Strategic Management: Literature Review

This assignment requires a thorough analysis and synthesis of selected scholarly articles from the *Strategic Management Journal*. Students are tasked with identifying emerging trends, theoretical advancements, and significant contributions to the field of strategic management based on the reviewed literature. The focus is on understanding the evolving nature of strategic management research and its practical implications.

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Business Management and Strategic Management
Narrative Script
Name of the Student:
Name of the University:
Author’s Note:

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Table of Contents
Slide 1: Tile Page.............................................................................................................................2
Slide 2: Introduction........................................................................................................................2
Slide 3: Analysis of Simulation Firm..............................................................................................2
Slide 4: Problem Identification........................................................................................................3
Slide 5: PESTLE Analysis...............................................................................................................3
Slide 6: SWOT Analysis..................................................................................................................4
Slide 7: Competitive Level Analysis...............................................................................................4
Slide 8: Firm Objectives..................................................................................................................5
Slide 9: Functional Objectives.........................................................................................................5
Slide 10: Functional Area Strategies...............................................................................................6
Slide 11: Ethical Standard...............................................................................................................7
Slide 12: Business Level Strategy and Strategic Framework..........................................................7
Slide 13: Contingencies...................................................................................................................8
Slide 14: Strategic Constraints.........................................................................................................8
Slide 15: Conclusion........................................................................................................................9
Slide 16: Recommendation..............................................................................................................9
Slide 17: References......................................................................................................................10

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Slide 1: Tile Page
Business Management and Strategic Management
Slide 2: Introduction
Strategic management is the formulation of effective organizational goals and objectives
through identifying the external and internal environment of an organization (Daspit et al., 2017).
Such goals and objectives are actually directed towards high level of organizational success. This
presentation will analyze the strategic management of Dairy Product Australia in the Australian
dairy industry. The presentation will present various issues faced by the firm. The presentation
will also present a situational analysis of the firm. Apart from that, the presentation will discuss
the corporate level objectives and functional level objectives of the firm along with functional
strategies and business level strategies. Furthermore, some contingencies and strategic
constraints of the firm will also be discussed in this presentation. Finally, the presentation will
also set some suitable recommendation to be presented to the board of directors.
Slide 3: Analysis of Simulation Firm
The company is targeted towards making a well-established market in Australia through
providing delicious dairy products. It offers wide variety of dairy products including ice cream,
sour cream, table cream, yogurt, cottage cheese and many others. The market share of the
company in Australian diary industry is quite commendable. The company is situated in Central
Queensland of Sydney in Australia. It is restricted only within Sydney in terms of business
operation. However, the dairy firm is quite capable of maintaining its strong hierarchical
framework for communicating with its stakeholders.

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Slide 4: Problem Identification
Bettis et al., (2016) pointed out that the market players in Australian dairy industry are
facing tough competition among themselves in terms of grabbing commendable market share.
Therefore, this competitive issue is also affecting this dairy firm. On the other hand, Chen et al.,
(2015) opined that the competitive companies are also offering also same quality products with
affordable prices. In such situation, this dairy firm poorly diversified products, low market
penetration and poor discounts and offers. Hence, the company is facing tough competitive
pressure in Australian dairy industry. Furthermore, the organization has lack of technically
advanced equipment, which is actually limiting the production capability of the firm.
Furthermore, the company also has some availability issue due to poor distribution, lack of
official website and poor marketing and promotion strategies.
Slide 5: PESTLE Analysis
According to Durand et al., (2017), PESTLE analysis explores the external business
factors, which have major impact on business performance. Moreover, organizations do not have
much control over the external factors, which are explored through PESTLE analysis tool. On
the other hand, Trigeorgis and Reuer, (2017) opined that PESTLE tool explores the external
market environment factors like political, economic, social, technical, legal and environmental
factors. While assessing the external market environment of this diary firm, it can be seen that
stable political condition of Australia is highly favorable for its business operation. Growing
economic condition of Australia has also increased the profit potentiality of the dairy firm with
increased return on investment. Australians are more likely to purchase healthy and fat free dairy
foods. This trend has increased the sales volume of fat free dairy products of this firm. The dairy

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firm uses advanced technology, which has improved its production system. On the other hand,
the firm always adheres to the consumer and employee law of Australia.
Slide 6: SWOT Analysis
According to Mitchell and Leiponen, (2016), SWOT analysis assists in establishing
competitive merit unit of an existing firm. Moreover, this analytical tool assesses the internal
strength and weakness and external threats and opportunities of an organization. On the other
hand, Bergh et al., (2014) opined that SWOT analysis assesses the potentiality of growth in
market share, scope in international market, financial capability, human resource strength and
technical strength and others. While assessing the internal market environment of Diary Product
Australia, it has been found that the organization is highly popular for its high quality products.
The firm also has strong technical equipments for improved manufacturing process. However,
the organization has inadequate number of skilled sales staffs, which hamper the sales volume of
the dairy firm. Apart from that, the increasing brand value can provide huge opportunities to the
dairy firm towards international expansion. However, the hike in tax rate and changing
regulatory legislation of Australia can hamper the business process of the dairy form.
Furthermore, the dairy firm is also facing tough competition from the major market players like
Bulla Dairy, Baskin Robbins Australia and others.
Slide 7: Competitive Level Analysis
It can be said that the organization provides good quality products at average pricing.
According to Vogel and Güttel, (2013), when products are offered in lower price then it creates a
sense of poor product value among the consumers. Therefore, only a certain a class of consumers
are satisfied. On the other hand, Simon et al., (2014) pointed out that if categorized products are

