JB Hi-Fi Report: Kaplan Business School, MBA600 Assessment

This report provides a comprehensive analysis of JB Hi-Fi, examining its internal environment, organizational strategy, and operational activities. It delves into the company's marketing, product development, innovation, and growth strategies, highlighting key changes and competitive advantages. The report utilizes a Balanced Scorecard to evaluate JB Hi-Fi's performance and offers recommendations for future improvements, focusing on areas such as shareholder value, customer satisfaction, internal processes, and capabilities. The analysis covers strategic objectives, critical success factors, and key metrics, aiming to provide actionable insights for enhancing the company's performance and achieving its goals, with a focus on adapting to changes from bricks to online, and future expansion plans.

Running head: JB HI-FI REPORT
JB HI-FI REPORT
Name of the Student
Name of the University
Author Note

1JB HI-FI REPORT
Executive Summary
The primary focus of the report is to highlight the manner in which an enterprise will be
successfully able to analyze its current strategies, the external environment and based on it, it
will also be able to engage in effective competitive relation with the different competitors
present. The report has taken the JB Hi Fi as the primary company and aims to examine the
internal environment of the firm which will then be followed by the analysis of the key
innovative and changes along with the existing growth strategy of the enterprise. The report
follows a comprehensive layout whereby the Introduction is followed by the details of the
company, the Organizational strategy and the various operational activities. This is then followed
by the future analysis of the firm by making use of the Balanced Scorecard. Certain
recommendations to improve the firm have been provided.

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Table of Contents
Introduction......................................................................................................................................3
About the company..........................................................................................................................3
Organizational strategy....................................................................................................................4
Organizational Activities.................................................................................................................5
Operations....................................................................................................................................5
Marketing.....................................................................................................................................5
Product development...................................................................................................................6
Innovation, Change and Growth..................................................................................................7
Strategic Outlook and Implementation........................................................................................7
Recommendations............................................................................................................................8
Balanced score card.....................................................................................................................8
Actions to undertake..................................................................................................................10
Conclusion.....................................................................................................................................10
References......................................................................................................................................12

3JB HI-FI REPORT
Introduction
In order to succeed in the long run, all the different organizations would be required to
come up with adequate strategies with the help of which they will be able to gain a competitive
advantage. In consideration of this, the primary aim of the given report is to outline the different
strategies which are essentially adopted by the chosen organization (Lasserre 2017). Based on
the existing strategies, the firm will be required to evaluate its performance and thereby ensure
that it is successfully being able to evaluate its alternatives and formulate adequate strategies so
that it is being able to come up with new plans to perform better (Ansoff et al. 2018). The
enterprise which has been chosen for the report is the JB Hi Fi. Hence, the primary focus of the
report lies to determine the different tactics which have been effectively utilized by the firm and
the manner in which these strategies can be modified for enterprise success. In consideration of
this, the report will throw light on the background of the company, which will then be followed
by the organizational strategy, an outline of the organizational operations, marketing, product
development, growth, change, innovation as well as strategic implementation. This will be
followed by a series of recommendations with the help of which the enterprise will be able to
perform well in the future.
About the company
The JB Hi Fi was established in the year 1974 by Mr. John Barbuto from a single store in
the East Keilor in Victoria. The owner of the enterprise ran his business on a simple philosophy
which was primarily focused on delivering a specialist range of Hi-Fi as well as a recorded music
at considerable lower prices. Due to the popularity of the offerings and the lucrative prices being
offered to the different customers, the business was able to grow considerably and opened

