Rolls-Royce DAWN: A Business Analysis

This assignment requires a comprehensive analysis of the Rolls-Royce DAWN project. Students need to examine the project's business model, identify key stakeholders, assess its competitive advantages and disadvantages within the market, and evaluate its potential impact on the future of the aviation industry.

Business Strategy
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TABLE OF CONTENTS
INTRODUCTION ...............................................................................................................................3
TASK 1.................................................................................................................................................3
1.1 Analysing mission, vision, objectives, goals and core competences of Rolls-Royce Motor Cars 3
1.2 Key issues encountered in strategic planning of Rolls-Royce Motor Cars...............................4
1.3 Evaluating two different planning techniques which could be applied in Rolls-Royce Motor Cars
.........................................................................................................................................................5
TASK 2.................................................................................................................................................6
2.1 Conducting SWOT analysis and its strategic positioning .........................................................6
2.2 PEST analysis of Rolls-Royce Motor Cars................................................................................6
2.3 Explaining significance of stakeholder analysis........................................................................7
2.4 Designing a new strategy for Rolls-Royce Motor Cars with respect future goals ...................8
TASK 3.................................................................................................................................................8
3.1 and 3.2 Analysing and evaluating four strategic options are available for Rolls-Royce Motor
Cars to consider as future strategy of company and selection of appropriate future strategy for
Rolls-Royce Motor Cars..................................................................................................................8
TASK 4.................................................................................................................................................9
4.1 Roles and responsibilities of personnel in charge of implementing the strategy.......................9
4.2 Analysis of estimated resource requirements to implement the new strategy.........................10
4.3 Target and time scale for implementation of new business strategy........................................11
CONCLUSION...................................................................................................................................11
REFERENCES...................................................................................................................................13
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INTRODUCTION
Business strategy is a technique that provides a clear direction to the business and helps in
effective accomplishment of organizational goals and objectives. It also plays a key role in appropriate
designing of business plan. It is a set of rules, regulations and policies that control every operation of
the firm. In addition to this, business strategy also helps management to improve the level of profit
margin (Bocken, 2014). Business expansion activities can also be accomplished in the most suitable
manner through acceptability of business strategies. The key motive behind business strategy selection
is to hold balanced aspect between organizational objectives and practices.
In order to understand the concept of business strategy, the current study will focus on work
culture of Rolls-Royce Motor Cars. In this respect, it can be said that the organization is considered as
an ultimate automobile manufacturer in the global market (Rolls-Royce Motor Cars. 2016). It was
founded in year 1998. In the respect of such company, classification of products can be as Phantom,
Ghost and Wraith.
The present research will also have spot light on various procedures that are related to strategic
planning. It will also consider number of factors that assist in the formulation of new business strategy.
It will also provide information regarding the approaches that will facilitate management of Rolls-
Royce Motor Cars in selection and evaluation of strategies. Furthermore, it will also focus on
implementation activities that can boost the overall performance of organization.
TASK 1
1.1 Analysing mission, vision, objectives, goals and core competences of Rolls-Royce Motor Cars
Rolls-Royce Motor Cars is one of leading car manufacturing organizations in the world. It
manufactures and distributes luxury class auto mobiles in the international market. Company operates
its business from headquarter situated in Goodwood, UK. Organisation is also considered as a
subsidiary firm of BMW. Management of Rolls-Royce Motor Cars considers its vision and mission as
key aspects in order to attain better success.
Vision and Mission
Vision: “To provide services with perfection and take the best that exists in order to make it
better for society”
Mission: To provide mobility with comfort, style and speed. Company also believes in
delighting the customers by offering excellent sales and after sales services (Rolls-Royce Motor Cars.
2016).
Goals and Objectives
In this respect, the key goal of Rolls-Royce Motor Cars is to provide the best mobility medium
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by bringing innovation and style in its products and services. Company is focusing on continuous
improvement in its products to enhance livelihoods and quality of life. In addition to this,
organization’s one of the key goals is to make the quietest convertible automobile in all over the world.
Rolls-Royce Motor Cars also considers ethical or fair business practice as the most significant goal.
Moreover, company also focuses on customer’s needs as critical aspect and provides customization in
car.
Core Competence of Rolls-Royce Motor Cars
Rolls-Royce Motor Cars focuses on various activities that provides competitive advantage to
the business firm and leads to impressive level of success. As there are availability of well-skilled
employees, so company focuses on manufacturing the safe as well as high performance cars.
Organization uses high quality materials and ensures about quality aspects in order to accomplish their
objectives effectively (Christersson, 2012). Cars are manufactured with a motive of involving
integrated safety system. It also provides better opportunities in the market and attracts more customers
towards its products.
