Pharmaceutical Business Strategy

This assignment examines the relationship between business strategy and operational effectiveness in the pharmaceutical industry. It analyzes how market forces and institutional factors influence strategic decision-making. Students will research case studies and academic literature to understand best practices for integrating business strategy with quality management, FDA compliance, and sustainability initiatives.

BUSINESS
STRATEGY

TABLE OF CONTENTS
INTRODUCTION ..........................................................................................................................1
TASK 1............................................................................................................................................1
1.1 Assess the business mission, vision, goals, objectives and Competitors...............................1
1.2 Factors considered while generating the Strategic plan.........................................................2
TASK 2............................................................................................................................................3
2.1 Determining current strategic positioning of an organization through organizational audit. 3
2.2 Generating an environmental audit of M&S by PESTLE analysis :.....................................5
2.3 Significance of the Stakeholders while formulating a new business strategy ..............5
2.4 Presenting a Strategy as per the Organizational Audit and Stakeholders Analysis .............6
TASK 3............................................................................................................................................6
3.1 Generating alternative strategies ...........................................................................................6
3.2 Analysis the Alternative Strategies and Justify a new Strategy.............................................6
TASK 4............................................................................................................................................7
4.1 Role and responsibility of personnel in implementation of strategy.....................................7
4.2 Resources required for implementation of strategy...............................................................9
4.3 Contribution of SMART targets in achievement of strategy implementation.......................9
CONCLUSION .............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
In business, the purpose of business strategy is to create tomorrow's organization out of
todays. Strategy refers to the actions or the steps by the business owners in order to bring in new
customers and stay ahead of current competitors (Demir and Gocer, 2011). Developing corporate
strategy is a process to intend the best result after deploying the business resources. Strategic
planning take a holistic view of the performance and potential of the company within its
condition. It has a concept of understanding the market and identifying the needs of the market in
the manner to develop and generate an action plan. Thus, this report of Mark & Spencer has been
taken for brief understanding and explanation of the business strategy. Mark and Spence was
established in 1884 in Leeds, UK; is a major British multinational retailer with the specialism in
selling of clothes, home products and luxurious food products. It is listed on the London Stock
Exchange and became the first British company to make tax profit over £1 billion in 1998.
TASK 1
1.1 Assess the business mission, vision, goals, objectives and Competitors.
 Mission: It specifies the company's plans for future or its perspective to look ahead in the
future market and generate definite outcomes. Mark & Spencer’s mission is to continue
the work by transforming the infrastructure and to focus on consolidating their position as
a leading international, multi-channel retailer. By using the potential and capabilities,
company would accelerate their food products in UK and International market which
would produce good business results deliver an end to end GM operating model and drive
the experience of the users on M&S.com (Kourdi, 2010).
 Vision: Mark & Spencer have a vision to develop a world class talent pool and further
growing skills in key strategic areas. The food market will remain challenging but with a
view of frequently changing in shopping habits, they are positioned in the market with
their 62 food stores. Also, company is building its international supply chain in upcoming
years.
 Goals & Objectives: it is the Statement given by the company about the organization
desires and goals to be achieve over the period oftime (Stonehouse and Houston, 2013).
M&S's main aim is to provide quality family care through its products & services and the
further objectives are defined by the company are:
 A more efficient sales process
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 Improving online shopping
 Brand and customer satisfaction
 Improved customer services by hiring skilled staff
 Designing appealing products for its customers
 Increase the profitable margins
 Competitors: M&S co. has a wide variety of competitors from the main supermarkets
groups to specialist fashion and home-wear retailers (Mama and Kruger, 2012). Although
it operates 345 M&S Department stores and around 500 simply Food Shops throughout
UK, still it also have a big list of competitors. Some of them are :
 Next PLC
 ASDA group PLC
 Tesco PLC
1.2 Factors considered while generating the Strategic plan
In order to achieve the objectives and the goals as per the strategic plan, the company has
to know the factors which are to be considered while generating the strategic plan. With the
perspective of ruling the market, Company focuses on delivering relevant range to its customers,
and improving its like for like sales performances across its owned and franchised market. The
factors to be considered are: Frame a Time scale : Company should define its time duration that is needed to achieve
the targeted objective and goals Map a route: Company has to adopt a strategic action s. Working as per the steps would
certainly lead to success (Murthy, 2012). Resources availability & requirement: M&S should acquire the knowledge about the
resources available and required during working on the plan. Present and Future condition: organization's mission, values, principles and barriers
helps in proper generation of strategic plan. To attain the desired future position, an
organization's vision and targets should be specific and achievable in strategic plan.
