Strategic Management - Sky City Entertainment

Running Head: STRATEGIC MANAGEMENT – SKY CITY ENTERTAINMENT
Strategic Management – Sky City Entertainment
[Name]
[University Affiliation]
[Date]

Strategic Management – Sky City Entertainment 1
Table of Contents
1- Introduction...................................................................................................2
1.1- Overview - Sky City Entertainment Group..........................................................2
1.2- Vision and Mission – Sky City Entertainment......................................................3
1.2.1- Vision.................................................................................................3
1.2.2- Mission...............................................................................................3
1.3- Strategic Model.........................................................................................4
2- Porter’s Five Forces.........................................................................................5
2.1- The threat of New Entrant.........................................................................5
2.2- Bargaining Power of Suppliers...................................................................6
2.3- Bargaining Power of Buyers......................................................................6
2.4- The threat of Substitution Products and Services.............................................7
2.5- Rivalry among Existing Competition...........................................................7
3- Global Perspective for Strategic Implementation......................................................9
3.1- Recommendations aligned with Strategy.....................................................10
4- Two Functional Strategies to support Organisational Strategic Goals..........................12
5- Critical Problem – Sky City.............................................................................14
References........................................................................................................16

Strategic Management – Sky City Entertainment 2
1- Introduction
Strategic management aims to work on a defined plan for long-term objectives for the
firm to plan for companywide goals considering a range of stakeholders with integrated
functions and goals. It is important for organisations to work on long-term challenges to work on
the efficiency and effectiveness of strategies in meeting organisational objectives successfully
(Baumgartner & Rauter, 2017). The strategy focused on business management is focused on
strategic objectives and analysis to work on the vision and mission values designed under
business analytical tools such as SWOT and PESTLE analysis (Steensma, Chari, & Heidl, 2015).
The second stage of strategic management follows with strategic formulation to plan and gather
resources for the company in achieving its vision and mission. The strategic implementation of
strategies is dependent overtraining and allocating resource, which is done by the management to
improvise its approach towards strategic formulation (Paek & Lee, 2018).
The last element in strategic management is followed with strategic evaluation and
control to work on strategic evaluation and correction. The assignment is focused on evaluating
understanding associated with strategic management considering the case of Sky City
Entertainment Group in New Zealand to understand the historical perspective of the company
following long-term strategic goals in the region (Downs & Adrian, 2012). It has undertaken
business analysis tools such as Porter’s five forces, global perspective to support organisational
strategic goals to work on strategic alignment with the suitable recommendation in looking for
functional objectives of the company (Frantz et al., 2017).
1.1- Overview - Sky City Entertainment Group
Sky City Entertainment Group is an entertainment and gaming company based in
Auckland, New Zealand. The company holds five casino properties in both New Zealand and
Australia; they also have a number of restaurants and bars, luxury hotel, convention centres, and
the popular Auckland's Sky Tower. Currently, it has 25 restaurants, 17 bars, two hotels, five
casinos, and operations in four locations. Its shares float in Australian and New Zealand’s Stock
Exchanges with a net profit of $128.7 million, its revenue is expected to exceed approximately
$1 billion in the first time in the history of the company. It started working in 1996, and
currently, its operations are controlled by Graeme Stephens and Rob Hamilton (Sky City, 2019).
The operating domain of the company is www.skycityentertainmentgroup.com. Recently,
the company has announced a long-term agreement following Malta base Gaming innovation

Strategic Management – Sky City Entertainment 3
group to supply technology. It will prove to be a real-money using online casino forms. The
operations are expected to start in the third quarter of 2019. The strategic management approach
of the company has helped the company to improvise its strategic approach; this has helped the
company to reach this position. The last recorded Stock Price of Sky City Entertainment is $4.05
with a daily volume of 280,035 (Sky City, 2019).
1.2- Vision and Mission – Sky City Entertainment
The company aims to work with a “business platform for growth and development.” The
core strategies of Sky City are focused on business lies in the commitment of corporate social
responsibilities to show leadership in the gaming and entertainment industry (Sky City, 2019;
Clarke, 2016). However, the company does not have defined vision and mission statement, but it
has planned a strategic viewpoint for its stakeholders to help the employees improvise its
position in the firm. The primary objectives with the strategy are focused on maximising its
stakeholder return to deliver growth to its employees and maximise its shareholder value in the
market (Sky City, 2019; Downs & Adrian, 2012).
1.2.1- Vision
“To deliver world-class casino entertainment”
1.2.2- Mission
“To thrill, excite and make everyone feel like a winner. It's what we do, why we exist, and
it applies as much to our employees as it does our customers”.
The pointers covering its strategic vision and mission is as followed,
- To maximise the value of its current casino license
- To ensure that its properties have excellent integrated entertainment strategies
destined to improve the firm’s position globally.
- To focus on customer needs and expectations in achieving long term challenges
faced by the company in the industry (Broman & Robèrt, 2017)
- To deliver a strong and sustainable approach with earning across its group.
- To successfully execute its key projects in terms of growth and development such
as the New Zealand International Convention Centre and redevelopment of
Adelaide Casino (Dulek & Campbell, 2015)
- To ensure strong relationships with its internal and external stakeholders
- To work as an active and supportive community member in the region