Strategic Management Tools Assignment

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Added on 2019-12-28

Strategic Management Tools Assignment

Added on 2019-12-28

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STRATEGICMANAGEMENT

TABLE OF CONTENTSINTRODCUTION...........................................................................................................................3TASK 1............................................................................................................................................3Application of tools (PESTEL, five forces, strategic mapping) to analyse competitive data.....3TASK 2............................................................................................................................................7Application of relevant models and key conclusions..................................................................7TASK 3..........................................................................................................................................11Implementation Challenges.......................................................................................................11CONCLUSION..............................................................................................................................13REFERENCES..............................................................................................................................14

INTRODCUTIONIn today competitive market environment, a business strategy is a tool to survive in thebusiness market. The business strategy helps the business organisation to achieve its goals andobjective of profit maximisation and revenue generation. For this, the management of thestrategy is needed to gain benefit from the market. There are many tools in strategic managementwhich plays a vital role in analysing competitive market data and in making fair profit for thebusiness organisation (Chandes and Paché, 2010). These tools of the strategic managementinclude PESTLE analysis in which various factors which affect the business organisation as wellas its strategies management in the long term like political, economic, social, technological, andlegal and environment. In the following report anther various important tools will be discussed asporters five force model of strategic management and strategic mapping. These relevant modelsof strategic management are applied and the key conclusion will be done to analyse the desiredand real result of the business organisation. There are many implementation challenges whichaffect the business organisation and the strategic management of the company in future.TASK 1Application of tools (PESTEL, five forces, strategic mapping) to analyse competitive dataStrategic management is the process of identification and the description of the differentstrategies for the business organisation .These strategies are implemented by the strategymanager to gain maximum profit and revenue from the competitive business market. There aremany tools of strategic management by which the strategies can be identified for the companywhich would be proved effective for Primark. Being as retail companies it must use somefollowing strategic management tools like PESTEL analysis, porters five force model andstrategic mapping.PESTEL analysis-By using the PESTEL analysis , Primark can make an effective strategy andattain the desired goals in the long term. The company has well organized strategic Targetmarketing and Product marketing approaches as strategies. First current strategy is target marketin which the company tries to relate the attributes of its product with the need and requirement ofthe customers. Second current strategy of Primark is product marketing approach in which thecompany aims to introduce new products into existing markets. Before implementing thestrategies in the business organisation, Primark should consider various factors within market

and analyse them to see whether the strategy they will be suitable for the company in the longterm and helps it in accomplishing it objective and goals (CHUANG and Liao,2010).Thesefactors are called PESTEL in which political factors, economical factors, social factors,technological factors, environmental factors and legal factors are analysed. They can bedescribed as followings.1.Political factors- The political factors contain the rules which are implied on all businessorganisation by the government authorities the government stability which is consideredin strategic management. In the country in which the government is stable affect thestrategy of the Primark in a positive way. The company make its strategy according to tenrules and guidelines by the government authorities. The political environment is analysedby the company before making strategy in future (Cinquini and Tenucci, 2010). If thegovernment does not provide the liberty in term of operating the business to thecompanies then it might make it difficult for the company to identify an effective andopen strategy for its business.2.Economical factors- In making the strategies and their management in an efficient way, itis compulsory to consider the economic condition of the retail industry as well as thePrimark. The company has sufficient financial sources,so it provides more investment inbusiness related to new feature in the existing product. For example if the Primark has nosufficient finance for its business then it cannot make an huge strategy which help it incapturing a lion share of the food market. So the economic condition should also beanalysed to identify a strategy which within the budget of the company or the targetmarket. 3.Social factors- As every single business organisation operate its business in the societyand its target public also lives in the society. So the customs, values, culture and attitudeof the society affect the strategy of the company like Primark. If the society has the tasteof the boiled food then being a retail company , Primark should make and strategy so thatit can provide the boiled food at maximum .But if the company does not consider thesocial choice then there will be difficult to operate the business in the long term.4.Technological factors- The technology affects the businesses time to time in any industry.Being in a food retail industry the Primark has to consider the latest technology top gain

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Strategic Management Tools Assignment