Strategic Management Analysis of Atlassian Corporation plc.

RUNNING HEAD: STRATEGIC MANAGEMENT
0
STRATEGIC
MANAGEMENT
Atlassian Corporation plc.

STRATEGIC MANAGEMENT 1
Executive Summary
Atlassain is a software company of Australia, the purpose of the report is to know the condition
of the software industry. In this report the PESTEL analysis and porter’s forces analysis shows
that most of factors considered positively to the company like technological, economic, political
as well as the power of the buyer and suppliers is high. The analysis of the company is also done
and VRIO framework is created, further the analysis of the competitor show that there is high
competition in the industry. The business level strategy includes cost leadership and
Differentiation Company used is discussed and new is recommended to enlarge the sales. The
recommendations are also provided like, forecasting, product- market matrix to expand the
business.

STRATEGIC MANAGEMENT 2
Table of Contents
Introduction......................................................................................................................................3
Analysis of Macro environment......................................................................................................3
PESTEL Analysis........................................................................................................................3
Political factor..........................................................................................................................3
Economic factor.......................................................................................................................3
Social factor..............................................................................................................................3
Technological factor.................................................................................................................4
Environmental factor................................................................................................................4
Legal factor...............................................................................................................................4
Industry analysis..............................................................................................................................4
Life cycle stage............................................................................................................................4
Porter’s five forces analysis.........................................................................................................4
Company analysis............................................................................................................................5
Resources and capabilities...........................................................................................................5
Core competencies.......................................................................................................................5
Competitive advantage.................................................................................................................5
VIRO framework......................................................................................................................5
Competitor Analysis........................................................................................................................6
Strategic Analysis............................................................................................................................6
Business level strategies...............................................................................................................6
Cost leadership strategy............................................................................................................6
Differentiation..........................................................................................................................6
New strategy................................................................................................................................6
Focused strategy of low cost....................................................................................................6
Focused on distinctive to niche market....................................................................................7
Recommendations............................................................................................................................7
Conclusion.......................................................................................................................................7
References........................................................................................................................................8
Appendix..........................................................................................................................................9

STRATEGIC MANAGEMENT 3
Introduction
Atlassian Corporation plc is an Australian company that develops the products for the software
developers and the project managers and for the content management. The company is in the
software industry and provides services to more than 135,000 consumers. In the year 2018
revenue earned by the company is $874 .0 million as well as at present 3061 employees are
working in the company (Anon., 2018). The purpose of the report is to find out the factors
affecting the company, analysis of competition in the industry, core competencies of Atlassian as
well as to provide recommendations to the company. These aspects is discussed in the report
through PESTEL analysis, the analysis of industry is done through Porter’s five forces model,
further VRIO framework is also discussed in the report, to know the core competencies of the
company. The recommendations are provided through analyzing the threats of the competition.
In this report business level, strategy used by the company is also identified and suggestions are
provided to makes improvement in current strategy. The Key outcome of the report is to know
the company position, industry attractiveness to provide recommendations for further
improvement and expands globally.
Analysis of Macro environment
PESTEL Analysis
Political factor
In the year 2016, due to Brexit as well as the election held in the United States changes the
President of the country that is Donald Trump. These changes in the events of political
strengthen the dollar of U.S whereas weaken the currencies of the foreign. This contains the
positive alteration for Atlassian, because it only agrees to take payment through the dollar of
U.S., but incurred expenses in the country of Europe (Burdon & Dovey, 2015).
Economic factor
The increase in the interest rate to 6.35% in the year 2015, leads higher investments, which
influenced positively to the Atlassian Corporation Plc and raise the revenue up to $320 million
(Zaheer et al., 2018).A greater unemployment, which is 5% in the year 2018, decease the cost
of the company because person also works in the lower wages.
Social factor
The inequalities is rising in Australia , in the year 2016 the population of lower class is about
13.3%, influenced by Atlassian corporation Plc. to not promote a first-class manufactured goods
to the public. In 2018, the population of the country is 24,772,247 and the median age is 37.5,
which affects the Atlassian to develop the product and choose marketing strategies accordingly
(Beck et al., 2017).