...Is retrenchment the best strategy for a business that has lost its position as market leader? Retrenchment is the decision made by managers to reduce the size of the business by withdrawing from markets, closing some divisions of the business or making employees redundant. Companies may use retrenchment if there is increased competition in the market, the business is having financial difficulties or economic conditions such as the 2008-2009 recession caused demand for products to fall. These all show a clear need for strategic change. A retrenchment strategy will depend on the type of business and the reasons why it has lost its position as market leader. A reason why retrenchment can be the best strategy for a business that has lost its position as market leader is that the business can withdraw from a certain market that isn’t profitable or withdraw a product that has lost demand and focus on their strengths. A number of businesses generally have a few ‘core’ products that they began their business with and then they expand and create a range of products within a certain market, this is to try and offer a large number of products that will appeal to a wider audience and hopefully improve sales and increase their market share. However, if the demand and sales for some of these products is low, which can be as a result of external factors such as a recession or decline of a market, a retrenchment strategy can help a business to realise that they have a number of products that...
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...Best study strategies for a stressful exam Mohammed Sami Sachinwala University of Toronto Abstract Exams can be a nightmare for some students and a breeze for others. The purpose of this paper is to explore the possible reason why it is and create a method on to studying effectively and efficiently. Both mood and studying habits will be taken into account. We will be looking at a altered version of the KM cycle (Knowledge Management Cycle) for the intent of students and the coping strategies of students while under stress and their moods while studying. 100 3rd year students will be split into two groups, the control group and experimental group. All students will have a 70-80 averages on the final exams from the previous year. The experiment...
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...Chapter Twelve CORPORATE SINGLE INDUSTRY STRATEGY - This chapter is related to organizational control, structure and culture. Learning Objectives * Understand how organizational design requires the right combination of structure, control, and culture. * Discuss how effective organizational design enables company to increase product differentiation, reduce costs, & build competitive advantage. * Explain importance of flat hierarchy & factors determining centralization/decentralization * Explain advantages of functional structure & why/when necessary to move to more complex structure. * Differentiate between complex forms of structure used for specific business-level strategies. - What comes first strategy or structure? During the 60s and 70s the strategy should follow your structure. The debate continues. Look at it based on the industry characteristics and the type of organization you are in. In the 90s researches argued that your structure should follow your strategy. As the strategy is more comprehensive than the structure, then structure should follow the strategy. The business environment is independent and the company is the dependent. Then we should follow the business environment. When we do the strategy, we examine the macro business environment the micro business environment the competitors analysis and understand...
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...Key Issues 1. Distribution When best buy enters the Australian Market, the location and size of their stores will be critical to their success. This is how they will access their target market. It is also critical that Best Buy implements a strong supply chain and inventory control system. The Distribution is just as important from the manufacturer to the retail location, as is the retail location to the consumer distribution channel. 2. Implementing an online store as a substitute to their retail locations 3. Store Design The design and layout of the store will be a description of the Best Buy Brand. As this brand is new to the Australian market, the design of the store will be the most effective marketing tool that Best Buy has at their disposal. 4. Creating strategic alliances As it is a new business to Australia, the choice of whom, the business aligns themselves with, will determine how the Australian consumer perceives them. Target Market The target market strategy that is being recommended for Best Buy to use when entering the Australian market place is a broad-spectrum target market. The target market can be described as singles and families aged between 20 and 55 years old. They are the middle-class, living primarily in urban areas. This group is moderately technologically savvy and they want specialized electrical product knowledge and service at a competitive price. They also want a wide range of products all in one location. This group’s path...
