Organic Tasmania Business Strategy

This assignment requires you to develop a comprehensive business strategy for a hypothetical organic farm located in Tasmania. You will analyze the competitive environment using Porter's Five Forces, conduct a SWOT analysis to identify internal strengths and weaknesses as well as external opportunities and threats, and consider key sustainability factors relevant to organic farming. The final strategy should outline specific goals, tactics, and potential challenges for success in the Tasmanian organic market.

Running Head: Strategic Management
Strategic Management

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Executive summary
The report is based on Bellamy's company, an organic company based in Australia. Bellamy’s is
specialized in selling the organic products for the babies and toddlers. The report is based on the
finding of the strategy that company should implement to establish the business in the Chinese
market. The strategy helps the company in achieving and maintaining the sustainable
competitive advantage in China. The paper covers the theoretical concepts and the analytical
tools such as PESTLE analysis, Porter’s 5 forces, Porter’s value chain, balanced scorecard and
the strategy map.
The paper includes a brief discussion and analysis of the Chinese market for the Organic
products. The company should implement product development as a new strategic initiative that
helps the company in establishing the business in China. To measure the suitability of the
strategic initiative for the China market, company utilize the analysis of the external
environmental factors. The external environment can take place in the form of the macro and
microanalyses. These analyses help in evaluating the factors that can affect the working of the
company. The Porter's 5 forces can help the Bellamy’s in understanding that the company should
continue implementing the strategy in the Chinese market. Further, the report consists of the
strategy that needs to be implemented and the implementation of the strategy conducted by the
company. At last, the report talks about the measuring the strategic initiatives that are measured
by the company with the help of the balanced scorecard and the strategy map.

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Contents
Executive summary.........................................................................................................................1
Introduction......................................................................................................................................4
Range of the products..................................................................................................................4
Current generic strategy of Bellamy’s.............................................................................................5
Porter’s value chain.....................................................................................................................5
Primary Activities....................................................................................................................6
Support Activities....................................................................................................................7
New strategy Initiatives...................................................................................................................9
Market analysis of China.................................................................................................................9
Organic products in China.........................................................................................................12
Growth in the China market......................................................................................................12
Product development in China.......................................................................................................13
Suitability of strategic initiative.....................................................................................................14
Macro analysis...........................................................................................................................14
Pestle analysis........................................................................................................................14
Microanalysis.............................................................................................................................18
Porter five forces analysis......................................................................................................18
Strategy implementation plan........................................................................................................20
Changes to implement the plan..................................................................................................20

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Implementation of the strategy..................................................................................................22
Measuring strategic initiatives.......................................................................................................23
Balanced scorecard....................................................................................................................24
Strategy Map..............................................................................................................................27
Conclusion.....................................................................................................................................29
References......................................................................................................................................30

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Introduction
Bellamy's is an organic company which is founded by a Tasmanian family in the year 2004. The
company provides a convenient nutritious choice to the children. The company offers a wide
range of the organic food and formula products for babies, toddlers and young children with
more than the 30 products in the range from birth to early childhood. Bellamy's natural was
obtained by Tasmanian Pure Foods Limited in 2007. It is an exclusive business whose mission is
to put resources into and develop the Tasmanian sustenance and agribusinesses. Tasmanian Pure
Food Limited was renamed to Bellamy's Australia Limited in June 2014 (Bellamy’s Organic,
2017).
The mantra of the company is mindful eating from the beginning. In simple words, the company
wants to bring the awareness of what we eat and teaching the children good eating habits from
the beginning. The company believes in continue to grow into healthy happy children and adults.
The report talks about the strategies that the company follows in expanding the business in the
Chinese market. The brief evaluations and analysis about the market of the china are discussed.
Range of the products
The company's range of products includes the infant formula, baby rice, toddler milk, cinnamon
breakfast, brown rice pasta, baby macaroni, and vegetable macaroni. The company manufactures
the product for the different categories of the people (Paull, 2017). The target of the company
consists of the new-borns (0-6 months), toddlers (1-3 years) and infants (6-12 months). In the
year 2014, the company expanded the range of the product, now the company started organic
milk drinks for the children of the age group of 3+ year’s age group. This shows the
differentiation of the products that the company is providing (Morgans, 2015).

