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Sustainable Energy Strategies and Stakeholder Analysis

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Added on  2020/06/04

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This assignment focuses on developing sustainable energy strategies with a particular emphasis on renewable energy sources. It requires students to conduct a comprehensive SWOT analysis of the chosen energy sector, considering both internal strengths and weaknesses as well as external opportunities and threats. Furthermore, a PESTLE analysis is needed to evaluate the broader political, economic, social, technological, legal, and environmental factors impacting the sector. Finally, a stakeholder analysis using an importance-influence matrix will help identify key stakeholders and their potential influence on the implementation of sustainable energy strategies.

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Business Strategy

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Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1.1 Mission, Vision, Objectives, Goals and core competencies of Hungry House company 1
1.2 Elements that are required to be considered while Formulating Strategic Plan...............2
1.3 Effectiveness of various method used when formulating effective plan..........................4
TASK 2............................................................................................................................................4
2.1 VW AG Organisational Audit .........................................................................................4
2.2 Environmental audit.........................................................................................................6
2.4 New strategy for Volkswagen..........................................................................................9
TASK 3............................................................................................................................................9
3.1 The appropriateness of alternative strategies in context of market entry, substantive
growth, limited growth ..........................................................................................................9
3.2 Justification of selection of strategy...............................................................................10
TASK 4..........................................................................................................................................11
4.1 Roles and responsibilities of strategic leader in business plan implementation process11
4.2 Analysing the approximate resource requirement in strategic implementation.............12
4.3 Measuring the contribution of Smart target to the achievement of strategic implementation
..............................................................................................................................................12
CONCLUSION..............................................................................................................................13
REFERENCES..............................................................................................................................14
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INTRODUCTION
Business strategy refers to the high level plan that are being formulated to accomplish
organisational goals and objectives. Business strategy in enterprise include several skills and
tactics. Strategy plays a significant role in business unit and resources required for achieving
mission and vision are limited. Strategic process include establishing goals and objectives,
analysing the way to achieve purpose and allocating resource in order to implement actions.
Strategic management in firm involves various activities such as strategic planning, and
evaluation .These activities are conducted in order to analyse the effectiveness of plan. Strategic
planning and strategic management assist enterprise in achieving desired position in market as
well as enable them to gain competitive advantage.
The hungry house company is being selected for conducting research on business
strategy. The Hungry house is UK based organisation that are dealing in online ordering of
takeaway food services. The corporation allow customers to search for restaurant and browse
local takeaway menus before placing order for food.
The aim of the study is to explain the concept and significance of business strategy. It has
focussed on identifying the way plan have great influence on the profitability and growth of firm.
The project will emphasize on determining the requirement of various resources in strategic
planning and implementation. The assignment will assist organisation in analysing the
contribution of SMART targets in order to achieve effective outcome from strategic
implementation. It will allow company to identify the role and responsibilities of individual in
strategic implementation.
TASK 1
1.1 Mission, Vision, Objectives, Goals and core competencies of Hungry House company
Hungry House is the Leading online platform that provides takeaway food services and
food delivery. It has more than 10,000 restaurants. The Hungry house has partnership with the
best restaurants in Britain in order to deliver delicious meal to its customers. The organisation
has the potential to quickly access to its clients. Customer find easier to browse peer-reviewed
takeaway menus and the company provides platform to consumers to make online payment. It
also provides various discounts and seasonal offers to their guest.
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Objective- The objective of Hungry house is to exceed the customer expectation by providing
them with premium Quality of foods at reasonable price. The financial objective of the firm is to
increase its revenue, profitability and enhance its market share. The Hungry House wants to
become leading food service provider in same industry.
The organisation was experiencing a high volume of abandoned cart. So their objective is
to introduce new cart abandoned programme in order to replace their exciting solution that was
implemented to raise revenue that can be recovered from lost sales.
The corporation purpose was to convert its losses into profits by motivating customer by
offering them various discounts and offer.
Mission- It wants to provide faster, easier and more fun for their customer and allow them to
discover great and delicious food. The corporation mission is to provide convenient delivery to
its clients. The company mission also includes more varieties of food in their menus in order top
attract more number of guests.
