Evaluating Victoria Taxi's Business Strategy

This assignment involves evaluating the business strategy of Victoria Taxi, including its organizational structure, external and internal environment, and competitive advantage. The goal is to identify the company's strengths and weaknesses, as well as opportunities and threats, in order to develop a comprehensive understanding of its business strategy.

Running Head: Management and Business Context
victoria taxi
Management and Business Context

Management and Business Context 1
Structure of an organization describes the hierarchy of authorities, duties and responsibilities
within workplace. The major role played by organizational structure is to evaluate the ways in
which roles, duties and responsibilities are regulated so as to attain organizational desired
objectives and goals. Apart from this, it also engages the communication flow from top level
management to the lower management. It is designed on the basis of the rules, policies and
standards of the organization which are designed in order to accomplish organizational tasks in
an effective manner. This essay will focus over the organizational structure of Victoria Taxi
(Victoria Taxi, 2018). Along with this, impact of internal as well as external forces over the
business performance will also be covered under this essay. Current risks factors confront by the
organization, decisions taken by the management of Victoria Taxi in relation with uplifting
organizational performance and crucial functions of the organization for developing effective
strategies in relation with the accomplishment of the objectives will also be covered in this essay.
Organizational structure of Victoria Taxi follows the traditional system under which the highest
authority controls every activity within the workplace. Top most authority of the organization is
CEO (chief executive officer) and then board of directors are responsible for managing
organizational performance. Primary role of Victoria Taxi is to provide travelling services to the
people and along with the travelling services, they care for each and everything so that travellers
could feel safe and secure while travelling with Victoria Taxi. After board of directors, senior
level management holds the responsibility for accomplishing organizational tasks with the view
to uplift its performance in the target market. further, middle level management and workforce
comes as the organizational structure of Victoria Taxi and these are majorly responsible for
performing physical tasks so that plans made by the senior level management could be converted
as reality (Zheng, Yang & McLean, 2010).
External and internal environmental forces plays crucial role in uplifting or declining
organizational performance. External forces are economic conditions of the country,
technological factors, political environment and socio-logical factors. While internal forces
which affect organizational performance are employees, company’s financial performance,
resource availability, etc. As Victoria Taxi is engaged in travel industry, thus, both internal as
well as external forces will affect their business performance and in order to avoid these impacts,
management of the organization is required to adopt appropriate strategies and the policies. Their

Management and Business Context 2
major objective is to attract people for consuming their taxi services while it is also necessary for
the organization to adopt appropriate measures so that the policies could be developed by
considering internal as well as external environmental forces (Chen, Huang & Hsiao, 2010). One
of the major external environmental factors is innovation and in terms of Victoria Taxi’s
activities, it is necessary for them to adopt this factor so that rapid improvements and new
features could be added into their practices. Innovation in terms of Victoria Taxi could be
improvisation in their services which will help them to develop a unique image in the market as
compared to its competitors. Organization will be able make their practises effective as well as
efficient through which desired goals and objectives would easily be attained (Chittithaworn,
Islam, Keawchana & Yusuf, 2011).
Risk factors confronted by Victoria Taxi are increase sudden increase in the fuel prices, entry of
new companies in the taxi business, etc. These factors have the potential to affect organizational
profitability directly. Apart from this, there are certain external risk factors such as increase in
interest rate, exchange rates, etc. which could also affect organizational performance in negative
manner. As Victoria Taxi is performing its activities in Canada and seeking for growth in
international market, thus, they also need to confront the risk factor such as facing competition
from the existing companies in the international market. For conducting taxi business in an
effective manner, appropriate code of conducts needs to be practiced so that the travellers could
feel safe and secure while consuming the taxi services. Along with this, Victoria taxi is required
to improve their systems to match up with the international standards of taxi business in order to
uplift its performance as well as to attain its desired goals and objectives. Competition risk plays
vital role in the taxi business, thus, organization needs to adopt appropriate defensive strategies
so that they could be able to save their acquired position in the target market for a longer time
period (Wang, Chen & Chen, 2012). Certain other risk factors could also affect Victoria Taxi’s
performance which is changes in the laws and regulations, new rule applied by the government,
etc. Hence, organizational senior level management and board of directors are required to adopt
appropriate measures so that all the above risk factors discussed above could not affect
organizational performance in negative manner (Shneiderman, 2010). Apart from this,
improvisation is necessary to grow and prosper for every organization along with confronting
risk factors. Risk factors plays dominant role in adaptation of the strategies for improving