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Current generic strategy of Bellamy’s
The Bellamy’s company follow the strategies to enhance the working and sales of the company.
Most of the Australian is now getting to know the benefits of the organic food for the children.
The generic business strategy that is used by the company is product differentiation; this is the
marketing strategy that is used by the company to distinguish the product from the similar
offerings in the particular market. The company follows the product differentiation to increase
the brand loyalty of the company by providing the different and high-quality products (Hoberg,
and Phillips, 2016). If in case the customer will get the cheaper product from the competitors
than also customer like to purchase the product with the Bellamy’s. The reason being customer
believes in the services provided by the company with the quality products.
Product differentiates change the customer perception for the single product. The product
differentiation doesn't mean that the company needs to bring the changes in the product but it
means that the company can bring the changes in the advertisement, promotion strategy or sales.
With the change in the packaging of the product, a company can attract the customers towards
the product. This is the strategy which is followed by the company in the Australian Market.
Porter’s value chain
The porter's value chain is used by the company to analyze the activities that an organization
performs. This helps the Bellamy Company in analyzing where the company activities are going
wrong and where the changes are required (Porter, and Heppelmann, 2015). These activities are
managed by the company for the evaluation of the performance of the company. The value chain
consists of the primary activities as well as the support activities.

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(Source: Miller, and Mork, 2013)
Primary Activities
Inbound logistics
The inbound logistics of the Bellamy’s include the selection of the raw material which is used by
the company to produce the organic products in the market. The raw material purchased by the
company going to be transported to the storage sites of the Bellamy's. After completing the
manufacturing of the organic products, the company sent the products for the packaging of the
product (Bharati, and Chaudhury, 2015). Once the packaging of the products finished then the
company send the product for the distribution at the different stores.
Operations
The main operations of the company take place in Australia itself. Though, the company exports
its product to the other countries and the company is also willing to expand the business in the
different places. In the year 2012, the company opened the new office in Shanghai and in the

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year 2014, the company opened the office in Singapore, the reason being the organic products
are high in demand in Asia (Christopher, 2016).
Outbound logistics
The company supplies its product range to the pharmacy chain, supermarket chains, and sells the
product directly to the customer, or provide the product online. The company maintains the
independent stores in Australia through which the company makes the products available to the
customers (Sandhu, 2015).
Marketing and sales
Bellamy’s invest in increasing the product range of the products and company invest in
enhancing the awareness about the organic products to the customers. This is possible with the
marketing and sales of the product. The company performs the marketing activities when the
company launches a new product in the market (Stadtler, 2015).
Service
The company believes in providing the certified organic products to the customers that help in
enhancing the customer experience and loyalty towards the company (Bornemann, and
Wiedenhofer, 2014). The certified organic product provides the peace of the mind to the
customers that they are feeding their child chemical free products. The company provides the
organic products online, so a company needs to provide the after sales and before sales services
to the customers.
Support Activities
Infrastructure

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The infrastructure consists of the departments like legal, finance, management, etc. which is
must for the company to manage the store's operations (Bharati, and Chaudhury, 2015). The
employees of the company try to generate more of the information about the organic products.
The stores situated in the Australia are well designed and pleasing stores.
Human resource management
The company’s employees are the one that helps the company in achieving the success and
growth. The company motivates the employees by providing them benefits related to the perks,
and incentives. The work culture of the company motivates the employees to perform the
activities and to retain in the business (Armstrong, and Taylor, 2014). The training programs are
conducted for the employees which helps the employees to deal with the customers of the
company.
Technology Development
The company Bellamy’s is using the technology to connect the customers. The technology helps
the company in enhancing the availability of the company. The company is using the technology
in the manufacturing process of the products (Montgomery, and Oladapo, 2014). The company
should work on the innovation to enhance the sales of the products in the Australian market. This
innovation helps the company in enhancing the network in the Australia.
Procurement
To manufacture the final product the company has to procure the raw material. The company
forms a good relationship with suppliers to keep the regular flow of the raw material (Chen,
2016). The company manufactures the products with no chemical pesticides, no chemical

