Strategic Leadership Report: M & Co. Analysis, Issues & Development

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This report continues the strategic leadership analysis of M & Co., a clothing retailer. Building on a previous environmental analysis using tools like PESTLE and Porter's Value Chain, it addresses key issues faced by the organization and proposes strategic solutions. The report uses the RACE framework to evaluate opportunities and threats, focusing on responding to macro-environmental changes, accessing untapped markets, and considering innovative services and distribution channels. It recommends expanding into sports apparel and strengthening the distribution network to gain a competitive advantage. The analysis concludes that these strategies, while potentially beneficial, also carry risks that must be carefully managed.
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Strategic leadership
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STRATEGIC LEADERSHIP 1
Introduction
This report is the continuation of stage 1 of the strategic leadership. In the previous report, the
discussion is made on the M & Co. It is a store of selling the women, men and children
clothes (M & Co., 2019). The environment of the organisation has been analysed in the stage
1 with the help of different tools such as PESTLE, Porter’s Value Chain, VRIN Fraework,
and BCG Matrix. At the end of the stage 1, recommendation has been mentioned on the basis
of analysis of environment. In this report, the discussion is made on the issue which is face by
the organisation. Race framework will be used to analyse the opportunities and threat for the
company in order to adopt the different strategies.
Issues and development of strategic proposals
How does the organisation respond to changes in the macro environment?
Consumer’s income is a factor that affects the growth of the organisation because demand of
consumers is totally relies on the income of consumers (Zhang, and Benyoucef, 2016). It is
observed that there are many competitors of the company who provide the similar nature of
product to consumers due to which the bargaining power of consumers is high. The company
analyse the competitors product and services and try to providing the differentiate product
with the service of outfit guide in order to responds the changes of macro-environment.
Differentiate product attracts not only attract the consumers towards the services but also
satisfy the needs and desire of the consumers. It is also observed that the company offer the
reasonable prices as compare to its competitors in order to attract the large number of
consumers towards the services of organisation.
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STRATEGIC LEADERSHIP 2
How does the firm access the untapped market?
The company provides the services of fashion trends to consumers (M & Co., 2019). It is
observed that the organisation does not provide the services of sports apparel. The service of
the company does not include the sports-wear (Adler, and Clarke, 2017). There are limited
locations in which the company operates to provide the services such as UK, Continental
Europe, and Middle East. The company is growing by providing the services to the large
number of consumers in order to achieve the success. The company expand its business at the
online platform so that the consumers of every location attract towards the services. The step
taken by the company can helps to grab the large market share of untapped market. It can be
said that the company is growing and change its target segment as per the requirement.
Options
Innovative services
It has been seen that the organisation provide the services of fashion trends as per the other
competitors. It is recommended that the company also has to cover its untapped market in
order to grab the high market share in the clothing industry. The company has to provide the
services of sports apparel with the fashion clothes so that they fixed the brand for all types of
services of clothing wear. Variety of clothes helps to attract the number of consumers
towards the services of the organisation. It is the best option for the company to provide the
services to expand the business at the large area (Choudhury, and Saura, 2015).
Develop the strong distribution channel
The other option is to develop the strong chain to distribute the services in the number of
areas. It is good step taken by the company to enter the online platform to provide the
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STRATEGIC LEADERSHIP 3
services to large number of consumers. But it is observed that the consumers have to develop
the strong distribution channel so that it can provide the excellent services to consumers.
Strong distribution channel means the distribution of goods and services with the given
period of time with the excellent quality of services. Distribution channel of the company
includes the wholesaler, retailers; distributors as well as the internet as it provide the online
services to consumers. It has been seen that the company will achieve success by developing
the strong distribution channel (Bhasin, 2018).
Races Framework
Races Framework- Develop the strong distribution channel
R Does the firm have enough
necessary resources?
Yes, it has the string
financial condition from
which it can easily build
strong distribution channel
(Ansoff, et. al, 2019).
A Will the proposal be
acceptable to stakeholders?
Yes, because it is a strategic
decision which helps to earn
the high revenue
C Is the option consistent with
the strategy of the company?