Management and Business Context 3
organizational performance as well as it also lead the organization to adopt innovation in their
practices so that the organizational profitability could be increased along with developing an
effective position in the market (Wheelen & Hunger, 2011).
In order to uplift Victoria taxi’s performance in the target market along with ascertaining various
other opportunities to grow and prosper in international markets, it is necessary to adopt certain
advanced measures within the workplace. Along with this, optimum utilisation of internal
resources is also necessary so that cost could be reduced and profitability and turnover could be
increased. Organization could also evaluate other factors for improving its performance such as
setting benchmarks, developing quality standards and providing adequate training sessions to its
employees in order to improve their efficiencies. Victoria Taxi is a service rendering
organization and in service industry, it is necessary for organization to set appropriate
benchmarks related to their services so that customers’ needs and requirements could be fulfilled.
Apart from this, employees who perform significant role in the success of the organization
should be treated in the same manner by the organization (Trkman, 2010). It is necessary to
provide appropriate training and counselling sessions to the employees of Victoria Taxi so that
their efficiencies could be improved (Casadesus-Masanell & Ricart, 2010). Apart from this,
employees’ skills, talent and knowledge and other factors should be valued by the management
along with fulfilling their needs and requirements. With the help of these measures, organization
could make employees feel motivated towards work as well as it also helps to develop a positive
image amongst the employees towards organization. organization could also invite employees to
take participate in the decision making process so that appropriate decisions could be applied in
the organizational context for attaining further goals and objectives along with developing an
effective image in the target market. With the help of above discussed practices, Victoria taxi
could easily uplift its performance along with gaining a big part of the market share which will
result in attainment of organizational desired goals and objectives (Lustig, Roussanov &
Verdelhan, 2011).
With the objective of attaining organizational strategy, it is necessary for the organization to
involve innovation and its related practices within the workplace. Strategy of the organization is
to acquire a big portion of the market share along with the attainment of competitive advantage
in the target market. in order to acquire these objectives with the concern of attaining strategy, it

Management and Business Context 4
is necessary to adopt practices which are capable enough to fulfil target audience’s needs and
wants. Customers also plays vital role in the success of service based companies and for the
same purpose, it is necessary to utilise organizational resources so that the functions of the
organization could be improved as per the quality standards built up by the management
(Bryson, 2018). Apart from these functions, organization needs to evaluate its internal
requirements departmental wise. Furthermore, advanced measures need to be adopted with the
motive of fulfilling each department’s needs in terms of capital, resources, man power, etc.
Above discussed functions would play crucial role in attaining the desired strategy for the
organization along with the development of an effective image in the target market (Teece,
2010).
From the aforesaid information, it could be concluded that Victoria Taxi is performing well in
their industry. In order to expand its operations, organization has conducted evaluation of its
structure so that performance of the organization could be reviewed along with determining any
error if found. Apart from this, external and internal environmental forces have also been
discussed in this essay with the objective of establishing appropriate measures for facing those
challenges in an effective manner.

Management and Business Context 5
References
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Victoria Taxi. (2018). About Us. Accessed on 30th March 2018 from http://victoriataxi.com/
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Pearson Education India.

Management and Business Context 6
Zheng, W., Yang, B., & McLean, G. N. (2010). Linking organizational culture, structure,
strategy, and organizational effectiveness: Mediating role of knowledge
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