Moreover, human resources of Rolls-Royce Motor Cars have expertise in design that also
boosts its competitive advantage. In support of this, it can be said that unique design of products
attracts more and more customers towards business and leads firm to impressive level of success. In
addition to this, it can also be asserted that company has implemented a certification program in which
products are certified as per the consideration of quality (Ghosal, 2015). In other aspect, quality
certification and testing are also core competencies of Rolls-Royce Motor Cars. Core competency of
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Illustration 1: Rolls-Royce DAWN

organization is to differentiate its products line by providing unique customized features and
characteristics. High pricing of products also generates high profit for the Rolls-Royce Motor Cars.
1.2 Key issues encountered in strategic planning of Rolls-Royce Motor Cars
There are number of factors that are needed to be considered by the management of Rolls-
Royce Motor Cars during strategic planning. It is essential for business firm to focus on organizational
goals and objectives in order to shape better future. Classification of key factors can be as finance,
environment and stakeholders. It is essential for management to design activities as per the key needs
of stakeholders (Maas, 2014). Improved level of relationship with stakeholders also boosts
opportunities for the organization. Government, employees and customers are the key stakeholders of
Rolls-Royce Motor Cars. Key issue is related to maintain balance between the expectations of different
stakeholders so that operational activities can be designed in an appropriate manner (Pemberton, 2012).
For example, Rolls-Royce Motor Cars is looking for expanding its business in Asian nation by
setting up new manufacturing plant, so it is necessary for the organization to ensure about the needs of
stakeholders. Any kind of avoidance can lead business to great failure. In addition to this, it can be said
that financial aspects and other supportive resources can also influence the effectiveness of strategic
planning. Availability of finance and other resources is one of critical aspects and it helps in better
expansion of business (Ratcliffe, 2012). For example, if company is looking for business expansion in
India but they do not have proper allocation of finance as well as other essential sources then it may
impact the effectiveness of strategic plan. Customer’s needs are also necessary to be considered as a
significant element while designing activities of strategic plan (Jones, 2008). Moreover, culture issues
can also influence the business of Rolls-Royce Motor Cars and may lead to some conflict situations.
This indicates that it is essential for organization to ensure that they are considering various factors in
an appropriate manner during designing of strategic plan.
1.3 Evaluating two different planning techniques which could be applied in Rolls-Royce Motor Cars
In order to have effective strategic planning it is essential for business firm to adopt various
techniques that can provide long term development opportunities. It also provides information about
current market situation and capabilities so that strategic plan can be designed in suitable manner. BCG
matrix and Stakeholder mapping are most commonly used techniques.
In addition to this, BCG matrix is approach that is used by business firms to have effective
business planning. It is beneficial for Rolls-Royce Motor Cars in order to analyse the market position
of its products and services which is offered in the market (Kumar, 2012). With an assistance of this,
managers can have effective determination of future needs that can boost up business opportunities for
organisation. This concept determines market share of services in four segments which can be
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categorised as star, question mark, dog and cash cow. In question mark products are determined at high
growth rate but low market share. Cash cow products are refereed as products that covers high market
share and slow growth rate. Moreover, dogs includes products which have managed low social class
and very slow growth (William, 2013). At last, star products includes advanced market share and
aggressive marketplace.
Other than this, stakeholder mapping is taken into account as a procedure that provides
identification of various elements that can influence business plan activities of Rolls-Royce Motor
Cars. It is essential for management to focus on key needs and objectives of various stakeholders.
Process is accomplished with an assistance of few steps which can classified as needs identification,
interest interpretation, relationship mapping and determination of priorities (Flander, 2012). It also
provides an better opportunity to build strong relationship with diverse stakeholders. It provides the
future picture of business and make understand about the needs of various stakeholders for improved
working.
TASK 2
2.1 Conducting SWOT analysis and its strategic positioning
In order to have effective planning of strategic activities, it is essential for management of
Rolls-Royce Motor Cars to focus on SWOT analysis. It will assist managers in identification of
diverse long term goals and strategies. Key weaknesses and strength can also be analysed with an
assistance of SWOT analysis.
Strength: One of key strength for company is effective technological support from its parent
firm. Rolls-Royce Motor Cars also have optimistic brand image in the international marketplace.
Value added features in its products and services also creates an positive perception among customers
(Robert, 2012). Organisation also focuses effectively on continuous improvement of distribution and
sales networks. High profit margin ratio through sales is also one of beneficial aspect for Rolls-Royce
Motor Cars.