 Barriers: Knowing the barriers to the strategic plan would enhance the company's
working. Barrier plays a vital role in influencing the strategic plan from its way of
achieving the motives and goals (Omar and Sawy, 2013).
1.3 Effectiveness of techniques while developing strategic business plans
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This topic describe the procedure to assess the effectiveness of techniques and analysis the
possible outcomes while developing the business plans. They are further classified as :
 Using Ansoff's growth matrix as a management tool helps in identifying a company's
product position as per the market growth strategy. In case of Mark & Spencer, there is
gradual rise from the “Market penetration” strategy to a “Market development”
strategy (Pehrsson, 2007). Initially, M&S focus was to penetrate the market in UK by
competitive marketing campaigns, increasing customer satisfaction and creating
unique products. Mark & Spencer could also
 As per the BCG model, elements identified in Mark & Spencer across their product
ranges.
▪ Stars – (e.g. Lingerie) M&S was known for ladies undergarments at a time
when their were selected brand. M&S lingerie is still the UK's market leader
with high market share.
▪ Question Mark – (e.g. Food) For years M&S refused to consider food, with
current situation of high growth and low market share,and now it has across
400 food stores across UK.
▪ Cash Cows – (e.g. Classic range) M&S classic range has strong supporters with
low growth and high market share (Chiware, 2010).
▪ Dogs – (e.g. autograph range). Wide range of value priced clothing for men and
women, has low growth in market and low share too. However, its makes a
certain contribution in funds for the company.
TASK 2
2.1 Determining current strategic positioning of an organization through organizational audit
The tabular representation presents SWOT Analysis of Marks and Spencer’s:
Strengths:
 Better and superior quality of retail
products are provided by the company.
 Maintaining good customer
relationships by focusing on after
purchasing services.
 Provides convenient and comfortable
Opportunities:
 IT provides many opportunities to
take benefit of increasing demand for
online purchasing. Customers are
adapting and accepting the e-
shopping concept in more number.
 M&S can provide good
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shopping environment. It uses modern
designs that makes all the goods
visible immediately (De Giovanni,
2012).
 M&S focuses on strict and excellent
management training system that
improves both work experiences and
management skills.
segmentation in healthy food offers.
As its existing customers demands
the company for low fat organic food
products.
 There are wide range of
opportunities in Chinese and Indian
market.
Weaknesses:
 Lack of proper market segmentation
brings low profit margins for the
company.
 Customers make complains related to
defective e-shopping and delivery
services.
 Lack of balance between the stock and
Information Technology System.
 Another issue that is related to the
vacant store space. It need to find new
products to fulfill its vacant extra
spaces.
Threats:
 Strong market competitors like
Tesco, Safeway and Sainsbury are
major threat to the company.
 Change in social environment results
in changing customer tastes and
preferences which creates threat to
the company.
 Being a global retailer, it faces
political challenges in different
countries (Flor and Oltra, 2010).
2.2 Generating an environmental audit of M&S by PESTLE analysis :
 Political Factor – M&S is highly influenced by the legal norms of the government in UK
such as labor law, customer law,trade policies, taxation and party stability. To overcome
the recession, Government starts massive job cuts and individual cuts given to the
different sector of the economy. As per free trade agreements, British companies enjoys
goods from other countries at cheaper rates compared to M&S.
