Strategic Management of Fisher & Paykel Healthcare Corporation

The report helps in the overall analysis of the different kinds of mission and vision statement of the Fisher & Paykel Healthcare along with the corporate strategy which have been adopted by the organization. Furthermore, the internal and external analysis of Fisher & Paykel Healthcare is required to be done with the proper implementation of PESTEL and SWOT analysis which will be essential for analysing the issues and the weaknesses which can be faced by the organization.

Running head: STRATEGIC MANAGEMENT
Strategic Management
Name of the Student
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Executive Summary
The report has helped in the overall internal and external analysis of Fisher & Paykel
Healthcare Corporation in the market. The SWOT and PESTEL analysis have been able to
help in managing the different kinds of activities in an efficient manner. Furthermore, the
different current alliances of the organization have been identified which helped in managing
the overall effectiveness of the firm in managing the different aspects in a positive manner.
the entry mode strategies have been taken into consideration which helped in understanding
the overall analysis in an appropriate manner.

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Table of Contents
Introduction................................................................................................................................3
Overview of Fisher & Paykel Healthcare..............................................................................3
Mission and Vision Statement of Fisher & Paykel Healthcare..............................................3
Corporate Strategy of Fisher & Paykel Healthcare................................................................4
BCG Matrix of Fisher & Paykel Healthcare..............................................................................4
SWOT Analysis.........................................................................................................................6
PESTEL Analysis.......................................................................................................................8
Current Alliances and Marketing Strategies..............................................................................9
Designing of Expansion Strategy in Malaysia.........................................................................10
Issues in Expansion Strategy in Malaysia................................................................................10
Issues Associated with Implementation of Project..................................................................10
Competitive Advantage............................................................................................................11
Anticipated Outcomes in Analysing Sustainability of Fisher & Paykel Healthcare................11
Conclusion................................................................................................................................11
References................................................................................................................................12
Introduction
The report helps in the overall analysis of the different kinds of mission and vision
statement of the Fisher & Paykel Healthcare along with the corporate strategy which have
been adopted by the organization. Furthermore, the internal and external analysis of Fisher &

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Paykel Healthcare is required to be done with the proper implementation of PESTEL and
SWOT analysis which will be essential for analysing the issues and the weaknesses which
can be faced by the organization. The current alliances along with the current marketing
strategies are required to be identified effectively. Moreover, the expansion strategy is
required to be analysed for expansion in the international market along with analysis of the
risks which are associated with the sustainability of the organization.
Overview of Fisher & Paykel Healthcare
Fisher & Paykel Healthcare is one of the major manufacturing organization which is
dealing in designing along with marketing of different products and services for the
utilisation of acute care, respiratory care along with the proper treatment of obstructive sleep
apnea. The company is based in East Tamaki, New Zealand and the company began their
operations in various other sectors as well ("Home | Fisher & Paykel Healthcare", 2018). The
company was founded in the year 1934 and the founders of the company are Maurice Paykel
and Sir Woolf Fisher. The areas which are being served by the Fisher & Paykel Healthcare is
inclusive of Australia, New Zealand, Italy, United States, United Kingdom and others. The
number of employees working in the organization are 3150 till the year 2017.
Mission and Vision Statement of Fisher & Paykel Healthcare
The main mission of Fisher & Paykel Healthcare is to improve the health of the
different individuals wherein the serving of the customers is done with commitment to
excellence in the different aspects which are being performed by them. Moreover, the other
mission is to provide the patient centred healthcare with excellence in the overall service and
access to the quality of the organization.
The vision of Fisher & Paykel Healthcare is to x which will be helpful in setting the
different community standards along with exceeding the expectations of the patients along
with providing in cost effective and caring and accessible manner as well. The vision of the
company is to work in such a manner which will be helpful to be trusted by patients along
with creating a positive image (Schaltegger, Burritt & Petersen, 2017).
Corporate Strategy of Fisher & Paykel Healthcare
Both the historical and current corporate strategy of Fisher & Paykel Healthcare are
same wherein the corporate strategy of Fisher & Paykel Healthcare is the horizontal growth
of the organization which has helped them in development of the market strategy. The main

