Comparative Analysis of Business Strategies

The given document is a comparative analysis of different business strategies, focusing on stakeholder theory, corporate social performance, and the influence of global cities on multinational enterprises. It covers topics such as business ethics, executive compensation, and firm performance, providing a thorough understanding of these concepts in the context of international business and entrepreneurship.

BUSINESS
STRATEGY

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Description on the PESTLE analysis of GIFF-GAFF. .........................................................1
2. Ansoff's growth vector matrix to analyse the strategic positioning........................................2
TASK 2 ...........................................................................................................................................5
1. Description on the strategic capabilities of the firm...............................................................5
2. Description on the Vrio model to determine the strategic capabilities of the GIFF-GAFF....5
Opportunities and challenges of GIFF-Gaff. .............................................................................6
TASK 3 ...........................................................................................................................................7
Description on the porters five forces on the mobile Tele communication company. ...............7
TASK 4 ...........................................................................................................................................8
Description on the bowman strategic clock model. ..................................................................8
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
Business strategy means deciding the plan of act with the help of which the activities of
the firm can be run in effective and efficient mode. The impressive planning the organisation
can generate the large amount of revenue. By focussing over the suitable strategy the firm will
adopt the better planning which will assist the growth in activities of the firm. This is set out in
order to achieve the desire result of the business enterprise. The present assignment will outline
the activities of the GIFF-GAF. This is the Tele communication company which is providing the
mobile network service. The main objective of the firm is to provide satisfactory service to the
client (Amato and et.al., 2017). It is the largest mobile network service provider. The main
objective of the business activities is to process the function of business in the expertise mode.
This is one of the effective services which are helpful to grow the activities of the firm so that
organisation can process its function effectively.
TASK 1
P1 Description on the PESTLE analysis of GIFF-GAFF.
These are one of the effective tools in relation to analysing the environment of the business. It is
assistive in order to operate its business function in the effective and efficient manner. In this the
business activities can be defined in the following manner as are-
1. Political factor- The political factor largely impact over the activities of the firm in the
large mode. This company is having law barriers in relation to market entry. There is
skilled government who are taking various initiatives in order to generate higher revenue
in market (Blondiaux and et.al., 2017). In this manner it can be true to said that the
political factor of the firm is impacting the working of the enterprise in the ample mode.
The political factors are very favourable of this firm. For example- Political factors
brings changes in regulations and lack of political stability effects over the operation of
firms. The various factors like government spending etc. affects the economic conditions.
2. Economical- The interest rates, inflation and taxes rates can affects the working of the
enterprise in the large way. The expenses of the firm can impact the working of the
enterprise in the high manner. The growth of firm is firm dependent on the market and
technological advancement (Burke, 2017). In order to make this process effective they
need to social media pages, advertisement on sites and digital marketing campaigns so
that they are able to ambit large number of customers. For example- the increment in
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global development and worldwide increment in GDP shows that target market of the
firm is gradually growing. Global development works as to rise in labour and material
cost.
3. Social factor- Telecommunication Horizontal growth is limited It is not possible to
expand the activities of business in the rural areas. The government of the UK is putting
harsh impact in relation to encouraging the FDI(foreign direct investment) in the country
by providing tax benefits. The needs of the customer are need to be understood so that
profitability graph of the country can be expanded (Gordon, 2017). In order to have
growth in market it is very essential to understand needs and expectation of customers so
that the market can perform its activities in expertise mode.
For example- The growth of mobile Telecommunication is Horizontal. It is typical to expand in
rural region. The Vodafone is not taking any initiatives in order to develop their firm activities in
the rural areas.
4. Technology factor- The technology plays the essential role in relation to have ultimate
growth in market. This is one of the core part in order to perform the activities of
business in expertise mode. The technology plays the crucial role in relation to attract the
customer in the market.
5. Legal- The legal compliances of the firm is need to be followed in order to determine the
strategic position of the firm. With the help of this the firm can build its image in the eyes
of the customer (Gray, Smart and Bennett, 2017). With the help of this the firm is able to
earn the large amount of revenue in the market. The laws are need to be complied so that
the activities of the firm can be run in the market in effective manner.
