Strategic Management Report 2022

Running head: STRATEGIC MANAGEMENT
Strategic Management
Name of the Student
Name of the University
Author’s Note

STRATEGIC MANAGEMENT1
Table of Contents
Introduction................................................................................................................................2
1. Vision, Mission and Goals.....................................................................................................2
2. Internal Analysis:...................................................................................................................3
Strengths and Weaknesses.....................................................................................................3
3. External Analysis...................................................................................................................3
Opportunities and Threats......................................................................................................4
Porter’s Five Forces Analysis................................................................................................4
PESTEL Analysis...................................................................................................................5
4. SWOT Analysis.....................................................................................................................6
5. Business Level Strategy.........................................................................................................7
6. Corporate Level Strategy.......................................................................................................8
7. Three Functional Level Strategies.........................................................................................9
8. Organizational Structure, Control Systems and Culture........................................................9
9. Governance Mechanism and Ethical Issues.........................................................................10
10. Financial Analysis of the Firm’s Performance...................................................................11
11. Recommendation................................................................................................................13
Conclusion................................................................................................................................13
References................................................................................................................................15

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Introduction
The main aim of this report is to recommend the correct investment decision while
taking into consideration all the necessary aspects. At the time to invest a substantial amount
in a particular firm, it is needed to take into consideration the analysis of the crucial factors of
that firm in order to obtain understanding about the overall strategic position as well as
performance. From this analysis, the investor can know about the company from different
dimensions such as strategic dimension, financial dimension and others. This report involves
in the analysis of different aspects of an Australian airline company named Flight Centre
Travel Group. There are certain parts of the report. One key part of this report involves in
internal and external business environment analysis of the chosen firm with the help of
appropriate strategic tools like SWOT analysis, PESTEL analysis and other. Another part of
this report involves in the analysis of both business level and corporate level strategy of the
selected firm. Moreover, this report also undertakes the analysis of financial performance of
the firm. A recommendation is provided based on the whole discussion.
1. Vision, Mission and Goals
Vision – The vision of Flight Centre Travel Group is to become the most exciting and
profitable travel retailer in the world through the delivery of amazing experience to the
company’s people, customer and partners (fctgl.com 2019).
Mission – The mission of the company is to open up the world for those who want seen. It
implies that the company is to provide opportunities to its people, employees and suppliers
through the business operations (fctgl.com 2019).
Goals – One of the major gaols of Flight Centre Travel Group is to ensure increase in
distribution in the lower cost model by the year 2022. This particular gaol is aligned with the
goal of gaining productivity in the company’s core consultant model in order to deliver a

STRATEGIC MANAGEMENT3
global net margin across all the leisure models. It aims at becoming the world’s largest and
most successful corporate travel firm having operation in 50 countries with 80,000 employees
all over the globe (fctgl.com 2019).
2. Internal Analysis:
Strengths and Weaknesses
Strengths Weaknesses
 FCTG has an effective distribution
network.
 FCTG has a comparatively low cost
structure.
 Strong financial position is a major
strength of FCTG.
 FCTG has a goodwill for successful
integration through merger and
acquisition.
 FCTG has a strong brand portfolio
which is majorly responsible for its
success.
 FCTG has a highly skilled employee
base which is a key strength.
 There is a lack of investment in
Research and Development in FCTG
as compared to other competitors.
 Lack of diversification in FCTG’s
workforce makes it difficult for the
employees with different racial back
group to adjust in the company.
 Less amount of investment in
Quality Control is weakness for
FCTG.
 Lack of investment in new
technology is a major weakness of
FCTG.
 High employee turnover rate as
compared to its competitor is a key
weakness of FCTG.