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aim of the company is to offer the quality products to the customers which has helped in
creating value across the different businesses in an efficient manner (Bromiley et al., 2015).
The licencing along with the acquisition strategies of Fisher & Paykel Healthcare has helped
the company in improving their operations and this helps them in meeting the expectations of
the customers.
BCG Matrix of Fisher & Paykel Healthcare
The BCG matrix is the chart which is being designed in such a manner to assist in
long-term strategic planning which helps the business in considering the overall growth
opportunities by reviewing the portfolio of the products which helps in developing the
products effectively. Moreover, the BCG matrix is used in order to determine the different
priorities which is being provided in the product portfolio of the business unit which will be
helpful in deciding which of the different business unites wherein Fisher & Paykel Healthcare
has to fund and the amount which is required to be funded as well (Galliers & Leidner, 2014).
Figure 1: BCG Matrix of Fisher & Paykel Healthcare
(Source: Rees & Smith, 2017)
 Cash Cow- This is one of the aspects in which there is low growth and high share of
the market (Lasserre, 2017)

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 Star- This is the aspect in which the growth is high along with the high kind of
market share
 Question Mark- This is the aspect in which the growth is high and the market share
is low in nature (Albers et al., 2017)
 Dog- This is the aspect in which there is low market share along with low growth
(Hanson et al., 2016)
From the above analysis of the BCG matrix, this can be analysed that Fisher & Paykel
Healthcare is under the Question Mark section. The growth of the company is huge;
however, the market share is low in comparison to the growth along with in comparison to
the other competitors in the entire market. As per the question market aspect, this can be
analyzed that the company have high cash demands and the generate returns which is low in
nature as the share of the market is low (Jenkins, Ambrosini & Collier, 2016). This will help
in ensuring the long-term creation of the value wherein the company will be creating high
growth of the products and services which is essential for the overall success of the products
in an effective manner. However, this will be difficult for Fisher & Paykel Healthcare to turn
their question-mark into stars as the cost of the market acquisition compound the different
cash needs and requirements which will be beneficial for the overall success of the firm
(Jarzabkowski & Kaplan, 2015).
SWOT Analysis
Proper SWOT analysis is essential in nature which helps in identification of the
different strategies which the firm can use in order to exploit the different external related
opportunities along with countering the different threats and build on and protect the Fisher &
Paykel Healthcare Corporation strengths along with eradicating the different weaknesses as
well.
Strengths
Firstly, the company has a successful track record of developing the different new
products which is the innovation of the product effectively. Furthermore, the strong
distribution network of Fisher & Paykel Healthcare Corporation has tried in building
reliable distribution network which will help in reaching to the majority of the potential
market effectively (Helfat & Martin, 2015).

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Secondly, the reliable suppliers are the other strength of Fisher & Paykel
Healthcare wherein this has a strong base of suppliers who are reliable in supplying the
different kinds of raw materials which will enable the organization in overcoming the supply
chain bottlenecks (Frynas & Mellahi, 2016).
Thirdly, the strong brand portfolio is the other strength of Fisher & Paykel
Healthcare Corporation which has helped the company in investing in building the brand
portfolio which is strong in nature (Hitt & Duane Ireland, 2017). This respective brand
portfolio of Fisher & Paykel Healthcare will be extremely useful when the organization will
be expanding their business opportunities effectively into the different product categories in
an appropriate manner. Moreover, Fisher & Paykel Healthcare has helped in involving the
huge amount into different training and development programs of the different employees
and this has helped in improving the workforce of the different employees (Mitchell &
Leiponen, 2016).
Weaknesses
The Fisher & Paykel Healthcare is not highly successful in integrating the different
firms with the various work cultures. There is a gap in the work culture and this has affected
the overall profitability of the firm.
The structure of the organization of Fisher & Paykel Healthcare is not compatible in
nature with other businesses. The entire structure is suitable for the present businesses and
this limits the expansion in the adjacent segments of the different products as well.
Opportunities
The decrease in the costs of transportation is one of the major opportunities of Fisher
& Paykel Healthcare which will help the company in boosting the opportunity for the
different established players and gain proper market share in the market.
The new customers from the different online channels is the other opportunity for
Fisher & Paykel Healthcare wherein the investment has tried in opening the different new
channels of sales which will be leveraging the opportunity by analyzing the different
customers and serving the needs.
Threats

