Strategic Directions of JD Sports for Market Expansion in UAE

MS60043E – Strategic Management
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Executive Summary
The assignment mainly highlights the strategic directions of an organisation and JD Sports has
been selected for making the assignment. For having better revenue generation rate, the
leadership and management department of the organisation decides to expand its market in UAE.
Business environment of UAE has been highlighted in the report and it has found that the market
is quite beneficial to expand market. Additionally, either product differentiation or cost
leadership strategy may help the company to achieve its sustainable advantages. Lastly, the
organisation has to improve its product, pricing and competitive policies and procedures for
having required success in the UAE market.
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Introduction
In the competitive scenario, every company needs some proper strategic directions to thrive and
to generate revenue from their primary investments. Different processes of strategic management
may involve objective setting, competitive environment analysis, strategic evaluation and
ensuring management success. For conducting the project about strategic management, JD
Sports PLC, which is the UK based retailer selling fashionable casual and branded sportswear
has been selected. Initially, the organisation established back at 1983 and currently it is the
largest sports and casual wear brand of the UK. Initially the organisation opened as a single shop
and by 1996, it was able to open almost 56 different stores across different regions of the UK.
Recently, the management and leadership department of the organisation decided to expand its
market in Asian region and it selects UAE (United Arab Emirates) for making the expansion
process.
Retailing of sports goods and services has immersive presence in the apparel market of UK and
the industry is expected to rise even more in coming generation. Two biggest brands of UK retail
sector belong from the sports fashion industry including Sports Direct and JD Sports. It is
forecasted that the sportswear market of UK will grow by almost 20.9% by the end of 2023
while reaching €6.7 billion. The organisation is quite successful even after the recent pandemic
hit where most of the organisations are not being able to generate as much revenue as they would
like. However, the organisation is facing some challenges due to supply chain disruption and low
employee satisfaction rate. In the assignment, internal and external analysis of the company will
be represented from the perspective of their market expansion plan at UAE. Lastly, competitive
strategies and strategic direction available for the company will be explained.
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