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various branches of the firm (Jbhifi.com 2020). The business was sold in 1983 and the next
owner opened 9 other stores by the end of the 20th century. Again in the year 2000, the month of
July, the JB Hi Fi was purchased by the private equity bankers and the senior management aimed
to make the overall model nationally. In the year 2003, the JB Hi Fi was floated in the
Australian Stock exchange and the enterprise became one of the fastest growing enterprises and
the retailer of the home entertainment (Jbhifi.com 2020).
In the year 2004, the JB made purchase of the Queensland Clive Anthony chain which
sold the electronic products, white goods as well as the cooking appliances as well as the air
conditioning. The locations have now become the JB Hi Fi HOME stores and the stores sell
everything the different customers like.
Organizational strategy
The JB Hi Fi has successfully applied various strategic management concepts as well as
the strategies. With its consistent efforts, the enterprise has been able to provide integrated
products along with the services in their overall business offerings. The company has applied a
consistent growth strategy whereby it has evolved with the times. The company applied both the
Product diversification strategy along with the Market development strategy, with the help of
which, it was successfully able to ensure that it is being able to advance successfully in the
domain of the business (Ansoff et al. 2018). The firm however has certain loopholes in the
management procedure. This simply means that the firm was required to apply the strategic
management concepts in their regular functioning but a constant review of the organizational
policies was not being held. If the regulations and policies were not being held regularly then in
such a scenario, the firm would face considerate limitations with respect to which, it would be

5JB HI-FI REPORT
required to see to it that, it is being able to change and modify the different plans regularly in
order to ensure that, it is successful in its overall operations and is being able to perform all
operations successfully (David and David 2019).
Organizational Activities
Operations
The enterprise has become the world`s leading brand of the Tablets, Computers, TVs,
Cameras, Hi Fi , Speakers, Car Sound, Home Theater, the Portable Audio as well as other
aspects at considerably lower prices. The brands sell a high range of cheap products which are
essentially available at cheaper prices and this is the reason why the enterprise is considered to
be very popular. The firm has an experienced specialist staff as well (Jenkins and Williamson
2015).
Marketing
Marketing can be taken to be a key activity of an enterprise as these products which the
firm intends to sell its products successfully in the market. In consideration of this, the enterprise
has a sound marketing and selling activity, which it makes use of in order to see to it that the
enterprise is being able to become competitively successful in the long run (Frynas and Mellahi
2015). The enterprise collects a high quantity of marketing and promotion applications and
undertakes initiatives to verify those offers within the 10 days. The marketing plan of the
company involves both direct as well as the indirect methods of marketing (Jbhifi.com 2020).
Under the direct method of the marketing the firm undertakes various advertising as well
as promotional activities with the help of which it is able to display and advertise its products
accordingly using mediums like social media marketing, radio advertising, television advertising

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and other such means with the help of which it is successfully able to reach out to the customers
(Ginter, Duncan and Swayne 2018). In line with this it becomes very important for the business
to adopt indirect means of the marketing as well by ensuring that the overall operations of the
firm can be carried out successfully with the help of various initiatives such as promoting for
other enterprises, and advertising for various brands. As the enterprise sticks various brands
under its umbrella, the different brands often come up with initiatives which assist it in ensuring
that, the undertakings can be carried out successfully.
Product development
The enterprise has undergone the product development strategically (Meyer, Neck and
Meeks 2017). This means that initially, the operations of the enterprise were simply centered
around the different activities such as the Music recordings but over time and as per the external
environmental factors which influence the business operations, the firm has been able to come up
with various initiatives such as the introduction of goods like the Television, radio, music
systems, computer systems, tablets, Headphones, speakers, audio, Smart home appliances like
Amazon Echo and Google Home. Additionally, the enterprise has also come up various options
such as the games, Movies and Games, Cameras, Drones, and Robotics as well (Hansen and
Schaltegger 2016).
The enterprise has also come up with product offerings such as the Health and Fitness
wearables along with the Car Gear and Musical Instruments with Home appliances. Hence, it can
be essentially witnessed that with time the company has been productively able to come up with
various products and offerings which are quite different from its existing offerings of the
enterprise (Jbhifi.com 2020). However, due to the time variations the firm has been able to come
up with these offerings.