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sold in different pricing strategy, then both high class and middle-class people are targeted. This
eventually increases sales. For Dairy Product Australia, it is quite similar as it is selling good
quality in low price, which is reducing its brand value. Bulla Dairy is found to be the top
competitor, and therefore, if price of products are increased then more sales will be possible.
Slide 8: Firm Objectives
The prime objective of the firm is to expand its market both locally as well as
internationally. It will enhance its sales volume both in its existing market as well as new
markets. Apart from that, the dairy firm is also targeted towards diversifying its product brands.
Fulfillment of this objective will assist the dairy firm in gaining competitive advantage over the
competitors in the market. In order to maintain strong customer relationship, it is extremely
important to frequently communicate with the customers. Therefore, the organization is targeted
to achieve the objective of increased customer engagement through social media sites. It will
help the firm in maintaining consistent engagement with the customers. Furthermore, the
objective of the organization is also to design and implement innovative and unique marketing
framework for enhanced marketing and promotion of the brands.
Slide 9: Functional Objectives
According to Greco et al., (2013), functional areas define the departments, which serve to
the specific purpose in an organization towards attaining its overall objectives. These purposes
are like sales, purchase, administrative, manufacturing and human resource department. On the
other hand, Kenworthy and Verbeke, (2015) opined that functional areas operate
interdependently towards steering an organization in achieving its overall goals and objectives in
systematic manner. The prime functional objective of the firm is to work in synergy towards

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actualizing its general company objectives. It will help the firm in maintaining consistent
performance towards effectively achieving its overall goals and objectives. Furthermore, the
functional objectives of the dairy firm also include enhancing its operational capacities. This
functional objective will help the firm in enhancing its operational effectiveness towards
achieving its overall goals and objectives. Furthermore, another functional objective of the firm
is to enhance the skills level of technical expertise and increase the usage of skills resources.
Slide 10: Functional Area Strategies
Zietsma et al., (2014) pointed out that functional area strategies provide road map to an
organization towards reaching at its desired position. Moreover, the purpose of this strategic plan
is to change the company direction, accelerate growth, enhance profitability and allocate
resources to the functional areas, which have best potential towards achieving the overall
organizational goals and objectives. On the other hand, Karadag, (2015) opined that the
strategies of functional areas are directed towards achieving the ultimate goals and objectives of
an organization. Dairy Product Australia will set personnel strategy of hiring, recognizing and
growing the most efficacious staff. Furthermore, the firm will also consider technical strategy
through adopting suitable technology towards enhancing overall operational efficacy. The firm
will also develop product diversification strategy and infrastructure strategy for gaining
competitive advantage in the market. Apart from that, the firm will also set the standard for
implementing the chief internal and external opportunities.

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Slide 11: Ethical Standard
According to Theriou, (2015), animal welfare must be the prime aspect in the dairy
industry and therefore no artificial injections must be applied. On the other hand, Demir et al.,
(2017) pointed out that ethics depends on the amount an organization pollutes environment from
its daily operation. Considering Dairy Product Australia, it can be said that the organization does
not deal with any sort of artificial injection that might stimulate animal hormone. Also, the
organization uses fine quality plastic and tin packaging so that toxicity is at the least level. The
organization also tries to reduce carbon emission by recycling its waste.
Slide 12: Business Level Strategy and Strategic Framework
According to Stead and Stead, (2013), business level strategies indicate the detailed
actions, which are undertaken to provide unique value to the customers and gain competitive
advantage by exploiting the core competencies of an organization. On the other hand, Simon et
al., (2014) opined that business level strategies are the detailed outlined plan towards delivering
unique value to the customers. Dairy Product Australia has also set some effective business level
strategy for gaining competitive advantage over the rival companies. Moreover, the dairy firm
has set some Business Level Strategies to be fulfilled within 2017-2020. The firm will enhance
the level of staff engagement for enhancing the productivity and quality of the organizational
products. Moreover, the firm will enhance their staff engagement level through interactive
working policies, initiating reward and recognition and enhance employee participation level.
Apart from that, the company will also enhance their branding effectiveness through increased
market presence and promotion through social media. It will assist in effective promotion of the
brands in the market.