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The rising cost of the different raw materials is a threat for Fisher & Paykel
Healthcare which has limited the profitability as there is intense competition in the market.
The intense competition has increased the different players in industry which has created
downward pressure.
New kinds of technologies which have been developed by the different competitors
in the entire market is the other aspect which will be a threat which could be serious issue
which can be ineffective for the long-term issues.
PESTEL Analysis
Political Aspects- This play a major role in determining the different factors which
will impact Fisher & Paykel Healthcare Corporation wherein this can be seen that there is
political stability in the country. Furthermore, there are different trade regulations and
barriers in the different healthcare equipment and services which will be a negative impact on
the Fisher & Paykel Healthcare Corporation in a negative manner (Meyer, Neck & Meeks,
2017).
Economic Aspects- The intervention of the government in Australia is a negative
aspect in which this will be beneficial for the overall success of Fisher & Paykel Healthcare.
The financial markets are efficient in nature for Fisher & Paykel Healthcare which will be
help in improving the quality of the infrastructure effectively (Rothaermel, 2015).
Social Aspects- There are different demographics and skill level of the population
which has affected the overall efficiency of the firm in a positive manner. The level of
education plays a major role in managing the different aspects of Fisher & Paykel Healthcare
in an appropriate manner.
Technological Aspects- The different technological aspects have played a major role
in Fisher & Paykel Healthcare Corporation in comparison to the other competitors. The
impact of technology on offerings of the company in a positive manner.
Legal Aspects- There are different laws along with other employment laws which will
be difficult for the Fisher & Paykel Healthcare Corporation in managing the different
operations. There are different copyrights and patents which have affected the growth of the
firm.

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Environmental Aspects- There are different changes in the climate which can be
different and the attitudes towards support for renewable energy will be beneficial factor for
Fisher & Paykel Healthcare Corporation in managing the different operations.
Current Alliances and Marketing Strategies
There are no such current alliances of Fisher & Paykel Healthcare and there are no
such strategic partners of Fisher & Paykel Healthcare in the entire market. However, on the
other hand, there are different other current alliances of the Fisher & Paykel Company.
Product- The major products of Fisher & Paykel Healthcare Corporation is inclusive
of selling of the different respiratory and acute treatment of the different diseases effectively.
Price- The price of the different products is low pricing strategy which has helped the
company in becoming more successful in their operations.
Place- The place from wherein Fisher & Paykel Healthcare sell their products is
inclusive of different kinds of offline areas and there is no such online presence of the
company.
Promotion- The promotional activities which are being undertaken by the company is
through different newspaper and the other blogs which help them in making the customers
aware about the different manufacturing products and services.
Designing of Expansion Strategy in Malaysia
The expansion strategy which have been designed by Fisher & Paykel Healthcare to
expand their business operations in Malaysia is licensing strategy wherein this will help
Fisher & Paykel Healthcare in managing their operations with the different kinds of other
healthcare institutions which are available in Malaysia and gain more competitive advantage
in the entire market.
Issues in Expansion Strategy in Malaysia
There are different kinds of issues in the expansion strategy named Licensing in
Malaysia wherein this can be seen that there is low level of control and the license is
becoming a competitor. Furthermore, there can be incurring of the extra costs which will be

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difficult for Fisher & Paykel Healthcare in managing the different operations in managing the
different operations in an effective manner.
Issues Associated with Implementation of Project
There are different issues which are associated in implementation of the product in
which there are few issues such as:
 Weak or the inappropriate strategy which is one obstacle wherein this can be caused
due to inappropriate strategic planning and this is potentially and unachievable
strategy.
 The ineffective kind of leadership is the other issue while implementing the project in
which this can cause issues in managing the project effectively along with lack of
resources.
 Lastly, due to ineffective kind of leadership in organization, this causes resistance to
change among the employees and this affects the overall morale of the employees.
Competitive Advantage
Fisher & Paykel Healthcare will be gaining competitive advantage in providing the
different services to the customers in the market which is based on proper pricing strategies
which will be beneficial for the overall success of the firm in an effective manner. The low
pricing strategy is essential which is required to be adopted by Fisher & Paykel Healthcare in
gaining competitive advantage in the market effectively.
Anticipated Outcomes in Analysing Sustainability of Fisher & Paykel Healthcare
 Proper building of infrastructure along with organizational practices is the first aspect
which helped in proper budget planning
 Understanding and analysing the different budget priorities is the other aspect which
will help in achieving the sustainability effectively
Conclusion
Therefore, this can be concluded that the Fisher & Paykel Healthcare Corporation has
different strengths along with weaknesses which has helped the company in becoming
effective in their operations. Furthermore, there are different political and environmental

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issues which have been taken into consideration which assisted the organization in solving
them with proper utilization of the resources.

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