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...Competitive Strategy Best Buy Best Buy Group D9 THEME: How Best Buy has maintained and enhanced its Competitive Advantage over the years by constantly seeking a favorable competitive position in the Consumer Electronics retailing industry 1 Table of Contents Contents Objective of the report Executive Summary Part I – Early beginnings & Hyper-growth Part II – Initiating Change at Best Buy -- Recognizing the need for change -- First attempt at change (formulating the Standard Operating Platform) -- Head-Heart-Hands approach to change management (Overcoming Cognitive Inertia) -- Institutionalizing the Change Management Process (Overcoming Action Inertia) -- Impact of the SOP on the Best Buy's operations Part III - Revisiting the Drawing Board -- Building new skill sets -- Formulating Customer Centricity (deploying a new game strategy) -- Implementing Customer Centricity (reconfiguring the value chain) -- Reaping the gains from Customer Centricity Part IV – Staving off Competition: Click & Mortar model -- Industry going through a phase of Intermediating Change -- Where does Best Buy go from here? -- Experimenting may payoff but need to commit References used Page no 2 3 4-5 5-9 5 6 6-7 7-8 8-9 9-12 9-10 10-11 11 12 13-14 13 13 13-14 15 1 Objective of Report Best Buy Co., Inc has been a leading player in the Electronics & Appliances retailing industry for several years now. It has withstood several cycles of churn in the Industry; seen many of its competitors...
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...裴伟捷 Strategic Management 201228207 Toyota’s strategy Toyota’s Best-Cost Producer Strategy for Its Lexus Line Toyota has achieved low-cost leadership status because it has developed considerable skills in efficient supply chain management and low-cost assembly capabilities and because its models are so well-positioned in the low-to-medium end of the price spectrum. These are enhanced by Toyota’s strong emphasis on quality. * How can product quality lower product costs? Toyota has achieved low-cost leadership status because it has developed considerable skills in efficient supply chain management and low-cost assembly capabilities and because its models are so well-positioned in the low-to-medium end of the price spectrum. These are enhanced by Toyota’s strong emphasis on quality. Toyota Best-Cost Provider Strategy appealing: * When buyer diversity makes product differentiation the norm * When many buyers are also sensitive to price and value Cost reduction can result in significant product cost saving, manufacturing cost saving, and life cycle cost saving when companies interested in cutting cost implement all 8 the elements of the following cost reduction strategy. The Cost of Quality can be 15% to 40% of revenue. The quality costs can be greatly reduced in some cases reducing quality costs can double profits It is possible to reduce the cost of quality; e.g.: eliminating quality costs starts with designing in...
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...Chapter 1 Multiple Choice Questions 1. This book is mainly about A) financial decisions made by households B) financial decisions made by corporations C) financial decisions made by governments D) none of the above Answer: B Type: Easy Page: 3 2. Finance, generally, deals with A) money B) markets C) people D) all of the above Answer: D Type: Easy Page: 3 3. The following are examples of the United States-based corporations except: A) General Motors B) Microsoft C) Bank of America D) Unilever Answer: D Type: Easy Page: 3 4. The following are examples of foreign-based corporations except: A) British Petroleum B) Volkswagen C) General Electric D) Sony Answer: C Type: Easy Page: 3 5. Businesses can be organized as A) sole proprietorships B) partnerships C) corporations D) any of the above Answer: D Type: Easy Page: 3 6. Generally, a corporation is owned by the: A) Managers B) Board of Directors C) Shareholders D) All of the above. Answer: C Type: Easy Page: 3 7. Limited liability...
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...Strategy: Create and Implement the best strategy for your business Written by Harvard Business School Press In Strategy: Create and Implement the best strategy for your business it breaks down strategy formulation process, which should not confused business model. Strategy is described as a plan that aims to give the organization a competitive advantage over rivals through differentiation, its about understanding what you do, what you want to become and focus on how you plan to get there. While having a well thought out strategy is a step in the right direction, you must properly execute it. Strategy cannot come into fruition unless there is proper implementation and continual reassessment to stay competitive or become competitive in the market. Implementation unlike strategy, which is market-oriented, has its roots in operations. This requires continuous managerial devotion at all levels. The steps described in the text is a guide to lay the groundwork for organizational strategic success in the market they are competing in. Chapters (Chapter 1-4) strategy formulation. Strategy formulation begins with the existence of organizational goal and setting a vision. Strategy analysis begins by formulating a SWOT analysis), this analysis allows companies to make strategic choices by looking at your organization internal (Strength/Weaknesses) and external (Opportunities/Threats) and. Internal analysis focuses on organizations strength and weakness, this consists of (core...