Yes, it is consistent with the
strategy as per their common
purpose
E Will the options be effective
for the objective of the
Yes, if the channel build
strong then the it is easy to
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STRATEGIC LEADERSHIP 4
company? grab the market
S Will the option deliver by the
sustainable competitive
advantage?
Yes, it is sustainable to gain
the competitive advantage as
the services provided in the
long distance and helps in
development of economy
(Lockton, Harrison, and
Stanton, 2016)
Races Framework- Innovative services
R Does the firm have enough
necessary resources?
Yes, the company have
designers and 3900
employees in order to design
the product
A Will the proposal be
acceptable to stakeholders?
Yes, it is a strategic
technique which helps to
achieve the success.
C Is the option consistent with
the strategy of the company?
Yes, it helps to centre the
product in the market
E Will the options be effective
for the objective of the
company?
Yes, it attracts the consumers
S Will the option deliver by the
sustainable competitive
advantage?
Yes, it is strategy to attracts
the large number of
customers in order to
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STRATEGIC LEADERSHIP 5
increases the demand
If the M & Co. launches the new designs in the market then it will gain the competitive
advantage with the high brand image and value. If the company introduces the new designs
after the competitors then the competitors of the company gain the advantage first and it fails
to achieve the success (Lovelock, and Patterson, 2015).
If the M & Co. builds the strong distribution channel then it will get the financial benefit but
if it fails in the mission then it will suffer the heavy loss. It is observed that the large network
of distribution requires the high investment if it fails then it suffers with the heavy losses.
If Then If Then
M& Co. introduce
the new designs
It gain the brand
image and value
(Adler, and Clarke,
2017)
M& Co. introduce
the new designs after
competitors
Competitors gain the
benefit first and then
the organisation
earns the profit
without gaining the
competitive
advantage
M & Co. build the
distribution channel
strong
It get the financial
benefits and grab the
high market share
M & Co. build the
distribution channel
strong is
unsuccessful
It faces the heavy
loss and the new
relations with the
new suppliers are
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STRATEGIC LEADERSHIP 6
getting unhealthy
(David, and David,
2016).
Conclusion
From the above limelight discussion, it is concluded that the company gain the competitive
advantage with the other benefits. The micro-environment factors affect the environment of
the organisation but the company effectively respond it by adopting the techniques and
strategies. It has been seen that the company has to provide the services of sports-wear in
order to cover the untapped market. The online platform also helps to cover the large market
share within the limited business operations. It is recommended that the company has to
develop the strong channel of distribution and introduces the new deigns. It has been
evaluated that the strategies is suitable for the organisation with the help of RACE
framework. The Company will achieve success and get the financial advantage but in the
exceptional cases because if not then it suffer the losses.
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STRATEGIC LEADERSHIP 7
References
Adler, J.R. and Clarke, T.B. (2017) Product Attributes Desired In Sports Apparel. The
Association Of Collegiate Marketing Educators Little Rock, AR MARCH 9-10, 2017, p.85.
Ansoff, H.I., Kipley, D., Lewis, A.O., Helm-Stevens, R. and Ansoff, R. (2019) Implanting
strategic management. Springer.
Bhasin, H. (2018) 7 steps to improve your distribution network. [online] Available from:
https://www.marketing91.com/7-steps-to-improve-your-distribution-network/ [Accessed
2/4/19].
Choudhury, M. and Saura, B. (2015) New Prodcut Development Stratgy. Choudhury, M. &
Saura, B.(2015)," New Product development Strategy", Comdex Times, 21(1).
David, F.R. and David, F.R. (2016) Strategic management: A competitive advantage
approach, concepts and cases. Pearson.
Lockton, D., Harrison, D. and Stanton, N.A. (2016) Design for Sustainable Behaviour:
investigating design methods for influencing user behaviour. Annual Review of Policy
Design, 4(1), pp.1-10.
Lovelock, C. and Patterson, P. (2015) Services marketing. Pearson Australia.
M & Co. (2019) Our Products. [online] Available from:
https://www.mandco.com/corporate/our-products/our-products/our-products.html [Accessed
2/3/19].
Zhang, K.Z. and Benyoucef, M. (2016) Consumer behavior in social commerce: A literature
review. Decision Support Systems, 86, pp.95-108.
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STRATEGIC LEADERSHIP 8
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