Vision-The vision of the Organisation is to generate wealth for their employees, families and
other stakeholders. Their vision also include to deliver the best quality products at competitive
price. The business unit want to expand its core business activities worldwide.
Goals-The goal of Hungry house is to improve their performance and quality of product as well
as services. The Goals of employees in The company is to receive maximum orders. The other
goals of the business unit is to gain recognition and to develop brand image in the market.
Core competencies-The Hungry House in itself have great competitive strength. This has been
supported by the fact that enterprise was able to establish their position in the market. The core
competencies of the firm is that it has developed online platform which assist customer in easy
searching for restaurants. It is using advance technology for receiving orders and payments. The
core strength of the business unit lies in its online presence (Leitner, Meissner and Martyna-
David, 2015)
1.2 Elements that are required to be considered while Formulating Strategic Plan
There are various factors that required to be considered when formulating plan. These
are:
1. Articulate Mission and Mission-When formulating business plan manager or strategic
planer need to have focus on the enterprise mission, vision, goals and objectives. The
strategic plan should be framed according to this factor. As the aim of formulating

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strategic plan is to fulfil organisation aim and objectives. Analysing these constituent will
help strategic personnel in aligning strategy with such purpose and to produce effective
outcomes.
2. Identifying stakeholders-This very essential as various stakeholder has great influence on
strategic formulation and implementation process. These stakeholders also have great
effects on other aspects of business. The Strategic plan of Hungry House should include
consideration of both internal and external stakeholders in order to ensure successful
formulation and implementation of Strategic plan.
3. Scanning internal environment-It is very essential for Hungry house to scan its internal
environment. Internal analysis will help firm in identifying their strength that can be used
by enterprise for improving their performance. This activity assists business unit in
determining their weakness and enable company to frame strategic plan in order to
convert these weaknesses into strength.
4. Assessing external environment-External analysis is the very significant factors that is to
be considered by Hungry House when formulating business plan. The external
environment have great impact on business activities and profitability. These elements
have potential to raise question on the sustainability of firm. The various external factors
that are need to be focussed include political, social, economic, technology and
environmental factors. These activities support business unit in identifying the level of
competition and strategy used by competitors. This enables business unit to frame
effective strategy in order to gain competitive advantage.
5. Defining competitive advantage-determining unique position that Hungry House can
achieve in relation to its competitors.
6. Establishing Smart goals- Before formulating plan it is required by manager to establish
suitable, measurable, achievable and realistic target that are to be achieved by
implementation of plan.
7. Determining Tactics-Various tactics are required to be considered in order to conduct
formulation and implementation process in effective and systematic manner. When
determining the tactics Strategic leader in Hungry House should ensure that the actions or
plans are closer to the way of achieving organisational goals and objectives (Kernbach,
Eppler and Bresciani, 2015)
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1.3 Effectiveness of various method used when formulating effective plan
There are various techniques such as Swot analysis, Pestle analysis and BCG matrix has
been used to formulate plan. Effectiveness of these techniques are:
Swot analysis- Swot analysis is the effective tool in order to evaluate situation. It is the
straightforward method that is Used by Hungry house and has helped the company in analysing
their internal strength and weaknesses. It has provided business unit an opportunity to take
accurate measures for overcoming their weakness and supported business unit in maintaining
their strength. The swot analysis tool has assisted the enterprise in making effective use of their
strength in gaining competitive advantage. It has enabled corporation to determine its potential
in order to deal with favourable and unfavourable situations. The swot analysis method aid
enterprise in identifying whether following environmental factors will support organisation in
achieving their objective and goals. It allows business entity to take effective actions to eliminate
the negative impact of internal factors on firm growth and profitability (Amran, Ooi and Devi,
2015.)
PESTLE analysis-It has been proved as cost effective method that has helped Hungry House in
determining the influence of external environmental factors on its business operation. It has
enabled corporation to plan accurate tactics in order to reduce the influence of external factors on
Organisation growth and sustainability. This technique provides enterprise an opportunity to
prepare plan for exploring and capturing external opportunities. It has enabled business unit to
ensure success. This method has encouraged Hungry house to develop strategic thinking in their
business.