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fertilizers, and no artificial additives. For maintaining the standard company needs to procure the
raw material.
New strategy Initiatives
The company uses new strategy in expanding the business in the China market. The strategy
initiative Bellamy's consider for the establishing business in China is product development. The
product development includes the new product with the different characteristics that offer new
and extra benefits to the customer (Reinertsen, and Bellinson, 2014). The company can bring the
modification in the existing product of the Bellamy’s through which the company will be able to
fulfil the demand of the customer and the Chinese market. Though, the different market consists
of a different requirement of the customers. Similarly, in the Chinese market, the demand of the
customers varies from the Australian customers. In China Company can bring the change in the
development of the product which helps the company in setting the market in China. The China
market shows the growth for the baby non-food product, so the company can implement this
strategy to enhance the baby food products.
Market analysis of China
Since 2012, the company is growing direct and the cross-border sales in the China markets with
the on-the-ground presence. The company is manufacturing the products considering the demand
of the China market. The baby food industry shows a rapid growth in the Chinese market. In
China, the growth of the whole baby industry reached 11% with the non-food categories growing
over 17%. In China, the removal of the one-child policy can provide the advantage to the
company. With the removal of the policy, the demand for the baby products will increase in the

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market. More than 70 per cent of the mother's formula feeds in the first 6 months. The culture of
the China says that they have the deep connection with the wellbeing and the health of the babies
(Li, and Huang, 2014). The country is consist of the biggest demographic for the online is
Women aged 25-35.
Data source: Nielsen Retail Index updated till Dec.15
The diagram shows the growth in the sales of the baby food and baby non-food in the China
market. The growth for the baby non-food is high as compared to the growth of the baby food.
The company found that the China market for the IMF is a unique market and it is the largest
IFM revenue pool across the world.

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Data Source: Nielsen Retail Measurement Service, updated to 1506
The infant milk formula (IMF) market grew in the china at 21%. The above image talks about
the sales of the different channel such as MT, MBS, and B2C. The images show that there is a
change of approximately 5% and 21%. There are 9 distinct retail networks servicing infant
formula customer’s product of the Bellamy’s. These networks help the companies in enhancing
the brand recognition of the company. It is required to make the customer aware of the
development that the company is bringing in their products (Ellickson, Houghton, and Timmins,
2013).
The company's route to market in China is enhanced with the strategic partnership with a focus
on providing the delight services to the customers. Company sales the product in the market in
different ways which include platforms and resellers, offline, flagship stores and many others.
The company is trying to build the capabilities to win the China market. The company is willing
to build the strong relationship and collaborations with the Chinese market in order to enhance
the business activities. Though, the market share of the company is declining from the past few

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months. Bellamy's has blamed regulatory disruption and competitive price-cutting in China for
their problems. The company needs to enhance the position in the Chinese market.
Organic products in China
The people of China have a good understanding of the nutrition and health related to the organic.
They know that consuming organic products means they are having the pure and the
uncomplicated nutrition. The people of China are concerned for the organic food safety and
integrity. Chinese people are getting influenced by the western trends that are the reason they
want to consume more of the organic products now (Loebnitz, and Aschemann-Witzel, 2016).
Their understanding about the organic products showed a rise, they get to know more about the
features of the organic products which include the no GM ingredients, no antibiotics and no
harmful chemicals (Stuff, 2017).
Growth in the China market
To enhance the growth in the China market company need to focus on the brand value and the
product development strategy of the company. The company can provide the pure uncomplicated
nutrition’s in vogue (this vogue include specific Tier 1 and 2 cities). The company should try to
build the partnership in the media, social and on online platforms. The media plays a vital role in
establishing the brand value in the market. The deep distribution strategy will work for the
company along with the strong distribution partnerships. The company believes in importing the
finest sourced organic ingredient from all over the world (Willer, and Lernoud, 2016). Bellamy’s
clear position is that the company deals in purely organic products. Hence, the company needs to
make this position in the Chinese market.