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Slide 13: Contingencies
According to Chen et al., (2015), contingency defines an imminent situation or event,
which can occur at any time in business operation, but its predictability is quite uncertain.
Moreover, the situation can be anticipated organizations, which are quite adverse for the business
success. However, Trigeorgis and Reuer, (2017) opined that management of an organization
often fail to predict this situation with absolute certainty. Therefore, such uncertain events
hamper the success level of an organization. Most common contingencies for an organization are
changing government regulation, union pressure, customer changing preferences, suppliers’
power, technological changes and others. In case of Dairy Product Australia, the organization is
more likely to face the contingencies in terms of technological changes in global basis.
Slide 14: Strategic Constraints
Bettis et al., (2016) pointed out that strategic constraints actually hinder the success of a
planned strategy through creating various hindrances. Therefore, such strategic constraints
should always be identified towards addressing them and bringing the success level of the
strategies. In case of Dairy Product Australia, the organization can face the strategic constraint in
terms of lack of top management’s engagement in implementing the strategies and leading its
success. Furthermore, the firm can also have the strategies constraints in regards to inadequate
resource allocation to the prime aspect of the strategies. Apart from that, the strategic planner of
the dairy firm can also face the strategic constraints in terms of budget constraints towards
proper implementation of the strategies.

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Slide 15: Conclusion
While concluding, it can be said that Dairy Product Australia is operating at satisfactory
level but it needs to expand more in future. Financially the organization is strong but in terms of
product variety it is quite poor. Also, Dairy Product Australia lacks in marketing and sales and
therefore distribution of its products is limited geographically. It has the opportunity to extend in
international market through new product placement using high price. In future, the organization
will surely create huge competition if more products, more factory bases and high pricing
strategy are followed.
Slide 16: Recommendation
Dairy Product Australia should diversify its product portfolio towards gaining
competitive edge in the market. Moreover, the firm should place new products in the market. The
firm should also hire new and talented marketing and sales supervisors for enhancing the product
value in the market and increasing sales volume. Furthermore, the organization should use
competitive pricing in developed market and offer discounts in the new market towards
increasing business profit level. Acquisition of new emerging dairy firms will reduce its fierce
competition level in the market. On the other hand, the dairy firm should also concentrate on its
social media presence for effective brand promotion.

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Slide 17: References
Bergh, D. D., Connelly, B. L., Ketchen, D. J., & Shannon, L. M. (2014). Signalling theory and
equilibrium in strategic management research: An assessment and a research
agenda. Journal of Management Studies, 51(8), 1334-1360.
Bettis, R.A., Ethiraj, S., Gambardella, A., Helfat, C. & Mitchell, W. (2016). Creating repeatable
cumulative knowledge in strategic management. Strategic Management Journal, 37(2),
pp.257-261.
Chen, C.M., Delmas, M.A. & Lieberman, M.B. (2015). Production frontier methodologies and
efficiency as a performance measure in strategic management research. Strategic
Management Journal, 36(1), pp.19-36.
Daspit, J.J., Chrisman, J.J., Sharma, P., Pearson, A.W. & Long, R.G. (2017). A Strategic
Management Perspective of the Family Firm: Past Trends, New Insights, and Future
Directions. Journal of Managerial Issues, 29(1), pp.6-29.
Demir, R., Wennberg, K., & McKelvie, A. (2017). The strategic management of high-growth
firms: a review and theoretical conceptualization. Long Range Planning, 50(4), 431-456.
Durand, R., Grant, R. M., & Madsen, T. L. (2017). The expanding domain of strategic
management research and the quest for integration. Strategic Management
Journal, 38(1), 4-16.
Greco, M., Cricelli, L., & Grimaldi, M. (2013). A strategic management framework of tangible
and intangible assets. European Management Journal, 31(1), 55-66.

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Karadag, H. (2015). Financial management challenges in small and medium-sized enterprises: A
strategic management approach. Emerging Markets Journal, 5(1), 26.
Kenworthy, T. P., & Verbeke, A. (2015). The future of strategic management research:
Assessing the quality of theory borrowing. European Management Journal, 33(3), 179-
190.
Mitchell, W., & Leiponen, A. (2016). Virtual special issue on innovation, intellectual property
and strategic management. Strategic Management Journal, 37(13).
Simon, D., Fischbach, K., & Schoder, D. (2014). Enterprise architecture management and its role
in corporate strategic management. Information Systems and e-Business
Management, 12(1), 5-42.
Stead, J. G., & Stead, W. E. (2013). The coevolution of sustainable strategic management in the
global marketplace. Organization & Environment, 26(2), 162-183.
Theriou, N. G. (2015). Strategic Management Process and the Importance of Structured
Formality, Financial and Non-Financial Information. European Research Studies, 18(2),
3.
Trigeorgis, L., & Reuer, J. J. (2017). Real options theory in strategic management. Strategic
Management Journal, 38(1), 42-63.
Vogel, R., & Güttel, W. H. (2013). The dynamic capability view in strategic management: A
bibliometric review. International Journal of Management Reviews, 15(4), 426-446.

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Zietsma, C., Greenwood, R., & Langley, A. (2014). Special issue of strategic
organization:“Strategic responses to institutional complexity”. Strategic
Organization, 12(1), 79-82.