BCG matrix-The aim BCG matrix is to develop map in order to assist Hungry house in
identifying the requirement of strategic planning and implementation. It has supported manager
in hungry House to formulate organised strategy that can be used by firm in order to meet
financial demand of organisation. BCG has aid the business unit in increasing their efficiency
and imp[roving performance through effective formulation of strategy. BCG matrix has proved
that it is effective planning tool that can be used by business unit for strategic development
(Staake, Thiesse and Fleisch, 2012)
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TASK 2
2.1 VW AG Organisational Audit
Volkswagen AG is German automotive manufacturing organisation that has its
Headquarter in Germany. It is well known Brand. The company is known for designing
manufacturing and distributing passenger and commercial vehicles. The enterprise is recognised
as worlds the largest auto maker on the basis on sales. The business entity have the largest
market share in Europe. The Volkswagen has been ranked as second biggest Auto-maker in the
world on the basis of production.
Swot analysis of Volkswagen AG
Strength:The strength of the company is that its
uses quality material for manufacturing
vehicles.
Advances technology used by enterprise for
developing innovative features in vehicles.
The Volkswagen have focus on producing
environmental and cost effective cars.
It has good brand image in the market.
The organisation high market share.
Business entity was able to build brand image
due to Quality of its product.
The enterprise main strength lies in its
diversification strategy
The other strength Of Volkswagen is that it
believes in developing combination of brands.
Weaknesses
Ineffective marketing strategy.
The Highest recall rate in US market.
The company has low market share and growth
in Us market.
Very little expertise in the industry and it is
unable to manufacture battery drive cars that
are being demanded mostly by consumers in
the market.
Opportunity :The enterprise has the potential to
enhance their skills and employee experts.
Company has the opportunity to develop their
focus on improving sustainability in Us
market.
As the organisation has good brand image in
local market. It can use this as advantage for en
Threats
Increase in stiff competition.
Influence of economic and legal factors.
Economic factors include financial crisis in the
country, inflation, economic recession etc.
Legal factors include government regulations.

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trying new market.
Increasing in demand of autonomous vehicles
has provided firm an opportunity to increase its
profit margin.
Weakening Euro Exchange rate has provided
financial benefit to enterprise.
Bargaining power of customers.
2.2 Environmental audit
It is very essential for Volkswagen to conduct environmental analysis in order to
maintain its sustainability and performance in the market. This activity will help firm in
determining the influence and impact of various factors on its business operation. This technique
Wil provide Volkswagen to identify its competitor strategy and aid business entity in gaining
competitive advantage (Pestle analysis, 2017.) The various environmental factor are:
Political Factors:The various political constituents include government rules and regulation,
policies related to business. These factors may have great influence and effect on Volkswagen
success and growth as the company is operating in international market. These factors may have
effect on day to day business activities. The enterprise is required to comply with all code of
conducts of host country in order to eliminate negative impact of these factors on its business
operation.
Economic factors-These factors have both positive and negative influence and effect on
Profitability and revenue generation capacity of business unit. Decrease in exchange rate in Us
has created transactional benefit for Volkswagen. The negative effect of this factor is that
increase in prices of product may lead to decrease in demand for firm goods. Economic stability
of business unit is highly influenced by economic condition of the country.
Social factors-The social factors include taste, preference of people, population, trend , culture,
value, belief etc. These elements have great influence on the production process of business. This
element may hinders the production activity in firm. It is very essential for Volkswagen to
develop product according to the preference and demand of customer. This will help business
entity in enhancing their brand image and developing healthy relationship with their client.
Environmental factor- These factors include various measures taken by government in order to
prevent environmental pollution that is being caused by industries. These factor can create legal
obligation on organisation.
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Technological factors-These factors have great influence on the quality of product. Adoption of
advance Technology buy Volkswagen can assist business unit in increasing their efficiency and
productivity.
Legal factors- These have great impact on the firm sustainability, profitability and growth
(Houdet, Trommetter and Weber, 2012.)
Illustration 1: PESTLE Analysis
Source:(Pestle analysis 2017)
2.3 Importance of stakeholder analysis when formulating strategy
Stakeholder plays significant role in formulation of strategy. Both internal and external
stakeholders have great influence on strategical development process.