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 Economical Factor – changing in exchange rates, inflation rates and interest rates highly
sensitive for retailers. M&S suffers from every economic factor which decreases the
effective demands of many of its products (Kourdi, 2010).
 Social Factor – this factor influence Mark & Spencer mostly, which involves changing in
taste and lifestyle of the customers. However ,it has positive reaction too,as it works like
an opportunity also in terms of new customers.
 Technology Factor – innovative technology is beneficial for both the consumers and the
company: availability of the products rises customer satisfaction:convenient for
customers to shop online and better customer support & services. Media acts as a
connecting role by communicating with manufacturers and designers in different
countries about the current trends of UK (Cockayne and Mears, 2011).
 Legal Factor – ii includes the legal framework defined by the government policies like
banning the various practices of M&S Food stores by Food Retailing Commission (FRC)
has impacted the profitability of the Company.
 Environment Factor – the main motive of this factor is to encourage the company
awareness about the society and its environment. M&S's social responsibility is taken up
in the manner in which the company increases the minimum obligations to stakeholders
generated through regulation and corporate ethics (Gupta, 2012).
2.3 Significance of the Stakeholders while formulating a new business strategy
Large organizations gets great influence from the activities of the stakeholders in the
business. Basically, there are two kinds of Stakeholders within the company's environment
which are like
 In Internal environment: Employees, Workers, Coordinators, Associates etc.
 In external environment: Government, Suppliers, Distributors, Customers etc.
It’s an essential task for the business to maintain a level of needs and demands of these units,
and to work responsibly in perspective of avoiding conflict and ensure the continuity of business
as prosperous as possible and keeps its 'key to operate (Jeffrey and et.al., 2013)'. Companies, like
Mark and Spencer, has some of the stakeholders who play vital role for the company's survival in
the market, Although Company can manage its existence by avoiding some of the stakeholders
depends on its status and position in the organization. M&S has to manage the list of the Key
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Stakeholders in the company to determine the factors influencing and encouraging the strategic
planning (Competitive Analysis of the Retail Sector in the UK, 2003).
2.4 Presenting a Strategy as per the Organizational Audit and Stakeholders Analysis
By Assessing the market for Mark and Spencer in Britain, through analyzing the outcome
of Organizational audit and Stakeholders, the company should develop its market for its product
and services. It has to increase its capabilities of marketing and serving its product in the market.
M&S has widen its boundaries in international market to gain new market and customers.
Company has to strengthen its position in food market to encourage its profitability (Wantao and
et.al., 2012). Although, there is possibilities of uncertainty with the business because strategy
depends on basis of future conditions hence to overcome the uncertain outcomes in future
company should have an alternative strategy, apart from this one.
TASK 3
3.1 Generating alternative strategies
In manner to achieve the specified aims objectives, Mark And Spencer has formed its
main line strategy for proving impressive and competent customer-service with installing high
technology to promote sale via online shopping and self-checkouts machines. However beyond
this company has alternative plan to achieve the same goals by improving existing staff to new
well skilled hires (Brunsman, DeVore and Houston, 2011). With this, company has an alternate
plan of advancing the technology of the organization would achieve the company's objective.
3.2 Analysis the Alternative Strategies and Justify a new Strategy
Mark and Spencer has many options available for generating the new strategy for its
business, the best among those is to enhance its productivity and selling in international market.
As per the strategy, company should promote business by introducing the advance technology,
new distributors, new supply chain and new trained staff, in order to gain the appropriate
strategic direction of providing best satisfaction and experience to the customers. Accordingly,
M&S should analyze the market condition and make suitable changes in its strategy in order to
gain a competitive edge (Jochem and Landgraf, 2010).
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TASK 4
4.1 Role and responsibility of personnel in implementation of strategy
When any strategy is implemented then all departments are involved in same. Due to this
reason the department managers become responsible for the strategy implementation.
