MAN302 Strategic Business Management: Collins Foods Limited Analysis

This report provides a comprehensive analysis of Collins Foods Limited's strategic business management, focusing on the external and internal factors that have led to the company's decision to move jobs offshore and expand into international markets. It examines the competitive landscape in Australia, governmental incentives, changing customer demands, and rising raw material prices as key external drivers. Internally, the report highlights the need for innovation and leveraging foreign entrepreneurial mindsets. A detailed stakeholder analysis identifies the impact of this strategy on employees, customers, suppliers, and shareholders. Furthermore, the report explores the potential competitive advantages gained through access to new technologies and intellectual property, while also acknowledging the political, regulatory, and cultural risks associated with offshore expansion. The analysis concludes that while challenges exist, the potential for increased revenue and access to lower material costs makes the offshore strategy a significant consideration for Collins Foods Limited.

Running head: STRATEGIC BUSINESS MANAGEMENT OF COLLINS FOODS
LIMITED
Strategic Business Management of Collins Foods Limited
Name of the student
Name of the University
Author note

1STRATEGIC BUSINESS MANAGEMENT OF COLLINS FOODS LIMITED
Executive Summary
The primary purpose of this report is to elaborate on the external issues facing Collins Foods
Limited that have caused it to move the jobs offshore. The report also discusses about the
internal issues that have made the company to adopt the strategy of moving offshore. The
report also talks about the stakeholders of the company and how shift to the offshore
activities would have an effect on stakeholders. It discusses about the competitive advantage
that the company when it would expand offshore. The report also talks about the issues that
the company may have to face in the event of moving offshore.

2STRATEGIC BUSINESS MANAGEMENT OF COLLINS FOODS LIMITED
Table of Contents
Introduction................................................................................................................................3
External issues of Collins Foods Limited..................................................................................3
Internal issues of Collins Foods Limited...................................................................................4
Stakeholders of Collins Foods Limited......................................................................................5
Competitive advantage in moving offshore...............................................................................5
Impact of strategy on company..................................................................................................6
Conclusion..................................................................................................................................7
References..................................................................................................................................8

3STRATEGIC BUSINESS MANAGEMENT OF COLLINS FOODS LIMITED
Introduction
Strategic Management refers to the formulation along with implementation of the
goals that is taken by the top management of a company that can help an organization in
making profits. It helps in giving direction to an organization on the basis of the resources
that is possessed by it. It helps in the development of policies that helps in the allocation of
the resources that can aid in implementing the plan. Collins Foods Limited is indicative of a
public company in Australia that helps in the operation of food service retail outlet
(Collinsfoods.com 2018). The company is popular for operating the restaurant chains within
Australia. It acts as the owner of the Sizzler restaurants within Australia that operates in the
areas of Brisbane, Australia along with Queensland. The company is instrumental in
operating 229 KFC restaurants across Australia. This report discusses about the external
issues that has an effect on the company that have made it to move the job offshore. The
report also discusses about internal issues that has made the company to move offshore. The
report also elaborates on the stakeholders of the company and how the shift will have an
effect on the stakeholders of the company. The report also discusses about the competitive
advantage that the company would be able to enjoy in the event of moving offshore. The
report also states the risks and the increase in revenue that the company would be able to
experience in the event of moving offshore.
External issues of Collins Foods Limited
There exist various kinds of external issues that have resulted in moving the company
offshore. There are many companies in Australia that has retail outlets related to food service
and moving the company offshore will be able to help the company in unearthing new
business opportunities that will be able to help the company in making profits. Collins Food
Services faces a competitive market in Australia and moving offshore will be able to help the

4STRATEGIC BUSINESS MANAGEMENT OF COLLINS FOODS LIMITED
company in gaining new opportunities. The Australian government does not provide
sufficient incentive to the business owners and moving outside will help the company in
expanding (Chernev 2018). The changing customer demand is an important factor that can
compel Collins Foods in entering into the foreign market. The demands of the consumers
have greatly evolved in the present age and there are large number of retail food outlets
within Australia that has paved the path for moving abroad so that it carry on business and
making profits. The changing of prices is another important factor that will cause Collins
Foods to expand in the foreign country (Baku, Kutu-Adu and Achiriga 2017). The prices of
the raw materials have greatly increased in the present age in Australia and moving to other
countries that are less developed will help the company in getting the raw materials at an
affordable price that will be able to greatly help the company.
Internal issues of Collins Foods Limited
There are various internal issues that is making Collins Food Limited think of moving
some jobs offshore as a part of the strategy. The employees of Collins Foods Australia lack
the element of creativity and moving some of the jobs offshore can help in providing
innovative ideas that can help the company in making innovative products. Collins Food will
be able to capitalise on the innovative ideas of the people of the foreign countries that can
help the country in sustaining itself within the competitive environment. Collins Foods
Limited will be able to tap into the novel ideas of the people of the foreign countries that can
help them in making products and creating services that can cater to the changing tastes of the
people in the present age (Foxall 2014). There are partnerships that can be forged in the
foreign company that can help the company in retaining the consumer base. The cultural
beliefs that people have in the foreign countries makes people gain new ideas that can help
the company in retaining its hold over the market. Collins Foods Limited will be able to solve
the problems that exist in the company with the help of the entrepreneurial mindset of the

