Strategic Management: Twitter Analysis and VRIO Framework

This report analyzes the strategic management of Twitter, including a Twitter analysis, VRIO framework, and internal and external analysis. It also evaluates future growth strategies for the company.

STRATEGIC
MANAGEMENT

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Question 1........................................................................................................................................3
A Strategy Analysis.........................................................................................................................3
Definition of Deliberate and Emergent Strategies......................................................................3
Difference between Deliberate and Emergent Strategy..............................................................3
Twitter Analysis..........................................................................................................................4
B Dynamic and Competitive advantage..........................................................................................4
Dynamic Capability....................................................................................................................4
Competitive advantage................................................................................................................5
Question 2........................................................................................................................................5
Internal, External and industry Analysis of the company................................................................5
PESTLE.......................................................................................................................................5
SWOT.........................................................................................................................................6
Porters 5 forces............................................................................................................................7
Issue for organization..................................................................................................................7
B On the basis of different Competencies and Value Chain Analysis of the company please draw
the VRIO Analysis of the company.................................................................................................8
Value Chain.................................................................................................................................8
Competencies..............................................................................................................................8
VRIO Framework .......................................................................................................................8
Question 3......................................................................................................................................10
A Evaluation of future strategies that can be used by twitter for growth and success of enterprise
........................................................................................................................................................10
B SAF Analysis..............................................................................................................................12
CONCLUSION..............................................................................................................................13
REFERENCES..............................................................................................................................14

INTRODUCTION
Strategic management generally looks at setting up of the variety of the objectives and
looking at the competitive advantage and on the basis of the same planning the variety of the
variant kind of future activity. Twitter is an micro blogging and social networking site originated
from the America. Twitter was founded in the year 2006 and headquartered in San Francisco.
This report explain the meaning of Deliberate strategy and Emergent strategy. After that report
explain the difference in between the both. After report goes on to highlights the internal and
external position and competency of the cited organization in the long on the basis of SWOT,
PESTLE and Porters five forces. After that report explain the VRIO and Value chain analysis of
the selected cited organization. In the end the report explain the tows and Porters generic strategy
on the basis of the same SAF model application on to the derived strategy of the cited
organization.
MAIN BODY
Question 1
A Strategy Analysis
Definition of
Deliberate strategy is the kind of the strategy in the organization which looks at acting
intentionally at the workplace. This strategy used to see benefit of acting intentionally but at the
same time it does not mean that deliberate strategy used to blind the unexpected development
and events.
Emergent strategy is the kind of the strategies which generally plans at the competitive actions
and variant reactions that arises over the time when organization used to navigates in operating
environment (Ounga, 2017).
Difference between Deliberate and Emergent Strategy
Deliberate strategy are the strategy which are generally made for the purpose of longer
period of time and strategies are formed to achieve the variant Aim and objective of the business.
At the same time Emergent strategies are the one strategies which are generally made on the

basis of event or activity taken place in the course of carrying out variety of the activity in the
organization.
Deliberate strategies in the organization is based upon the vision which generally
emphasis on to the intension. At the same time emergent strategies are generally developed in the
organization on the basis of absence of Specific Aim and objective of the cited organization in
the market.
Deliberate strategies are generally made in the organization for the longer period of time
at the workplace at the same time Emergent strategies are the one in the organization which is
generally made in the organization for the specific period of time to maintain good flow of the
work in long period of time.
Twitter Analysis
Looking at the Twitter and analysing the same it has been find out that cited organization
has adopted the Deliberated strategy in the organization. As Organization is following the variant
course of activity in the vision of Aim and objective of the business in the long run (Mudambi
and Puck, 2016). As they are very clear to improve the market presence of the cited organization
in the international market in the coming year, so it can be said that they have adopted the
Deliberated strategies in the organization.
B Dynamic and Competitive advantage
Dynamic Capability
Rapid technology change: There are variety of the variant kind of technological change
which has been occurred in the organization in the recent past. Twitter is also able to adopt the
same these has provide supported the cited organization in maintaining the consumer at the
platform. For example, in the initial stage there was no trend of android app but after that there
was change in technology and new trend of android app started. Twitter was one of the front
leader in adopting the same change in the organization.
Change in customer need: There is change in the customer need in the market and not
able to adopt the same has created a good sort of the burden on the twitter in the long run. As it
has been identified that customer are attracted toward the social feed on the platform as compare

