BMGT7010 Strategic Management Review: Fisher & Paykel Healthcare NZ

This report provides a strategic management analysis of Fisher & Paykel Healthcare, a New Zealand-based company specializing in respiratory and acute care products. It begins with the company's history, mission, and vision statements, followed by a SWOT analysis identifying the company's strengths, weaknesses, opportunities, and threats. A PESTEL analysis examines the political, economic, social, technological, environmental, and legal factors impacting the company. The report also discusses Fisher & Paykel Healthcare's current partnerships, alliances, and marketing strategies, concluding with recommendations for improving its competitive advantage. This document is available on Desklib, a platform offering a range of study tools and solved assignments for students.

Running head: STRATEGIC MANAGEMENT – FISHER AND PAYKEL HEALTHCARE
STRATEGIC MANAGEMENT – FISHER AND PAYKEL HEALTHCARE
Name of the Student
Name of the University
Author Note

1STRATEGIC MANAGEMENT – FISHER AND PAYKEL HEALTHCARE
EXECUTIVE SUMMARY
The company in discussion, Fisher and Paykel Healthcare, is a well-known company that is
known for manufacturing the various products that are useful in the fields related to care in the
respiratory department, the acute care departments. The following report dealt with the strategic
management of Fisher and Paykel Healthcare, New Zealand. The report opened with the
company history and the mission and the vision statement of the company. The report analyzed
the strengths and the weaknesses and the PESTEL analysis of the company. The report discussed
the present partnerships, the alliances as well as the marketing strategies of company.

2STRATEGIC MANAGEMENT – FISHER AND PAYKEL HEALTHCARE
Table of Contents
Introduction..........................................................................................................................3
Company History.............................................................................................................3
Mission statement............................................................................................................3
Vision Statement..............................................................................................................4
Corporate Strategy...........................................................................................................4
BCG Growth Matrix........................................................................................................5
SWOT Analysis...............................................................................................................5
PESTEL Analysis............................................................................................................6
Current Partnership and alliances....................................................................................8
Current marketing strategies............................................................................................8
Conclusion...........................................................................................................................9
References..........................................................................................................................10

3STRATEGIC MANAGEMENT – FISHER AND PAYKEL HEALTHCARE
Introduction
The following report deals with the discussion on the strategic management of Fisher and
Paykel Healthcare, New Zealand. The report opens with the discussion on the company history
and aims to put forth the mission and the vision statement of the company. The report further
attempts to analyze the strengths and the weaknesses of the company. The report also attempts a
PESTEL analysis of the company. The report further discusses the present partnerships and the
alliances of the company as well as the marketing strategies of company.
Company History
The company in discussion, Fisher and Paykel Healthcare, is a well-known company that
has been operational in the country of New Zealand. The company is known for manufacturing
the various products that are useful in the fields related to care in the respiratory department, the
acute care departments. The products that are manufactured by the company are known to be
helpful for the treatment of the various conditions of obstructive sleep apnea. The company is
known to have its presence in over 120 countries of the world and employs a workforce of about
3150 people (Fphcare.com., 2018). The company is majorly known to be an exporting company.
the major revenue of the company is earned through the international sales and a meagre 1% of
the revenue earned originates from New Zealand.
Mission statement
The mission statement of the given organization in discussion is to grow the company
into the state wherein the concerned company will be one of the leading manufacturers of the
various healthcare products all over the world (Fphcare.com., 2018).

4STRATEGIC MANAGEMENT – FISHER AND PAYKEL HEALTHCARE
Vision Statement
The current vision statement of the company helps in the betterment of the enhancement
of the lives of the patients who have been availing the services of the company at the various
locations all over the world (Fphcare.com., 2018).
Corporate Strategy
The present corporate strategy adopted by the company is to implement the continuation
of increase in the sales of the various accessories and the consumable products that are marketed
by the concerned company. The company also aims at the capitalization of the culture that is
followed by the company all over the world (Fphcare.com., 2018). The company is known to be
capitalizing on the therapeutic services that it provides to the various patients who have been
accessing the services all over the world (Fphcare.com., 2018). The company further aims to
maintain the steady improvement in the departments that are related to the research and the
development in the matters related to the innovation in the healthcare products that are produced
and marketed by the company in discussion, Fisher and Paykel Healthcare.

5STRATEGIC MANAGEMENT – FISHER AND PAYKEL HEALTHCARE
BCG Growth Matrix
Figure 1: BCG Growth Matrix of Fisher and Paykel Healthcare
Source: (Author)
The proper study of the BCG Growth Matrix of Fisher and Paykel Healthcare reveals that
the company is to be placed in the question mark section. The company is known to have a
market share of almost 10% to 15% (Forsythbarr.co.nz., 2018). However, the company is known
to have been holding the third position in the market of New Zealand (Fphcare.com., 2018).
SWOT Analysis
The SWOT analysis of Fisher and Paykel Healthcare aims to discuss the various matters
that are helpful for the better understanding of the market positioning of the concerned company.
The strengths of the company lie in the matters that are related to the innovation of the products