6. Environmental- The activities of the enterprise is need to be get compiled with the all
kind of environmental factors. With the help of this the business enterprise can perform
its activities well manner. By analysing the environmental need to the enterprise the firm
is able to sustain in the market for longer period.
Thus, it can be said that external forces largely affects the working of an enterprise in large
manner. In order to make the growth of entity in smooth manner. GIFF-GAFF need to focus over
those factors which largely impact over the functioning of an enterprise.
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2. Ansoff's growth vector matrix to analyse the strategic positioning.
The Ansoff's growth matrix used to have growth in the firm. This is need to be taken in
manner to determine the profitability and productivity of the enterprise. This is also known as the
Ansoff's product market growth (Blackburn, Hart and Wainwright, 2013). Under these there are
four ways given which is helpful to have the growth in business enterprise. The Giff-Gaff is the
Mobile telecommunication company it is working as providing the largest mobile network to the
individuals in market. This is defined in the following manner as are-
Ansoff's growth strategy Matrix- Market penetration- This is the strategy which derives the
growth opportunities of the business (Goerzen, Asmussen and Nielsen, 2014). With the help of
these the firm will find the exact situation in which he is capable to dealing with the activities of
business enterprise. With the help of this the focus cam be given on selling of the existing
products in the market in following manner as are-
1. The major focus is need to be given on the existing customer in the market.
2. Customers are need to be similar from existing customers who are working in relation to
buying the products from competitors.
In this the market share of the firm is need to be increased with the help of various marketing
promotional activities, more effective marketing and having more strength about the product.
This all are very helpful in relation to raise the customer value in enterprise. Vodafone uses the
market penetration strategy with its effective tactics of marketing in order to have increment in
market share with the help of using existing product in existing market. Under the market
penetration method the firm works as to use Ansoff's growth matrix in order to use the existing
resources and capabilities (Harrison and Wicks, 2013). The mobile telecommunication is taking
various initiative in order to bring the modification in the product and services of the firm. This
will be helpful to enhancing the value of the customer in the market.
There are various downsides of the Market penetration strategies as are-
1. With the help of high market share, the growth opportunities for the firm will be limited.
2. The aggressive market penetration strategy will be helpful in relation to have increment
in the competitive rivalries in the industry. It can badly damage the profitability of the
industry. In order to have increment in the market share the entity need to drive out the
competition from the market (Madrigal, Jiang and Roy‐Chowdhuri, 2017).
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3. With the help of increment in the exposure to the product market segments the firm is
able to deal with the situation so that growth in the business can be possible.
The Ansoffs Growth matrix- product development- This stage the firm need to put the major
focus over the need and expectation of the customer current market. Under this kind of strategy
Vodafone works as to bring development in the products and to launch in existing markets. With
the help of understanding the underlying the need of the consumer in the market they are able to
undertake the business activities in the effective mode. Under these the various activities is need
to be covered such as are-
 To take various initiative to renew the existent products with something better and new.
 In order to provide additive product to the customers they customer need to buy before,
during or after the purchase (Mansi and et.al., 2017).
Hence, it can be said that the product development is one of the suitable strategy and it is helpful
in relation to have wide range of modification in the goods and services in the market. This is
very assistive in order to bringing development in the type of the product the firm is able to sell
the products in the market with the new approach. This is one of the effective tool in order to
attract the large number of the customer in the market. The Giff-gaff mobile telecommunication
company is taking various initiatives to develop the product as per the needs and demand of the
customer in the market.
Ansoff's growth strategy- Market development- This is the third steps which will be helpful to
take those products which will be helpful to find the new market (Wollenberg, 2017). It seeks
newer market by using existing products. By selecting the proper market the business enterprise
is bale to make the large amount of profitability in the market. There are various kinds of the
ways to do these things as are-
With the help of offering discounted facility to the customer so that they are able to enhancing
the sale of the firm.
 In the new market and distribution channel or by making the product available on the
internet, search engine optimisation and various other things are helpful to have the
increment in the market share of the firm.
 By entering new geographic markets or to take initiative in order to move from one local
regional to the national and finally internation (Wutzler, Weissbach and Springer, 2017).
