Business Strategy

Business Strategy
Business Strategy........................................................................................................................................................................1
INTRODUCTION...................................................................................................................................................................... 4

TASK1........................................................................................................................................................................................ 4
1.1Assess how business missions, visions, objectives, goals & core competencies inform strategic planning...............................4
1.2 Analyse the factors that have to be considered when formulating strategic plan.......................................................................4
1.3 Evaluate the effectiveness of techniques used when developing strategic business plans.........................................................5
M1 Make an effective judgment about the value to your business plan of mission statements, vision statements,.........................5
M2 Explain and then evaluated the key techniques available to the business.................................................................................5
TASK2........................................................................................................................................................................................ 6
2.1 Analyses the strategic positioning of Volkswagen....................................................................................................................6
2.2 Carry out an environment audit for VW AG.............................................................................................................................6
2.3 Assess the significance of stakeholder analysis when formulating new strategy for Volkswagen............................................7
2.4 Present a new strategy for Volkswagen.....................................................................................................................................7
TASK3............................................................................................................................................................................................ 8
3.1Analyse the appropriateness of alternative strategies relating to market entry, substantive growth, limited growth or
retrenchment for Volkswagen.........................................................................................................................................................8
3.2 Justify the selection of a strategy..............................................................................................................................................8
TASK4........................................................................................................................................................................................ 9
4.1 Assess the roles & responsibilities of personnel.......................................................................................................................9
4.2 Analyses the estimated resource requirements for implementing a new strategy......................................................................9
4.3 Evaluate the contribution of SMART targets to the achievement of strategy implementation................................................10
CONCLUSION......................................................................................................................................................................... 10
REFRENCES............................................................................................................................................................................11
INTRODUCTION
Business strategies are the long term plan framed for mainly achieving the goals and objectives of the
business organisation including the various factors. It leads to specifying the targets and the objectives of the
organisation. It also helps in framing plans and policies for the business for their operations. Volkswagen is an
automotive industry deals with the several types of car lines established mainly in the German and it is the largest

automaker company worldwide (Phapruke Ussahawanitchakit, 2011). In this report the Volkswagen asses their
business vision, mission, goals into the strategic planning and also highlights on the significance of the stakeholders
on the strategic planning.
TASK1
1.1Assess how business missions, visions, objectives, goals & core competencies inform strategic planning
The strategy are the directions which helps the organisations to set up their long term goals and cope up with
the business environment and aims at completing the expectancy level of their shareholders. The Volkswagen must
consider must framed flexible strategic decision for their company which aims at a gaining the goals and completing
the target settled by them.
Mission: The mission is mainly consists with the providing of the general information of the company and their
purpose that they will imply for achieving their missions. The mission of the Volkswagen explains the image of their
business and the target set by them for reaching to the success level.
Vision: A vision includes the main working ideas for the working performance in the business. It leads to generation
of certain ideas for the business (Choir, 2014.). It also helps in identifying how business will be reached towards its
objectives. The Volkswagen mission details about the growth level in their business and how to do more
improvement in their business.
Goals and objectives: The goals are considered as the outcomes from the planed source it consists of achieving some
targets. Goals can be of short terms as well as long term. The Volkswagen attains to get maximum sales and gets a
high rate of profit level and providing satisfactory services to their customers.
Core competencies: The core competency includes various factors and resources collectively that sates to be
different in nature in the market (Hirschinger, 2016.). The Volkswagen works on their various tools and performing
the actions with advanced equipments to survive in the competitive world.
1.2 Analyse the factors that have to be considered when formulating strategic plan
There are certain factors that need to be considered at the time of formulating the strategic plans. The factors
are:
Communication- The effective communication is a most important part in any business. The strategic planning can
be successful when there is a healthy communication between all the levels from top to the operational making aware
them about the strategic planning.
Culture- Culture is a lifestyle. Understanding the cultural values helps in getting the culture support towards the plan.
The organisational culture contains various factors such as the attitudes of the employees, beliefs, values and
behaviour against each other.

Environmental factors- At the time of strategic planning the external and internal factors must be considered and
evaluated. The Volkswagen must try to cope up with the changes in the environment and adapts certain changes in
their working which also leads for the betterment in the work performance and helps in surviving for longer term in the
competitive world.
1.3 Evaluate the effectiveness of techniques used when developing strategic business plans
BCG matrix- The BCG matrix is also called by the growth matrix. The BCG matrix is mainly based on the
product life cycle theory which helps the business in identifying the most suitable appropriate strategies and a certain
level which should are required to particular business unit. The BCG matrix also plays an important role in the
strategic planning. It determines the profitability state of the business. The BCG matrix is distributed into four
categories mainly as cash, cow, dogs and the question mark (Park, 2014). The model helps the business in identifying
whether they are required to invest n the business or required to do discontinue in their business or sometimes they
are n the state of developing new products.
GE MCKinsey matrix- This model mainly highlights towards the industry sector and the business unit
strength. They include the nine cells and deals within the certain types of variables and are determined by evaluating
the criteria and executing the value of each and later multiplying the value with the determined factors. It is a
guideline structure that analysis the business portfolio and further implicates the strategic planning and determines the
investment requirements in each business unit. The GE MCKinsey matrix considers more complicated in nature.
M1 Make an effective judgment about the value to your business plan of mission statements, vision statements,
The business aims at achieving the maximum rate of profits and doing the large number of expansion in the business.
For running the business successful the vision, missions are stetted which leads to set up an performance standard and aims at
achieving the particular target settled (Galvin, 2014). The goals are the benchmarks fixed up the company to reach a certain
success level. The adaption of new technologies working with cope up in dynamic environment leads to survive in the
competitive world and retains long term life of the business.
M2 Explain and then evaluated the key techniques available to the business
The business performance and techniques are based on certain parameters. They are deepened on the certain model. The
BCG matrix plays an important role in the business. It provides a blue print for the business and helps in identifying whether
there is requirement of the investments in the business or requires to do discontinue the business activities. It searches out the
needs of developing of the new products. The GE MCKinsey model emphasis on the strategic planning and identifies the
investment requirements in each business unit.