6STRATEGIC MANAGEMENT – FISHER AND PAYKEL HEALTHCARE
within the organization. The company is also known for the huge strength that it displays within
the community of the dealers (Chen et al., 2015). The distribution network of the company is
also one of the areas of strengths within the company.
The major weaknesses of the company lie in the higher days inventory of the company as
compared to the competitors of the company. The other area of weakness of the company lies in
the fact that the company is not proficient in extending the proper integration within the given
company (Sarfo-Frimpong et al., 2017). This might lead to the conditions wherein the company
fails to establish a merger with the smaller firms that have a lesser global presence exposure.
The opportunities for the company in discussion, Fisher and Paykel Healthcare helps the
concerned company to face a growth in the future ventures. The major opportunity of the
company lies in the decreased cost of the products of the company. The company might also face
an opportunity in the lowering of the shipping costs of the products. These might help in
boosting the profitability of the company (Van Durme et al., 2014). This might also help in
passing on the benefits to the clientele of the organization thereby resulting in the gain of the
market share of the company in the given area.
The major threats of the company lie in the matters that are related to the rising costs of
the raw materials that are required for the manufacture of the products of the company. The
company is also affected by the liability laws that are active within the various global markets
wherein the company has been active (Jackson, Hussainy & Kirkpatrick, 2017).
PESTEL Analysis
The PESTEL analysis of Fisher and Paykel Healthcare aims at the analysis of the several
external factors that have been affecting the company. The political factors that have been

7STRATEGIC MANAGEMENT – FISHER AND PAYKEL HEALTHCARE
affecting the company are the political stability within the country wherein the company has
been operating. The company is also affected by the levels of the corruption that have been
observed within the given country. The company is also affected by the various taxation policies
within the country (Bertels, Koen & Elsum, 2015). The other political factors that might affect
the company is the factors that are related to the wage legislation as well as the various work
benefits that are mandatory according to the rules of the concerned country.
The economic factors that affect the company are the governmental interventions within
the free markets of the concerned country. the concerned company is also affected by the
exchange rates within the country as well as the stability of the currency of the host country in
discussion. The education levels of the population of the country might also be referred to as an
economic factor that affects the company (Hamdan, 2017). The company is also affected by the
cost of the labor within the company as well as the productivity within the economy of the
country. The inflation rates within the given company is also considered to be one of the major
economic factors that affect the company in discussion.
The social factors that might have been affecting the company are the factors that are
related to the demographics of the host country wherein the company might have been
expanding. The level of skill within the available labor in the country is another important social
factor that affects the overall growth of the company (Bell & Rochford, 2016). The company is
also affected by the levels of education of the employees of the organization at the various
locations wherein the company has been featuring. The other major social factor that have been
affecting the company in discussion are the factors that are related to the entrepreneurial spirit
that is depicted within the given society.

8STRATEGIC MANAGEMENT – FISHER AND PAYKEL HEALTHCARE
The technological factors that have been affecting the company refers to the matters that
are related to the various developments in the technological matters in the present world. the
company is affected by the cost structure within the industry related to the products and the
services of the healthcare (Moutinho & Phillips, 2018). The company is also known to be
affected by the rate of the technological diffusion within the host country.
The various environmental factors that affect the company are those that are related to the
changes in the weather and the climate of the host country. The company is further affected by
the laws of the land that administer the pollution in the environment (Taylor, 2018). The other
environmental factor that affects the company is the attitude and the support displayed by the
company towards the development of the renewable energy within the country.
The legal factors that have been affecting the company refer to the laws that are related to
the copyrights and the patents of the company (Bertels, Koen & Elsum, 2015). The company is
also affected by the laws that govern the employment scenarios within the given country as well
as the anti-trust laws that are applicable to the healthcare industry within the country.
Current Partnership and alliances
The company in discussion, Fisher and Paykel Healthcare is known to form partnerships
with the various medical institutions that are present all over the 120 global markets wherein the
company has been active. The company is also known to have been maintaining alliances with
the various governmental bodies as well as the various manufacturers of the medical devices
across all the host countries. The alliances of the company include the Japan Association of
Medical Devices Industries, the Japan Association of Health Industry Distributors and other
governmental bodies (Fphcare.com., 2018).

9STRATEGIC MANAGEMENT – FISHER AND PAYKEL HEALTHCARE
Current marketing strategies
The current marketing strategy that might be implemented by the company in discussion
is the joint venture strategy. This strategy might help the concerned company to gain an insight
on the culture of the concerned host country, the current state of the healthcare activities within
the country and thus help in developing a better knowledge on the activities within the country
and the ways in which it might capture the market (Hamdan, 2017).
Conclusion
The above discussion throws light on the present state of affairs of the company in
discussion, Fisher and Paykel Healthcare. The company might be recommended to pay attention
towards the various weaknesses and the threats that have been identified in order to deal with the
improvement of the competitive advantage of the company.

10STRATEGIC MANAGEMENT – FISHER AND PAYKEL HEALTHCARE
References
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understanding of an old framework. The International Journal of Management
Education, 14(3), 310-326.
Bertels, H. M., Koen, P. A., & Elsum, I. (2015). Business models outside the core: Lessons
learned from success and failure. Research-Technology Management, 58(2), 20-29.
Chen, N., Liu, X., Meng, L. I., Guo, S., & Dong, S. (2015). The SWOT analysis on private
hospitals in the background of new healthcare reform. Chinese Journal of Health Policy,
(8), 39-43.
Forsythbarr.co.nz. (2018). Fisher & Paykel Healthcare Corporation Limited | Forsyth Barr
Investment Advice. Retrieved from https://www.forsythbarr.co.nz/markets-and-
research/companies/NZX/FPH
Fphcare.com. (2018). About Us. Retrieved from
https://www.fphcare.com/nz/our-company/about-us/
Fphcare.com. (2018). Investor Centre | Fisher & Paykel Healthcare. Retrieved from
https://www.fphcare.com/us/our-company/investor/reports/
Hamdan, A. L. (2017). Strategic Framework in a Hospital Settings. In Strategic Thinking in a
Hospital Setting (pp. 31-40). Springer, Cham.
Jackson, J. K., Hussainy, S. Y., & Kirkpatrick, C. M. (2017). Identification of major factors in
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