Business Analysis: A Comparative Study of Alphapharm, Think Childcare, and Intrepid Travels

This essay examines the business strategies of three companies from different industries: Alphapharm (pharmaceuticals), Think Childcare (childcare), and Intrepid Travels (tourism). It analyzes their competitive advantages using Porter's Generic Strategies, Ansoff Matrix, and Blue Ocean Strategy, respectively. The essay explores how each company leverages these models to achieve success in their respective markets.

HI6006 ASSESSMENT 1: BUSINESS ANALYSIS
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Introduction
In the Essay provided below the business, analysis has been presented which has been done
taking into consideration the business analysis models. In order to provide this information,
the researcher has effectively taken use of the three companies from three different industries.
The business analysis models used to analyse the working of these organisations would be
kept totally distinct from each other. The industries that have been chosen in order to analyse
the data are pharmaceuticals industry, child care and tourism industry.
Alphapharm Australia
Alphapharm is the drug manufacturing company based in Australia which is one of the
greatest manufacturers of the generic medicines in the home country as well as in 50 more
countries. Founded in 1982, Alphapharm is the child company of Mylan Group and is
currently the biggest supplier of the Australian Pharmaceutical Benefits Scheme. In order to
analyse the strategy of the company, the 3 Generic Strategy model given by Michael Porter
has been analysed (Mylan.com.au., 2018).
3 Generic Strategies
In the three Generic Strategies model, the three main strategies are analysed which helps in
determination of the competitive analysis of the company. This helps the reader to get an
effective idea of the success strategy of the company. These three strategies are Cost
Leadership, Differentiation and focus. The implementation and analysis of these strategies in
the context of Alphapahm have been stated below as follows;
In the Cost Leadership Strategy, the company has the main focus on reducing the costs of
charging average prices. The products of the company are generic for which the company
charges nominal prices and this has helped the organisation to increase its market share.
The company also used differentiation strategy such that is products can be unique and more
effective from that of the competitors (Bertozzi et. al., 2017). In order to ensure this the
company has taken use of effective research, innovation and development. This has helped
the company in delivering high quality of products and services. The company also conducts
effective marketing and sales to gain benefits offered by the market (Wicker et. al., 2015).
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Think Childcare Limited
The next company that has been chosen in order to analyse the strategy of the company in the
market is Think Childcare which is one of the leading Childcare companies in Australia. The
company is a major operator of childcare facilities in Australia and provides childcare
services for the children between the ages of 6 weeks to 6 years old. Incorporated in 2014, the
company operates from Drummoyne, Australia (Thinkchildcare.com.au., 2018).
ANSOFF Matrix
The Ansoff matrix is used by the organisation in order to analyse its various strategies in the
market. Apart from this, it has also been analysed that the use of this strategy allows the
company to make optimum use of its resources in order to gain a competitive advantage in
the industry. In this matrix, the analysis of four basic components has been provided in this
tool which is market development, diversification, market penetration and product
development. It has been identified that in order to develop the market, the company
effectively takes use of PEST analysis and CAGE Distance framework such that the
opportunities in the potential market can be harnessed (Dawes, 2018). The services in the
foreign market are provided through agents and intermediaries. The market segment of the
company is the parents who are working class and expecting a baby.
The diversification strategy of the company is a bit risky and it has been analysed that the
company lacks expertise in order to reach the economies of scale as the major area of
operation of the company is the home country. The diversification in services is not
experiencing as same services are offered to the consumers irrespective of their backgrounds.
The market penetration strategy used by the organisation is promoting its services in the
market (Yin, 2016). In order to penetrate the market, a critical study of the market is done by
the organisation and the company also increases the activities of its sales force, the door-to-
door promotion is also done by the organisation. In order to analyse the investment options,
Think Childcare takes effective use of Boston matrix to analyse the industrial developments.
It has also been identified that the company uses technique of social media and TV
advertising in order to develop its name in the market.
