MFRD

Business Strategy

Table of Contents
INTRODUCTION ..........................................................................................................................1
TASK 1 ...........................................................................................................................................1
LO : 1......................................................................................................................................1
1.1 Description about companies mission, Vision, core competencies goals and objectives 1
1.2 Identifying the factors that required special consideration when formulating strategic plan
................................................................................................................................................2
1.3 Determining the effectiveness of techniques used while formulating strategic business
plans........................................................................................................................................3
TASK 2 ...........................................................................................................................................4
LO : 2......................................................................................................................................4
2.1 strategic positioning of VK AG by organisational audit..................................................4
2.2 environment audit of VK AG...........................................................................................5
2.3 significance of the stakeholder for formulating new strategies. ......................................6
2.4 selection of new strategies for the company.....................................................................8
LO : 3......................................................................................................................................8
3.1 alternative strategies for market entry, substantive growth, limited growth of the company.
................................................................................................................................................8
3.2 justify the selection of the strategy...................................................................................9
LO : 4 .....................................................................................................................................9
4.1 roles and responsibilities of an individual at VK AG.......................................................9
4.2 requirement of the resources to make new strategies.....................................................10
4.3 Implementation of SMART objective for VK AG.........................................................11
CONCLUSION .............................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
The management for evaluating, implementing, formulating the decisions to enable the
organisation to achieve the goals or the aims for long term is business strategy (Alsudiri, T., Al-
Karaghouli, W. and Eldabi, T., 2013). These strategies help to solve and manage the issues in the
corporate strategy. In the present this report, the two companies are taken a) James Halliburton's
Waterbuoy which has designed a key chain which acts as the device that helps to prevent the
valuables from sinking, b) Volkwagan Group (VWAG) which is an automotive manufacturing
company.
The present report will cover the mission, vision, objectives and core competencies of the
organisation. The effectiveness of techniques used to develop strategic planning for the investors.
Furthermore, Strategic planning for improvement of the business with help of the consultancy '
New Phoenix'. The strategic positioning and environment audit of VK AG will be discussed.
TASK 1
LO : 1
Covered in ppt.
1.1 Description about companies mission, Vision, core competencies goals and objectives
The company James Halliburton's Waterbuoy is selling luminous balloons. The
organisation is manufacturing large size of balloons that contains Led lights in them which cann
be switch on and can be spotted from up to mile away. The mission, vision of the company are as
follows-
Mission : The mission statement is short statement that describes the purpose, scope,
philosophies, activities of firm. The mission of the James Halloburtons Waterbuoy company is to
increase its sales of balloons by designing innovative balloons. The other mission of thee
organisation is to generate profitability and increase revenue.
Vision : Vision statement describes the desired position that company wants to achieve in the
future. The vision of the company is to become top seller of balloons.
Goals : Goals assists firm, in identifying the things that are to be achieved by enterprise.The
goals of Halloburtons firm is to produce innovative balloons to meet the demands and
expectation of customer.
Objectives : Objective of organisation refers to the outcome that thee enterprise would loke to
accomplish. The objective of the organisation is to gain customer loyalty by providing enhanced

quality of balloons (Bapat, D. and Mazumdar, D., 2015). The other objective of the Halloburtons
Waterbuoy is to increase its growth and market share.
Core competencies : Core competencies refers to the strength of the form that helps firm in
gaining competitive advantage over its competitors. The core competencies lie in the technology
used by organisation for producing innovative products. The core competencies of the enterprise
is that company is having skilled and talented employees. The core strength of the Halloburtons
Waterbuoy is that it is manufacturing such balloons that can be attached to mobile phones and
GPS devices.
1.2 Identifying the factors that required special consideration when formulating strategic plan
There are various factors that require special consideration whole formulating strategy.
These factors can be categorise into two internal and external factors.
Internal factors : The various internal factors include organisational culture, environment,
policies, code of conduct, ethics, human resource, leadership style, management etc. These
factors have direct effect on the strategic formulation process. For successful formulation of
strategy it is required by Halloburtons Waterbuoy to consider these factors (Cescon, Costantini
and Rossi, 2013). The financial strategy formulated by the Halloburtons Waterbuoy resulted into
financial crisis as these was being affected by these internal factors. The decision of various
stakeholder i.e internal and external stakeholder has great impact on strategy formulation process
of organisation. These internal factors are manageable and can be controlled by using efficient
planning process.
External factors : there are various external factors that have direct impact on strategy
formulation process of organisation. These elements are uncontrollable and unmanageable. The
various external factors are-
Political factors : The various political factors include code of conduct related to business,
political activities on the country, etc. these factors have direct impact on the strategy
formulation process, as these factors have direct impact on profitability of organisation.
Legal factors : The various legal factors such as increase in tax rate, exchange rate rates and
regulations have direct effect on enterprise activities as well as on plans. These legal elements
have impact on sustainability of organisation.