?s loyal clients mean that the company does not have to contest with opponents about prices but concerning reliability and performance. From the financial performance of the company, it has no debts. This is an indication that Apple Company can invest in any challenge that management believes to be appropriate for its course. Because Apple always produces its current items, the company will always entice new clients or motivate repeat purchases from current clients. Apple?s leading suppliers serve as business presentation points. At these points, clients who doubt any features of Apple?s items can get to test them. Finally, apart from telling clients about the features of all Apple?s items, Apple?s website is also used as a sales route to clients who prefer to buy online and direct from Apple company (Bradley, 2013).
Factor III - User Interface
Without a doubt, apple company technicians have an outstanding ability for picturing simple, user-friendly customer interfaces. The Mac computer was the leading innovator in the personal computer segment. The iPod trend was based not only on the physical design, but also similarly on the ease of use of its click-wheel user interface. The iPhone and iPad then changed the tablet and smart phone categories. All past Smartphones were forced into a feature-phone classification, and all past tablets were totally killed as the iOS was so far in advance. The apple User Interface has now expanded into the Cloud. The company has incorporated their iCloud service in such a smooth manner that it is almost clear to the customer. The customer takes a picture on the iPhone it is instantly submitted to the Picture stream in iCloud, and reveals upon the person's iPad or computer. It will also show up on other specified customers, sharing the same folder.
Weakness
Factor I ?Products
Apple relies heavily on product launch dates to attract attention for its clients. Moreover, the company has poor relationships with other key companies in the marketplace with the ability to take Apple to new levels. However, this only possible through partnership with the companies. A perfect example has been Microsoft company organization. Lastly, compared with the other opponents who have powerful existence in various markets, Apple?s existence is mainly concentrated in Asia, United States and European countries.
Factor II ? Compatibility
As a response to a recognized risk from Google, Apple Company recently relaxed, extremely strict limitations for designers that desired to develop applications for the iPhone. It has now allowed them to use a broader variety of computer 'languages' with Apple?s operating system iOS. As apple makes 40% off every application sold, they are extremely protective in nature regarding compatibility concerns, and they have failed to react to issues in a timely fashion. All these are weak points that have triggered them to lose business relationships and income in this and plenty of other occasions (Linzmayer, 2004).
Opportunities
Factor I ? iPhone
The smart phone industry is still expanding, so I anticipate ongoing growth. Additionally, as I outlined, the smart phone is a product that is changed on a regular pattern, guaranteeing continued sales. Critics like to snicker at the highest market share of Google?s Android operating system OS, but Apple still maintains the highest market share of revenue in the market. In the end, to investors, this is what matters.
Factor II ? iPad
There will be tremendous growth in this segment. The iPad is projected to continue dominating the market for some years to come. Ultimately, it will be expected to share the market with rivals. However, in this rapidly growing market, this will not hinder its growth. Most notable, the iPad will be remarkably strong in the enterprise.
Factor III? Mac Computers
With iPads and iPhones leading the way in the business, and the reputation of the brand in third world countries, Mac PCs continue to flourish in terms of sales. Now, the growth rate is sluggish, but this is in comparison to the competitors which is experiencing a slow down. This implies that the Mac is acquiring market share, gradually, but continuously.
Factor iv? Other areas
Rumor has it that Apple will launch a new iTV set. While this is just but a speculation, it remains to be announced and proven. As for other items, Apple is predicted to change something every few years. At least for now, they will be depending on the progress of current items. This will keep providing for both development and outstanding profits to the investor.
Threats
Factor I ? Competitors
Despite the recent market share, Apple sales are still lagging behind competitors in the PC industry like HP and Dell. Additionally, other Smartphones, which function with multiple carriers, cause a significant risk as the only service provider approved by Apple for the iPhone is ATT, which Consumer Reports rate as the lowest service provider for customer satisfaction. For one of Apple?s leading items, the iPhone, to remain associated completely with a partner that customers have indicated so much discontent with, can endanger Apple?s strategy of interoperability among their items. This is because the iPhone serves as a major inroad for customers, to purchase these other items (Satell, 2013).
Factor II ? Pricing
Although apple increased revenue in 2012, this was due to laptops and the iPhone with its related applications. In reality, the revenue of Apple from personal computer systems and iPods were down. Based on Forrester Research the ratio of buyers who believe that better costs exceeds brand commitment has been continuously increasing (Satell, 2013). Additionally, the recent financial crisis has heightened this problem. Apple needs to upgrade a number of its offerings to enable their PCs to be bought at a lower cost. Failure to do this, there is an actual threat of continued loss of market share in the said industry.
