Business Strategy

This document discusses the different strategies adopted by Mamor Magda, a successful ice-cream venture, to meet customer needs and demands. It explores differentiation strategy, cost leadership strategy, and focus strategy. Additionally, it suggests three strategies Mamor Magda could adopt for expanding their business in Australia, including joint venture as a market entry strategy, Porter's value chain strategy, and leadership strategy.

Running head: BUSINESS STRATEGY
Business Strategy
Name of the Student
Name of the University
Author’s Note

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Table of Contents
1. Introduction:................................................................................................................................2
2. Compare and Contrast the following strategy adopted by Mamor Magda:.................................2
3. Discuss three strategies that Mamor Magda could adopt for expanding their business in
Australia:..........................................................................................................................................4
4. Conclusion...................................................................................................................................5
Reference List:.................................................................................................................................7

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1. Introduction:
Behind running the entire process of business in market with sustainability, the
organizational experts have to focus on implementing suitable strategies. Business strategy is the
working plan of an organization in order to achieve its goals and objectives so that success can
be achieved. In this very specific study, an in-depth case study is conducted on how Momor
Magda has earned immense business image and reputation as an ice-cream venture. As per the
given case scenario it has been observed that Momor Magda has primarily used three major
strategies within business in order to meet the customers’ needs and demands.
2. Compare and Contrast the following strategy adopted by Mamor Magda:
Differentiation strategy:
Differentiation strategy is one of the most significant marketing strategies which helps
the business experts in differentiating their brands and products from its major competitors. In
implementing this very specific strategy, the business experts have rendered several innovations
within the business process (Serra and Kunc 2015). The innovations imply product level
differentiation, price differentiation and differentiation on promotion. As per business policies,
the organizational experts tend to focus on providing superior quality of products to the
customers. At the same time, Momor Magda has decided to make their price range affordable to
those people who belong to average cost of customers. On the other hand, by implementing
differentiation strategy Momor Magda has focused on rendering innovation on their promotional
techniques as well. Angela has requested the friend circle to implement social media promotions

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within business (Amran, Mydin and Devi 2015). Social media campaign is successfully able to
grab the attention to those people who belong to other geographic backgrounds as well.
Cost leadership strategy:
Cost leadership is a part of effective marketing strategy, which is implemented in gaining
competitive advantages. The management of the company focus to reduce cost while
manufacturing the products so that the business experts can deliver the product in affordable
price range (Brenes, Montoya and Ciravegna 2014). While reducing the operating cost the
business experts intend to sell the products in lower price so that the number of target customers
can be increased and the brand can make an awareness in the market. Momor Magda has gained
immense economic strength based on which the organization has implemented cost leadership
strategy at the workplace and reduces their entire product and operation cost.
Focus strategy:
Focus strategy is another part of marketing strategy where the business experts know the
competency level of the company and focus on particular areas in accordingly. In case of Momor
Magda, the business experts have focused on developing the quality of their products. Effective
product quality helps the business experts in gaining customers attention (Kinyuira 2014). Due to
the low work force strength, Momor Magda is not able to focus on service methods properly.
The notion behind focus strategy is increasing marketing and selling products as well as services
in order to a niche market that is a particular type of consumer and a specific product line or a
specific targeted geographical area.
Comparative analysis among three strategies:

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These three strategies of Porter’s generic sources are inseparably related to each other. In
order to render a differentiation on their products and services the business experts of Mamor
Magda would have to implement cost leadership strategy. It has been observed that while
reducing the operating cost the business experts intend to sell the products in lower price so that
the number of target customers can be increased and the brand can make awareness in the market
(Banker, Mashruwala and Tripathy 2014). However, in promoting business in the international
market the organizational experts would have to focus on products or services so that it can
create a demand in the niche market.
3. Discuss three strategies that Mamor Magda could adopt for expanding their business in
Australia:
The three strategies that Mamor Magda has implemented within business is completely
related to marketing and business development purpose. Apart from business development
strategy, the organizational experts have to focus on implementing several strategies and policies
that are related to external strategies as well as supply chain strategies (Merchant 2014). The
three most important strategies that Mamor Magda can implement within business are as
follows:
Joint venture as a market entry strategy:
In order to expand entire business in other geographic region of Australia, Mamor Magda
could have grabbed an effective market entry strategy. Joint venture can be considered as one of
the most suitable market entry strategies, with the help of which the organization can tie up their
venture with established and already existing company (Arasa and Gathinji 2014). As a result,
Angela would be able to use the internal resources of that established company and enhance the

