A Strategy for Billy Blogs - Case Study Example

Strategy Paper Honey and Lemon Strepsils Name Institution Date Abstract Developing an innovative strategic approach is always very important in the transition from one business to another lest serious variability of income cash flow occurs. The element of hybridity is the core value in this type of strategy. This strategy is dispensed by focusing and exploiting a business that is based on product supply and distribution while taking care of cash flow interruption. On entering into a new business, variation will be evident as far as product mix is concerned. A number of suggestions are highlighted in this paper under the Keidel’s model of transition to facilitate the smooth transition these suggestions are presented through geometries under which there are a number of strategic plans discussed. One of the geometries discussed is the triangular geometry, which brings together collaboration, autonomy and control. Collaboration with various sectors will facilitate transition. There is also the need to take control of the business during the transition. Apart from collaboration and control, the aspect of autonomy is also important in ensuring smooth transition. The Keidel’s model explained in this paper further expounds on each of these and provides a strategy that can be used by Billy Blogs for transitioning from consultancy business to the business involving strepsils honey and lemon. Table of Contents Abstract 2 Table of Contents 3 Introduction 4 Keidel’s Basic triangular geometry 5 Keidel’s Model of Transition 6 Geometries of the Strategy 6 Strategic planning areas 8 Potential customers 9 Pricing strategy 9 Human Resource 9 Public relations 10 Marketing tool 10 Conclusion 11 Introduction The business model to be applied by Billy blogs strepsils honey and lemon production should be an entrepreneurial business design developed to guide the business as it transits from the provision of consultancy services to the transaction of strepsils honey and lemon. The model therefore, should enable the business to operate smoothly in its new form without cash flow variances. The proposed business model is the one designed by Keidel, and is thus called Keidel’s 2010 business model. The model involves an innovative framework that partains geometries and it has been considered a perfect and robust tool for assessing the progress of a newly transformed business. In order for Billy Bloggs to transit, maintain and execute relevant market domination in the new business, Keidel’s model suggests that it has to adopt a model of transition called Keidel’s model of transition, which Keidel proves that it can enable Billy Bloggs survive in its newly established market. Considering that Billy Bloggs has had a developed knowledge of strepsils honey and lemon, its transition to the current new product mix and brand will have to take three dimensions that will be favorable to it (Ehin, 2000). According to Keidel, there are a number of geometries that need to be followed in order to ensure proper formulation of the strategy for entering into the strepsils honey and lemon business. The first geometry involves point thinking geometry in which case, Billy Bloggs has to frame the idea of transition very well. The second geometry is called linear thinking. This requires Billy Bloggs to focus on the relationship between the previous business and the new business. The third geometry is called an angular thinking. In this case, a 2x2 grid is used to analyze the benefits and consequences of venturing into the new business. The fourth geometry is called triangular thinking. It is a very important geometry and it involves mixing or blending the major three concepts of autonomy, collaboration , hierarchical control of the business together with adequate co-operation. Keidel’s Basic triangular geometry In relation to triangular geometry, the first dimension that Billy Bloggs will take is that of collaboration. In this case, Billy Bloggs will embrace the collaboration by relying on the inputs of various sectors so that its products in the markets battles out with other invaders without incurring more cost. The importance of collaboration lies in the fact that Billy Bloggs might be having much experience in its first business of consultancy and less experience in strepsils honey and lemon. Through collaboration, Billy can be taught more about the new business. Collaboration strategy will be accomplished by Billy Bloggs if he creates links with pharmacies, chemists and other drug dispensing organizations like hospitals and dispensaries. The collaboration will enable Billy Bloggs reach to a wider customer base. The second strategic dimension is that of gaining autonomy of its products. This new business should be operated autonomously from the previous or any other business. This will enable Billy yo have more focus on the new business. The focus is one of the most important ingredients for success in any new venture (Grandori, 2013). The third strategic dimension is control. This implies that Billy Bloggs products should win the market dominance and control immediately it enters the markets.Normally, new entry products find it difficult to adapt the markets but with the consideration of this strategy, strepsils honey and lemon products will survive the market competition, dominance and even control a better part of it.Therefore this strategy is the hallmark of a product like Billy Bloggs’ strepsils honey and lemon venture into a new field after enjoying a rapid growth because it will peak off its activities from where it had left without hitting to the death valley curve (Ehin, 2000). This geometry will guide Billy Bloggs business in the analysis of the benefits and consequences of starting a new business or simply moving from the existing business to a new one. linear thinking. This geometry will guide the management of Billy Bloggs in looking critically into the relationship that exist between the previous consultancy business and the strepsils honey and lemon business Keidel’s Model of Transition Geometries of the Strategy Kiedel strategy proposes the following geometries applicable in guiding a smooth business transition. First and foremost is the point thinking geometry. This kind of strategy will enable the management of Billy Bloggs to frame its transition business idea in a white point of view or black point of view.This will involve framing its previous consultancy business idea with the new business proposal strepsils honey and lemon idea so as to suit its planned smooth transition (Grandori, 2013). Secondly, the other geometry under Kiedel transition strategy involves linear thinking. This geometry will guide the management of Billy Bloggs in looking critically into the relationship that exist between the previous consultancy business and the strepsils honey and lemon business, in other words, thinking within the issue of starting a new business only (Keidel, 2010). The third geometry within this strategy involves angular thinking where an issue is illustrated in a form of a two-by-two square grid . This geometry will guide Billy Bloggs business in the analysis of the benefits and consequences of starting a new business or simply moving from the existing business to a