This all kind of the activities are helpful in order rot have increment in the size of the
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market in the large manner. This can be done with the help of providing the largest
mobile network service to the customer in the market.
The strength of the Ansoff's growth matrix is that there is need to put the pressure on the
marketing and sale function of the business enterprise. In order to capture newer market
Vodafone management uses differed kind of tactics in order to have enhancement in market
share of firms. With the help of this the expansion in the activities of the business can be
possible so that growth can be determine in the effective manner.
Ansoffs growth matrix- diversification- The term diversification can be derived as taking of
the new product to the customers. The diversification process is defined in the three level of the
process as are-
1. Diversification into related markets- under this approach both the customers and
products in the market are new. With the help of this kind of feature the business
organization can able to earn the large amount of the profitability in the market.
2. The process of diversification is referred to unrelated market using of the resources and
capabilities. In this the customer are having the differed role as per the needs of the
customer. With the help of these they are able to buy the products in the market
(Madrigal, Jiang and Roy‐Chowdhuri, 2017).
Hence, it can be said that the Ansoff's growth matrix is very helpful devise to determine the
profitability and productivity. With the help of these kinds of the tool the business can process its
activities in the fastest and effective manner. This is one of the effective approach to enhancing
the sales of the firm.
For example- Mobile enterprise may diversify their business activities by adding those features
which will be helpful to bring modification in enterprise. In addition to this, expansion is need to
be taken in market, which will be helpful to enhancing firms profitably.
TASK 2
1. Description on the strategic capabilities of the firm.
The term strategic capabilities means the ability to successfully employing the
competitive strategies which is very helpful to survive in the market for the longer period. With
the help of this the firm is also able to have enhancement in customer value. It works as to give
major consideration over the organizations assets, resources, market positions so that the firm
will be helpful in growing the profitability scale of the firm. In organisation there are various
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parties of the person who keeps their eyes on this kind of the things in order to determine the
exact position of the firm. The Giff-Gaff mobile telecommunication company can also determine
the strategic capabilities by understanding the nee of the customer in the market.
There are various kinds of the element which is helpful to contribute to a business strategic
capability (Madrigal, Jiang and Roy‐Chowdhuri, 2017). The various assets such as are cash,
property and all other things which is helpful for undergoing the function of the business in the
effective and efficient manner. In this the process of making the evaluation in the strategic
capabilities of the firm can be known as the strategic value analysis. This kind of the process is
largely relayed on the factors like annual reports, public survey and market trends which will be
helpful to ensure to get the success in the market. The Giff-Gaff is the mobile telecommunication
company is taking various steps to determine the large amount of profitability in the market by
underlying the assets of the business enterprise. In this manner it can be true of said that strategic
capabilities means the ability to successfully employing the competitive strategies which is very
helpful to survive in the market for the longer period. With the help of this the firm is also able to
have enhancement in customer value. As businesses change and acquire additional resources,
analysts must continually perform new strategic value analyses.
2. Description on the Vrio model to determine the strategic capabilities of the GIFF-GAFF.
The vrio chain analysis is helpful in relation to determine the strategic capabilities of the
firm. This is need to be done in order to identify the resources of the business enterprise. With
the help of this the firm is able to undertake the activities of the enterprise. There are various
kinds of resources such as are processes, capabilities, assets, attributes etc. The GIFF-GAFF is
the mobile Tele communication company which is taking various initiative in order to determine
the process of the firm like on the basis of following components as are- value, rareness,
limitability and non- substitutable. With the help of the VRIO analysis there can be grater
evaluation in the company resources so that the strategic position of the company can be
determined in the significant manner.
 Value- Under this these resources are to be covered which will helpful to bring the
competitive advantage in the market (Buckley and et.al., 2016). This is helpful in order to
determine the customer significant so that firm is able to earn the larger amount of
profitability in the market.
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 Rareness- The resources which are available to competitors are having no significant in
competitive advantage in the market. With the help of this the firm can able to perform its
activities in the effective manner. This is need to be done in order to find out the internal
capabilities of the business enterprise. This is need to be done in order to find out the
strategic position. In this the firm need to take the initiative steps in order to bring the
modification in the products of the firm so that they are able to compete to the rivalries in
the market. With the help of this kind of the activities the business enterprise is able to
earn the large amount of the profitability as well productivity.
