logo

Porter's Five Forces Model to Evaluate Competitive Forces in an Organisation

   

Added on  2021-02-21

16 Pages5157 Words172 Views
Business Strategies

Table of ContentsINTRODUCTION...........................................................................................................................1TASK 1............................................................................................................................................1P1 Application of different frameworks to analyse the influence of macro environment on acompany and their business strategies........................................................................................1TASK 2............................................................................................................................................6P2 Analyse the internal environment and capabilities of Tesla by using appropriate framework.....................................................................................................................................................6TASK 3............................................................................................................................................9P3 Porter’s Five Forces model to evaluate the competitive forces of a given market sector foran organisation............................................................................................................................9TASK 4 .........................................................................................................................................11P4 Applying a range of theories, concepts and models, interpret and devise strategic planningfor a given organisation.............................................................................................................11CONCLUSION..............................................................................................................................13REFERENCES..............................................................................................................................14

INTRODUCTIONBusiness strategy is defined as the set of actions that helps an individual in achievingobjective of the company. It act as the backbone of company as it provide guidelines to thebusiness with which they are able to perform efficiently in the current as well as future marketplace (Akter and et. al., 2016). The following assignment is based on Tesla which is anAmerican Automotive company having the headquarter in California, US. This report willdiscuss about the impact of macro environment on an organisation. Furthermore internalenvironment and capabilities are discussed with the help of SWOT and VRIO analysis. PortersFive Force model is used in evaluating the competitive forces. At last this study will cover thetheories, concepts and models used by an organisation. TASK 1P1 Application of different frameworks to analyse the influence of macro environment on acompany and their business strategiesVision : To become a leader as a multinational automotive business that focuses on electric vehicles.Mission : To accelerate the world's transition to sustainable energy. Objective : Generate demand and increase sales for Tesla's Motor's electric car. Buildlong-term awareness and manage corporate reputation. Manage Tesla's existing customer base tocreate loyalty and customer referrals.Strategy is defined as an action that are to be done in a particular set of sequence so as toachieve organisational goals and objectives within budget and on time. It is general direction thatneeds to be followed by the company to achieve high results in the near future. Effectivestrategies help businesses to achieve desired results and attain a competitive advantage therebyincreasing its sales and profits. Different strategic planning techniques that are followed in Teslaare as follows :Benchmarking : This is defined as comparing the performance of the organisation with arivalry which is the best in the industry (Channon and Caldart, 2015). This helps Tesla toanalyse its position in the market and helps it to compare its current position with otherrivalries in the market so that its performance can be improved.1

Business analysis : By analysing properly the activities of the business helps inidentifying its weaknesses and strengths so that strategic decisions can be taken toimprove its weaknesses and grab any opportunity present in the market.Various analytical framework to acknowledge macro environmentStakeholder AnalysisThis is referred to as identifying the people who will be impacted by the actions that willbe taken in an organisation before initiation of any project so as to achieve project goals andobjectives (Echchakoui, 2018). This analysis helps Tesla in grouping stakeholders in accordancewith their common interests, level of participation and impact of the project. Following are thesteps for stakeholders analysis ;Step 1 : Preparing a list of all the potential stakeholders of the project. Sales department,customers, marketing department, employees, suppliers, government etc.Step 2 : Prioritizing the stakeholders based on different categories such as interestinvolved, impact of the project, level of participation etc.Following categories can be formulated by following the above steps :High power, high interest : Major stakeholders that have heavily invested in theproject.High power, low interest : The team members of the project who have high powerover the project but low interest.Low power, high interest : Customers and suppliers have low power over theproject but have high interest in the results of the project.Low power, low interest : These stakeholders do not have much interest in theactivities of the company and also do not have any power.Step 3 : Communication of the project to the stakeholders based on the level of theirpriority so that maximum support can be gained from them for the success of the project.PESTLE AnalysisMacro environment refers as the external environment which includes the factors that areuncontrollable and have an impact on the overall performance of the company. In order to studythe macro factors PESTEL analysis is used (Eyvrigh, 2016). Below is the PESTEL analysis ofTesla:2

End of preview

Want to access all the pages? Upload your documents or become a member.

Related Documents
Porter's Five Forces Model: Assignment
|16
|4532
|45

Macro Environment and Competitive Forces in an Organisation
|13
|4466
|311

Different Frameworks to Analyse the Impact of Macro or External Environment on a Company and its Business Strategies
|19
|6394
|46

Analyzing the Impact of Macro Environment and Internal Capabilities on Tesla's Business Strategy
|19
|6513
|55

Business Strategy
|12
|4114
|55

Business Strategy on Tesla Assignment
|21
|5508
|63