Pro-Go Pty Ltd: Strategic Management Report, MGT604, Semester 2

This report presents a strategic management plan for Pro-Go Pty Ltd, an action camera manufacturer facing operational disruptions, including product defects and market challenges. The report begins with an executive summary and table of contents, then introduces the company and its current issues, such as supply chain problems, product failures, and increasing competition from smartphones. The aim is to discuss current challenges and propose a strategy to revive Pro-Go's market position. The discussion covers privacy legislation, technological advancements, and adjacent markets, analyzing options and recommending market expansion and new product development. It also addresses challenges like change management, market identification, and financial issues. The conclusion summarizes findings and recommends partnerships, employee training, and continuous evaluation to ensure success. References are included to support the analysis and recommendations. The report focuses on analyzing the current challenges and creating a strategic plan for the company to revive its market position.

Running head: STRATEGIC MANAGEMENT
Strategic Management
Name of the Student
Name of the University
Authors note

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Executive Summary
The report is about proposing a strategic management plan for the company Pro-Go Pty Ltd
after it faced a disruption in its operations. The company has enjoyed continuous growth in
the field of action cameras with its easy handling and innovative features. The technology
used in these cameras were customer friendly and quality products. In recent times some of
the cameras burst into flames and the reason is unknown. This unfortunate incidents have
cost the company loss of revenue and major customers. This report stated the important
issues that are to be addressed to evaluate the company’s present condition. Among a number
of preferred options a specific option is been selected as the solution of these problems.
Finally recommendations are attached after the discussion and analysis.

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Table of Contents
Introduction....................................................................................................................4
Aim.................................................................................................................................4
Discussion......................................................................................................................4
Privacy Legislation.....................................................................................................4
Technological advances.............................................................................................5
Adjacent Markets and Products.................................................................................6
Preferred option and reason for choosing it...............................................................7
Challenges..................................................................................................................7
Conclusion......................................................................................................................9
Recommendations..........................................................................................................9
References....................................................................................................................11

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Introduction
Pro-Go Pty Ltd manufactures small and high quality cameras and is based on
Geelong, Victoria. It has positive reviews for its innovation and technological inputs. This
company is facing several challenges in its present operations. There could be seen a lack of
strategic management of the supply chain and production contexts. Some cameras of this
company has burst into flames and the company technicians have found no specific reason
for it. This has resulted in to the loss of company business as consumers are losing their
interest in it. Another reason is that the market for is full with the phones that have good
quality camera features. This is a major challenge for Pro-Go Pty Ltd in present time. The
company has a successful market in China but one of its major retailers has cancelled their
contract with the company. All this has compelled Pro-Go to have an discussion among the
executive teams and make a way out of these problems. This report will discussed about the
measures that could be considered by the company to get through this critical and challenging
situation.
Aim
The aim of this report is to discuss the current challenges of Pro-Go Pty Ltd and set a
strategic plan for reviving its market position through evaluating its technological, legislative
and competitive edges.
Discussion
Privacy Legislation
Protection, storing and managing the important information of a company is necessary
to avoid any kind of cybercrime. In business sectors, the companies need to protect the
confidential data of their company to sustain competition (business.gov.au, 2019). Right from

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protecting information of the customer to avoid the misuse and unauthorised access of data,
Pro-Go Pty Ltd need to have an impactful data privacy policies. This company has been
facing problems in protecting their consumer’s rights as their products are bursting in flames.
The company has used advanced technological interventions for developing their product
features. The privacy of data is important because the patents of these innovations are limited
to the owners. Other manufacturers and competitors could use these against the company’s
business if they get access to these confidential data base.
Options available
Australian legislation have implemented Criminal Code act 1995 and Cybercrime Act
of 2001 (legislation.gov.au, 2019). Both of these acts have the regulations against protection
and access of business data. Pro-Go Pty Ltd should protect their information under these acts.
This company is known for its advanced technology for a long time span. The sudden case of
bursting could be the result of malwares in the camera devises. The company first need to
build a team to find out the main reason behind the bursts and at the same time work
effectively for protecting its data.
Technological advances
Technological changes affects the markets for the electronics business owner. The
Pro-Go has earned good revenue in past few years for their unique action cameras. These
cameras are of high quality and could be operated in low light conditions. The video features
of the camera were up to mark and customers were satisfied with these features. This issue in
this context is that the company products are been reported to burst in flames for no reasons.
This has resulted into the loss of contracts and revenue. Company has lost 50 % of its
business in quite short time. Camera phones are another big challenge for this company to
survive the market demands. It is quite clear that the changing technology has impacted the