Weakness: Company is having small business units that influence its product productivity
during high ratio of demand. Few products design is evolutionary by nature which make their similar
look. Number of customers switch to its competitors because Rolls-Royce cars require high ratio of
maintenance.
Opportunities: Rolls-Royce Motor Cars can focus on business expansion opportunities by
establishing new production units. It will also facilitate in overcome its weakness and lead business to
impressive level of success. Rising trend of environmental aspects within auto-mobile industry can also
boost the range of its product line (Allio, 2009). It means company can launch new car models in the
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international market according to key needs and trends of marketplace. Company can also attain more
profit by providing appropriate value to customers in respect of premium pricing. It will amend
customer base and sales ratio in diverse manner.
Threats: Trade policies difference among nations can influence the business of Rolls-Royce
Motor Cars so it is essential for management to follow these aspects as critical successive factors.
Unwillingness of people to purchase premium pricing car models can also be a threat to business and
impact market share in negative manner.
In order to amend the market share the management of Rolls-Royce Motor Cars can focus on
business expansion process as per consideration of SWOT analysis. It will also enhance the brand
value in the market and lead business to impressive level of success (Block, 2010). Number of
weakness and threats can be overcome through continuous improvement in strength and opportunities.
2.2 PEST analysis of Rolls-Royce Motor Cars
Political: Rolls-Royce Motor Cars mainly operates its business from UK so it is necessary for
management to consider UK political stability as critical factor. It is essential for management of Rolls-
Royce Motor Cars to focus on taxation policies, trade relation, etc. UK political aspects are stable ow a
days that means the Rolls-Royce Motor Cars have better opportunities in the market. The changes in
taxation policies may influence the working culture of organisation.
Economic: UK economic status is also stable that provides effective economic growth to the
organisation. Changes in monetary policies and fiscal policies can also influence the work culture of
Rolls-Royce Motor Cars so it is essential for management to consider it as critical aspect (Griffin,
2008). Recession may force organisation to cut down its product in order to meet market needs.
Social: Community is demanding for convenient and eco-friendly auto-mobiles so it is
necessary for management of Rolls-Royce Motor Cars to develop new models according to customers
needs. It will provide long term sustainability to the business and lead organisation to impressive level
of success.
Technological: Organisation also focuses on regular development of technological aspects
within its products so that market trends standards can be accomplished in appropriate manner. Rolls-
Royce Motor Cars is investing more in technological development to cut down its cost and improve
quality of services (Passerini, 2013).
2.3 Explaining significance of stakeholder analysis
Stakeholder are considered as a group or individual that has interest with the operational
activities of the organisation. In other aspect, it can be said that the stakeholders of Rolls-Royce Motor
Cars can be government, employees, suppliers, investors, etc. With an assistance of stakeholder
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analysis the management can easily understand the key needs and lead business to impressive level of
success (Hui, 2014). Diverse expectations of stakeholders can also be analysed in appropriate manner.
It is advantageous to improve efficiency of operational activities. Long term relationship can also be
balanced in suitable manner by accessing expectation of stakeholders.
Moreover, it will facilitate the manager of Rolls-Royce Motor Cars to understand conflict
situation in order to overcome it in optimistic manner. Stakeholder analysis also increases
understanding between managers and stakeholders. In addition, it is a procedure that develops an
strong relationship with wide range of individuals that are involved in risk taking decision of company.
It is also beneficial to improve interaction level with customers in order to enhance overall sales. In the
support of this, it can be said that the stakeholder analysis also improves the effectiveness of the
decisions (Chang, 2008). It also have direct positive impact on the long term objectives of the
company.
In the procedure stakeholder analysis, the top administrators of Rolls-Royce Motor Cars
determines the necessity of diverse stakeholders. Classification of number of key needs can be as best
facilities to work, taxation, etc. In order to gain various advantages, it is necessary for organisation to
focus on continuous examination of stakeholder needs is also essential (Allen, 2014).
2.4 Designing a new strategy for Rolls-Royce Motor Cars with respect future goals
As per the structured study, it can be said that the strategy is referred as combination of number
of business activities that can be executed by manager. It facilitates in effective accomplishment of
organisational goals in long as well as short term context. In addition to this, the management of Rolls-
Royce Motor Cars can focus on formulation of diverse strategies that can improve control on
operational activities (Azar, 2011). In order to meet future objectives like increase in consumer base,
profitability and market share it is essential for management to expand business.
Expansion of business activities requires effective consideration of new emerging market.