The last constraint of this Ansoff matrix is the product development strategy. In this strategy,
there is a various technique which is identified by the organisation such that it may be
effectively able to develop its product to satisfy the consumers. The company attracts the
consumers by including creativity and essential care in their services (Flippov, 2017). It has
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been identified that the organisation enjoys an effective goodwill in the Australian market
which is because of the improved quality of the services and products offered by the
company.
Intrepid Travels
Intrepid Travels is the last company which has been chosen in order to complete this essay.
As the name suggests, the company operates in the tourism industry of Australia and the
company is the largest ‘small group adventure provider’ in the world. The company has
around 1000 itineraries in around 100 destinations worldwide. Commenced in 1989 with a
staff of two, the company now employs more than 1000 individuals in Australia itself. In
order to analyse the business operations and market position of the company, the Blue Ocean
strategy has been used (Intrepidtravel.com., 2018).
Blue Ocean Strategy
Blue Ocean Strategy can be referred to as a market where the products are unique which
leads to less competition among the competitors. The main idea of the company to apply this
strategy is to make their product unique and differentiated in the market. In such a market
there is no pressure on pricing. It has been identified that Intrepid Travel, unlike other travel
companies, provides adventure tourism which is one of the unique features of the company.
In order to ensure the control, the company hires the local employees only (Kim &
Mauborgne, 2017). This helps the company to ensure proper and smooth management of the
staff. It has been identified that the group of consumers that are targeted by the company are
generally from between the age segment of 16-28 years. The company effectively
understands and analyses their needs to gain a competitive edge in the industry. It has also
been identified that the products offered by the company may not be valued by the new
consumers at first. This step though may be counter-intuitive but this helps the organisation
to effectively decrease its costs incurred in the development of the product (Burke et. al.,
2016). Though this is not an effective strategy, it is thus recommended to the organisation
that new products should be made in accordance with the needs of the consumers such that
new features can be provided to the new targeted consumers.
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Conclusion
From the essay provided above, it can thus be concluded that the competition in the market is
intense especially on the global levels. This makes it important for the organisation to take
effective care of the strategies and product development techniques. in order to do so, it is
required that the organisation should undertake a critical study of the market for which the
tools like 3 Strategies Analysis, Ansoff matrix and Blue Ocean Strategy could be used.
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References
 Bertozzi, F., Ali, C.M. and Gul, F.A., 2017. Porter’s Five Generic Strategies; A Case
Study from the Hospitality Industry. International Journal For Research In
Mechanical & Civil Engineering, 3(2), pp.09-23.
 Burke, A., van Stel, A. and Thurik, R., 2016. Testing the Validity of Blue Ocean
Strategy versus Competitive Strategy: An Analysis of the Retail
Industry. International Review of Entrepreneurship, 14(2).
 Filippov, D.V., 2017. Positioning of the Organization in the Target Markets Using the
Modified Three Dimensional Matrix Model on the Example of Transport Education
Market of the Republic of Sakha (Yakutia) of the Russian Federation. Advanced
Science Letters, 23(10), pp.9861-9865.
 Intrepidtravel.com., 2018. Small Group Tours & Travel, Big Adventures | Intrepid
Travel. [online] Available at: https://www.intrepidtravel.com/en [Accessed 16 Apr.
2018].
 Kim, W.C. and Mauborgne, R.A., 2017. Blue Ocean Strategy with Harvard Business
Review Classic Articles “Blue Ocean Leadership” and “Red Ocean Traps”(3 Books).
Harvard Business Press.
 Mylan.com.au., 2018. Mylan – Seeing Is Believing. [online] Available at:
http://www.mylan.com.au/ [Accessed 16 Apr. 2018].
 Thinkchildcare.com.au., 2018. Think Child Care. [online] Available at:
http://www.thinkchildcare.com.au/ [Accessed 16 Apr. 2018].
 Wicker, P., Soebbing, B.P., Feiler, S. and Breuer, C., 2015. The effect of Porter’s
generic strategies on organisational problems of non-profit sports clubs. European
Journal for Sport and Society, 12(3), pp.281-307.
 Yin, N., 2016. Application of AHP-Ansoff Matrix Analysis in Business
Diversification: The case of Evergrande Group. In MATEC Web of Conferences (Vol.
44). EDP Sciences.
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