MANAGEMENT CONSULTING 3 Running Head: MANAGEMENT CONSULTING

Running Head: MANAGEMENT CONSULTING
MANAGEMENT CONSULTING
Name of the Student:
Name of University:
Author Note:

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Table of Contents
1.0 Introduction................................................................................................................................4
2.0 Company analysis......................................................................................................................5
2.1 Strategic alliances..................................................................................................................5
2.2 Product development.............................................................................................................6
2.3 Product differentiation...........................................................................................................6
2.4 Cost leadership.......................................................................................................................6
2.5 Porter five forces analysis......................................................................................................7
2.5.1 Bargaining power of the buyers......................................................................................7
2.5.2 Bargaining power of the suppliers..................................................................................8
2.5.3 Threat of substitution......................................................................................................8
2.5.4 Threat of new entrants....................................................................................................9
2.5.5 Competitive rivalry.......................................................................................................10
3.0 SWOT analysis........................................................................................................................10
3.1 Strengths..............................................................................................................................10
3.2 Weaknesses..........................................................................................................................11
3.3 Opportunities.......................................................................................................................12
3.4 Threats.................................................................................................................................12
3.5 Recommendations....................................................................................................................13
4.0 Proposal...................................................................................................................................15
4.1 Introduction..........................................................................................................................15
4.1.1 Overview.......................................................................................................................15
4.1.2 Problem Statement........................................................................................................15
4.1.3 Research rationale.........................................................................................................16
4.1.4 Research aim.................................................................................................................16
4.1.5 Research objectives......................................................................................................16
4.1.6 Research questions........................................................................................................16
4.1.7 Research hypothesis......................................................................................................17
4.1.8 Research structure.........................................................................................................17
4.2 Literature review..................................................................................................................17
4.2.1 Definition of CSR.........................................................................................................17
4.2.2 Definition of Sales performance...................................................................................18
4.2.3 Relationship between CSR and sales performance......................................................19
4.3 Methodology............................................................................................................................20

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4.4 Expected outcome....................................................................................................................21
4.5 Timeframe................................................................................................................................22
5.0 Reflection.................................................................................................................................23
5.0 Conclusion...............................................................................................................................24
6.0 Reference.................................................................................................................................26
7.0 Appendix..................................................................................................................................31

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1.0 Introduction
In the current competitive business scenario, there are number of factors that should be
considered in order to gain success in the market. These factors might pose challenges as well as
provide opportunities for the business entities. Hence, the more effectively these factors can be
dealt with, the more will be the probability of the organizational success. Moreover, with the
emergence of the globalization, the determining factors are also getting diverse for the
contemporary business organizations (Charles Jr 2017). In this report, the critical strategic
analysis of X ORGANIZATION will be done due to the reason that this is one of the leading
automobile manufacturers in the world and is facing a few issues. It is identified that these issues
ranges from ethical to marketing factors. Moreover, X ORGANIZATION should review their
current strategic position in the market because of the fact that it will help to identify the
weaknesses and strengths of them compared to their competitors.
In the current business scenario, determination of the strategic position is important for X
ORGANIZATION as well as for the other contemporary business entities because future
strategies should be based on the factors identified from the strategic positioning process.
Moreover, apart from the strategic positioning analysis, internal analysis is also important due to
the reason that internal effectiveness will determine the competitiveness of the firm against their
market forces. In this report, the internal analysis will also be done. It will help to analyze the
current competitiveness of X ORGANIZATION in doing business in the global market. Based
on the identified factors, a few recommended steps will be discussed and proposal will be made.
Critical reflection will also be done about the models and tools used in this report.

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2.0 Company analysis
As discussed in the previous section, X ORGANIZATION is a leading automobile brand
in the world with having their operations across the world. At one point of time, X
ORGANIZATION was the top most car brand in the world in terms of the sales volume and but
in the recent time, they got trailed against their competitors due to different situations and issues.
However, on the other hand, their market presence also got increased with more regions being
covered. It is also identified that there are differences between the past and current business
strategies of X ORGANIZATION. The following sections with discuss about the different
business level strategies being followed by X ORGANIZATION.
2.1 Strategic alliances
It is identified that X ORGANIZATION is actively participated in number of strategic
alliances with other firms from different sectors. The major strategic alliances of them are with
the automobile components suppliers due to the reason that X ORGANIZATION is the end
product manufacturer and they source the raw materials from the external suppliers. Extensive
strategic alliances with multiple suppliers are helping X ORGANIZATION in gaining the price
competitiveness in their supply chain process (CARTWRIGHT and Cooper 2016). They are
having their business across the world and having suppliers from different regions is helping
them to source from the local entities. On the other hand, it is also identified that X
ORGANIZATION is having their strategic alliance with some of the players in the same sector.
This is due to the reason that they are operating in some countries in the mode of joint venture
with some other car brands (Brouthers, Nakos and Dimitratos 2015). Thus, it can be concluded
that initiation of the strategic alliances is helping them in gaining the expertise and specialized
materials for their production process.