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The images show the baby milk volume, kg per capita in the year 2014. The image indicates
towards the market size and the premium pricing result in unique economics in China. The
market size of the china is big as compared to the other places. The image also shows that these
are the places where the company is willing to expand the business or already expanded the
business (Reganold, and Wachter, 2016). The company is willing to keep the premium prices in
China because the company knows that the purchasing power of the Chinese is relatively high as
compared to the other countries.
Product development in China
The main aim of the company is to build the brand recognition in the china for enhancing the
sales of the baby food that is possible with the help of the product development in China. China
offers various market potential according to the retail sales of the infant formula in the year
2014. The company needs to enhance the sales for that company should try to add on the benefits

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after considering the requirement of the customers of the china (Liu, Pieniak, and Verbeke,
2013). The company should bring the change in the products because the Chinese customer
knows about a much organic product and they like to prefer product having those organic things
as a raw material.
Suitability of strategic initiative
The company needs to check the suitability for the strategic initiative in the market for this the
company analyses the market. The Bellamy's conduct the environmental analysis in which the
company analyses the market to check the suitability of the strategic initiative (Sadovskyi, Engel,
Heininger, Böhm, and Krcmar, 2014). The factors included in the environmental analysis can
affect the working of the company.
Macro analysis
The macro analysis of the company consists of the factors that can influence the decision-making
of the company which indirectly create the impact on the growth and the performance of the
company (Jockers, 2013).
Pestle analysis
Pestle analysis is an analytical tool that is used by the company for the strategic business
planning. It is a framework that helps the business in understanding the external influence on a
business (Ho, 2014).

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P- Political factors
Political factors play a vital role in determining the factors that can affect the working and
profitability of the Bellamy’s in the Chinese market. It is the duty of the government of the china
to create the awareness into the people to enhance the consumption of the organic food products
for the babies. The organic companies get affected by the policies of the country (Edwards, and
Seda, 2016). Over here, Chinese people have a good understanding in relation to the organic
products. So, the health policies of the company can make it easier for the company to expand
the business in the china. Similar to the other industry organic industry also faces the legal
legislation to enter into the free trade agreement with the other countries. Bellamy’s have taken
care of all the legal legislation while entering the Chinese market to spread the business.
E- Economic factors
The economic factor includes the inflation, recession, consumer spending or purchasing power,
etc. the market economy of the china is the second largest economy by the nominal GDP which
is $10.73 trillion and GDP per capita consists of $14,600. This shows that the purchasing power
of the china is quite good and they can easily afford the organic product. The reason behind the
affordability is the organic products are generally high in the prices as compared to the other

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products. The availability of the products is increasing in the country the reason being the
company is following the deep distribution channel. With the help of the deep distribution, the
company can easily enhance the availability of the product in the market. The company selected
the right market to spread the business because China is a highly populated country with
approximately 1,373,541,278.
S- Social factors
The social factors show the attitude of the customers towards the products. In the organic food
for the babies, the attitude of the people changes they started linking the product with the
identity, ethics, consciousness, etc. (Ansah, Sorooshian, Mustafa, and Duvvuru, 2016). Though
the Chinese are well aware of the use of the healthy product but initially buying the products for
the company can demand on the behavior of the consumers. Chinese start thinking for making
the life healthy and they should try to use the organic baby product introduced by the Bellamy’s.
The company is following the product development strategy which helps in fulfilling the demand
of the customers. Though, the consumers of the china avoid buying the organic products. The
reason is that they not able to identify the authenticity of the organic products.
T- Technological factors
The technology uses helps the company in enhancing the sales of the products. The Bellamy’s
company uses the technology in manufacturing the organic product (Weaver, Jansen, Van
Grootveld, Van Spiegel, and Vergragt, 2017). For enhancing the sales of the product, a company
uses the digital platform for the distribution of the products. The technology uses makes it
convenient for the company to process the operations. The Bellamy’s takes the online orders for
the company and provide the facilities at the doorstep. The use of the advantage technology will