 Imitability- This is the kind of ideal resources which is need to be obtained by
competing the business activities in the market for longer period. By brining modification
in the services, the firm can able to do the things in the effective and efficient manner
(Chen and Jermias, 2014).
 Non-substitutable- The ideal resource of the firm cannot be substituted by any other
product in the market. In this the firm need to undertake the various activities which will
be helpful to undergoing the activities market in the efficient manner.
Opportunities and challenges of Giff-Gaff.
SWOT ANALYSIS:
A SWOT analysis about Giff-Gaff mobile telecommunication is most necessary part for
the organisation in order to know about to their internal and external environment of the
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comp[any effectively. Moreover, this swot describe about to the strength and weakness relating
to quality of telecommunication services of the organisation in the industry effectively. The
analysis also refer to external environment of the company which make impact on the business
performance and its success as well.
Strength:
 The business entity provides quality of telecommunication mobile services to their
customers in effective way which make its image positive in customer mind effectively
(Chen and Jermias, 2014).
 The company has respected brand image in the market which assist the firm to increase
its brand equity and sales effectively as well.
 They have potential resources of telecommunication system resources at the workplace
by which the company could furnish proper mobile connectivity services sufficiently in
the business.
 Giff-Gaff organisation may have food records of phones and mobiles quality and
products and they furnish appropriate services according to customer demand.
Weakness:
 The business entity is losing success in specific areas because of its competitors are
furnishing effective mobile services in that areas in which the company has weak
performance.
 The technology has been changing rapidly and they need to implement innovation n the
business product and services, they have lack innovative technology besides its
competitors.
Opportunities:
 The mobile telecommunication company has wide range of scope to grow in telecom
industry effectively.
 Terotechnological implementation can provides effective productive and profitable
advantage to the company appropriately within the business.
Threats:
 The company is playing leading role in the industry so that its new player entrance in the
industry in one of the most threat of the organisation.
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 Misuse of their mobile telecommunication services is also major threats of Giff-Gaff
organisation in the industry.
TASK 3
P3 Description on the porters five forces on the mobile Tele communication company.
With the help of this the working of the enterprise can be understood in the effective
manner. This is need to be done in the following manner as are-
Bargaining power of consumers- This is helpful in relation to determine the demand of the
customer in the market. With the help of this the firm is able to do its activities in the well and
efficient manner. This is helpful in relation to determining the competitive rivalries in the
market. By knowing the strength of the firm the business enterprise is able to perform its
activities in the market in effective and efficient manner. Manager of Giff-Gaff is taking various
steps in order to revise precise strategies and plan out everything in order to gain high market
share. In this way, they need to give focus over quality and price factors.
Bargaining power of the customer- this is need to be in order to analyze the value of the
customer. The demand of the customer reflects the position of the firm in the market. The
productivity and profitability these both are the factors which intersects each other (Goerzen,
Asmussen and Nielsen, 2014). With the help of this the firm is able to undertake its business
activities in the effective and efficient manner.
Threat of substitution- in mobile telecommunication there are various number of substitute
available in the market. With the help of the undertaking the activities of the business in the
manner which will bring the modification in the product (Gray, Smart and Bennett, 2017). By
bringing innovation the firm is able to undertake the business activities sin the proper manner.
The substitute product can underlying the value of the commodities available in the market. With
the help of understanding the need of the customer the firm can able operate the business
function in the significant manner. Operation of Giff-Gaff need to focus over the issues and the
various precise strategies in order to overcome the challenges.
Threat of new entry- The present market is very competitive to deal with it is essential to
understand the need of the customers. With the help of understanding the competitive rivalries
the firm is able to undertake the business activities effectively. There are number of firms
available in relation to compete with the rivalries of the market it is essential to undergo business
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activities effectively. Giff-Gaff need to put consideration over the core strategies so that this plan
have impact on activities of firms.