Factor III ? Counterfeiting
Recently, the New York observer reported a story of a young boy who made thousands of dollars from manufacturing iPhones using parts of he bought from Apple?s foreign suppliers. Additionally, bootleggers abroad have besieged Apple. Excessive production delays and pricing continue to encourage this trend and these threats are likely to erode the company?s market share.
Factor iv ? Style
Apple white-colored is the new black in electronic consumables. Although Apple?s items are extremely fashionable right now, they are only available in black, white, stainless-steel metallic finish, which at some level stops customers from showing their personality even at this time. In the past, Apple has proven that it can experiment with shades with strongly shaded laptops. While opponents are providing many strong shades in every segment that Apple company plays in, only Apple?s tiniest items, the iPod Shuffle and the and the iPod Nano are available with any shade choice and even then the choice is very restricted. The threat to restricting customer options is that it could jeopardize if this technique carries on too long. Therefore, Apple Company could possibly box itself into a corner if they modify strategy too late to match clients (Deidu, 2012).
Conclusion
Apple Company is a relative newbie in the electronic consumables industry. Nevertheless, via advancement and courageous experimentation, they have completely changed the field. They still appear to be somewhat established in their old strategy as a PC hardware and software producer and also appear to be somewhat hesitant to modify their business methods, this could be a prospective drawback. This technique has so far been effective in the last several years as their consumer electronics have grown, but as technology continues modifying, they could easily be remaining behind by the next new items. Furthermore, they seem to be doing the same compatibility errors as they attempt to serve as a firm that engages everything, yet they are hesitant to give up control. Competitors should prevent their errors by opening up to cooperation and by collaborating with other high technical firms.
References
Bradley, T. (2013). Android Dominates Market Share, But Apple Makes all the Money. Forbes. Retrieved from: http://www.forbes.com/sites/tonybradley/2013/11/15/android-dominates-market-share-but-apple-makes-all-the-money/
Deidu, H. (2012). The Value of the OS X Monopoly. Asymco. Retrieved from: http://www.asymco.com/2012/02/28/the-value-of-the-os-x-monopoly/
Linzmayer, O. (2004). Apple Confidential 2.0. San Francisco, CA: No Starch Press
Satell, G. (2013). Why Apple?s Future is Uncertain. Forbes. Retrieved from: http://www.forbes.com/sites/gregsatell/2013/04/24/why-apples-future-is-uncertain/
Apple Signs Deal to Open Connection between iPhones and China Mobile. (2013, December). The Guardian. Retrieved from: http://www.theguardian.com/technology/2013/dec/22/apple-iphone-china-mobile-deal?CMP=EMCNEWEML6619I2
7 Key Strategies That You Must Learn From Apple?s Marketing. (2009). Retrieved from: http://blog.kissmetrics.com/7-strategies-apple-marketing/
SLP 3 below:
Apple iPad 4
Questions from the Survey Used to Conduct Qualitative Research
1. On a scale of one to five with five being an extremely strong desire and one representing no desire, what is your desire to purchase an ipad?
2. What is the main use for which you are buying an ipad?
3. In your opinion, why do you see the ipad as being more expensive than other tablets?
4. What other apple products do you own?
5. What word first comes to your head when you hear the word ?apple products? or see the apple logo?
6. What benefits does the ipad 4 have to offer you?
7. What other issues are a concern to you when purchasing an ipad other than price?
8. Who else do you know that owns an ipad 4?
9. What feature of the ipad 4 do you anticipate using the most?
10. Will your ipad 4 be used mostly for work-related issues or for personal tasks?
Subjects were recruited at random from a pool of people who would be able to afford an ipad and who were all over the age of 18. There were ten subjects recruited for this project and they all worked jobs where they made over $45,000 per year.
In summary, 8 of the ten subjects reported a very strong desire to purchase an ipad, a desire of over a number four or five. Two of the subjects reported a desire for an ipad around a two or three. Sixty percent of the participants said they wanted the ipad to use for work or school. The other forty percent said they would use their ipad for pleasure. All the participants viewed the ipad as being more expensive than other tablets as a result of the superiority of apple products and the higher quality of materials. Nearly all the participants responded that they thought of words like ?iphone? or ?laptop? when they saw the apple logo. The benefits of the ipad that most participants reported were benefits connected to screening and to making presentations. For question eight, participants expressed concern about breaking their ipad inadvertently or having it stolen. Half the participants said their co-workers and family members owned ipads, the other half said no one they knew had one. All of them expressed the desire to use it for work related tasks. Fundamentally, one can observe that based on these findings, ipads are necessary for people on a professional level: professional and school obligations are some of the biggest driving impetus for encouraging a potential consumer to purchase the product.
