Strategic Management: Identification of Possible Strategies

Strategic
Management

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
1. Identification of the possible strategies...................................................................................1
TASK 2............................................................................................................................................5
Evaluation of the strategy............................................................................................................5
TASK 3............................................................................................................................................9
Recommendations.......................................................................................................................9
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Strategic management is defined as the identification and description of the strategies that
managers can carry out to attain good performance and a competitive advantage for the
company. It is a ongoing procedure that appraise the business as well as industries in which the
organisation is involved and analysis the strategy of their competitors and set goals and objective
to reach present and potential competitors (Ansoff And et. al., 2018). After the competitor
analysis set the strategy for the business that suitable, acceptable. To better understand the
strategic management taken organisation Tesla Inc. which is an American automotive and energy
based organisation. The company founded in July 1, 2003 by Martin Eberhard, Marc
Tarpenning, Elon Musk, J.B. Straubel ans Ian Wright. The headquater of the company situated in
Palo Alto, California, U.S. Tesla Inc. has been dealing into Electric Vehicles and Tesla energy,
assemble different types of plants and products.
In the report analysis the external and internal environment then set effective strategies
that supports to business to gain competitive advantages and meet with the organisational goals
& objectives. There is applying possible strategies such as Ansoff matrix, BCG matrix, safe
criteria and many other. After implication provide justification for particular strategy and provide
recommendations.
MAIN BODY
1. Identification of the possible strategies
In the modern business environment, it is essential for the business to make and apply
possible business as well as corporate strategies. There are different strategies that can be
selected by the Tesla for the sustainable growth. Some of the possible business strategies are
defining such as:
Ansoff Matrix: It is also known as market growth matrix that applied by the organisation
for strategic marketing planning and grab opportunities to generate profitability with the help of
new product development and enter into new market (Bettis and et. al., 2014). It is one of the
best model that utilised by the different types of organisation to get growth in competitive
environment. This model used to analysis possibilities for business to increase their sales through
presenting options for new markets. All the four aspects of particular strategy have been
evaluated for Tesla as below:
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 Market Penetration: It is a type of growth strategy where company sell out existing
products in the existing market. In this strategy company analysis the market trends and
identify customer taste and preferences. For this company apply the different types of
promotional strategies, set different price structure to attract customer and make the
distribution more extended. Tesla apply the this strategy to attain more market share for
existing products and become familiar with the consumer regarding to product and sell
out them. Product Development: In this strategy new products are launched by the company in the
existing market. After analysing different factors and related risk, a company apply
modification in the existing products like change its outlook or presentation, improve
quality as well as performance of the product. If Tesla apply product development
strategy, who provides part of car so as to target to car owner in buying a replica of the
models, clothing and pens (Boyd. and et. al., 2012). Market Development: This strategy also known as market extension strategy where
business sell out the existing product in the new market. For this require to analysis the
new market condition, customer taste, market segmentation and many others. There are
different approaches for the particular strategy such as: new distribution channels, new
geographical markets, new product packaging and different pricing policies. Tesla apply
market development strategy for this require to select effective market strategy to conduct
business activities into new market. It supports to intensify the business at geographic
location.
 Diversification: It is last growth strategy where company launch new product at the new
market at the same time. It is consider more risky strategy because off two unknown, new
products being developed and the business does not know the development issues that
happen in the procedure. This strategy apply by the Tesla to tap into new market with
new product to cover market share and increase profitability (Daley, 2012).
Justification: Market penetration should be selected by the Tesla to increase sales of
their existing product in the existing market. For this company apply effective strategy that
supports to attract more costumer and market share. It is less risky strategy because company
have experience of customer as well as market so according to that they develop strategy. As the
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