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Force Field Analysis for Strategic Management

   

Added on  2023-04-21

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Leadership ManagementProfessional DevelopmentDesign and Creativity
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Running head: STRATEGIC MANAGEMENT
STRATEGIC MANAGEMENT
Name of the student
Name of the university
Author note
Force Field Analysis for Strategic Management_1

1STRATEGIC MANAGEMENT
Task 2
Force field analysis
The concerned organization, TESCO is looking forward to bring forth modifications in
the pricing strategy of the same4 in order to adhere to the needs of the price sensitive customers.
The price modifications of the organization will also help the same in gaining a competitive edge
over the other market players. Chen et al. (2012) stated that the subtle modifications in an
organization is to facilitate the smooth functioning of the systems as per the changing concerns
of the customers. On the other hand, Langley et al. (2013) noted that the different aspects of
change in the organizational operations are dependent on the competition faced by the same in
the markets.
The force that will primarily support the change that is planned by the concerned
organization is dependent on the maximization of price sensitive customer base. The delineation
of the at- par pricing with the other competitors will be helping the organization in attracting the
attention of the price sensitive customers. The pricing structure will be helping the organization
in maintaining the efficiency of the organizational level strategy while targeting a larger base of
potential customers. At-par pricing strategy of the organization will assist the organization in
selling the products and services in accordance to the pricing that is followed by the competitors
or at a slightly lower price (Kuipers et al. 2014). The change will be helping the organization in
gaining a loyal base of price sensitive customers through cost leadership. However, it is also
noted that most of the customers hold the view that the lower price products are not always at par
with the quality that is proposed by the other businesses. Lowering the price of the commodities
might trigger the perception of degraded quality being proposed among the customers. It might
Force Field Analysis for Strategic Management_2

2STRATEGIC MANAGEMENT
act as a force against the change that is planned by the business. Von Krogh (2012) stated that in
most of the cases the customers of UK are more concerned of the product quality apart from the
price. In this case, the organization might face different issues in implementing the pricing
strategy while relating to quality based needs of the customers.
The major goal of the organization is to derive a competitive edge in the competitive
market scenario. The revised pricing strategy will be helping the organization in maximizing the
target audience of the business and thereby gain a competitive edge over the other players.
Reduction in the pricing or at par pricing will be helping the business in attracting the attention
of the potential customers, which will provide the same with sustenance in the competitive
markets. Rusly, Corner and Sun (2012) stated that the enhanced customer base of the
organization helps the same in gaining a better market hold. Therefore, the reduction of the
prices will be helping the organization in planning the operations through an assessment of the
needs of the customers. However, it has been noted that the reduction in the prices might affect
the revenue gained by the organization. The reduction in the revenue earnings and the net income
of the business will affect the operations of the same relating to maintenance of quality of the
products. The reduction in the profit margins might act as a force that resists the change that is
planned by Tesco.
The reduction in the pricing structure will be helping the organization in facilitating
market expansion through attracting the attention of the potential customers. The lower pricing
or at par pricing will be helping the organization in attracting the attention of majority of the
customers. It acts as a force that supports the change planned by the business. However, the at
par pricing will reduce the marginal profit of the business which might diminish their relation
with the suppliers. The enhancement of the supplier’s bargaining power might restrict the
Force Field Analysis for Strategic Management_3

3STRATEGIC MANAGEMENT
operations of the business through the reduction in the profit margins. Poor relation with the
suppliers might be taken as a force that restricts the change planned by TESCO.
New mission and vision for the organization
The mission of the organization is to gain cost leadership over the other competitors in the
market.
The vision of the organization is to lead the retail trade in the international grounds.
The delineation of the mission and the vision statement of the organization will be
helping the same in creating the objectives for gaining a competitive edge while operating in the
diverse international markets. The mission statement of t he organization will be assisting the
same in gaining cost leadership through modifications in the pricing structure. The modifications
in the pricing structure will assist the business in attracting the attention of the price sensitive
customers (Appelbaum et al. 2012). On the other hand, the vision of the organization is to
facilitate continuous expansion in the international markets. Continuous expansion will not only
help the organization in maximizing the scope of sustenance but also assist the same in gaining a
competitive edge against the existing players in the market.
Objectives of the business
The objectives of the business are:
To provide the customers with suitable merchandise as per the needs of the same
To gain cost leadership over the other existing business ventures
To convert the potential visitors into buyers
To act as a link between the manufacturing organizations and the end level customers
Force Field Analysis for Strategic Management_4

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