Strategic Management

Strategic Management

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
Appropriate model to review the external environment of the company....................................1
Industry scenarios facing the company within its existing market domains...............................3
TASK 2............................................................................................................................................5
Relevant internal analysis tools to draw appropriate decisions..................................................5
TASK 3............................................................................................................................................9
Strategic choice models to sustain the company’s competitive position....................................9
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12
.......................................................................................................................................................14

INTRODUCTION
Strategic management is consider as an ongoing planning, monitoring, analysis and
assess all the necessary aspects for business to meet all the set goals and objectives. Mainly, it is
management of business resources through which firm can easily attain their targets in stipulated
time frame. It includes setting objectives, analysing competitive environment, evaluating the
internal organisation, ensuring about all the strategies through which company may easily attain
higher success at market place (Ansoff And et. al., 2018). As it also provide strategic direction
that support company in expanding their business at competitive market place. Furthermore,
strategic management is predicated clear understanding about organization mission or purpose to
attain future development at market. Present assignment is focuses on Tesla, is one of the famous
American automotive and energy company and specializes in electric car manufacturing by its
SolarCity subsidiary, solar panel manufacturing. The main focus of this firm is to capture market
share from its competitors. In this regards, project is goring to discussed about appropriate model
to evaluate the external environment of organization. Along with this, company strategic
competencies and capabilities are also mentioned in this report that assist in improving its
performance level at competitive market place. At last possible strategies are discussed that
company could follow to defend its core business.
TASK 1
Appropriate model to review the external environment of the company
It is important for company to review or analysis their external environment with the aim
of determining the actual performance at market. Basically, environmental scanning is important
as it define rapid modification that take point within the business environment. It has a great
impact on performance of company and at also help them in evaluating possibility to heighten
their brand image. It directly contributes in align strategies within the organizational
environment. By reviewing external environment company ahead from the competition in market
and also manage their positive performance through which firm attain success at competitive
market place (Hill, Jones and Schilling, 2014). In context of this, Tesla operating their business
in automotive industry as it designs, develops, manufactures and sells fully electric vehicles,
energy storage system and so on. Along with this, company operated by two segments like
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Automotive and Energy generations and storage. Company always focus on developing their
performance by which they review their external environment by using PESTLE analysis: Political: It is considered as a crucial factor that directly affect the company and its
activities as well. This factors is refers to the political environment of country wherein
Tesla is operates. In UK, political environment is an effective in which Tesla has strong
presence that support them in attaining sustainable growth at market place. Currently,
political environment of UK is quite unstable in nature because of unpredictable events
like Brexit. Due to this, company is affected and also could be threat for company
(Ginter, Duncan and Swayne, 2018). This is the reason that firm face issue in develop its
designs within alignment of unstable laws and regulations. Thus, it is essential for Tesla
to maintain their image in market place by following all the political laws so that they
improve their brand image at competitive market place. Economical: This factor is refers to the entire performance and condition of nation that is
based on the economic grounds. In this regards, overall growth of electronic vehicle
market is reach more than $1.5 trillion dollars. This can be consider as a major
opportunity for Tesla in developing their growth level within Automotive industry. Along
with this company also invest more for development of cars and electric vehicles through
which they can established their competitive and famous brand image. With the
assistance of this, company holds substantial share within the UK market that support in
making their overall performance higher. In this regards, it also get affected due to
increase rate of inflation that create various challenges in-front of company related to raw
materials and other important resources. Thus, it is crucial for Tesla to make appropriate
relation with suppliers so that they might be help them in sustaining in market pace for
longer period of time. In this regards, stability in economy provide opportunities to
company in developing its market share and also make brand more popular. Social: This type of factor help in analysing the impact on the company and its activities
as well. In this regards, social conditions and trends affect Tesla firm's remote by its
worker, customers and investors as well (Trigeorgis and Reuer, 2017). It consist how
Tesla align with social trends in its target markets in order to maximising their
profitability level. Furthermore, Tesla has growth opportunities that is highly based on
the rising popularity of low carbon lifestyle and its accelerative preference for renewable
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