Strategic Analysis: Business Expansion Strategies for Monor Magda

This report examines the strategies employed by Monor Magda to develop its business, focusing on a comparison of these strategies and suggesting three new approaches for expanding into the Australian market. The analysis highlights the importance of logistics and financial backing for success in the ice cream business. It contrasts cost relationship, focus, and product differentiation strategies adopted by Monor Magda, including blog advertising, social media marketing, and unique product designs like waffle cones. The report suggests that product development, CSR initiatives, and healthier product alternatives could further enhance Monor Magda's competitive advantage and market reach in Australia, turning an ice cream parlor into a unique dining experience, boosting community engagement, and catering to health-conscious consumers.

Running head: MANAGEMENT
Management
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Table of contents
Introduction......................................................................................................................................2
Discussion........................................................................................................................................2
Compare and contrast the following strategies adopted by Monor magda.....................................2
Discuss three strategies that Momor magda could adopt to expand their business.........................4
Conclusion.......................................................................................................................................5
Reference list and bibliography.......................................................................................................6

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Introduction
Strategic management plays an influential role for driving the business growth in an
organization (Theriou 2015). Depending on the effective strategic management initiatives it
becomes easier for the organizations to deal with the business challenges. The purpose of this
study is to highlight the strategies adopted by Monor magda for developing its business. By
highlighting the strategies comparison between the strategies has been done. At the end of the
study, three important strategies have been suggested, that can help the company to expand its
business in the Australian market.
Discussion
Compare and contrast the following strategies adopted by Monor magda
In the market analysis it has been clearly understood by Angela that in order to enter in
the mysterious ice cream business, logistics is the main key element for success. Financial
backup is also being considered as an important business element for sustaining in the
competitive business environment. In the words of Prajogo (2016), in case of cost relationship
strategy, the positive relationship between concentration and profit is being developed. In such
cases the company gains high profit by investing lower cost. In order to reduce the cost, in a
small town the factory has been developed. In the year 2015, total numbers of 70 food stores
have been opened by the company, which is quite impressive for the ice cream industry.
Analyzing the current business environment, it can be said that marketing has become necessary
for grabbing the large numbers of customer attention. In case of entering in a competitive
market, every organizations should focus on target segment of the products, which are going to
be introduced in the market. In that case, focus strategy has been adopted by Monor magda.

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Angelina has adopted blog advertising strategy for grabbing large numbers of customers’
attention. Different articles have been published in both the local and national channels. In the
opening day, the Monor magda has got the responds from 650 people, which was quite
impressive.
According to McAlister et al. (2016), it has been analyzed that the focus marketing
strategy can bring huge opportunities’ for the company. Through the social media marketing,
large numbers of potential customers have been identified by Monor magda. In order to develop
a strong brand image in the market, Angela developed creative website designs with the help of
her friends. In this situation the ‘crowd funding’ idea has been aroused. A campaign has been
introduced with the numbers of 33 people. After the completion of the campaign, the business
revenue of the company aroused 20.5% with in 2015. The social media strategy of the company
has helped to enter from the small to large market. Through different Swedish TV channels the
company has grabbed the attention of large numbers of customers. Product differentiation
strategy has also been adopted by Monor magda. In the words of Ogasavara, Boehe and Cruz
(2015) as per the product differentiation strategy, the products are being introduced by adding
unique features and packaging. This strategy is being adopted in case of sustaining in the existing
market by gaining the competitive advantages. In case of Monor magda, it has been identified
that in the year 2012, Angela introduced ice cream with the waffle cones. It is true that the
initiative of Angela has got appreciated by the people through the mobile sales outlet in
Jonkoping. As a result the sales reached at near about SEK1mn. As the waffle cone designing
process has huge difference than the original ice cream business idea, in that case, it can be
assumed that depending on the business practices, the future franchising concept for the
company gets flourished. Therefore analyzing different strategies adopted by the company, it can

