Strategic Management Report: Theories, Models, and Business Analysis

This report delves into the realm of strategic management, encompassing a comprehensive literature review that explores various perspectives from social science disciplines. It presents a comparative analysis of selected strategic management models, highlighting their applications and implications. A key component of the report is a business example centered around Primark, a major UK-based retail company, which is analyzed using tools such as SWOT and PESTLE analyses to assess its strategic position and performance in the market. The report concludes by summarizing the importance of strategic management in organizational success and the practical application of the discussed models and frameworks.

STRATEGIC
MANAGEMENT

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
LITERATURE REVIEW................................................................................................................3
COMPARATIVE ANALYSIS OF SELECTED MODELS...........................................................5
BUSINESS EXAMPLE...................................................................................................................6
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
Strategic management is the process of formation as well as implementation of goals and
objectives to attain them within specified time period. The process is conducted by higher
authorities of organization. Every organization has to use effective strategies that help them to
meet their set of targets and enhance their services as well. As per Mintzberg, strategy is the plan
which guides company and assists them to carry out their functions in a smooth way (D'Aveni,
Dagnino and Smith, 2010). The present report it based on various perspectives of social science
disciplines which are related to strategic management.
LITERATURE REVIEW
According to the views of Dezsö and Ross, (2012) it is depicted that strategic
management is the systematic term which is created with the help of contribution of different
factors such as sociology, economics, public administration, etc. Further, this approach plays a
significant role in every firm. Staff members are responsible to frame plans and strategies and
implement them according to the requirement of company. Every researcher is having different
perspective about his concept. Few of them believe that this process has been used by companies
in order to enhance their working performance and try to easily attain their target as well. In
order to grow, they have to prove proper training to their employees and increase their level of
understanding, skills and knowledge.
On the basis of views of Freeman, (2010) it has been stated that in the study of business
strategy, Whittington strategic approach is sociological in nature as compared to others. It
consists of various approaches which are as aligned below:
Classical planning- It defines that managers are responsible to frame strategies and goals
through which they try to maximise their level of profit and conduct SWOT in order to analyse
their current performance.
Evolutionary approach- It is the progressive method which is able to provide productive
entity and managed by international markets.
Prosecusial approach- Initially organizations are bound to frame strategies and try to
implement as per the requirement. Effective decisions are taken in this method which is
beneficial for the entire firm.

Systematic approach- This systematic method is simple and easy to follow. But there is
lack of options because of cultural as well as institutional benefits of the society. These types of
strategies are based on the social environment of an organization.
On the basis of views of Harrison, Bosse and Phillips, (2010) it has been stated that the
strategic management requires flexible mind set in order to take corrective actions to provide
continuous success. The imperative perspective is based on evolutionary adjustments which are
depends on the interest of society. They have to maintain performance according to the cultural
elements which having impact on framing and implementation of goals and objectives.
As per the views of Helfat and Winter, (2011) it is depicted that strategic management
involves some perspective such as learning school. The first concept is learning school which
helps to define how plans are created. It involves formation of strategies which is an important
step to be taken by companies in order to attain long term as well as short targets. On the other
hand, design of school is involved performance in order to meet strength, weaknesses,
opportunities and threats. Companies needs to develop SWOT analyse and try to identify current
performance. They needs to maintain relationship among new and existing goods and services. It
is part of strategic management which play an important role in growth and development of
plans and procedures.
Managers and leaders of company are responsible to identify their inside qualities to
meet their set of target and reduce their shortcomings to enhance their performance. According
to the views of Hess and Rothaermel, (2011) it has defined that organization has to use various
types of methods and procedures which are helpful for them to meet their level of earnings and
targets as well. Formation of strategy plays an important role in every business organization and
implemented as per the requirement. Every person having their own perspective and they are
able to individually define methods through different point of view. The effective relationship
have to be maintain between various factors.
COMPARATIVE ANALYSIS OF SELECTED MODELS
Organization opted various types of methods and strategies which are beneficial for them
to attain their target and maintain their performance as well. The formation of strategy is the
forecasting process through which companies are easily attain their target and meet their

objectives as well. There are different strategies which needs to be opted by entities which are as
aligned below-
Corporate strategy- These types of plans has been formulated by staff members in the
interest of company. It is distinctive from one organization to another. Implement them in order
to attain long term as well short term goals and objectives (Hodgkinson and Healey, 2011).
These strategies are guide entities to follow rules and regulation which are imposed on them.
Business level strategy- These strategies provide information about how to survive in
international market and how to easily attain their target as well. Members are responsible to
create particular formate and implement them in a proper manner. Through this process entities
easily survive in market.
Operational level strategies- This process provide an idea how to offer goods and
services to their targeted customer and fulfil their needs as well. This method convey information
or data to various other level strategies. It helps to entire company and individuals as well.
Strategic management related to social science disciplines which includes various factors
such as strategic position which having impact on the methodology of the external environment
of the company. Also it effect to the assets, skills, desires and much more. Organizations needs
to maintain their effective position in international market. The effective choices is the another
significant factor which are able to provide bases on which they can be survive and enhance heir
future performance as well. Staff members are bound to follow methods and directors in order to
attain continuous development of them (Jiang, Tao and Santoro, 2010). And the last one is
strategic action which are used at the work place. Most of the companies frame effective actions
plan through which they are able to meet their desired level and maintain work quality as well.
There are different types of models which having impact on the growth and development
of strategies. Those strategies are related to social science discipline. Macro environment is able
to determine strategic position of the company. These environment can be determine with the
help of various factors such as political, social, economical and technological. These factors are
provide huge information about external environment. Strategic management has been defined
by the Michael Porter's five forces framework which helpful for the firms in order to analyse
their actual position in international market. This concept includes some points which are as
aligned below:

Suppliers power- The suppliers of the goods and services are able to control prices in
market. They can raise price or reduce them as well on the basis of cost of them.
Buyer power- Low prices and better quality of products are usually attract customers.
Organization have to opted various plans and procedure which are able to attract people.
Through this process they can easily attain target and enhance level of profit margin as well
(Zhou and Wu, 2010).
Competitive rivalry- In modern times large number of competition has been increased
day by day. Increasing number of competition is able to provide better quality of products. If
supplier not offer attractive prices as a result buyers can shift from on e company to another.
Threat of substitution- This factors has been affected by the ability of consumers. Like
entities use updated software maintain their process or provide outsourcing it.
New entry threats- It is affected with the ability of customers when companies are enter
into new market. In new market there are large number of competitors are already present in
order to reduce performance of the company.
SWOT analyses
With the help of this process companies are able to identify their current position in
international market. Higher authorities such as leaders and managers are responsible to apply
this term which is beneficial for them.
Strengths Weaknesses
 Primark has around 161 stores and
offer job opportunities to job seeker
every year.
 It provide goods and services of
attractive quality and prices.
 Maintain employees and customers
right during the employment.
 Organization not able to provide proper
working quality.
 It nor promote their products and
services in international market through
which they are able to earn profit
margin.
 Use child labour which is able to drag
down their performance.
Threats Opportunities

 Increasing number of competitors is the
biggest threat for them.
 Other companies are produce same
goods and services through sale of
Primark is decline from existing level.
 In future time firm open various new
stores in UK in order to improve their
performance and enhance level of profit
margin as well.
 Use advance technologies and methods
for promoting their services in across
the national border.
PESTLE analysis is helpful for entity in order to meet the growing demand of their targeted
customers. The analysis is as follows-
Political- In every country political factors needs to be stable which is beneficial for them
to attain continuous growth.
Economical- At the time of inflation in country, the purchasing power of customer has
been increased. Economic growth rate is having impact on existence of Primark.
Social- Income distribution is the significant factors. Unequal distribution of income is
not beneficial whereas, with the help of equality population can able to purchase goods and
services of firm.
Technological- Staff members of companies are bound to follow advance technologies
for promote their goods in different countries try to increase level of production as well.
Legal- At the time of incorporation and winding-up of corporation they have to follow
rules and regulation which are imposed on them as per the provision of law. Paid tax in timely
manner and all policies which are related to employment law. Provide proper safety regulation to
their employees who are working with in the premises.
Environmental- At the time of production of material they have to follow regulation and
protection which are able to maintain proper pollution in the country.
Staff members are responsible to frame various types plans and strategies and implement
as per the requirement of company. They needs to prepare strategies in table formate and
complete one after another. This is the forecasting procedure which Primark needs to opted in
order to attain their set of target and objectives as well. It is the retailing company which have to
follow effective plans and procedure which are beneficial for them.

With the help of SWOT analysis organizations are identify their internal strength and weakness
but through PESTLE they can able to identify the entire performance and manage them in
effective way. This process is much beneficial then the others.
BUSINESS EXAMPLE
The present section is based on various models of strategic management which taking
PRIMARK as business example. It is the largest cloth retailing company in UK. It provide
varieties of goods and services such as cloth, beauty products and housewares as well.
PRIMARK is the international organization which offer products as reasonable prices which are
easily affordable by their targeted customer.
CONCLUSION
On the basis of above report, it has been concluded that strategic management is an
important concept in every business organization. Take a Primark company as a business
example which is the international cloth retailing company of UK. Use different model such as
SWOT and PESTLE through which companies are able to identify their own current
performance and able to easily survive in international market.

REFERENCES
Books and Journals
D'Aveni, R.A., Dagnino, G.B. and Smith, K.G., 2010. The age of temporary advantage. Strategic
Management Journal. 31(13). pp.1371-1385.
Dezsö, C.L. and Ross, D.G., 2012. Does female representation in top management improve firm
performance? A panel data investigation. Strategic Management Journal. 33(9). pp.1072-
1089.
Freeman, R.E., 2010. Strategic management: A stakeholder approach. Cambridge University
Press.
Harrison, J.S., Bosse, D.A. and Phillips, R.A., 2010. Managing for stakeholders, stakeholder
utility functions, and competitive advantage. Strategic Management Journal. 31(1).
pp.58-74.
Helfat, C.E. and Winter, S.G., 2011. Untangling dynamic and operational capabilities: Strategy
for the (N) ever‐changing world. Strategic management journal. 32(11). pp.1243-1250.
Hess, A.M. and Rothaermel, F.T., 2011. When are assets complementary? Star scientists,
strategic alliances, and innovation in the pharmaceutical industry. Strategic Management
Journal. 32(8). pp.895-909.
Hodgkinson, G.P. and Healey, M.P., 2011. Psychological foundations of dynamic capabilities:
reflexion and reflection in strategic management. Strategic Management Journal. 32(13).
pp.1500-1516.
Jiang, R.J., Tao, Q.T. and Santoro, M.D., 2010. Alliance portfolio diversity and firm
performance. Strategic Management Journal. 31(10). pp.1136-1144.
Zhou, K.Z. and Wu, F., 2010. Technological capability, strategic flexibility, and product
innovation. Strategic Management Journal. 31(5). pp.547-561.
Online
What is Strategic Planning?. 2017. [Online]. Available through:
<http://www.balancedscorecard.org/BSC-Basics/Strategic-Planning-Basics>. [Accessed
on 15th June 2017].