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number of target customers. Automatically, the business experts would not have to face a major
threat in running their business in the new growing market.
Porters’ value chain strategy:
In order to expand the business in different geographic regions of Australia the business
experts of Mamor Magda have focused on implementing systematic inbound and outbound
system. After manufacturing ice cream, the business experts store the materials in a particular
warehouse (Parnell, Long and Lester 2015). Sufficient number of workforces is recruited for
maintaining and scanning the products before delivering it towards proper destination (Panwar et
al. 2016). If the Angela fails to implement inbound and outbound strategy effectively, the service
providers can never make a systematic balance between supply and demands. Therefore, in order
to maintain customer satisfaction level the business experts would have to focus on
implementing effective supply chain strategy and policy.
Leadership strategy:
Mamor Magda could have developed their effective leadership strategy as well with the
help of which employees after being associated with the operations get motivations in
performing well. Momor Magda needs to implement participative leadership strategy that
enables the business leaders in giving priority to the decision of employees (Akingbade 2014).
Employees can get enough exposure in showing their own point of view regarding the success of
business. As a result, entire business process is operated systematically.

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4. Conclusion
After evaluating the entire study, it can be concluded that Momor Magda has primarily
used three major strategies within business in order to meet the customers’ needs and demands.
The innovations imply product level differentiation, price differentiation and differentiation on
promotion. As per business policies, the organizational experts tend to focus on providing
superior quality of products to the customers. Social media campaign is successfully able to grab
the attention to those people who belong to other geographic backgrounds as well. While
reducing the operating cost the business experts intend to sell the products in lower price so that
the number of target customers can be increased and the brand can make an awareness in the
market.
In addition, due to the low work force strength, Momor Magda is not able to focus on
service methods properly. The notion behind focus strategy is increasing marketing and selling
products as well as services in order to a niche market that is a particular type of consumer and a
specific product line or a specific targeted geographical area. It has been however analyzed that
joint venture can be considered as one of the most suitable market entry strategies, with the help
of which the organization can tie up their venture with established and already existing company.

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Reference List:
Akingbade, W.A., 2014. Competitive strategies and improved performance of selected Nigeria
telecommunication companies. Entrepreneurship and Performance of Firms, 10(4), pp.143-167.
Amran, A., Ooi, S.K., Mydin, R.T. and Devi, S.S., 2015. The impact of business strategies on
online sustainability disclosures. Business Strategy and the Environment, 24(6), pp.551-564.
Arasa, R. and Gathinji, L., 2014. The relationship between competitive strategies and firm
performance: A case of mobile telecommunication companies in Kenya. International Journal of
Economics, Commerce and Management, 2(9), pp.1-15.
Banker, R., Mashruwala, R. and Tripathy, A., 2014. Does a differentiation strategy lead to more
sustainable financial performance than a cost leadership strategy?. Management Decision, 52(5),
pp.872-896.
Brenes, E.R., Montoya, D. and Ciravegna, L., 2014. Differentiation strategies in emerging
markets: The case of Latin American agribusinesses. Journal of Business Research, 67(5),
pp.847-855.
Kinyuira, D., 2014. Effects of Porter’s Generic competitive strategies on the performance of
Savings and Credit Cooperatives (Saccos) in Murang’a County, Kenya. IOSR Journal of
Business and Management, 16(6).
Merchant, H., 2014. Configurations of governance structure, generic strategy, and firm size:
opening the black box of value creation in international joint ventures. Global Strategy
Journal, 4(4), pp.292-309.

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Panwar, R., Nybakk, E., Hansen, E. and Pinkse, J., 2016. The effect of small firms' competitive
strategies on their community and environmental engagement. Journal of Cleaner
Production, 129, pp.578-585.
Parnell, J.A., Long, Z. and Lester, D., 2015. Competitive strategy, capabilities and uncertainty in
small and medium sized enterprises (SMEs) in China and the United States. Management
Decision, 53(2), pp.402-431.
Serra, C.E.M. and Kunc, M., 2015. Benefits realisation management and its influence on project
success and on the execution of business strategies. International Journal of Project
Management, 33(1), pp.53-66.