Automatically, employees working under these department heads become responsible for the
strategy implementation. Following are the managers that are responsible for the strategy
implementation.
Operating manager
Role- Operation manager play a lead role in the strategy implementation because he is a
person that is responsible for the strategy implementation the ground level. Due to this reason all
managers whether they are finance and HR managers always remain in touch with the operations
manager.
Responsibility
Following are the responsibilities of the operation manager.
 The main responsibility of the operation manager is to ensure to ensure that all activities
are carried out in proper manner at the ground level. For this he always remain in touch
with the subordinates and make sure that no hindrance comes in existence that negatively
affects strategy implementation (Collis and Montgomery 2005).
 The second main responsibility of the project manager is to ensure that all steps of
strategy implementation are performed on the per-determined time period. By doing this
he makes sure that cost of the project will remain in control. The third and most important responsibility of the operation manager is to provide
guidance to those that are engaged in the strategy implementation process. By providing
proper guidance manage makes sure that strategy is implemented as per plan.
Finance manager
Role- The main role of the finance manager is to arrange adequate amount of finance in
order to ensure that Mark & Spencer will not face problem of scarcity of finance in strategy
implementation.
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Responsibility
Following are the the main responsibilities of the finance manager.
 The main responsibility of the finance manager is to arrange finance at low cost. In this
regard finance manager evaluate various source of finance and recommended best source
from which funds can be raised at low cost (McCabe, 2010).
 The second main responsibility of the finance manager is to prepare budget for the
strategy implementation. Under this finance manager makes a projection about the
expenses that can be made in regard to expenses that will be inured in the strategy
implementation process.
 The third main responsibility of the finance manager is to control cash inflow and
outflow. For this manager can take many of the steps like payment system can be
centralized and payment receipt system can be decentralized in order to boost cash inflow
(Jacobsen And Wertheimer, 2010). The last responsibility of the finance manager is to communicate amount of fund that he
can arrange for meeting strategy implementation expenses. If there be lack of fund then
operation manager can make some changes in its plan in order to control cost.
Human resource manager
Role- HR manager prepare a team of the employees that will work at the ground level for
strategy implementation on the basis of performance appraisal data.
Responsibility
The main responsibilities of the HR manager are as follows.
 The main responsibility of the HR manager is to recruit and select new employee’s that
will play a supportive role in the strategy implementation. For this it follow detail
process of recruitment and selection.
 HR manager communicate details of the employee’s that it recruited for strategy
implementation to the Operation's manager (Flor and Oltra, 2010).
4.2 Resources required for implementation of strategy
Following are the resources requirements for the strategy implementation. Human resources- These are the important resources that are responsible for the strategy
implementation. Due to this reason, human resource manager needs to select some
specific employees that will be responsible for the strategy implementation. In this
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regard, human resource manager can determine some specific standards and by following
these standards it can select an appropriate employees for the strategy implementation at
the ground level. Selection of the right candidates for the strategy implementation will
ensure effective execution of the tactics by the employees at the specific place.
 Finance- It refers to the money that is essential to meet the expenses that are associated
with the strategy implementation. If there will be scarcity of finance then it will be
difficult to finance relevant operations in proper manner. Due to this reason strategy will
not be implemented in the proper manner. In order to execute strategy with in the given
budget manager need to curtail some of the expenses that may lead to ineffective
implementation of the business strategy (De Giovanni, 2012). Hence, finance manager
must make sure that there is sufficient amount of money to finance strategy
implementation process.
4.3 Contribution of SMART targets in achievement of strategy implementation Specific- The objectives determined by the managers must be specific in nature and must
indicate the direction in which an organization intends to go. If objective will no be
specific then employees will get confused and strategy will not be implemented in proper
manner. Thus, objectives must be specific in nature. Measurable- Objectives must be measurable in nature means that objectives must be in
figures. If this will be done then employee’s will comes to know about the expectation of
the top management from them. Accordingly, they will put an efforts. Hence, measurable
objectives play a great role in the strategy implementation. Achievable- Objectives must be challenged but achievable in nature. If this will be done
then employee’s will give their hundred percent and tactic will be implemented in proper
manner. Realistic- Objective must be achievable in nature and due to this reason determined
objectives must be realistic. If same will not happen then strategy will not get
implemented in legitimate way (Stonehouse and Houston, 2013).