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help the company in enhancing the profitability in the China market. Though, the company has
to invest the big amount for adapting the new technology. The implementation of the technology
in the business will help the company in creating the competitive advantage in China market.
L- Legal factors
Each and every company need to fulfill the legal obligation of the country. The company has to
focus on the environmental law, company law, and the investment regulations as it is compulsory
for the company to follow the laws (Rothaermel, 2015). The Bellamy's need to ensure the safety
and the security of the company's employees while processing the business activities. If a
company thinks for the benefit of the employees then the employees will definitely work with an
efficiency that will indirectly help in enhancing the productivity of the company. The company
will be able to form the good brand value and reputation in the market (Bocken, and Bocken,
2017).
E- Environment factors
While preparing the organic foods company make sure that they remove that the product is
purified. The global warming is one of the environmental factors; this environmental factor can
affect the operations of the Bellamy’s. Due to the global warming, the farmers were not able to
provide the raw material according to the company's demand (Collinet-Adler, et.al. 2015). At the
time of the global warming, the production capacity decreases. In the China market, the people
so care for the environment of the country. The government of the country also keep the eye on
the environmental factors.

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Microanalysis
The microanalysis of the company refers to as the factors that affect the ability of a company to
build and maintain a successful relationship with the customers (Hardyman, Daunt, and
Kitchener, 2015). These factors also affect the working of Bellamy's company.
Porter five forces analysis
The Porter’s Five Forces Framework is a tool that can be used by the company to evaluate the
competition of a business. This analysis includes the bargaining power of the supplier,
bargaining power of the customers, threats of substitutes, threat of new entrants, and competitive
rivalry (Yunna, and Yisheng, 2014).
(Source: Fabbri, and Klapper, 2016)
Bargaining power of the customers (Moderate)
This bargaining power of the customer shows the effect of the customer in the business. The
bargaining power of the customer is moderate in China the reason being the customers are aware
of the organic products but they avoid buying the organic baby food products. The market of the
organic products is yet to be developed in China. Hence, the customer can't switch to the other

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companies. The growth in the purchase of the organic baby non-food shows a hike instead of the
organic baby food.
Bargaining power of the suppliers (Low)
The suppliers of the company include the suppliers from the local, regional, and national
demanding on the needs of the natural and organic products (Haucap, Heimeshoff, Klein,
Rickert, and Wey, 2013). Bellamy’s is trying to expand the business along with that company
wants to expand the supplier chain as well. The suppliers of the company can demand the extra
amount for the organic products because the organic products are more costly as compared to
other products.
Threat of substitutes (low)
The customer was not able to find the substitutes for the organic natural product or GMO foods.
Though customers can consume the other general products that are available in the market they
will not be able to use the organic and healthy products (Gary, and Heiko, 2015). In China, the
use of the organic products is limited that is the reason they will not be able to find the other
companies who provide the baby organic products.
Threat of the New Entrants (Moderate)
The company faces the threat of the new entrants in the Chinese market. The companies who
deal in the organic products will like to spread the business in the other countries (Warren,
2015). So they can attract the customer with the organic products that can be consumed by the
customers for their babies and for themselves. Though expanding the business of the organic
products need a huge amount of the investment but companies can spread the business in the
Chinese market.

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Competitive Rivalry (Low)
The company has the low force of the competitive rivalry. In the market of the china, there is
very less number of the companies who deal in the organic products. The companies who deal in
the organic products have categorized them in the different categories which make them different
from the each other. In the China market, there is very little availability of the baby products.
Bellamy's will not face any competition in the organic products as there is very less a company
who deals in the baby organic products. A2 and the Blackmore's are the Australian companies
which deal in the organic products. In the near future, Bellamy's company might face the
competition with these two companies. Though, the Blackmore also produces the baby formula
that consists of the vitamins which are high in the demand in China.
The above description shows the analysis of both macro and micro, this analysis helps Bellamy’s
company in evaluating the factors that can affect or influence the working and performance of
the company (Grant, 2016). The analysis will also guide the company how to work on a deal the
situation with the help of the implementation of the strategies.
Strategy implementation plan
The company needs to bring some of the changes if the company is willing to expand the
business in the world. The strategies for the China market need to be different considering the
required analyses of the market.
Changes to implement the plan
The company accepted the truth that China sales of the product aren't going well as it was
expected. The company is facing the huddle which creates an impact on the working of the