5STRATEGIC BUSINESS MANAGEMENT OF COLLINS FOODS LIMITED
people of the foreign countries. This can facilitate the process of marketing of the company
and more people will be able to know about the unique services that are offered by Collins
Foods Limited (Hollebeek, Conduit and Brodie 2016).
Stakeholders of Collins Foods Limited
Stakeholders refers to the parties who has got interest in the company and who all are
affected by the business. The stakeholders of Collins Foods Limited will be the customers
and the employees of Collins Foods Limited. The other stakeholders who would be affected
when the company moves off shore are the suppliers and the shareholders of the company.
There are many employees of the company who would be affected owing to the fact of it
moving offshore (Proctor 2014). There are many employees who would lose the job owing to
the fact of it moving abroad. The individuals who would be directly affected owing to the
factor of Collins Foods Limited moving abroad are the employees along with the customers
of the company. The other people who would be indirectly affected are the various
organizations that facilitates the operations of Collins Foods Limited by the providing of the
various resources. There exist other group of the individuals who are involved in operating
the social supermarkets who are called “donors” (McDONALD 2016). The stakeholders of
Collins Foods Limited would be the suppliers of the company who would be affected when
the business moves in other countries. The suppliers of the company would be greatly
affected when the company moves offshore as they have to face a lot of losses.
Competitive advantage in moving offshore
Collins Foods Limited would be able to enjoy a lot of competitive advantage in the
event of moving to other countries. They would be able to make use of the new technological
ideas of the foreign countries that would help them in gaining competitive advantage and
facilitate its surviving within the competitive landscape. Technology has a great amount of

6STRATEGIC BUSINESS MANAGEMENT OF COLLINS FOODS LIMITED
macro-environmental influence and it can help in the aspect of conducting of business of a
company. Collins Foods Limited would be able to gather knowledge in relation to
exponential technology if it moves offshore. Exponential technology would be able to help
the company in incorporating certain aspects that can help it in solving the business problems
(Lambregts, Beerepoot and Kloosterman 2015). This would be able to help Collins Foods
Limited in growing at an incredible rate. It would emerge to be popular among the consumers
in the event of moving offshore to the other countries. The shift in relation to the new
technologies has altered nature of the competition and help them in surviving and growing
within the ever evolving market place. The intellectual property that a company has can help
a company in making huge amount of profits (Zlate 2016). The expansion to other countries
would help Collins Foods Limited in gaining intellectual property that would be able to help
it in gaining a larger consumer base.
Impact of strategy on company
Collins Foods Limited would have to face risks in the event of moving offshore to the
other countries. Collins Foods Limited can be exposed to political along with regulatory risks
in the event of moving offshore. Production facilities have to be set up that will incur a lot of
cost for the company. There would be cultural along with language barriers in the event of
Collins Foods Limited going offshore. Collins Foods Limited would be able to get access to
latest thinking and it would be able to take the advantage of the highly skilled labourers when
it goes offshore (Borch and Batalden 2015). This would pave the path for the increase in
revenue for Collins Foods Limited. Collins Foods Limited would be able to take the
advantage of the lower freight cost in the offshore countries that can prove to be relevant for
the success of Collins Foods Limited. The strategic implications of the company moving
offshore would be that it can help in giving the company access to the lower material cost

7STRATEGIC BUSINESS MANAGEMENT OF COLLINS FOODS LIMITED
that can be instrumental in helping the company in earning profits (Osadchyy and Webber
2016).
Conclusion
Strategic Management is indicative of formulating goals that can be useful for an
organization for making the profits. There are various that have retail outlet in relation to
food service companies within Australia and moving offshore would be helpful for Collins
Foods Limited in deriving new kinds of business opportunities that can bring benefits for the
company. Creativity is lacking in the workers of Collins Foods Limited and moving outside
to the other countries can help the company in getting new kinds of business ideas that can
help them in sustaining within that of the competitive environment. In the event of Collins
Foods Limited going offshore those who would be directly affected are the employees and
customers of company. There exist different organizations that help in operating of Collins
Foods Limited and they would be affected in the indirect manner. Collins Foods Limited can
take advantage of the evolving ideas in relation to technology that can prove to be a factor of
competitive advantage for the company. Moving offshore can make Collins Foods Limited
face the political risks that can act as a threat for the company.

8STRATEGIC BUSINESS MANAGEMENT OF COLLINS FOODS LIMITED
References
Baku, K., Kutu-Adu, G.S. and Achiriga, V., 2017. Strategic marketing management.
Borch, O.J. and Batalden, B.M., 2015. Business-process management in high-turbulence
environments: the case of the offshore service vessel industry. Maritime Policy &
Management, 42(5), pp.481-498.
Chernev, A., 2018. Strategic marketing management. Cerebellum Press.
Collinsfoods.com (2018). Collins Foods Limited. [online] Collinsfoods.com. Available at:
http://www.collinsfoods.com/ [Accessed 1 Dec. 2018].
Foxall, G., 2014. Strategic Marketing Management (RLE Marketing). Routledge.
Hollebeek, L.D., Conduit, J. and Brodie, R.J., 2016. Strategic drivers, anticipated and
unanticipated outcomes of customer engagement.
Lambregts, B., Beerepoot, N. and Kloosterman, R.C. eds., 2015. The Local Impact of
Globalization in South and Southeast Asia: Offshore business processes in services
industries. Routledge.
McDONALD, M.A.L.C.O.L.M., 2016. Strategic marketing planning: theory and practice.
In The marketing book (pp. 108-142). Routledge.
Osadchyy, A. and Webber, J.K., 2016. A practical management system for the effective use
of offshore software project opportunities.
Proctor, T., 2014. Strategic marketing: an introduction. Routledge.
Zlate, A., 2016. Offshore production and business cycle dynamics with heterogeneous
firms. Journal of International Economics, 100, pp.34-49.