Products and services must be designed as per consideration of innovative factor and technological up-
gradations. Highly secured motor car can be introduced in the market. Safety sensors installation and
improvement in top speed can also lead business to impressive level of success. Product design must
reflect the lifestyle of society because it will attract more and more customers which is beneficial for
improvement in sales ratio (Chaiprasit, 2011). With the help of new product development process,
Rolls-Royce Motor Cars can gain better competitive advantage because it will provide high speed
automotive vehicle.
Moreover, product differentiation strategy is also advantageous for the Rolls-Royce Motor Cars
because it improves overall performance of business. It also allows organisation to bring uniqueness in
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product line in order to meet organisational objectives (Figge, 2012). In this company can also hold its
current pricing strategy for sustainable development such as premium pricing strategy.
TASK 3
3.1 and 3.2 Analysing and evaluating four strategic options are available for Rolls-Royce Motor Cars
to consider as future strategy of company and selection of appropriate future strategy for Rolls-
Royce Motor Cars
There are number of business strategies that can be adopted by management of Rolls-Royce
Motor Cars in order meet organisational objectives in effective manner. Classification of strategies can
be as market entry, sustainable growth and limited growth. In respect to market entry the company can
focus on business activities to expand business in appropriate manner. It requires detailed examination
of government rules and regulations so that strategies can be designed in most suitable manner.
Company can expand business in new geographical areas by acquisition, strategic alliance, etc. It will
improve the effectiveness of promotional activities (Wang, 2010).
Other than this, sustainable growth is also beneficial for management of Rolls-Royce Motor
Cars because it provides improvement in operational efficiency. In order to have better opportunities, it
is also necessary for management of automotive firm to increase investment on decision making
process. Detailed research information need to be consider as significant aspect in order to implement
sustainable growth activities (Lewandowska, 2008).
Moreover, limited growth is also beneficial for Rolls-Royce Motor Cars because it helps in
improvement of overall turnover. In addition to this, it can be stated that the key motive of technique is
to accomplish goal in appropriate manner. Market penetration and development are critical aspects of
the advancement because it helps in improving service quality and marketing operations (Bocken,
2014). Furthermore, the retrenchment strategy is also beneficial for management of Rolls-Royce Motor
Cars because it is useful in adverse market condition. With an assistance of this, organisation can have
better liquidation in order to overcome issues and lead business to impressive level of success. Conflict
situations like recession and expansion failure issues can be overcome effectively by accessing
retrenchment.
Appropriate future strategy for Rolls-Royce Motor Cars:
As per the consideration of above statements, it can be said that the managers of Rolls-Royce
Motor Cars must focus on adaptation of new market entry strategy. This is because it provides better
opportunity to strategic plan and lead business to impressive level of success. Uniqueness in products
like innovative design and safety measures improvement can provide various benefits to the
organisation (Christersson, 2012). Market share can also be improved in diverse manner and facilitate
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in meeting organisational needs. In other aspect, it can be asserted that the market entry strategy and
differentiation is advantageous for business firm. It provides better competitive advantage to
management and helps business to deal with various fluctuations in international market. This strategy
will increase market share and profitability of organization by adding new consumers (Ghosal, 2015).
Moreover, the market entry strategy is also essential to have improvement in profitability
aspects and helps management to recover loss in appropriate manner. It has been spotted that the
differentiation strategy is beneficial for improvement in goodwill of the organisation. It will also
increase the reach of firm and will allow firm to have expansion in international market (Maas, 2014).
These improvements in firm will help organization to overcome the issues that are affecting
performance.
TASK 4
4.1 Roles and responsibilities of personnel in charge of implementing the strategy
It has been spotted that there are number of roles and responsibilities that are needed to be
consider as critical aspect. It is essential for manager of Rolls-Royce Motor Cars to have effective
identification of responsibilities. Manager must have proper information about customer, price,
promotion, market and expansion in order to lead business towards impressive level of success. It is
also necessary for manager to have effective participation in number of integrated activities
(Pemberton, 2012).
Regular interaction with project team, individual, owner, investor and strategic partners is also
essential. This is because it improves overall productivity of the organisation. Decisions also need to be
taken according to needs and capabilities of employees. It will also ensure that work assigned to
employees is according to strategic decision. Effective management of different resources is also
significant because it boosts overall performance of the Rolls-Royce Motor Cars (Ratcliffe, 2012).
Other than this, it can also be asserted that the proper information must be provided to
customers and investors so that business can have impressive level of success. It will also provide
better implementation of strategy in order to lead business to next level (Jones, 2008). In other aspect,
it can be said that the improved level of relationship between manager and investor is significant
because financier are the one who provide financial sources to accomplish goals. At last, owner is
ensuring that the strategies and work in organization is taken place according to consideration of legal
aspects.
