Airdri Ltd: Strategic Planning for Sustainable Business Growth

This report provides a strategic analysis of Airdri Ltd, a UK-based small-scale enterprise specializing in hand dryers. It begins with an introduction to business planning and its importance for growth. The report then delves into key considerations for evaluating growth opportunities, utilizing a PESTLE analysis to assess the political, economic, social, technological, legal, and environmental factors impacting Airdri Ltd's expansion potential. The report then evaluates growth opportunities using Ansoff's matrix, exploring market penetration, market development, and diversification strategies. Furthermore, it identifies growth options through Porter's generic strategies, including cost leadership, differentiation, and focus. A SWOT analysis is also provided to highlight the strengths, weaknesses, opportunities, and threats facing Airdri Ltd. Finally, the report assesses the risks associated with specific strategies and concludes by summarizing the vital role of planning in business development.

Planning For Growth

Table of Content
• Introduction
• Key considerations for evaluating growth opportunities
• Evaluation of growth opportunities
• Options for growth
• Evaluation of specific options
• Conclusion

• Planning is the management process of think about activities needed for accomplishment
of specific and desired business objectives (Biddle and Taylor, 2018). It is important for
company's growth to plan each and everything in a systematic and effective manner.
Airdri Ltd. is a small scale enterprise of England, UK which provides hand dryer with
considering customer's comfort. Longevity, reducing noise, easy to use, low consumption
of energy are the services included in the product.
Introduction

With respect to identify key thoughts that have direct impact on
growth of Airdri Ltd, pestle analysis of UK is undertaken for
finding opportunities of company's successful expansion.
Affecting factors in development of organization are as under :
• Political: This factor consists of governmental stability, tax rate,
foreign policies, monopoly, labor laws and more.
Key considerations for evaluating growth
opportunities

• Economical :- Inflation, exchange rate, interest rate, employment etc. all stands for economic power
of a nation (Birkin, Clarke and Clarke, 2017). UK's diverse market, popularity as a preferred
destination for foreign direct investment, communicates the economic growth of the country.
• Social :- This factor consider population rate, income level, cultural differences, buying habits and
health consciousness of people, educational background etc. (Bridge and Dodds, 2018). increasing
population and income level of United kingdom's mankind rises the demand for more products.
CONTINUE….

• Technological :- Elements such as- producing products, distribution of goods & services,
use of internet and robotics included in technology factor. This affects organizational in
numerous ways.
• Legal :- Health and safety laws, consumer rights, competitive legislation, labor laws of a
country affects the business enterprises running within it.
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• Environmental :- This factor considering weather and climate conditions, pollution, use
of water and energy resources, reducing the use carbon etc. (Gurumurthy, 2018). there
are various environmental laws of UK such as- climate change , pollution, wildlife laws
that affects the growth of company in certain ways:
Airdri can grow its business and build a strong brand image by avoiding use of carbon and
plastic in its products. This added an value in making country pollution free.
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• Ansoff's matrix is a strategic tool used for planning
the future of organization which helps in successful
evaluation of best suited strategy (Honig and
Samuelsson, 2020). It is developed in 1965 by Igor
Ansoff to assist enterprises in entering into new
industry and expanding business into existing.
Evaluation of growth opportunities

In terms of finding the opportunities for future growth of Airdri Ltd four aspects of this
model are applied below :
 Market penetration :- It is the first and most important strategy of this matrix. When an
organization wants to introduce new products in their existing portfolio within well
known market then this is best strategy to use. In terms of respective firm can launch
hair dryer in order to attract new customers and retains old ones. This will helps to
increase market share of business and creates growth opportunities.
Continue…

 Market development :- When a company targets a new market for existing market this
strategy is best for apply. This is significant approach for expanding business into different
region. Airdri is to enter into different areas of UK with existing product which leads to
broad market size of business and build brand reputation. This saves the cost of
development of new products and goods and helps to attract new customers.
CONTINUE….

 Diversification :- It is the last but not least approach of Ansoff's growth vector matrix. This
strategy is applied when an organization wants to introduce a new product into a fresh market. In
context of Aridri can develop new product “hair dryer” and promote it in different areas of United
Kingdom so as to explore business and gain higher profits and market shares. This is costly but
effective strategy that brings higher growth of business.
CONTINUE….

• Here porter's generic model is used to identify the
growth options for Airdri Ltd in terms of getting
competitive advantages. This model helps the
organisation to analysing and understanding the
competition and choosing the best strategy for
gaining benefits over rivalries (Leick and Lang,
2018).
Options for growth