Primary Qualitative Research
As stated earlier, the subjects that were primary during the research process were students and professionals over the age of 18 and younger than 60. Key findings were that Apple was considered an elite, high quality brand and that professional obligations were the fundamental reasons for purchase. Essentially, Apple should use the angle of making one?s work easier as a stable thruline of the marketing process.
The company was built on the cornerstone of innovation, and the risk of going against the most common pillar of thought. This meant that in order to be different, and ultimately, in order to succeed, one had to be able to take risks that went against what the critics had to say: ?As an entrepreneur, you?ll hear a lot of people tell you that you need to reach out and figure out what people want, which means listening to your critics, often times more patiently than you?d like. Apple decides to flip the script and instead focus on building what they want to build, no matter the perceived cost. When Steve Jobs debuted the iPad, the critics stood in line, throwing every insult they could muster. The critics said that the iPad would fail. The numbers say otherwise? (Tanda, 2014). The first iPad received tremendous criticism and even mockery from a range of news sources and technology experts, however, the product still sold in droves.
Another way that the company has long been able to differentiate itself from the competition was by continuing to take the ordinary experience and adapt it. This meant that for a long time the company was able to hone its design style in such a way that it made even the most prosaic parts of machinery look beautiful. One of the major challenges that the company is still faced with is justifying its higher price tag. The company charges over twice of what their competitors charge and they still manage not to price themselves out of the market. The company has a clear justification for doing so: their products are beautiful and their fanbase of consumers is absolutely devoted to them. The company is also able to justify their price with features and benefits of the product that can?t be matched elsewhere. As one fan explains, ?No software is more intuitive, no product more valuable than the Apple product. Any other smartphone looks like it was developed by rookies when compared to an iPhone 4. You simply cannot compare the two. Critics will play on the fact that the core features are the same, and they might be, but that?s not the point. The point is that Apple is the Rolls Royce of the technology and design world, and their customers will gladly pay a premium because of it? (Tanda, 2014). One of the signs that Apple has long been on the right track with its current marketing plan is that there is a phenomenon known as unboxing where customers video tape the process by which they unwrap their brand new apple products. This means that the process is so Zen and continues long past the cash register that Apple has been able to inspire consumers to record and share their experiences with the rest of the world.
This is partly a manifestation of the three marketing pillars that Apple has long had in place and which continue to guide the company to this day. The first pillar is empathy and an understanding of customer needs more than any other company. The following pillars of marketing are focus (doing the job set out to do) and impute: being able to create a product which is designed so well and with the highest quality that it looks amazing, as people do judge a book by its cover (Moorman, 2012). Thus, the key for Apple is continuing to build its marketing strategy within its daily practice and generating more press on how consumer-friendly the company is. One of the major obstacles to Apple is the fact that it can too often be perceived as an expensive or elitist company. Sometimes when a company prices its products at the highest margin, it can be viewed as holier than thou or snobbish. One of the ways that Steve Jobs sought to correct this from the beginning was by hiring truly empathetic employees who think very deeply about the entire process of the consumer. ?Steve Jobs unique and effective insights about how people want to interact with technology. Jobs used a quote originally attributed to Henry Ford to describe why these insights were so important: ?If I had asked people what they wanted, they would have said faster horses??illustrating the problem that customers may be limited to thinking only in terms of what they know, instead of what is possible. So Jobs and colleagues thought about the customer experience more deeply than the customer could? (Moorman, 2012). This might be the case, but all the consumers who have not yet been persuaded to purchase apple products, need to be aware of this higher level of empathy among the items which is present and accessible. This amount of empathy gives Apple products an extremely strong competitive advantage; however, without the right amount of press, there will be no way for potential consumers and massive parts of the untapped market to know about this. The professional allure and ease of Apple products, their work-reducing capacities and the general consumer-empathy of the company need to be strong pillars of the subsequent marketing strategy.
References
Moorman, C. (2012, July 1). Why Apple Is a Great Marketer. Retrieved from Forbes.com: http://www.forbes.com/sites/christinemoorman/2012/07/10/why-apple-is-a-great- marketer/
Tanda, T. (2013). 7 Key Strategies That You Must Learn From Apple?s Marketing. Retrieved from blog.kissmetrics.com: http://blog.kissmetrics.com/7-strat
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