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choices of the customers (Tidd & Bessant, 2018). Therefore, the camera company need to be
more innovative and consistent in their performance. But the defective products of this
company are not adding to that expectations. The customers are doubting the reliability of the
products of Pro-Go.
Options available
Pro-Go have reset its cost and production equation in the technological sections. The
technicians and managers could be approached to discuss about the context. The safety of the
cameras are to be given special importance. The camera phones are much more convenient
for their cost and easy handling, though people interested in professional photography or
videography will prefer actions cameras. The technology team should try to develop software
that will ensure the product safety. Another thing is lowing the price of the new launched and
building technological partnership for the products to catch up with other competitors in the
market (Dodgson, 2018).
Adjacent Markets and Products
China has been a major market for Pro-Go products, but the recent incidents has changed the
scenario. The company is losing its market in China and their largest consumer company has
cancelled the contract with them. This is the reason of great revenue loss for the company.
Also the market is being captured by the camera phones newly launched in the market. These
phones were already a challenge for whole action camera industry. The recent burst flame
incidents of this company has hampered the consumer trust on the brand. Brand equity has
fallen immensely which is a threat to the business.
Options available
The review of marketing strategy and setting a new effective strategy is necessary for Pro-
Go. They could work on changing their target customer segmentation (Channon & Jalland,

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2016). At the same time, they could think of changing the target market. Till now, the market
for these cameras were based on China. As the company has lost its big distributor in that
country, it can try to concentrate on other international market (Shapira, 2017).
Decentralising of the market place would give the company great exposure and development
scope. New product development and promoting them in international market could bring the
company in track. Cutting in cost and price could also be considered in this context.
Preferred option and reason for choosing it
Expanding the market with new product development strategy would be the most effective
way to survive the present challenge.
Pro-Go Pty Ltd has efficient and skilled technical support and IT team that would help in new
product development. Innovation and marketing would be the two main strategy for market
expansion. The company could regain the trust of their consumers through exercising
required changes in their product lines. Setting up new suppliers and distributors would be
done according to the market research parameters (Corsi & Morin, 2015). By choosing this
strategy the company could address the issue of revenue generation. New product
development would solve the issues that were causing the product flaming. The company will
find the scope of developing their brand name and identity in new markets through positive
performance.
Challenges
Along with the opportunities that this method will provide, the strategy could impose
some challenges to the company. These challenges need to be evaluated before applying any
strategy so that the team could be ready with the solution.
Short term issues
Change Management

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With the selected strategy the company may face the problem while managing the
new changes. Entering new market and product development will initially start with some
alternatives in supply chain operations (McLean, 2019). Employees working for a specific
market will find it difficult initially to adjust in new market conditions (Baumgartner &
Rauter, 2017). The software that would be developed in the process will need skilful
expertise to handle. The employees need to be trained to adjust in the changed work situation
for maximum outcome.
Market need Identification
As the company is targeting new markets, need identification of the consumer could
be an immediate issue for the company. The target customers in different market may have
different demands. If the market needs are not identified effectively, there would be no
remarkable growth in company business (Schlegelmilch, 2016). Market research team should
work thoroughly to compare the needs and set the marketing strategy accordingly.
Long-term Issues
Financial issues
Setting up new markets and developing new products is an expensive procedure. The
production, marketing and advertisement requires huge amount of financial support.
Therefore, solving financial issues could be the most prominent challenge in the new strategy
application (Ansoff et al., 2018). Giving the context that the main partner of this company in
China has cancelled their contract with them, Pro-Go might have to find new investors and
sponsors for their business.
Market Competition