to informational feed or news feed on the platform, these has created the situation where
organization is not able to sustain the consumer at the platform for longer period of time.
Competitive advantage
Formal Platform: It is the thing which used to make twitter a better platform then other, as it has
been find out that twitter is better trusted as a informational and news feeding platform (Meyer
and Cohen, 2018). Information which is posted on twitter are more formalized and consumer in
the market used to trust the same as compare to the informational feed of variant social media
website.
Question 2
Internal, External and industry Analysis of the cited organization
PESTLE
Political Factor: There are many variant sort of the decision which are taken by the
government in regards of restricting the censor content, which ultimately used to create the
burden on the cited organization to manage the same. As not managing the same used to impact
the image of the cited organization (Pestle Analysis, 2017).
Economical Factor: As UK economy is very developed economy, it generally used to
provide support twitter in getting the requires fund whenever require. As interest rate are very
favourable, also there is good presence of money in UK economy.
Social Factor: Need and preference of variant consumer in the market is changing on the
rapid basis, these has ultimately created the good sort of the burden on the cited organization to
understand the need of the customer and change their activity accordingly to able to satisfy need
of variant consumer in the market (Lewis, 2017).
Technological Factor: This factor also used to open up the variety of the challenges to
be managed by the cited organization in the long run. As technology generally used to change on
continues basis, as in the past there was technology change in regards of giving notification or
mobile app. Twitter generally used to adopt the variety of the variant kind of activities in the
organization very easily,
Legal Factor: These factors used to impact the Twitter very adversely. As there are
many variant kind of the laws which has been made by the government of the nation, this has

forced the cited organization to link all the activity with the same which impacts the business in
the negative way.
Environment Factor: Twitter generally used to promote the environmental friendly
product which provide support the cited organization in overcoming environmental issue in the
nation. At the same time there are many issue Environmental issue which is also faced by
organization, as there store used to consume good sort of energy (Mudambi and Puck, 2016).
SWOT
Strength
Goodwill: Twitter is able to maintain a good sort of the goodwill of the cited
organization in the market, these ultimately provide support the cited organization in building
good trust among the client (Puurunen and et.al., 2020). As consumer generally used to trust the
variant marketing which is generally done on the twitter (SWOT Analysis, 2017).
Technological and Analytical capability: it is another strength of the cited organization
in the market, as twitter generally used to adopt the variety of new kind of Technological
resources, to get a competitive advantage.
Weakness
Privacy Concern: it is the responsibility of the cited organization to maintain good sort
of confidentiality in the organization in context of safe guarding the information of variant
consumer in the market. In the past organization has seen good sort of the heat in the market as
they are not able to maintain good sort of confidentiality.
Lack of innovation: It is another weakness of the cited organization, as twitter generally
used to adopt the variant changes which has been brought by the other platform. At the same
time lack behind in term of innovating the new thing which has created a good sort of the burden
onto the cited organization in the long run (Gürel and Tat, 2017).
Opportunities
E-commerce network: There are many social media platform which has allowed the e-
commerce activity by their own on the platform. There is good opportunity in front of twitter to
do the same to expand their business in the nation.
Innovation: It is another important opportunity which is open in the market for the
twitter. As twitter has to make sure that they are bringing good sort of innovation to attract the
eye of consumer toward the services of the cited organization.

Threat
Competition: It is the biggest threat in front of twitter, as it has been identified that there
are many variant competitor in the market who also used to provide the same quality and kind of
the services to the consumer in the market.
Legal Threat: There are many variant kind of legal threat which are also there for the
twitter, as it has been identified that there are many variant kind of issue which will be also faced
by the cited organization due to spam of fake news or misleading information spreading on
social media.
Porters 5 forces
Threat of New entrant: Looking at the threat of the new entrant it can be said that it is
very low in the market, as investment require in entering into the market is very high which
reduces the amount of cited organization enter into industry.
Threat of Competition: This sort of threat is very high in the market, as it has been
identified that there are many competitor who used to work in the organization, this ultimately
used to impact the organization very adversely in long run.
Bargaining power in hand of supplier: There is good sort of the power in hand of the
supplier as there are many few supplier who used to provide the supporting activity to all the
social media platform in the organization.
Bargaining power in the hand of consumer: This force is moderate in the industry, as
there are many option in front of the consumer to select any of the social media platform but at
the same time there are few unique services which is also offered by twitter to consumer (Rastogi
and Trivedi, 2016).
Threat of substitute product: This threat is very low, as looking at blogging providing
social media platform it has been analysed that there is no direct substitute of twitter in real.
Issue for organization
Not able to sustain consumer, it has been find out that twitter find it difficult to maintain
and sustain the consumer on the platform for longer period of time. As they are diverted toward
other platform (Mudambi and Puck, 2016).