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Innovation, Change and Growth
According to Morden (2016), the innovation, growth and change can be mentioned to be
essential aspects of any enterprise and for any firm aiming to engage in successful operations, the
concept of innovation as well as the growth and the change can be considered to be an effective
strategy to be implemented by the firm. Hence, even the JB Hi-Fi has been successfully able to
undertake regular initiatives with the help of which it has been able to undertake initiatives with
the help of which, it has progressed considerably (Hanson et al. 2016). Earlier, there was only
one store of the enterprise present but currently there are various stores present all around
Australia and the enterprise also offers an online website which sells all the different products of
the enterprise. In consideration of this, it is essential to certify that, the firm has been
efficaciously able to engage in innovation, adapted change management through change in the
shift from bricks structure to the online e-commerce and has been able to improve its overall
standing in the enterprise (Hill 2017).
Strategic Outlook and Implementation
Suggesting by these measures and initiatives which the enterprise has been able to adopt
in order to succeed in the long run and be able to undertake various further initiatives as well. In
consideration of this, it becomes very important for the enterprise to have a future outlook which
will help them in attaining all the goals successfully (Hitt, Ireland and Hoskisson 2016). Hence,
in the future, the main aim of the enterprise is to expand its operations to other countries outside
the domain of Australia.

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Recommendations
In this section, the Balanced score card of the enterprise will be prepared and the various
goals of the enterprise from the perspective of the Shareholders, Customers, Internal process and
the Capability of the enterprise. The current standing of the firm would be determined which will
then be followed by the future goals, critical success factors and the recommendations will be
provided critically.
Balanced score card
The balanced scorecard can be understood to be a successful resource which assists in
defining and measuring the different plans for the business (Hladchenko 2015). The balanced
scorecard also goes a long way in helping the enterprise to sort the different actions and metrics
of the enterprise. This is then followed by the analysis of the key actions and metrics to
formulate the plan in an effective manner. The Balanced score card of JB Hi Fi can be sated to
be as follows:
Strategic
Objectives(perspectives)
CSF(Actions) Key Measures and Metrics
Shareholders To improve the financial
performance of the enterprise
To utilize the resources of the
enterprise successfully.
To engage in long term profits
Goals: 30% increase in the
Net profit in the coming 3
years.
Measures: Net profit, Cash
flow, Sales, EBIDT, Return on
investments.

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Customers The aim is to improve the
customer satisfaction of the
enterprise
To generate effective
customer value.
Goals: Increase in customer
retention by 20%
Measures: Offer goodies, offer
better quality products.
Internal processes To engage in enterprise
efficiency
To provide quality goods to
the different customers.
Goals: Improve efficiency by
30% in the next 3 years.
Measures: Total Quality
management, Unit cost and
others.
Capabilities The human capital as well as
the organizational culture of
the enterprise needs to be
improved.
The infrastructure and
technology aspects also need
to be worked upon.
Goals: Leadership, Quality
management, Time to market
Measures: Superior Quality,
Lead time and maturity
aspects.

10JB HI-FI REPORT
Actions to undertake
From the given analysis, it can be rightfully mentioned that, the business would be
obliged to undertake certain analysis in order to guarantee that it is profitably being able to
overcome all the barriers and is being able to achieve its overall goals (Rothaermel 2017). The
different strategies which the firm can undertake in order to attain success can be stated to be as
follows:
 Undertake competitive Customer relationship management. The first strategy which the
enterprise would be required to undertake can be stated to be the strategy of adopting the
customer relationship management (Nørreklit, Kure and Trenca 2018). In consideration
of this, it becomes critical for the enterprise to see to it that in order to focus on its
customer aspects, the CRM is implemented.
 Secondly, the infrastructure and technology which is used in the enterprise would be
essentially required to be made up to date (Noe et al. 2017). This essentially means that,
if the firm intends to attain accomplishment in the long run, then in such a scenario, it
would be required to engage in considerable steps with the help of which it is being able
to compete with the different players in the market.
 When the efficiency will be improved, the financial capability of the enterprise will
improve thereafter (Morschett, Schramm-Klein and Zentes 2015). In consideration with
this, strategies like market development can be adopted by the enterprise in order to
develop the market positioning of the association.

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Conclusion
Therefore, from the given analysis it could be essentially understood that the JB Hi-Fi has
been working essentially well. The company has been adopting various strategies based on
which it will be successfully able to perform well. The report follows a well-defined layout
whereby the first section of the report lays down the Introduction based on which the various
initiatives taken by the enterprise such as the operations, product development, product change
and other details have been essentially provided. The last section of the report has laid down the
balanced scorecard of the enterprise and the recommendations which can be undertaken by the
enterprise as a whole.