new one. Normally for a smooth transition it is normally important to have a whole rounded view of the businesses lest adapting the new environment will be challenging.Analysis of the market mix , competitors and the potential buyers normally assist in making a clear view and understanding of the markets and the new business environment(Ehin, 2000). The fourth geometry of this strategy involves triangular thinking. This is the most important of all geometries in that it places focus on blending the major three concepts of autonomy, collaboration , hierarchical control of the business together with adequate co-operation. For successful and excellent transition, all the three concepts should be blended by Billy Bloggs to work in tandem so that any complex issue arising thereof or after will not severely affect the business. Since the market is composed of the various dynamics of demand and technology, Billy Bloggs can suitably apply this geometry to model the nature of the organization. Therefore, Billy blogs need to take the consideration of this strategic scaffolding and put into practice the four geometries of thought. Being a special kind of guidance, scaffolding is a tool that will enable strepsils honey and lemon business to carry on in the future with minimal difficulties. It helps in identifying the sources of information where the business can draw its information. This includes the market scaffolding and procedural scaffolding (Grandori, 2013). The market scaffolding will assist the Billy Bloggs business in making market analysis and segmentation in terms of potentiality of buying , demand and prices.This is very important in this strategy in that, the business can be in a position to put its future perspective at hand. On the other hand, procedural scaffolding in Kiedel transition will provide the business with systematic process of moving from its current consultancy business to its new found business opportunity.In doing so, Billy blogs will avoid the usual losses incurred by businesses in transiting.This involves the procedures to be undertaken before the business winds up and immediate tasks to be done immediately when commencing the new business (Ehin, 2000). Strategic planning areas From the geometries highlighted in the Keidel model of transition, some of the key areas that need strategic thinking and strategic planning include the identification of the potential customers, pricing strategies, human resource, public relations and marketing tool. These areas are discussed as follows. The strategic thinking and strategic planning according to Keidel’s model will involve the consideration of such things as determination of the potential customers, Pricing, Human Resource, Public relations, and Selection of the Marketing Tool. Potential customers Keidel’s model argues that Billy Bloggs can only transit smoothly without causing cash flow imbalances if the potential customers are identified well. Consequently, there are different potential customers avialble for Billy Bloggs. Among these customers are the pharmacies, chemists, drug dispensing stores, hospitals and dispensaries. Stepsils honey and lemon is a medicinal product. Therefore, Billy Bloggs can either decide to supply the strepsils honey and lemon to drug dispensing organizations or bodies or to sell the product directly to individual consumers. Pricing strategy Because Billy Bloggs is penetrating into the market, a penetration strategy will work well in enabling him to build loyalty with his potential consumers. Penetration strategy is a good market-entry tool. This means that Billy Bloggs will be compelled to offer strepsils honey and lemon of high quality, yet a price that is lower than anticipated. By combining high quality with lower price, the Billy Bloggs business will enter the new market smoothly despite the existence of competitors. This strategy will also enable Billy Bloggs to develop loyalty with new and potential customers right from the beginning. Human Resource Stepsils honey and lemon is a medicinal product that requires some instructions during its administration. Therefore, Billy Bloggs will be compelled to source for professionals as part of his human resource team. He has to strategically plan the recruitment in such a way that the employees have experience regarding the product. This experience will enable the employees respond to any inquiries from the customers. With a robust and strategically planned human resource, customers will develop loyalty and trust upon Billy Bloggs’s products. Public relations Strepsils honey and lemon products demands strong public reputation. This is because the products are consumable medicines, which can cause great harm if not well prescribed. Therefore, Billy Bloggs should ensure that every activity in the business is conscious on the health of the public. When the customers discover that the products from Billy Bloggs are safe with them, then they will be comfortable with the business. This will build good public reputation for the business. Marketing tool Billy Bloggs is advised to adopt competitive marketing tool in order to enter into the strepsils honey and lemon business. One of these tools involves the improvement of the strepsils honey and lemon product. This involves innovation, which can either be incremental or radical. Enhamcing the version of the existing strepsils honey and lemon is an incremental innovation. This will make the strepsils honey and lemon sold by Billy Bloggs compete directly with other existing strepsils honey and lemon. The incremental innovation in this case can also a small segment or part of the existing market. Third, improved strepsils honey and lemon can bring in new clients, which the existing product does not target. In addition, Billy Bloggs can also think of targeting new geographic markets. This works well if there is competition in the local market. Apart from targeting new geographic markets, Billy Bloggs is also advised to come up with new distribution channels. These channels should be suited for accessing new markets ot penetrating better into the existing markets Conclusion Billy Blogg and Honey Tree like any other business organization must be inclined to serve a market purpose. For it to accomplish this diligently, it must have in their system corporate strategists to analyze and formulate the right directions of business in the context of growth and future survival. The paper has explained how the three factors, namely the control-autonomy-collaboration form a triangle that allows for the smooth transition of one business to another business. In the triangle, Keidel explains that for it to be more stable, implying smooth transition from one business to another, the three tangents, control-autonomy-collaboration need to have the capacity of reinforcing or supporting each other. Any move or action that weakens one of the tangents can make the geometric structure fail. References: Ehin, C. (2000). Unleashing Intellectual Capital. New York: Routledge. Grandori, A. (2013). Handbook of economic organization: Integrating economic and organization theory. Cheltenham, UK: Edward Elgar. Keidel, R.W. (2010). The Geometry of Strategy: Concepts for Strategic Management. 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