Lack of innovation, it has been fin out that twitter generally looks to adopt the thing as
compare to innovation which used to create variety of the issue for the organization in long run.
Competition, it is another important issue for the organization as there are variety of
variant kind of social media platform which used to work in the market which used to impact the
business in long run.
B On the basis of variant Competencies and Value Chain Analysis of the cited
organization please draw the VRIO Analysis of the cited organization
Value Chain
Primary activity
Inbound logistic: Inbound logistic generally means a variant supporting services which
is provided by the other unit to the twitter in the long run. They generally used to manage the
same with the provide support of cloud software
Service: variant blogging services which is provided by the cited organization in the
market is very efficient, as there are no platform which used to provide that sort of services.
Marketing and sales: They generally used to take provide support of social media
marketing to promote services at the international level (Perera, 2017).
Secondary activity
Human resource management: Twitter generally used to provide good sort of
motivation to the Human resources of the cited organization, which generally provide support
them in managing the human resource.
Technology: There are variety of the variant kind of technology which is procure by
Twitter to carry out variant operation of business.
Competencies
 Human resources, are the core competencies of the cited organization in the long run.
As it has been identified that twitter in general used to maintain a good sort of human
resources in the organization to carry out variant activity of the business.
 Technology, is another important competency of twitter as twitter used to adopt the
variety of the variant kind of technology to develop the variety of the variant kind of the
resources in the organization.

VRIO Framework
VRIO model is used to analysis internal strength, capabilities and resources of firm so that
it can render best possible services to customers within limited time frame. There are four
elements in VRIO framework such as valuable, rare, imitable and organisable which are used to
assess internal capabilities, resources of twitter. Such as:
Basis Valuable Rare Imitable Organised
Management NO NO Yes Yes
employee Yes NO No Yes
Marketing and
sales
Yes Yes Yes NO
Services Yes Yes Yes Yes
Technology Yes Yes No Yes
Valuable: It can be stated that employees, customer’s loyalty and services all are
valuable for firm that have contributed in effective growth and success of enterprise. cited
organization is not able to effective manage its operation which resulted in overall increasing in
operational cost and decreasing revenue generation (Pham, 2020). Twitter have delivered
qualitative services to number of people that have resulted in retention of customer’s loyalty and
establishment of strong brand image in the market. Twitter makes use of innovative technologies
in order to delivered qualitative services to customers so that their requirements can be fulfilled.
Rare: Services of Twitter are rare as it offered unique features to customers for
accomplishment of specific objectives. Therefore it can be stated that rare services of twitter
have contributed in retention of individual satisfaction and overall achievement of cited
organization objectives. Employees of twitter are also highly skilled, talented and knowledgeable
those are highly motivated and inspired to work hard for more success of organisation. Thus, it
has employees that are dedicated and motivated but no rare. Technology that twitters use can be
said to be rare as it have patent and copyright its technology so that no individual or firm can

copy or imitate to attract its existing customers range. Management of cited organization is not
rare as similar techniques are used to manage, organise various task so particular outcome can be
gained.
Imitable: It is very difficult for other organization to imitate the employee base and
technology of the cited organization in the market. Reason behind the same is identified that for
doing the same in the market it is very important for the business to have good sort of the
resources and also need to invest the same to imitate the resources like employee and technology
of business. At the same time there are many variant activity which can be easily imitable also in
the market (Mudambi and Puck, 2016). These kind of activity are Marketing and sales activity of
the cited organization. Also, variety of the variant kind of the services which is offered by the
Twitter in the organization in the long run. There are many cited organization in the current
scenario also who used to has same kind of marketing and the operational activity as well in the
organization.
Organised: Looking at the Twitter it has been find out that good number of the resources
of the cited organization is organized. As twitter used to always keep the clarity and try to make
good sort of the simplicity in the organization. This ultimately used to provide support the cited
organization in organizing the variety of the resources such as management, employee, services
and technology. At the same time marketing and the sales activity of the organization in not that
organized.
Question 3
A Evaluation of future strategies that can be used by twitter for growth and
success of enterprise
cited organization have used several strategies in order to retain maximum number of
customers and profit margin for long term. Various models such as Porter generic forces,
strategic clock and Tows matrix can be used to identify future strategies that can be used by
Twitter to maintain its market positioning (Berisha Qehaja, Kutllovci and Shiroka Pula, 2017).