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company (Xie, Wang, Yang, Wang, and Zhang, 2015). The company said that the change to the
china's food import rule had led to stockpiles of its product and demand was not meeting
forecasts. The company might have glossed over the headwinds coming from the china in the
general meeting of the Bellamy’s which took place 2 months ago (Dagge and Sun, 2017).
In the month of the October, the company said they can find the growth in the sales of Bellamy's
sales in China with the revenue up 331%. The company also found the long-term growth
opportunities for the company because of the changes in the regulation of the china. Though, at
this point, the company faced the loss of the credibility. The inventors of the Bellamy's don't
want to invest in the Chinese market because they can see that the changes in the Chinese tastes
and the regulatory changes can be a risky deal for them (Morgan, 2016). The revenue that the
company is earning is from the Australian market not from the Chinese market. Bellamy’s
decided to implement following strategy in China.

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This is the strategic plan that can be implemented by the company for the China market. The
plan starts with the analysis of the market and ends with the implementation of the feedback
shared by the customers for the particular product.
Implementation of the strategy
The implementation of the strategy is must to accomplish the strategy of the product
development. To bring the product development company need to implement the changes in the
plan. The plan starts with the market analysis, the market analysis of the product include the
research related to the choices of the customers in the Chinese market. The evaluation of the
Market analysis (2 months)
Evaluation of the customer
choices (1 month)
Development of the
product (3 months)
Testing of the product (1
month)
Launch of the product in the
market (15 days)
Feeback of the cutsomers (3
months)
Evaluation of the feedback
of the customers (2 months)
Implemneting the feedback
(3 months)

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market analysis is done by the company to understand the demand of the customers of the china
(Bamberger, Biron, and Meshoulam, 2014). This evaluation helps the company in bringing the
changes in the product of the company according to the demand. The next step is a development
of the product which is possible after proper research of the market. The Bellamy’s product
development is done according to the demand of the customers so that they can make the space
of the organic baby food products in the market.
The testing of the product is an essential step that company conduct to avoid the failures in the
product. These organic products are for the newborn babies and for the infant, so company
believes that they need to be extra careful with the testing of the product. After the testing, the
product the company will be able to launch the product in the market. The company should try to
make this launching an effective launching. This can be done by the advertisement of the product
which is launched by the company; the advertisement is an effective mode that can be used by
the company to generate the awareness of the product into the market.
After the successful launch of the product, a company will wait to see the result of the product in
the market. The company will conduct the survey with the help of which company will be able to
know about the feedback of the customer in regards to the newly launched product. The
company will evaluate the feedback given by the consumers for the product. The company will
implement the changes in the product according to the evaluation of the feedback of the
customers. This helps the company in enhancing the customer experience of the customers.
Measuring strategic initiatives
The company will be able to measure the strategic initiative with the help of the balanced
scorecard and the strategy map. The balanced scorecard helps the organization to analyze the

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success of the strategy implemented by the company. The company implements the strategies but
the measurement of the strategies is important for the company to analyze the loopholes that
hinder the growth of the company into the Chinese market.
Balanced scorecard
The balanced scorecard consists of a set of the measurement for 4 strategic perspectives. The 4
strategic perspectives include finance, customer, learning and growth and the business process
(Coe, and Letza, 2014). The image clearly shows the measurement of the each perspective that is
used by the company.
(Source: Martello, Watson, and Fischer, 2016)
The table shows the perspective description considering Bellamy’s in the Chinese market. The
table consists of the goals, objective and the measurement for each perspective. The company