Marketing strategies-When the marketing strategies is to be developed by enterprise it is
required by firm to have focus on customer who are the external stakeholders. It assists business
unit assist business entity in analysing the need and requirement of customers. It enables firm to
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increase its profitability and growth by fulfilling the demand of customers. Product development
and promotional strategy development is mainly influenced by these stakeholders.
Motivating employees-The analysing the needs of employees assist Volkswagen in providing
satisfaction to their members and help company in maintaining their performance. It allows
manager to support employees to improve their performance and increase their contribution in
achieving organisational goals and objectives. It aids business entity in ensuring fair practices in
order to fulfil legal obligations. This tools aid manger in seeking various suggestion from
stakeholder in order to maintain favourable working environment.
Forming partnership-stakeholders analysis assist Volkswagen in forming such partnership that
support firm in obtaining more benefits and help organisation in increasing profitability. It
enables business entity to strengthen their inventory and distribution system. Stakeholder
analysis provide corporation an opportunity to maintain healthy and long-term relationship with
their partners and to gain advantage using their strength as well as resources.
Identifying important ant stakeholders-Stakeholder analysis techniques help business unit in
determining those stakeholders who have great power to influence strategic formulation process.
It also supports enterprise in analysing the impact of various stakeholders on strategical
development process.

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Formulation of effective strategy-This method enable strategic leader to make effective
strategy in order to gain support from various stakeholders (Jaber and et.al., 2015)
2.4 New strategy for Volkswagen
There has been great rise in competition in Automotive industry and Volkswagen
company is using its old strategies this may have great impact on its performance and
competitive strength. It is required by organisation to adopt various new strategies in order to
gain competitive advantage. The business entity is required to restructure itself in order to face
competition. The trade, transport and other sector in automotive industries has contributed a lot
in economic development. The Volkswagen enterprise is still focusing on same car segment that
is its core business activity. It is required by firm to expand its core business in other segment as
well. The organisation is required to have focus on developing new and innovative product. It
has an opportunity to develop battery operated vehicles that are being demanded by customers in
the market. The business unit can adopt product development strategy in order to create effective
Illustration 2: Stakeholder Analysis
Source:(Importance-Influence Matrix in stakeholder Analysis, 2017)
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and attractive products. This strategy will assist corporation in attracting more number of
consumer and increasing their profitability. It is essential for enterprise to adopt modular strategy
that will aid industry in its production process (Grünig and Kühn, 2015.)
The Volkswagen is needed to create corporate strategy that will assist organisation in
generating revenue. It will aid business unit in focussing on achieving good position in the
market (Shi, 2016)
TASK 3
3.1 The appropriateness of alternative strategies in context of market entry, substantive growth,
limited growth
Market entry strategy
Organic Growth:Using organic growth strategy Volkswagen can achieve equal development over
its own business unit. This strategy eliminates the profit that is gained by other organisations as
in case of amalgamation or acquisition. In this strategy the benefit is being gained by enterprise
only.
Merger:Merger refers to the process in which two firm joined together and form legal entity by
way of consolidation.
Strategic Alliance:This is defined as the procedure in which two or more business unit that has
same objective share their resources, ideas, strategy in order to achieve those common purpose.
This strategy is firm used by Volkswagen company at the time of entering into international
market.
Acquisition:In this process one company is being acquired by other enterprise.
Licensing:In this process the mother enterprise give authority to other organisation to use its
trademark and deal the merchandise for particular period.
Substantive growth
Horizontal integration: The horizontal integration helps business unit in achieving economies of
scale, increasing its scope and market share, minimising cost of production and reducing
competition.
Vertical integration:It supports firm in increasing its competitive strength, enhancing supply
chain coordination and decreasing cost of production. This can assist Volkswagen for achieving
their cost reduction objective and enable them to increase their profit margin.
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Related diversification:It assists business unit in gaining additional competitive strength. This
allow firm to secure its fund and provides support in expanding their core business activity.
Unrelated diversification:It provides opportunity to organisation to have control on its cash
flow.
Limited growth
Market Penetration:This concept help business unit in reducing the competition by providing
benefit to customers. This approach enables firm to increase it sales.
Market development:It can assist Volkswagen in maintaining their marker share and
performance in the market by supplementing new part of enterprise.
