Strategic Planning: Context, Terminologies and Techniques - Iceland

This report provides an overview of business strategy, focusing on strategic context, key terminologies, and planning techniques. It analyses various business terminologies such as vision, mission, objectives, goals, and core competencies within the context of the Iceland supermarket. The report identifies issues involved in strategic planning, including having a plan, understanding the market, and commitment. It also explains techniques like the BCG Matrix and Product Life Cycle (PLC) used for strategic planning. The BCG Matrix helps analyse product lines and portfolio based on market growth and competitive position, categorizing products into Stars, Cash Cows, Dogs, and Question Marks. The PLC illustrates the stages of a product's life, including Introduction, Growth, Maturity, and Decline.

BUSINESS STRATEGY
TASK 1

TASK 1.1 Explaining strategic context and
terminologies
• In the business entity there are various kinds of terminologies
are used which are achieved with the help of different
strategies.
• In the organisation, with the context to strategic there are
several aspects are to be used and added.
• With reference to the Iceland supermarket different business
terminologies such as goals, mission, vision, objectives, core
competencies etc. are analysed as below:

Vision and Mission
• Mission: To increase market share by 18% in
the retail industry.
• Vision: To become a leading brand in overall
retail industry across the world.

Objectives
• To attract more number of customers towards
Iceland supermarket for purchasing its
products.
• To achieve economies of scale.
• To improve financial position in the retail
industry.
• To gain competitive advantage with the help
of cost.

Goals
• Use highly effectual and attractive marketing strategies like as
internet and social media networks.
• Increase level of production which lead to reduce total costs
and expenditures.
• Control over the miscellaneous expenses and enhance profit.
• Using cost leadership strategy to attract more customers.

Core competencies
• Providing food products with high quality to
the customers.
• Attracting consumers by offer food items with
high nutritions and hygienic.
• The Iceland charging lower prices of frozen
food and grocery items from buyers.

TASK 1.2 Issues which are involved in
strategic planning
• Strategic planning is a process in which objectives are
determined and strategies have been formulated to reach the
targets.
• Iceland supermarkets have formulated these strategies but the
issues that they are facing are:
• Have a plan
• Not understanding the market
• Partial commitment

Contd....
• Involvement of wrong people
• Not monitoring
• Wrong leaders

TASK 1.3 Explaining various techniques for
strategic planning
• There are mainly two techniques used for strategic planning
are such as BCG Matrix and Product Life Cycle which are
explained as below:
• Boston consulting group has identified the matrix that helped
the Iceland supermarket to analyse and assess their product's
line and portfolio.
• It measures on the basis of growth of product within the
market and with that of competitors.

BCG Matrix
The matrix consists of four groups:
• Star (high share high growth)
• Cash cows (high share low growth)
• Dogs (low share low growth)
• Question mark (low share high growth)

Product Life Cycle (PLC)
PLC has been depicted in the following four
stages:
• Introduction
• Growth
• Maturity
• Decline

REFERENCE
Campbell, D., Edgar, D. and Stonehouse, G., 2011. Business
strategy: an introduction. Palgrave Macmillan.
Meskendahl, S., 2010. The influence of business strategy on
project portfolio management and its success—a conceptual
framework. International Journal of Project Management.
28(8). pp.807-817.
Scholes, M. S., 2015. Taxes and business strategy. Prentice Hall.