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form some of the goals and objectives for the Chinese market and then measures the success of
the strategy that is followed by the company.
Perspectives Goals Objectives Measurements
Customer Product development
helps the Bellamy’s
in enhancing the
customer services and
experience.
The company should
reduce the time from the
order receipt to the
delivery. The company
believes in delivering the
product on time. The
company wants to reduce
complaints of the
customer.
The company delivered a
maximum number of
products on time. The
reason being the
company took the
average lead time. The
customer got the delivery
on time this helps in
reducing the customer
complaints related to the
product.
Internal
business
In China, the
company is willing to
improve the business
processes to enhance
the sale of the
products.
The company wants to
bring the decrease in the
cycle time. This is the
time from the start of the
process till the end. The
company should try to
enhance the productivity
and the quality.
The cycle time decrease
and it becomes the
average cycle time. The
quality of the product
increased and the number
of the defects and the
number of items
reworked. The employees
of the company worked

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effectively.
Innovation and
Learning
Product development
is possible with the
help of the innovation
of the product. In
China, the company
needs to develop and
deliver the innovative
products and
services.
The product development
time should be reduced
by the company. As the
introduction of the new
product in the market is
the time-consuming
process. Innovative
products will bring the
rise in the sales of the
new products and
services.
The innovative products
enhance the sales of the
new services and the
products. The company
took the average time
from the initial design to
production.
Financial The financial
performance is must
for the business to
sustain the business
in the China market.
The company will be
able to enhance the sales
and market share of the
company by decreasing
the cost of the products.
The company kept the
price of the organic
product quite average.
There will be growth in
the sales and the market
share of the company.
Strategy Map
The strategy map is the second generation or the updated generation of their balanced scorecard.
The map indicated the primary strategic goals that are perused by the management of the

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company (Quezada, and López-Ospina, 2014). The strategy map helps Bellamy's company to
keep the eye on all the information that is convenient for the managers of the company in
achieving the goals and objectives of the company. The strategy map also contains the 4 goals
such as finance, customer experience or satisfaction, innovation and the internal business
processes. The connecting arrows in the images reflect the effects and the causal relationship of
the goals.
(Source: Tjader, May, Shang, Vargas, and Gao, 2014)
The arrows in the image are interrelated which shows the relationship with each of the
perspective. This shows the growth strategy of Bellamy's company along with the product
strategy.

Strategic Management 28
The Bellamy’s activities in the Chinese market are inter-linked. The innovation is must for the
development of the product, with the help of the innovation the internal business activities like
production, distribution, design, and development will take place. The innovation is possible
because of the skilled employees of the company. The development of the product helps in
forming the good relationship with the customers by fulfilling the demand of the customers.
Bellamy’s follows the regulatory and the social policies that help the company in building the
image in the eyes of the customers. Distribution of the product is the internal process of the
business that helps the company in providing the service to the customers. The customer
satisfaction will enhance the sales of the products. This will indirectly help in enhancing the
revenues from the Chinese market. This will make the shareholders invest in Bellamy's project.
This investment helps the company in spreading the business across the world.

Strategic Management 29
Conclusion
The report throws the light on Bellamy’s expansion of the business in the Chinese market. At the
initial, the report includes the current strategy that the company is following in Australia. The
company is willing to expand the business in the market of the China and Asia. Bellamy’s
selected the Chinese market for establishing the business because the company knows that
Chinese knows the value of the organic products. Though, the company is facing the issues in
setting the business in the Chinese market. The shareholders are not willing to invest in the
business because they found the risk factor in the business.
The report includes the description related to the product development strategy that the company
should follow in China. Pestle analysis and the porter 5 forces analysis help the company in
evaluating the suitability for the product development strategy for the company in the China
market. According to the analysis, a company developed a strategic implementation plan
(Jannesson, Nilsson, and Rapp, 2016). The measurement of the success is analyzed by the
company, to check that either they are able to achieve the success in the Chinese market or not.
The company can make the changes in the plan to establish the successful business in China. The
company needs to generate the awareness about the organic products in the market and also
company should establish a brand position in the market (Lanz, and Maurer, 2015).

Strategic Management 30
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