Product development-It provides business entity an opportunity to attract more number of
customers.
Innovation:It aids Volkswagen in maintaining their market presence and enable them to enhance
their brand image.
Retrenchment- this approach is being used by enterprise to slash prices with the purpose of
increasing their contribution towards economic development (Gonzalez-Padron, Hult and Ferrell,
2015)
3.2 Justification of selection of strategy
It has been evaluated from various analysis that Volkswagen is performing better as
compared to before. It has been identified that Volkswagen is required to have more focus on
designing various strategies and they need to be ensure about decisions. The company can
formulate strategy related to strategic alliance as this will help Volkswagen in gaining
competitive advantage in international market. It will allow firm to reduce their effect of various
environmental factors on its business operations. This will enable the enterprise to fulfil their
needs of various resources in order to achieve goals and objectives. This approach provides
business entity an opportunity to develop innovative ideas for solving various problems in
business. The Volkswagen can use this method for expanding its business in other countries as
well (Mitchell and et.al., 2016.)
Vertical integration can be used by firm for substantive growth. This method will assist
Volkswagen in fulfilling their objective of cost reduction. It will provide organisation an
opportunity to increase its profit margin and foster growth process.

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Product development method can be used by business entity as limited growth strategy.
This approach will assist business unit in attracting more number of customer and retaining long
term relationship with their exciting client. Market development tool can be used by company in
order to increase its market share and enhance growth (Baird and Baird,2017. )
The justified reason for using above strategy is that this plan will allow Volkswagen to
enhance its growth and ensure success. This approach will enable organisation to expands its
business activities and increase their market share in global market
TASK 4
4.1 Roles and responsibilities of strategic leader in business plan implementation process
Envisioning future strategy, orienting business unit to deliver plan, incorporating change
are the three basics role that are associated with strategic implementation process.
Envisioning future strategy:The role of strategic leader and employees is to communicate plan to
other stakeholders. The function of strategic leader includes motivating other stakeholders to
increase their contribution in implementing plan and achieving positive outcomes. Their
responsibility includes ensuring the active participation from all members of organisation and
eliminating the negative impact of powerful stakeholder. The role of Human resource manger is
to identify the important stakeholders whose contribution can provides various benefit in
implementation. The responsibility of personnel manager is to define the role and responsibility
of individual in strategic implementation process. The role of employees is to arrange and
allocate various resources that are required for conducting particular activities. The role and
responsibility of external stakeholders such as investors and suppliers are responsible for
providing various resources that are demanded by firm during implementation of particular plan
(Bjerke and Renger, 2017)
Orienting business to deliver change-This role of strategic leader includes ensuring that
every stakeholder associated with company are being committed to strategy and seek that
expectation of various stakeholders are being fulfilled by strategic implementation process. The
top level management and strategic leader are responsible for results that are being achieved by
implementation of particular plan. Role of Strategic leader and human resource manger is to
provide support to employees and assisting them in adjusting in new environment. Top level
management and strategic leader are responsible for delivering change in organisation.
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Both internal and external stakeholders are responsible for implementing strategy. They
play significant role in the process. But mainly the strategic leader are responsible for managing
and controlling strategic implementation activity.(ohnson, 2017)
4.2 Analysing the approximate resource requirement in strategic implementation
There are various types of resources required company for facilitating implementation
process. These resources are:
Physical resources: The physical resources include technology, machinery, finance, marketing
tools etc. that are required for implementing strategy.
Human resource:Human resource plays significant role in strategic implementation
process,.Without these resources strategic implementation process would not be possible. This
resource provide firm an opportunity to develop various innovative ideas in order to solves
various issues that are being faced by organisation in implementing plan. They provide various
methods, tools and technique which can be used by business unit in effective and successful
carrying into action plan. These resources can be used by business entity in motivating
employees to increase their contribution in successful execution of tactics.
Financial resources:These are the resources required by enterprise in order to purchase physical
as well as other resources for execution of plan. It enables company to gain positive outcome
(Kavanagh and Johnson eds,. 2017.)
4.3 Measuring the contribution of Smart target to the achievement of strategic implementation
Developing a SMART target has helped Volkswagen in accomplishing their mission and
vision. It has supported company in gaining competitive advantage in global environment.