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2.2 Product development
Product development strategy is another business level strategy of X ORGANIZATION
that is being initiated in the later stage. This is due to the reason that at the initial stage of their
operation, X ORGANIZATION was having narrow product line with having fewer vehicle
models. However, with time, the product portfolio of X ORGANIZATION got increased with
more vehicles being introduced in the market. Moreover, they are having different and market
adaptable products in different markets (Drnevich and Croson 2013). For example, they are
having fuel efficient and urban cars for the developing markets and performance cars are offered
in the developed markets. This strategy is helping X ORGANIZATION in gaining the maximum
market penetration in different regions.
2.3 Product differentiation
X ORGANIZATION is also following the product differentiation strategy in their
business operation. This is due to the reason that there are number of vehicles models being
offered in the market and each of these cars is having similar sets of core benefits and utilities.
Thus, in this case, the differentiated approach of X ORGANIZATION helped them in offering
distinctive value propositions for their customers. In addition, the intellectual properties of X
ORGANIZATION also helped in creating the distinctiveness of their car models in the market.
2.4 Cost leadership
It is also identified that X ORGANIZATION is following cost leadership strategy as
well. This is due to the reason that with the help of the cost leadership strategy, the price of the
car models of X ORGANIZATION is kept competitive in the market. In addition, with the help
of these business level strategies, X ORGANIZATION is also adding competitive edge over
their competitors (Saebi and Foss 2015). This is also one of the key behind the leadership of X

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ORGANIZATION across the world in terms of sales. They are catering to large number of
customers with the help of the cost leadership strategy and price competitiveness.
2.5 Porter five forces analysis
Porter of five forces analysis will be used in determining the market competitiveness of
the industry where X ORGANIZATION is currently operating. Each of the forces of the porter
five forces analysis will be beneficial for the determination of the competitiveness of X
ORGANIZATION in their industry. The following sections will discuss about each of these
forces from the perspective of X ORGANIZATION.
2.5.1 Bargaining power of the buyers
Bargaining power of the buyers is high in the global automobile market due to the
presence of the number of alternatives in the market. Thus, customers are having the options of
choosing from wide variety of choices. This is the due to the reason that there are number of car
companies operating in the market. In addition, various car models are being offered across
different price levels. This denotes the fact that X ORGANIZATION is facing the high level of
bargaining power from the side of the buyers (Dobbs 2014). In this case, the major challenge for
X ORGANIZATION is to offer the distinctive value propositions for the customers. The added
value propositions should be based on the auxiliary product level due to the fact that core product
level is the mode of transportation. It is also recommended that X ORGANIZATION should
further initiate the market development process because there are still number of regions left
where the demand for cars is increasing and still untapped by X ORGANIZATION. Entering in
these markets will help X ORGANIZATION in catering to larger section of the customers.
Hence, the bargaining power of the buyers can get mitigated.

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2.5.2 Bargaining power of the suppliers
Bargaining power of the suppliers is moderate for X ORGANIZATION due to the reason
that there are number of suppliers available in the market for the automobile manufacturers. It
should also be noted that X ORGANIZATION is having alliances with number of suppliers,
which is further helping them in preventing the over dependency on a single supplier. Thus, one
supplier is not having the upper hand in bargaining with X ORGANIZATION. Furthermore the
suppliers are not having the forward integration similar to the X ORGANIZATION, which is
also restricting them in posing the direct competition. The external suppliers are depended on the
original equipment manufacturers for their business (Mathooko and Ogutu 2015). However, on
other hand, it should also be noted that suppliers can also pose challenge for X
ORGANIZATION in terms of creating cartel. This is due to the reason that if all the available
suppliers form a cartel, then their collective pricing strategy will affect the business of X
ORGANIZATION. This is due to the fact that if the price of the raw materials gets increased,
then it will increase the cost of operation for X ORGANIZATION, which will ultimately
increase the price of the final products.
2.5.3 Threat of substitution
In the case of X ORGANIZATION, threat of substitution is more due to the presence of
the number of similar sets of organizations. This is due to the fact that each of the car brands
operating in the market is offering similar vehicle models to the customers. For instance,
customers looking out for small and urban cars are having similar vehicles in the market and in
the same price level. The more will be the threat of substitution for X ORGANIZATION, the
more will be the challenges for them in managing their market share. In this case also, product
differentiation will be the most effective mode of policies that should be followed by X