Introduction •Bad strategy could affect the business •Roger Davis had faced some issues which were the causes of its enclosure. •This company had delivered a negative image to its customers. Therefore its numbers of customers were getting less. •This presentation tells about the reason of the collapse of this company.
Company’s overviews •Roger David store Pty Ltd was a retail company that sold men’s ready to wear clothing and accessories. •The head quarter of this company was situated in Australia. •This company was founded in 1942 (Storey, Keasey, Watson & Wynarczyk, 2016). •The numbers of employees were 550.
The specific events that lead to the loss •Increased rent was one of the cause. •Lack of innovation is the other reason of closure (Carnegie & O’Connell, 2014). •Positive performance of competitors of Roger David gave fierce competition, which is the leading cause of getting collapsed.
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PEST analysis Political analysis •Adverse policies for rent and lease deals. •The political environment of Australia was volatile at that time (Newman & Head, 2015). Economic analysis •The growth of loan was continued at that time, which is the cause of Roger David got collapsed. •On the other hand, the debt of the bank was increasing day after day.
PEST Analysis (continued) Social factors •Online business of Roger David was not as popular as other companies. •Attitudes of Roger David Company towards its customer was not good. Technology factors •Roger David had faced technological challenges many times. •This company had also faced issues from lack of technological awareness (Li, 2015)
Unsuccessful responses by the business •Increased process of product price was the cause of the decrease in the count of consumers. •The quality that Roger David had provided was not good. •The management system also not appropriately maintained to gain profits (Fitzgerald, Kruschwitz, Bonnet & Welch, 2014). •Competitors of this company had applied dynamic strategies that this company could not defend.
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Internal factors •Roger David had not executed any term with proper planning. For that, this company had faced economic problems hugely. •This company had also faced some strategic issues. •Customers were losing interests in its products. •Employees of this company also were not expert in selling its products
External factors •Roger David had so many competitors at that time in the business market who had the abilities to give tough challenges. •Technological innovation was appointed by this reputed company (Amankwah-Amoah, 2018). •The products that were delivered by this company had not kept its mark at the international level.
Recommendation •Roger David should have taken some dynamic strategies in their operations to cut the budgets and lower the price. •This company should have taken care of its quality of products. •This company had to apply some innovative thought to attract customers.
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Conclusion •Roger David had made mistakes in business strategies. •This company had to take care of its whole business process. •This company lacked the planning for betterment.
References •Amankwah-Amoah, J. (2014). Old habits die hard: A tale of two failed companies and unwanted inheritance.Journal of Business Research,67(9), 1894-1903. retrieved from: http://eprints.whiterose.ac.uk/99629/2/GOM%2520ACCEPTED%2520VERSION[1].pdf •Brotchie, J., & Morrison, D. (2017). Insolvent trading and voluntary administration in Australia: economic winners and losers?.Accounting & Finance. Retrieved from:https:// doi.org/10.1111/acfi.12319 •. Carnegie, G. D., & O’Connell, B. T. (2014). A longitudinal study of the interplay of corporate collapse, accounting failure and governance change in Australia: Early 1890s to early 2000s.Critical Perspectives on Accounting,25(6), 446-468. retrieved from: https://s3.amazonaws.com/academia.edu.documents/38631007/Carnegie__OConnell_2014.pdf? response-content-disposition=inline%3B%20filename %3DA_longitudinal_study_of_the_interplay_of.pdf&X-Amz-Algorithm=AWS4-HMAC-SHA256&X-Amz- Credential=AKIAIWOWYYGZ2Y53UL3A%2F20190827%2Fus-east-1%2Fs3%2Faws4_request&X-Amz- Date=20190827T092846Z&X-Amz-Expires=3600&X-Amz-SignedHeaders=host&X-Amz- Signature=8ed87b560908feb47469597a5121da5a69195a5401548a6f6162d0099aeb67ed •Fitzgerald, M., Kruschwitz, N., Bonnet, D., & Welch, M. (2014). Embracing digital technology: A new strategic imperative.MIT Sloan management review,55(2), 1. retrieved from: https://s3.amazonaws.com/academia.edu.documents/48780763/MIT_Digital_Technology.pdf? response-content-disposition=inline%3B%20filename %3DEmbracing_Digital_Technology_A_New_Strat.pdf&X-Amz-Algorithm=AWS4-HMAC-SHA256&X- Amz-Credential=AKIAIWOWYYGZ2Y53UL3A%2F20190827%2Fus-east-1%2Fs3%2Faws4_request&X-Amz- Date=20190827T092924Z&X-Amz-Expires=3600&X-Amz-SignedHeaders=host&X-Amz- Signature=cefda4b3a60c36b041ec2a1a8fc933254193abff5dccb46ab07cb6bb9c47b9c1