SMART target includes suitable, measurable, achievable, and realistic target during specific
period.
By establishing target has assisted the firm in increasing their market share, enhancing
profitability and ensuring success. The Volkswagen has set its target to increase its 2 percent
market share within six months and it has been successful for achieving target.
Measurable target:The company has set measurable target that it will take initiatives to increase
it sales by 5 percent within six months. This has enabled business unit to compare their
performance according to previous year and has helped organisation in identifying area of
improvement.
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Acceptable target-It states that if strategy is formulated then it should generate effective results.
It assists enterprise in measuring real output with standard results.
Real target- It has been analysed that Volkswagen was able to establish and accomplish target
(Montgomery, 2017.)
CONCLUSION
It has been concluded by report that successful and effective strategic planning and
implementation assist organisation in achieving their objectives and goals in systematic manner.
It has also been proved that strategic leader and top level management in enterprise are
responsible for strategic implementation.
The various strategies have been suggested by study which can be used By Volkswagen
for enhancing its growth and expansion of its core business activities. The project has
recommended Volkswagen and hungry house to establish smart target that will assist them IN
effectively accomplishing their goals and improving their performance in market.
REFERENCES
Books and Journal:
Leitner, J., Meissner, H. and Martyna-David, E., 2015. The Debate About Political Risk: How
Corruption, Favoritism and Institutional Ambiguity Shape Business Strategies in Ukraine.
In EU Crisis and the Role of the Periphery. Springer International Publishing. pp. 3-19.
Kernbach, S., Eppler, M.J. and Bresciani, S., 2015. The Use of Visualization in the
Communication of Business Strategies An Experimental Evaluation. International Journal
of Business Communication. 52(2). pp.164-187.
Amran, A., Ooi, S.K. and Devi, S.S., 2015. The Impact of Business Strategies on Online
Sustainability Disclosures. Business Strategy and the Environment. 24(6). pp.551-564.

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Staake, T., Thiesse, F. and Fleisch, E., 2012. Business strategies in the counterfeit market.
Journal of Business Research. 65(5). pp.658-665.
Houdet, J., Trommetter, M. and Weber, J., 2012. Understanding changes in business strategies
regarding biodiversity and ecosystem services. Ecological Economics. 73. pp.37-46.
Jaber, J.O. and et.al., 2015. Employment of renewable energy in Jordan: Current status, SWOT
and problem analysis. Renewable and Sustainable Energy Reviews.49. pp.490-499.
Shi, X., 2016. The future of ASEAN energy mix: A SWOT analysis. Renewable and Sustainable
Energy Reviews. 53. pp.672-680.
Grünig, R. and Kühn, R., 2015. Strategy Planning Process. In The Strategy Planning Process.
Springer Berlin Heidelberg.
Gonzalez-Padron, T. L., Hult, G. T. M. and Ferrell, O. C., 2016. A Stakeholder Marketing
Approach to Sustainable Business. Marketing in and for a Sustainable Society (Review of
Marketing Research, Volume 13) Emerald Group Publishing Limited. 13. pp.61-101.
Mitchell, R. K. and et.al., 2016. Stakeholder agency and social welfare: Pluralism and decision
making in the multi-objective corporation. Academy of Management Review. 41(2).
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Baird K. and Baird K. 2017. The effectiveness of strategic performance measurement
systems. International Journal of Productivity and Performance Management 66(1), pp.3-
Bjerke M. B. and Renger R. 2017. Being smart about writing SMART objectives. Evaluation
and program planning 61 pp.125-127.
Johnson G. 2017. Exploring strategy: text and cases. Pearson.Knowledge management as a
factor for the formulation and implementation of organization strategy. Journal of
Knowledge Management 21(2) pp.308-329.
Kavanagh M. J. and Johnson R. D. eds. 2017. Human resource information systems: Basics
applications and future directions. Sage Publications.
Montgomery D. C. 2017. Design and analysis of experiments. John Wiley & Sons.
Online
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Pestle analysis, 2017.[Online].Available
through:<http://blog.oxfordcollegeofmarketing.com/2016/06/30/pestel-analysis/>.[Accessed on
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Importance-Influence Matrix in stakeholder Analysis, 2017 [Online].Available
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