Strategic Management Recommendations for Etsy

This document provides strategic management recommendations for Etsy to protect shareholders, work with Amazon, and dominate the competitive marketplace. It includes an action plan, appendix, and references.

Running head: MANAGEMENT
Management
Name of student
Name of University
Author note

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Table of Contents
Recommendations......................................................................................................................3
Appendix....................................................................................................................................6
References................................................................................................................................11

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Recommendations
Based on the financial condition of the business organization named Etsy, it is
recommended to protect the shareholders or investors, furthermore ensure acceptability of
strategic management approaches. This could be beneficial for determining the feasibility as
well as work with Amazon to dominate the competitive marketplace with ease and
effectiveness. The first option has been chosen related to the adjustment of fees for the
services to be delivered.
 The addition of guaranty money and increasing the charging rates is recommended for
addressing the issues and ain more suitability within the marketplace
 Considering the financial status of the business, Etsy should pay good fees to the craft
artists to ensure that they are kept motivated and encouraged to perform to their
potential for the accomplishment of business goals and objectives appropriately
 It is also recommended for Etsy to show its strengths within the handcrafts industry
for arousing interest among Amazon and manage partnership working to sustain in the
competitive business environment through higher revenue generation and attaining
competitive advantage as well
 The segmentation of handcraft products is recommended because of its potential for
growth and development, which could assist in enhancing corporate ability to
resistance and generate higher profit too
 The lack of financial resources could be resolved with the awareness spread among
the investors regarding the best quality handcrafts, which could influence them to
make more investments and ensure generating higher working capital and enhanced
financial resources too

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 The strategic alliance or partnership could enable Amazon to cooperate with Etsy and
make sure to work in coordination and as an unit for achieving the targets effectively
too
 The development of a strategic plan should facilitate redesigning the organisational
structure and create more autonomy and power to deal with the limitations and
constraints faced within the marketplace.
 It is recommended to involve various social media platforms to spread awareness
about the products and services delivered by Etsy and increase customer base for
higher sales revenue
 The financial report should be monitored properly at every month to ensure that the
investors make god amount of investments to respond positively for the management
of good financial condition or status of the organisation. This would also improve the
organisation’s ability to invest in research and development activities along with the
achievement of enhanced business performance through improved business operations
and processes’ efficiency
 The management of good leadership is recommended for keeping the staffs
influenced and motivated, furthermore engage thee employees to share their views
and opinions and facilitate the process of decision making too
Action plan
Actions Individuals
responsible
Outcomes Timeline
Adjusting the fees
for the services
Employees of the
organisation and
sellers
Influence the sellers
and even draw in
more external
5 days

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stakeholders
The addition of
guaranty money by
increasing the
charging fees
Employees, leaders,
sellers and third
party distributors
Gain high growth
rate of users and
influence the sellers
through increased
charging fees
3 days
Management of
human resources
Employees and HR
manager
Manage proper
recruitment and
selection of
employees to
improve workforce
efficiency
4 days
Provide necessary
training and
development
sessions to
employees
HR manager, trainer,
employees
Improvement of
skills, knowledge
and expertise for
performing to their
potential
5 days
Management of
financial resources
Manager and
financial analysts
Process the
adjustments to
calculate the feeds
needed to be
adjusted
6 days

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Appendix
Actions Individuals
responsible
Outcomes Timeline
Identifying the
competitors in
business
Employees and
leaders of the
organisation
This will allow for
segmentation of
market and assess
the strengths and
weaknesses of the
competitors as well
(Zott and Amit
2013)
5 days
Establishment of
relationships with
the suppliers
Employees,
suppliers and
managers
The suppliers are
provided with good
fees for the raw
materials and
resources that they
need to supply. This
would help in
occupying a bigger
market share,
furthermore assist in
development and
growth within the
competitive
marketplace
3 days

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(Rothaermel 2015)
Analysis of the
buying power of the
consumers
Employees,
customer services’
department, clients
The needs and
preferences of the
clients are identified
to make sure that
services are
delivered according
to their needs and
requirements to
ensure customer
satisfaction
5 days
Analysis threats that
might be posed due
to new entrants,
substitute products
and competitive
rivalries
Employees and
managers and
sometimes the
shareholders as well
The threats are
assessed to
determine various
scopes and
opportunities needed
to make sure that
entry into the
handcrafts industry
is successful
(Abraham 2013)
2 days
Manage good e-
commerce strategies
for online business
management and
Marketers and IT
professionals
Enable better
recognition of
market conditions
and manage
8 days

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strengthening the
client base too
financial resources
along with research
and development
activities too for
facilitating
innovation all
throughout
Enter global markets
with the
consideration of
value proposition
aspects
Managers,
contractors and
shareholders
Creating more
convenient ways of
shopping for
improving the
experience of clients
and influence
consumer buying
behaviours too
(Dutta and Jackson
2013)
10 days
Implement
technological
changes
IT professionals,
developers,
employees
Facilitate the
innovation
procedure and
enhance business
performance to enter
new markets and
reduce the
5 days

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operational costs too
Application of
organisational
policies and laws
implemented by
Government
Manager, line
managers and
employees
Ensure abiding by
the laws, policies,
rules and regulations
to encourage self-
employment and
conduct business
ethically too
(Jenkins and
Williamson 2015)
3 days
Manage market
segmentation
Marketers and
employees
Segment markets
and analyse different
behaviour and needs
of clients
5 days
Valuing the strategic
assets
Organisational
managers and
employees
Manage assets
owned by the
company to ensure
strengthening
business
performance and
higher profit level
achievement (Greco,
Cricelli and
Grimaldi 2013)
8 days
Branding and Brand marketers, Manage branding 10 days

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marketing employees,
distributors
techniques to
enhance brand
image and create
positive mind sets
among the clients to
influence their
buying behaviours,
thus leading to better
sales revenue and
revenue generation
too (Morden 2016)
Adjustment of fees Financial analysts
and Manager
Generate higher
incomes from the
external stakeholders
and adjust fees of
services by charging
guaranty money
from the sellers.
This could influence
the sellers and
ensure making
purchases of
products and
services from Etsy
(Michelon, Boesso
6 days

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and Kumar 2013)
References
Abraham, S., 2013. Will business model innovation replace strategic analysis?. Strategy &
Leadership, 41(2), pp.31-38.

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Dutta, B. and Jackson, M.O. eds., 2013. Networks and groups: Models of strategic formation.
Springer Science & Business Media.
Greco, M., Cricelli, L. and Grimaldi, M., 2013. A strategic management framework of
tangible and intangible assets. European Management Journal, 31(1), pp.55-66.
Jenkins, W. and Williamson, D., 2015. Strategic management and business analysis.
Routledge.
Michelon, G., Boesso, G. and Kumar, K., 2013. Examining the link between strategic
corporate social responsibility and company performance: an analysis of the best corporate
citizens. Corporate Social Responsibility and Environmental Management, 20(2), pp.81-94.
Morden, T., 2016. Principles of strategic management. Routledge. Grant, R.M., 2016.
Contemporary strategy analysis: Text and cases edition. John Wiley & Sons.
Rothaermel, F.T., 2015. Strategic management. McGraw-Hill Education,.
Zott, C. and Amit, R., 2013. The business model: A theoretically anchored robust construct
for strategic analysis. Strategic Organization, 11(4), pp.403-411.