Bargaining power of supplier- in order to operate the business activities in the effective manner
it is essential to have the potential customer in the market. With the help of strong position in the
market the function of business enterprise are able to operate its business function in the most
effective and expertise mode. The strong supplier of the firm will work as to impact over the
profitability in the market. There are number of entities like 3, O2, Vodafone, and BT have
already acquired huge market in UK giving stiff competition to Giff-Gaff. They need to put focu
over fostering relationship with the suppliers so that there can be continuity in growth and
development of products.
Competitive rivalries- The Mobile Tele-communication company is having the various firm
who are competitive to it. Under this they need to produce those commodities which will be
helpful to deal with the various network provider in the market as are Vodafone, EE, BT ETC. In
order to have survival in Giff-Gaff, they need to focus over that strategies which will be helpful
to bring growth and development.
TASK 4
P4 Description on the bowman strategic clock model.
This is one of the effective tool which is helpful in order to determine and analyze its
competitive position. It is the kind of diagrammatic presentation which is helpful in order to
determine significant relationship between the customer and prices. Bowman strategy model is
used to define the strategic position in order to analyses the strategic position of the company in
market. Under this model the generic strategies is need to be used which is helpful in relation to
compete with the rival firm in the market so that customer satisfaction can be enhanced
(Goerzen, Asmussen and Nielsen, 2014). It is the clock model which is helpful in order to
explores the option for strategic positioning that is how products should be positioned and it is
helpful in order to provide the most competitive position in market. By providing the good and
service on the effective prices rates they are able to attract the customer in the market. Under
these there are various kind of generic strategies as are-
1. Cost leadership
2. Product differentiation
3. Market segmentation etc.
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To sustain in the competitive environment, the management of GiffGaff needs to focus on
product's differentiation and cost. Thus, it implied that GiffGaff management needs to implement
focused differentiation strategy in order to survive in the competitive environment. Through this,
the management would be able to enhance their productivity and profitability. The Bowman's
strategy model will be used to analyse the strategic position of the market. It will be defined with
the help of following factors as are-
Low price and low value added- It is not belongs to competitive position form business. This
product is not differentiated and customer perceived very little value. With the help of putting
low price to product, they are able to attract customers. GIFF-GAFF is the mobile
telecommunication company and provided its services as network service provider. With the
help of effective pricing the customer will choose this is as best product in market. It is the kind
of bargain basement strategy.
Low price- It is the strategic tool, this is helpful in order to determine cost minimisation and it is
associated with economy of scale. Under this profit margins on each product is very low, high
volume of profit can still generate high amount of profit. Being the low cost leader in the market,
GIFF-GAFF is able to have enhancement in the pricing of product.
Hybrid- It is some kind of element in price and is leads to product differentiation. The main
object is to persuade customers that there is need to be added good value with the combination of
reasonable price and acceptable product differentiation. Thus, it can be said that it is the very
effective positioning strategy.
Differentiation- This term derived as offering the different strategy to customers so that they are
able to offer the highest level of perceived added values. IN this it can be said that branding
plays the essential role in this strategy as quality of product can attract the lot of customer in
market. In this term the high quality product with the strong brand awareness plays the essential
role and it is helpful in relation to gather the attraction of large number of customers in market.
Focused differentiation- This kind of strategy is helpful to position at the highest price levels, in
this the customer buy the product at the perceived value. This kind of the strategy is adopted by
the luxury brands, who aims to achieve premium prices with the help of high targeted
segmentation, promotion and distribution.
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CONCLUSION
Based on the above report it can be concluded that The mobile telecommunication is
taking various initiative in order to bring the modification in the product and services of the firm.
The term strategy is determined as plan of action. Business strategy means deciding the plan of
action with the help of which the activities of the firm can be run in effective and efficient mode.
The impressive planning the organization can generate the large amount of revenue. The main
objective of the business activities is to process the function of business in the expertise mode.
This is one of the effective services which are helpful to grow the activities of the firm so that
organization can process its function effectively. The present assignment will outline the
following activities as are SWOT, VRIO, Strategic capabilities etc. in this manner it can be true
to said that Telecommunication Horizontal growth is limited It is not possible to expand the
activities of business in the rural areas.
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