Strategic Management of JD Sports PLC

Strategic Management

Executive Summary
Strategic management is concerned with the process in which organisation link its
resources and activities with its goals and objectives. In order to do so firms undertake extensive
research of external as well as internal environment of organisation and identify factors affecting
performance and effectiveness of organisation. On the basis of these strategies are developed and
Organisation undertake strategic management. This report has discussed about JD Sports PLC
and undertook research and Analysis of it internal and external environment. In order to analyse
the external environment pest analysis was used along with porter’s five forces framework
analyse competitive environment of organisation. Internal environment of JD Sports PLC was
analysed application of value chain analysis model. In order to identify competitive strategies of
company Porter generic strategies were applied and strategic direction for company was
discussed through Ansoff Matrix and its strategies.

Table of Contents
INTRODUCTION...........................................................................................................................4
External Environment Analysis.......................................................................................................4
Pestle Analysis.............................................................................................................................4
Porter’s 5 Forces Model...............................................................................................................6
Internal Environment Analysis........................................................................................................8
Value Chain Analysis..................................................................................................................8
Identification of Competitive Strategies........................................................................................10
Porter’s Generic Strategies........................................................................................................10
Strategic directions and & methods of expansion.........................................................................12
CONCLUSION..............................................................................................................................13
Recommendation...........................................................................................................................14
REFERENCES..............................................................................................................................15

INTRODUCTION
Strategic management can be defined as management of resources of organisation which
enables organisation to achieve its goals and objectives. This report aims at discussing strategic
management of JD Sports PLC, a British sports-fashion retailer. Company was founded in 1981
and is headquartered at Bury, England, UK. JD Sports PLC is a subsidiary of Pentland Group
and has shops throughout UK, Europe, US, Asia and Australia and employs more than 50000
employees. As company aims at expanding its operations in Asia it requires considering different
elements affecting its successful expansion in Singapore. Concerned with its expansion in
Singapore there are different challenges for JD Sports PLC. These challenges include
intensifying competition in sport-fashion industry. In addition to this, another important
challenge for company is economic and fiscal threats affecting and reducing customer
expenditure. In order to determine strategy for expansion this report will involve analysis of
external environment through Pest Analysis and Porter’s 5 forces and internal analysis through
value chain analysis. In addition to this competitive strategies will also be discussed in this report
along with identification and analysis of strategic directions and methods of expansion. On the
basis of this analysis and discussion strategy will be recommended that JD Sports PLC can
implement to expand its operations in Asia.
External Environment Analysis
Pestle Analysis
JD Sports PLC aims at expanding its business in Singapore and this is why it requires to
analyse environment of Singapore in order to make right decision regarding expansion of JD
Sports PLC. Pestle analysis of JD Sports PLC is as follows-
Political- This is concerned with factor that includes government and political decisions and
their impact on business operations and activities. JD Sports PLC is a British company and aims
at expanding in Singapore and this is why it gets affected by political environment of England as
well as Singapore (Achinas and et.al., 2019). In this success and operations of JD Sports PLC
gets affected by political stability of the country and in this political risk in Singapore is low and
this is favourable for JD Sports PLC. Singapore is a democratic country and Singapore enjoys