Strategic Management and Marketing

The assignment examines two primary strategic approaches for a company: cost leadership and differentiation. It explains how cost leadership aims to attract price-sensitive consumers through competitive pricing. Conversely, the differentiation strategy focuses on appealing to diverse consumer segments by offering unique product features or brand image. The document emphasizes the potential of employing these strategies to expand the company's market reach and customer base.

STRATEGIC
MANAGEMENT

TABLE OF CONTENTS
INTRODUCTION ..........................................................................................................................4
OVERVIEW ...................................................................................................................................4
MAIN BODY ..................................................................................................................................4
COMPONENT 1..........................................................................................................................4
COMPONENT 2 .........................................................................................................................6
RECOMMENDATIONS ................................................................................................................7
CONCLUSION................................................................................................................................8
REFERENCES ...............................................................................................................................9
Books and journals ......................................................................................................................9
2

INTRODUCTION
Strategies and action plans are formulated in the business for executing required business
functions in structured and in an advantageous way. It is critical that external and external
analysis of business environment should be done so that better and effective strategies should be
formed by the organization. Present report is based on Jaguar which is a leading is the leading
luxury vehicle brand of Jaguar Land Rover. It is a British multinational car manufacturer and its
headquartered is situated in Whitney, Coventry, England.
OVERVIEW
Automobile industry is the fastest growing industry and it offers huge success and growth
opportunities for the business firms which are operating in this sector. Automobile industry is
important part of UK economy and it contributes towards growth and success of nation. Revenue
provided by this sector helps in ensuring modification in infrastructure of the country and it also
provides employment opportunity for people (Grunig, J2013). Presently, more than 100
specialist brands are available in the market. Other than this, 7 Mainstream car manufacturers are
operating their business in UK. Other than this, there are 6 car design centers and 13 Research
and development centers which are working in UK. Total turnover of UK automotive industry
was £71.6 Million. Present report describes about external and internal threats which are faced
by the organization in the market area.
MAIN BODY
COMPONENT 1
Analysis of external business environment
Political: - Rules, regulations and norms that are being formed by the government of nation are
essential to follow for all car manufacturing companies that are operating in UK. Taxation
policy and trade policy impact on the functional activities that are performed in Jaguar (Thorson
and Moore, 2013). Currently, government is providing motivation for innovation and it is
beneficial for existing and new startup firms that are working in UK (Domingo, 2011). Jaguar
enjoys strong reputation and brand loyalty in the automobile industry of UK. Government of UK
is also offering better and effective tax incentives for inbound investors which are operating in
the country. It is supporting the company in enhancing its profitability and financial revenues.
3

Economical: - Changes in economic conditions of nation affects the overall functional
activities that are performed in the company. GDP growth rate of nation and inflation and
deflation situation affects decisions which are formulated the strategy in the orgnisation. Jaguar
has competitive labor cost model which helps in saving the overall manufacturing and
investment cost which occur in the entity (Aaker, Myers, and Batra, 2002). Other than this,
inflation and deflation also impact the operational activities that are performed by Jaguar
Company.
Social: - Different trends, beliefs, norms and trends that are running in society gives impact
various functions that are performed in the enterprise (Pan, 2000). Company design and develop
its products as per needs and requirement shown by the buyers. Strong management culture is
followed in the company and it helps in achieving the required goals and objectives of the firm.
Technological: - Research and development center and design center of the company is highly
developed and it helps in making innovations and adding creativity in the existing products that
are offered by the enterprise. In addition to that, company has done strong tie up with western
technology companies that are supported for making the company capable for adapting new
technology (Grunig and Grunig, 2000). Strong R&D culture and facilities helps in adding new
attributes and features in the existing products that are offered by the company.
Environmental:-
Climatic conditions of a particular geographical area affect the business activities that are
performed in the company. For example, changes in temperature and rainfall and other climate
change conditions impact the operational activities that are performed in the business (Fombrun,
and Van Riel, 2007).
Legal: - Jaguar Company operates its functional activities in the legal and lawful manner.
Instructions and guidelines given by the government are followed and it helps in Make the
complete legal rules
Other than this, porter's five force analyses will also support in assessing external business
environment and it will help in evaluating opportunities and threats that are available for
business.
4

Customer analysis: - Jaguar Company offers high quality automobile products for its business
consumers. It is most popular brand which enjoys consumer loyalty and it aids in enhancing
existing profitability and revenues of the business. Consumers of company have been spread in
wide geographical locations and company targets its consumers by making use of specific
market segmentation criteria (Reich, 2011). Company is growing in Asian markets and it is
reflecting increasing global presence of the organization. However, price of the products that are
offered by Jaguar are too high and due to that cars that are manufactured by the company are
financially restricted for medium and lower income group consumers (van Riel and Balmer,
2007).
COMPONENT 2
Jaguar company has adopted generic strategy for selling the car products to a large
consumer base. Other than this company uses intensive growth strategy that includes market
penetration, product development and market development for selling their products in market.
SAFe analysis
SUITABILITY :-
Cost leadership strategy supports to consumer toappleaning the price of product
Company faced issues due to high price of products that are sold by the firm and due to. Cost
leadership strategy supported in resolving the issues which are faced by the entity. Overall
investment cost of the company has been reduced by making use of this approach and it has also
supported in accomplishing the set targets and goals of the organization. High volume of
standardized products can be sold by the company and it aids in enhancing profitability and
financial revenues of the enterprise (Morgan, Pritchard and Pride, 2007). Money that is saved
from the overall operation cost is used for making investments in Research and development
department. It supports in adding innovative features and attributes in existing product range and
new car products are also used by the entity. In addition to that, intensive growth strategies that
are used by the company are suitable and it will help in targeting specific consumer base for
selling products and services of entity.
ACCEPTABILITY :-
5

