Strategic Management: Analysis and Options for Lidl

Strategic Management

EXECUTIVE SUMMARY
The main concern of Strategic management is to set out objective, carry out planning and
execute functioning to meet out the strategic intent by avoiding the chances of deviation. It helps
in the effective functioning of firm for which both internal and external factor needs to be
evaluated. This provide the strategic direction to the company by making the sustainable choice
for the long term growth and development.

Table of Contents
INTRODUCTION...........................................................................................................................4
MAIN BODY...................................................................................................................................4
External analysis..........................................................................................................................4
Internal analysis...........................................................................................................................7
Strategic option............................................................................................................................9
Strategic direction......................................................................................................................11
CONCLUSION ............................................................................................................................12
REFERNCES...................................................................................................................................1

INTRODUCTION
Strategic management is the essential part of an organisation that include comprehensive
and detailed plan which is prepared to achieve particular goals and objective of an organisation
effectively. It involve the stream of various actions and activities that are designed to cope up
with the changes that exist in external environment and access the opportunity successfully. This
promote the systematic functioning of overall organisation where value is delivered to the
internal and external stakeholder by carrying out the significant functioning effectively (Frynas
and Mellahi, 2015).
For the better understanding of report Lidl which is the grocery company of Germany has
been selected. The company stared its operation in 1930 by Josef Schwarz which deliver the
household products and became one of the evolving retailer of Europe. It currently operate in
approximately twenty eight countries for which around three lac employees are hired. Due to the
emerging size of company it earn new income of worth 1,541,000,000 euro by setting its image
as quality product that can be avail by customer at reasonable prices. Based on SWOT analysis
the key strength of company is the financial strength and economies of scale advantage due to
which it is planning to expand its operation in the potential market that is India which is the part
of Asian market. Similarly, the weakness of company is discounted prices of the product that
basically restrict profitability margin. In context to key opportunity Lidl company need to focus
to prepare the global presence and overcome the threat of competitive pressure with the
objective veto establish suitable position. This report cover topics like demonstration of external
as well as internal analysis essential to prepare the strategic decision. Along with that plan and
implement the specific strategy that is significant for an organisation in terms to carry out the
functioning effectively. Further, in order to expand the operation effectively Lidl amongst the
various strategies like merger and alliance needs to selects the significant process to attain the
strategic decision position effectively.
MAIN BODY
External analysis
External analysis encompasses the role of dynamic environment that is necessary to be
evaluated by an organisation with the objective to identify the existence of potential opportunity