Therefore, porter generic forces and Tows model for planning of future strategies of Twitter can
be illustrated as follows:
Porter generic strategies: It has four main alternative options that can be used by Twitter to
effectively attaint its respective objectives and expand business. Such as cost leaderships,
variantiate, focused cost leadership and variantiate are alternative strategies that can be preferred
by manager of Twitter while deciding future strategies.
Cost leadership: It is kinds of strategy in which cited organization planned to provide several
services at lower prices than other competitors or affordable prices so that people can prefer it as
compared to other competitors. Twitter has options to use cost leadership strategies in order to
attract maximum number of people to select services of twitter as compared to other.
variantiate strategies: It is strategy in which firm plans to variantiate its products and services
to gain competitive advantages in market and get maximum customers satisfaction (Lawton,
2017). Twitter have always emphasis on unique and variantiate services such as tweet so that
people can have better services which is beyond their expectancy.
Focused cost leadership: It is another strategic option which Twitter has in order to earn
maximum profit margin and market share. Focused cost leadership state that cited organization
offers discounts, reduction in prices to some of individual only. Such as Twitter can offer
discount offers to customers that are loyal to cited organization so that their needs can be
satisfied and motivated to use more services of twitter as compared to others (Mudambi and
Puck, 2016).
variantiate Focus: It is last strategy approached which can be used by companies to retain
satisfaction level of few individuals by providing them extreme unique services so that they can
be motivated to choose particular firm. Twitter by adding some unique features in its application
can provide better services to its loyal customers for earning competitive pricing (Sugahara,
Daidj and Ushio, 2017). This strategy has limited approaches as cited organization is able to
fulfil needs of few individual only so it have limited market share.
Therefore it can be critically analysed from above that variantiate is best strategy which
can be used by twitter in future circumstance to increase overall revenue and profit margin. As

cited organization through making modification or adding new services will able to enhance
customers satisfaction and its profitability.
Twos analysis Matrix: It is a model that is used to analysis strength, weakness, opportunities
and threats of business in order to formulate effective future strategies of firm. It is most
important strategic planning tool that can be used by manager of Twitter to plan appropriate
strategies option that can yield more benefits. Such as:
Basis Strength Weakness
Opportunities Large audience and strong
image is one of the strength of
Twitter that provides
opportunities to Twitter to
attract more and more
customers to select services of
cited organization for their
better satisfaction of needs
(Venkateswaran and Ojha ,
2017). The app has less issue
and troubles as compared to
other sites such as Facebook,
Intsragram so it has
opportunity to increase more
users by adding new features
in its application.
Weakness of twitter is that it
has low revenues and profit
margin as compared to other
social sites. High operation
expenses have also impacted
on overall profitability
therefore cited organization
through optimum utilisation of
resources, training employees
have opportunities to increase
revenue and reduce overall
expenditure for growth and
success of enterprise in future
circumstances.
Threat Increase level of competition
and changing technologies are
most common and important
threats for business so cited
organization can use its high
customers loyalty and unique
If there is continuous slow
down in revenue generation of
Twitter than it is great threat
for cited organization
operation. Therefore Twitter
have to planned strategies to

services strength to cope up
threats in order to grow and
sustain its business operation
for longer period of time.
make optimum and best
utilisation of resources by
providing proper guidance and
direction to employees about
task that need to be performed
so specific objectives can be
attained.
B SAF Analysis
Strategy 1: variantiation
 Suitability: It will be suitable for the cited organization in the long run. As it has been
identified that bringing new services in the organization will increase the service line of
the cited organization, as this is one of the issue which is being faced by the cited
organization in the current scenario. This is suitable in the market as there is good
demand of new services.
 Acceptability: It will be accepted by all the stakeholder as there is good weakness of the
cited organization that they used to lack in the innovation, bringing this sort of the
strategy in the organization is that it used to provide support in accepting the strategy
(Waddock and Steckler, 2016).
 Feasibility: Also, this strategy is feasible in the nature as there are many other competitor
who have also seen good sort of the success by adopting the same strategy in the past as
well.
Strategy 2: Training to employee to improve efficiency of operation
 Suitability: This is very suitable to the organization as it will provide support the cited
organization in building good employee skill in the organization, these will ultimately
provide support the cited organization in retaining the employee base as well which will
provide support cited organization in saving cost.
 Acceptance: It will accepted by all the stakeholder of the organization, reason behind the
same is identified that cost is one of the reason which is impacting the organization and
this research will provide support the organization in overcoming the same.

 Feasibility: Also, this strategy is feasible in the nature as developing the employee skill is
a good way to improve efficiency, as employee are the one who used to perform variety
of variant activity in the organization (Naldemirci and et.al., 2017).
CONCLUSION
After going through above presented report, it is concluded that Twitter is using the
Deliberated kind of the strategies in the organization. After that report goes on to concludes hat
there is good sort of the competition and lack of the innovation in the operation of the business
and this used to open up the variety of the variant kind of the issue for the organization in the
long run. After that the report concludes the strategies on the basis of the porters generic and
tows analysis and also concludes the Suitability, Acceptability and Feasibility of all the strategies
which has been derived using above matrix.

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