4.2 Analysis of estimated resource requirements to implement the new strategy
As per the structured study, it can be said that there are various elements that can amend the
effectiveness of new strategy implementation process. Classification of key resources can be as action
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plan, structure, human resource, business plan, monitoring and control. In this respect, it can be stated
that the action plan is significant factor that determines firm in proper allocation of responsibilities. It
is also beneficial to accomplish production goals of Rolls-Royce Motor Cars (Kumar, 2012). It also
provides better information about estimated resource that is needed for better implementation of
strategy. In this, better information about estimated resource is provided for better implementation of
strategy.
In addition to this, it can be said that the organisational structure is most essential element for
strategic implementation. For example, the organisation has decided to approach market entry strategy
but the organisational structure does not suit the needs of strategy. In this situation, the management of
Rolls-Royce Motor Cars can face issues and may lead business to conflict situation (William, 2013).
Improper implementation of strategy may also create a misunderstanding issue within environment. It
will impact the overall organisational performance in negative manner.
Moreover, proper monitoring and controlling is also significant for effective implementation of
strategy. Monitoring of financial and human resource activities can amend the operational
opportunities for business and lead Rolls-Royce Motor Cars to impressive level of success.
4.3 Target and time scale for implementation of new business strategy
As per the consideration of above statements, it can be said that the integrated working is
beneficial for long term objectives accomplishment. In addition to this, market entry and differentiation
strategy is beneficial for the organisation and it may create better opportunities for business at
international level. In other aspect, it can be said that with an help of selected strategy the firm can
attain various benefits (Flander, 2012). Expansion objectives can also be accomplished in appropriate
manner with an assistance of market entry strategy. Organisation can develop new market that will play
key role in the world economy. In addition to this, it has been spotted that effective implementation of
business strategy also requires proper monitoring and controlling (Robert, 2012). This is because it
provide information about actual condition of business in the market.
Moreover, the key target of company can be to expand business in Asian market because it has
potentiality in auto-mobile sector. Asian nations like China and India are contributing effectively in
world economic development that creates an better opportunity for Rolls-Royce Motor Cars.
Activity 1st week 2nd week 3rd week 4th week 5th week 6th
week
Consideration
of research
activities
Determination
of various
ways that can
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improve
opportunities
Testing
Drafting of
objective
Allocation of
key resource
Execution
Assessment
and
controlling
CONCLUSION
As per the above study, it can be concluded that the business strategy is considered as a
technique that provide effectiveness to the operational activities. It has been spotted that the business
firm can attain competitive advantage by focusing on diverse strategies such as market entry,
differentiation strategy, etc. In the support of this, it can be said that the differentiation strategy is
beneficial for improvement in goodwill of Rolls-Royce Motor Cars. Moreover, stakeholder analysis is
a procedure that develops an strong relationship with wide range of individuals that are involved in risk
taking decision of company.
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REFERENCES
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Block, D., 2010. Management: Strategies for Planning and Evaluation. Jones & Bartlett Learning.
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archetypes. Journal of Cleaner Production. 65. pp. 42-56.
Chaiprasit, S., 2011. Competitiveness, globalization and technology development in Thai firms.
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Christersson, M., 2012. Impacts of organizational relocation: a conceptual framework. Journal of
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Figge, F., 2012. The sustainability balanced scorecard–linking sustainability management to business
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Griffin, A., 2008. New Strategies for Reputation Management: Gaining Control of Issues, Crises &
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Jones, G., 2008. Essentials of Strategic Management. Cengage Learning.
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Marketing. 42(1/2) .pp.222–237.
Maas, S., 2014. Development of a CSR model for practice: Connecting five inherent areas of
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sustainable business. Journal of Cleaner Production. 64. pp. 104-114.
Passerini, K., 2013. Uncovering knowledge-based time management practices: Implications for project
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Robert, W., 2012. Business Strategy and Sustainability. Developments in Corporate Governance and
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Wang, C. C., 2010. Formulating service business strategies with integrative services model from
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William, S., 2013. Create and Implement the Best Strategy for Your Business. Harvard Business School
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Online
Chang, G., 2008. Strategic Planning in Education: Some Concepts and Methods. [Pdf]. Available
Through:
<http://www.iiep.unesco.org/fileadmin/user_upload/Research_Challenges_and_Trends/pdf/
symposium/ChangGwangChol.pdf>. [Accessed on 12 February 2016].
Rolls-Royce Motor Cars. 2016. [Online]. vailable Through:
<http://www.iiep.unesco.org/fileadmin/user_upload/Research_Challenges_and_Trends/pdf/
symposium/ChangGwangChol.pdf>. [Accessed on 12 February 2016].
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