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...Churches By: Ashley Evans I believe the component that deserves the most attention overall in the listed environment's would be that of the physical security feature. For example if the church had a metal detector then no one would get threw with a gun so there for there would not be any shootings. When it comes to arson there should be a carbon minoxide detector even though that isn't going to detect an actual bomb. The components that I consider less pertinent for these particular environments during a vulnerability assessment would be personnel security, information security, and interdepartmental dependencies. My reasoning for removing personnel security from the list is due to the minimal likelihood events like these would occur on a regular basis and pose a risk.Hiring security personnel or a law enforcement officer to monitor-guard a church during service is unrealistic and extremely cost-effective. Moreover, churches maintain the majority of their order of operation with the assistance of donations from members of the church and normally these funds help pay for utilities, food, and in some cases, the salaries of priests, pastors and other religious leaders. However if there were people willing to volunteer to be security then it would be a different story. It would work if there were under cover officers or security guards to help protect people at church. Even though in my opinion less people would show at church if they knew there were officers or security guards...
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...Introduction Good communication between patients and nurses is very important for the successful outcome of personalized nursing care of every patient. This is because the quality of care provided by nurses is, in numerous ways, dependent on communication quality that is present between the nurse and the patient. However, in order to attain this, nurses must be able to understand and aid their patients while showing courtesy, sincerity, and kindness at the same time. Nurses must also dedicate their time to the patient to communicate with the needed confidentiality, and must not forget that this communication involves individuals who are around the ill person (Webb, 2011). Therefore, the communication language should be well understood by everyone who is involved in it. Moreover, communication that is good is not only based on the physical capabilities of nurses, but also on experience and education. Describe the circumstances of the interaction and the perceived impact on your interviewee The interviewee in this case had sought the services of a nurse after she got recurrent urinary tract infections (UTIs). Despite getting treated with antibiotics every time she got the infection, the infection still recurred and she did not understand why. Therefore, she went to see a nurse so that she could have a discussion with her and eventually get to understand the reason behind her recurrent infections. The interviewee met with the nurse for the discussion at the appointed...
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...Association for Information Systems AIS Electronic Library (AISeL) ECIS 2000 Proceedings European Conference on Information Systems (ECIS) 1-1-2000 Best of Breed IT Strategy: An Alternative to Enterprise Resource Planning Systems Ben Light University of Salford Christopher P. Holland Manchester Business School, c.hollan@fs2.mbs.ac.uk Sue Kelly Manchester Business School Karl Willis IT Consultant Follow this and additional works at: http://aisel.aisnet.org/ecis2000 Recommended Citation Light, Ben; Holland, Christopher P.; Kelly, Sue; and Willis, Karl, "Best of Breed IT Strategy: An Alternative to Enterprise Resource Planning Systems" (2000). ECIS 2000 Proceedings. Paper 180. http://aisel.aisnet.org/ecis2000/180 This material is brought to you by the European Conference on Information Systems (ECIS) at AIS Electronic Library (AISeL). It has been accepted for inclusion in ECIS 2000 Proceedings by an authorized administrator of AIS Electronic Library (AISeL). For more information, please contact elibrary@aisnet.org. search Best Of Breed IT Strategy: An Alternative To Enterprise Resource Planning Systems Ben Light Information Systems Institute, University of Salford - b.light@salford.ac.uk Christopher P. Holland and Sue Kelly. Manchester Business School - c.holland@fs2.mbs.ac.uk Karl Wills IT Consultant * Abstract - Enterprise Resource Planning (ERP) software has become the dominant strategic platform for supporting enterprise-wide business...