Proposed strategy of the company supports for rendering superior quality automobile
products for its business consumers. It helps in meeting the exact requirement of buyers and
other people who are associated with the business also gets benefited through the strategies that
have been selected by the entity. Chances and probability for getting better and effective
outcomes from the chosen strategy are high (Heath, Toth and Waymer, 2009). All the prominent
stakeholders of the business have shown positive attitude for accepting the strategy that have
been selected by the company.
FEASIBILITY :-
Jaguar company has chosen generic and market development strategy and these strategies
that have been proposed by the company works in practice. It aids for accomplishing goals and
objectives of the organization.
Balance score card :-
This technique is used in the organization for monitoring the performance of the business
(Plowman, 2005.). Various elements of balance score card are as described :-
Customer perspective :- Buyers are happy with the products that are supplied by the organization
and it is helping for gaining brand loyalty for consumers.
Financial perspective :- Sales and profitability of business have improved and financial results
and growth of the enterprise is good (Pedersen, Laucella and Geurin, 2016).
Learning and growth perspective :- Company focuses on developing skills and capabilities of its
employees.
Internal business process perspective :- fewer problems are faced in the company and operational
efficiency of the company have been improved.
RECOMMENDATIONS
Jaguar can make use of cost leadership strategy for targeting middle and lower group
consumers. It will help in selling products to consumers who were initially facing difficulty in
purchasing products of the company due to high price of car products that are sold by the firm
(Dal Zotto and Van Kranenburg, 2008).
Company can make use of generic strategy under which differentiation strategy can be used by
the firm to gain competitive advantage in the market. It is required that a systematic approach
6

should be used by the company for implementing this strategy in a better and effective way. Car
products of the company can be developed for different consumer segments. A time scale can be
determined for implementing strategy and it will help in accomplishing the required objectives of
this strategy.
7

Task Name Duration Start Finish Predecessors Early
Start
Late
Finish Total Slack
External and
internal market
analysis
3 weaks Thu
11/17/16
Wed
12/7/16
Thu
11/17/16
Wed
12/7/16 0 wks
Formulation of
strategy. 5 weaks Thu
11/17/16
Wed
12/21/16
Thu
11/17/16
Wed
12/28/16 2 wk
Implementation
of strategy 2 wks Thu
12/8/16
Wed
12/21/16 1 Thu
12/8/16
Wed
1/18/17 3 wks
resource
allocation 3 wks Thu
12/8/16
Wed
12/28/16 1 Thu
12/8/16
Wed
12/28/16 0 wks
Monitoring 3 wks Thu
12/29/16
Wed
1/18/17 2,4 Thu
12/29/16
Wed
1/18/17 0 wks
Review 5 wks Thu
1/19/17
Wed
2/22/17 3,5 Thu
1/19/17
Wed
2/22/17 0 wks
Steps for
making
improvements
in weak
performing
areas.
1 weak Thu
12/22/16
Wed
12/28/16 3 Thu
12/22/16
Wed
2/22/17 8 wks
CONCLUSION
Summing up the present report it can be concluded that Jaguar company has chosen cost
leadership strategy for targeting price sensitive consumers for selling products of the enterprise.
Other than this company can adopt differentiation strategy for targeting different consumer
segments. It will help for selling products of the company to a large consumer base.
8

REFERENCES
Books and journals
Aaker, D.A., Myers, J.G. and Batra, R., 2002. Advertising management (pp. 346-367).
Englewood Cliffs, NJ: Prentice Hall.
Dal Zotto, C. and Van Kranenburg, H., 2008. Management and innovation in the media industry.
Edward Elgar Publishing.
Domingo, D., 2011. Managing audience participation. Participatory journalism: Guarding open
gates at online newspapers, pp.76-95.
Fombrun, C. and Van Riel, C., 2007. The reputational landscape. Corporate reputation review,
pp.1-16.
Grunig, J.E. and Grunig, L.A., 2000. Public relations in strategic management and strategic
management of public relations: Theory and evidence from the IABC Excellence project.
Journalism studies. 1(2). pp.303-321.
Grunig, J.E., 2013. Excellence in public relations and communication management. Routledge.
Heath, R.L., Toth, E.L. and Waymer, D. eds., 2009. Rhetorical and critical approaches to public
relations II. Routledge.
Morgan, N., Pritchard, A. and Pride, R., 2007. Destination branding. Routledge.
Pan, Z., 2000. Spatial configuration in institutional change: A case of China's journalism
reforms. Journalism. 1(3). pp.253-281.
Pedersen, P.M., Laucella, P. and Geurin, A., 2016. Strategic Sport Communication, 2E. Human
Kinetics.
Plowman, K.D., 2005. Conflict, strategic management, and public relations. Public relations
review, 31(1), pp.131-138.
Reich, Z., 2011. User Comments. Participatory journalism: Guarding open gates at online
newspapers, pp.96-117.
Thorson, E. and Moore, J., 2013. Integrated communication: Synergy of persuasive voices.
Psychology Press.
van Riel, C.B. and Balmer, J.M., 2007. Corporate identity: the concept, its measurement and
management. European journal of marketing. 31(5/6). pp.340-355.
9

Whittington, R., 2007. Strategy practice and strategy process: family differences and the
sociological eye. Organization studies. 28(10). pp.1575-1586.
10