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Market competition remains the prime challenge for the new entries in the market.
Pro-Go will be launching their products in international market that is already saturated. As
opined by Lasserre (2017), this could be a long term challenge for the company to retain their
market positions in such saturated markets. This will need a continuous re-evaluation of their
supply chain and marketing management. They have to review and renew their strategies in
order to gain competitive advantage in these markets (Meyer, Neck & Meeks, 2017).
Conclusion
Pro-Go has been able to establish itself as reliable brand among its consumers. The
recent incidents of burnt camera, loss of revenue and deals with it main partner in China has
affected its continuous growth. This company was known for its innovative still and action
camera features. The disruption caused by the technological innovation of this company has
cast a negative impact in its hard earn reputation. The company CEO has shown her concern
of the fast declining profit lines and arranged the meeting of stakeholders to address the
issues and find a solution to these problems. The main options are to be addressed in this
context are privacy laws and technological issues. Market research and need assessment
could help the company to fight the condition. Entering and expanding business in new target
markets could give the company scope to increase its revenue. Solving the technical issues
and launching their products would definitely be instrumental in rejuvenating the lost brand
equity. Some of the long term and short term challenges could be faced by the management
team. But these could be avoided if the market research and strategy setting is done
effectively.
Recommendations
Finding Partnership

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Financial challenges could be met if the company grows partnerships with other
companies in new markets. The international market is saturated with companies already
doing well in the market. If the company starts their journey in partnership with one or two of
these companies, they could provide the company with required financial and other supports.
Working with others might be helpful in directing the resources and making continuous
improvements.
Training Employees
Changes are never easy to manage for the employees who have been working in
certain process for a long time. Therefore, the company management have to direct the
employees towards the changed scenario and have them adopted to it. This could be done
through the training programs. Pro-Go may invest some of its budget for the training of the
workers to set up with new technological and operational changes. Security software could be
developed by the technical support or It team, but operating within those new security set up
need to be communicated to the workers. Organisational leadership would play crucial roles
in this aspect.
Evaluating Consumer Demand
Changing market condition and consumer’s inclination towards phone cameras has
been an important reason of revenue loss. Consumer demand trends has changed and the
company has to research on it if it want to sustain the market challenges. Determination of
the target consumer and segmenting them according to their need would provide the company
base for their strategy setting.
Innovation and Extension
Innovative features in their new range of products would attract the attention of the
consumers. Pro-Go may adjust their creative according to the need and preference of the

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customers. Again, they can launch new products of different price and features. Extension in
the product variation would enhance the growth graph.
Tracking the progress
All the changes in strategy and their results need to be controlled and recorded
regularly. This is necessary to track the success rate of the new strategy implementation.
Records could be collected from the feedback of the customers in social media platforms.
Financial records could be another yardstick of determining the progress. Required steps
should be taken for the further development of plan whenever necessary.

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References
Ansoff, H. I., Kipley, D., Lewis, A. O., Helm-Stevens, R., & Ansoff, R. (2018). Implanting
strategic management. Springer.
Baumgartner, R. J., & Rauter, R. (2017). Strategic perspectives of corporate sustainability
management to develop a sustainable organization. Journal of Cleaner Production,
140, 81-92.
business.gov.au, (2019), Cyber Security, retrieved from: https://www.business.gov.au/risk-
management/cyber-security
Channon, D. F., & Jalland, M. (2016). Multinational strategic planning. Springer.
Corsi, P., & Morin, D. (2015). Entering New Markets. Sequencing Apple's DNA, 29-32.
Dodgson, M. (2018). Technological collaboration in industry: strategy, policy and
internationalization in innovation. Routledge.
Lasserre, P. (2017). Global strategic management. Macmillan International Higher
Education.
legislation.gov.au, (2019), Criminal Code Act, 1995, retrieved from:
https://www.legislation.gov.au/Details/C2017C00235
McLean, M. (2019). Understanding your economy: Using analysis to guide local strategic
planning. Routledge.
Meyer, G. D., Neck, H. M., & Meeks, M. D. (2017). The entrepreneurship‐strategic
management interface. Strategic entrepreneurship: Creating a new mindset, 17-44.
Schlegelmilch, B. B. (2016). Entering Global Markets. In Global Marketing Strategy (pp. 43-
61). Springer, Cham.
Shapira, Z. (2017). Entering new markets: The effect of performance feedback near
aspiration and well below and above it. Strategic Management Journal, 38(7), 1416-
1434.

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Tidd, J., & Bessant, J. R. (2018). Managing innovation: integrating technological, market
and organizational change. John Wiley & Sons.