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...To what extent is an e-commerce strategy the best way for businesses to increase their profits? (40 marks) E-commerce is the online transaction of goods and services, which has completely revolutionized business and the way in which businesses can operate. It’s now easier for customers to compare prices/products with a little time spent browsing the Internet opposed to dragging themselves to the stores. This means that e-commerce is having an impact on what and how much businesses sell, therefore influencing the profits the business gets. In this essay I will consider whether an e-commerce strategy is the best way for a business to increase their profits, or whether e-commerce is not the best strategy to do this. I will be arguing that with the use of e-commerce businesses have more reach to customers and can provide more options to increase their profits. Alternatively I will also talk about how e-commerce may not work for all business plans/strategies, therefore increasing the risk of loss. Introducing an e-commerce strategy allows the business to increase its customer reach, creating a larger customer base, as e-commerce is accessible to anyone who can use the Internet. E-commerce also creates an ease of use/purchase for customers, which means they do not have to go the physical stores, saving money and time. The combination of ease of use/purchase and larger customer reach results in the ability for companies to increase sales, and so this would lead to higher revenues...
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...contrast the ‘best fit’, BP and RBV models of HRM strategy – explain how EACH approach is argued to contribute to improve organizational performance. As the global business environment becomes increasingly competitive, more and more organisations are targeting human resources as a means of strategically gaining competitive advantage. Strategic human resource management (SHRM) is a constantly evolving process which is concerned with providing a strategic framework that supports an organisation’s long term business goals. The logic behind this is that organisations are using new innovative technologies to provide qualitative low- cost solutions, and are trying to manage their human assets more effectively (Wright, P. 2008). If competitive advantage is understood as a set of organisational capabilities that would lead to superior performance over competitors, then, HRM strategy is essentially the process of defining and enhancing appropriate systems that maximise people’s added value (Wilton, 2011). The key debate which will be explored is whether there is a best way of achieving strategic HRM. This essay will therefore critically engage in this theoretical debate by comparing and contrasting three SHRM models and explore how each can make a contribution towards improved organisational performance. Boxall and Purcell (2008) highlight that there is significant debate regarding approaches to strategic HRM when they discuss three theoretical contrasting models, namely ‘‘best fit’’,...
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...According to the information that I have been provided I have created the following payoff matrix to show the best possible business strategy for your client Fuse Soda Company regarding the question of hiring a celebrity spokesperson. Frantic Soda Company hires celebrity spokesperson | Frantic Soda Company does not hire a celebrity spokesperson | Fuse Soda Company hires a celebrity spokesperson 0% gain in market shares for either Fuse or Frantic Soda companies10% increase in profit for both Fuse & Frantic Soda companies | 15% increase in market shares & profit for Fuse Soda Company20% decrease in market shares & profit for Frantic Soda Company | Fuse Soda Company does not hire a celebrity spokesperson 15% increase in market shares & profit for Frantic Soda Company20% decrease in market shares & profit for Fuse Soda Company 0% change in market shares or profit for either Fuse & Frantic Soda companies | According to Molly’s predictions Frantic Soda Co. will hire a celebrity spokesman regardless of whether Fuse Soda Co. hires one or not. Assuming that Frantic Soda Co. does hire someone and Fuse Soda Co. does not this will result in a 20% decrease in market shares and profit revenue for your client. It is in my highest opinion that your client Fuse Soda Co. proceeds in hiring a celebrity spokesperson and reap the benefits of higher profit. If Frantic Soda proceeds to hire someone your client will still have at least a 10% gain in profit, if Frantic Soda decides not...
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...Internal factors affecting the best buy co Inc new compensation strategy 2 Best buy financial capital affect on compensation 2 Internal structure affect on compensation: 3 Employees’ acceptance of the new compensation 3 External factors affecting BEST BUY CO INC. compensation strategy 6 Economy factor on compensations: 6 Legal compliance on the compensation strategy: 6 Competitors impact on compensations strategy 6 Best buy summary 8 Conclusion 9 Figures: Median salary by job..…………………………………………………………………5 Median bonus by job…………………………………………………………………...6 Average weekly vacation by years experience…………………………………………6 Introduction With so many changes within the industry best buy the number one electronic retailer decided to implements new compensation strategy within their organization to gain competitive advantage against their competitors. An organization employing over 170,000 employees within the US will have hard time developing a compensation strategy for every employee. Therefore the organization decided to focus on its retail store managers. Data reveals that best buy Inc is employing little of two thousands retail store manager. The organizations is developing new compensation strategy so that they will be expose to fewer managers turn over, higher motivation and performance. But before developing this new compensation strategy the organization must do an analysis...
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