 Time bound- Objectives must be time bound in order to make sure that strategy will be
implemented on time and employee’s will give their hundred percent towards timely
implementation of the tactic.
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CONCLUSION
The above report concludes that an effective marketing strategy tactics which involves
the various elements of market and support the organization for reaching its goals. However, the
Above marketing strategy has proved the potential of Mark & Spencer to gain its leadership in
the market.
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REFERENCES
Books and journals
Brunsman, B., DeVore, S. and Houston, A., 2011. The corporate strategy function: improving its
value and effectiveness. Journal of Business Strategy. 32(5). pp.43 – 50.
Chiware, E., 2010. Positioning the technological university library in higher education and
human resources development in Africa. Library Management. 31(6). pp. 391-403.
Cockayne. J. and Mears, S. E., 2011. Beyond market forces: regulating the global security
industry. International Peace Institute.
Collis, J. D. and Montgomery C., 2005. Corporate Strategy. McGraw Hill Professional.
De Giovanni, P., 2012. Do internal and external environmental management contribute to the
triple bottom line?. International Journal of Operations & Production Management.
32(3). pp. 265–290.
Demir, H. M. and Gocer, A., 2011. Assess your business model strategy to sustain. Emerald
Emerald Emerging Markets Case Studies.
Flor, M. L. and Oltra, M. J., 2010. The moderating effect of business strategy on the relationship
between operations strategy and firms' results. International Journal of Operations &
Production Management. 30(6). pp. 612–638.
Gupta, K. V., 2012. Flexible strategic framework for managing forces of continuity and change
in retail banking business processes in India. Business Process Management Journal.
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Jacobsen, M. T. And Wertheimer, I. A., 2010. Modern Pharmaceutical Industry: A Primer.
Jones & Bartlett Publishers.
Jeffrey., A. and et. al., 2013. The role of institutional and market forces in divergent
organizational change. Administrative science Quarterly. 45(4).
Jochem, R. and Landgraf, K., 2010. Quality management benchmarking: FDA compliance in
pharmaceutical industry. International Journal of Health Care Quality Assurance. 23(8).
pp.690 – 698.
Kourdi, J., 2010. Business Strategy: A Guide to Effective Decision-making. Profile Books.
Kourdi, K., 2010. Business Strategy: A Guide to Effective Decision-making. Profile Books
Mama, M. and Kruger, C., 2012. Incorporating business strategy formulation with identity
management strategy formulation. Information Management & Computer Security. 20(3).
pp.152–169.
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McCabe, S., 2010. Corporate Strategy in Construction: Understanding Today's Theory and
Practice. John Wiley & Sons.
Murthy, P. V., 2012. Integrating corporate sustainability and strategy for business performance.
World Journal of Entrepreneurship. Management and Sustainable Development. 8(1).
pp.5-17
Omar, P. Y. and Sawy, E. A. O., 2013. Chapter 9 The Value of Configurational Approaches for
Studying Digital Business Strategy. Emerald Group Publishing Limited, pp.205-224.
Pehrsson, A., 2007. The “Strategic States Model”: strategies for business growth. Business
Strategy Series. 8(1). pp.58 – 63.
Stonehouse, G. and Houston, B., 2013. Business Strategy. Routledge.
Wantao, Yu and et.al., 2012. Effects of business environment on international retail operations:
case study evidence from China. International Journal of Retail & Distribution
Management. 40(3). pp.218 – 234.
Online
Competitive Analysis of the Retail Sector in the UK. 2003. [pdf] Available through: <
http://www.bis.gov.uk/files/file11029.pdf> [Accessed on 29th January 2016].
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