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be said that these strategies have played individuals important role for influencing the business
growth of Monor magda.
Discuss three strategies that Momor magda could adopt to expand their business
Australian food market has higher level of contribution in the economic growth. Due to
increasing business opportunities in the Australian market, gaining the competitive advantages
has become necessary for the organizations (Bowen, Baker and Powell 2015). Analyzing the
different marketing strategies adopted by Monor magda, it has been identified that three
strategies such as cost relationship, focus and differentiation strategies have been adopted by the
company. After examining the different situation faced by the company, it has been identified
that it is tough for sustaining in the competitive business environment. As per my understanding
the product development strategy could have been adopted by the company for gaining the
competitive advantage. With this initiatives, not only ice cream, but also others products could
have been developed by the company. It can be assumed that as a result, the market risk could
have been avoided by the company. It is also true that by introducing the diversified product
strategy, target market of the company could have been extended (Arora 2016). On the other
hand, it cannot be denied that the company has adopted various initiatives for promoting its
brand in the market, which has brought positive result on its business revenue. On the other
hand, if some pastries and juices can be added in the food menu, in such cases the ice cream
parlor can be introduced in the Australian market as a small restaurant. In the Australian food
market, Ice cream parlor with some others products like pastries and cakes can be unique ideas
for the Australian people.
By adding this, it can be said that in order to increase the community engagement, the
company can involve itself in different CSR activities. As its result, the corporate priorities as

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well as business growth can be maintained. The CSR initiatives can be beneficial for the
company as with such initiatives, the society improvement can be brought. It is also
environmental friendly and able to garb large numbers of customers’ attention. As per my
understanding, if the company will be able to successfully implement the CSR initiatives, it will
be beneficial in terms of making partnership with the local community. With increasing numbers
of community engagement, it will become easier for the company to get the support from local
people, which can help to avoid the social cultural risk of the company. In the Ice cream is a non-
healthy food and people appreciate the food based on its taste (Devin and Richards 2018).
Therefore, healthier alternatives can help to increase its popularity in the market. In such cases,
different section can be developed for the diabetic customers. In such cases, the diabetic
customers can also be able to experience the delicious taste of Monor magda. Analyzing the
competitive business environment in Australia, it can be said that if different section can be
developed for the diabetic customers, it will help to maintain its uniqueness in the market
(Preston 2016). Not only the diabetic products, but also fruit based ice cream can also be able to
attract the customers towards Monor magda. By developing new products in the market, Monor
magda can be able expand its target market.
Conclusion
In this study, it can be concluded that in the Swedish market, Monor magda has
introduced various strategies, which has helped the company to achieve its business objectives.
Analyzing different opportunities in the market, it has been suggested that diversification
strat5egy, CSR initiatives and introduction of healthier alternative products can help Monor
magda to expand its business in the Australian market.

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Reference list and bibliography
Arora, R., 2016. Enhancement in employee skills and benefits to employees and organization
with respect to CSR Initiatives. JIM Quest, 12(2), p.39.
Bowen, H.P., Baker, H.K. and Powell, G.E., 2015. Globalization and diversification strategy: A
managerial perspective. Scandinavian Journal of Management, 31(1), pp.25-39.
Devin, B. and Richards, C., 2018. Food waste, power, and corporate social responsibility in the
Australian food supply chain. Journal of Business Ethics, 150(1), pp.199-210.
Hill, T., 2017. Manufacturing strategy: the strategic management of the manufacturing function.
Macmillan International Higher Education.
Karadag, H., 2015. Financial management challenges in small and medium-sized enterprises: A
strategic management approach. EMAJ: Emerging Markets Journal, 5(1), pp.26-40.
Lee, S., Lee, K., Gao, Y., Xiao, Q. and Conklin, M., 2018. Do a company’s sincere intentions
with CSR initiatives matter to employees? A comparison of customer-related and employee-
related CSR initiatives. Journal of Global Responsibility, 9(4), pp.355-371.
McAlister, L., Srinivasan, R., Jindal, N. and Cannella, A.A., 2016. Advertising effectiveness: the
moderating effect of firm strategy. Journal of Marketing Research, 53(2), pp.207-224.
Mialon, M., Swinburn, B. and Sacks, G., 2015. A proposed approach to systematically identify
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Ogasavara, M.H., Boehe, D.M. and Cruz, L.B., 2015. CSR-based Differentiation Strategy of
Export Firms From Developing Countries: An Exploratory Study of the Strategy Tripod.

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Prajogo, D.I., 2016. The strategic fit between innovation strategies and business environment in
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Preston, C., 2016. Food regulation: Impact of regulatory changes on the food industry. Food
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Theriou, N.G., 2015. Strategic Management Process and the Importance of Structured Formality,
Financial and Non-Financial Information. European Research Studies, 18(2), p.3.
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