This multinational company has expanded its business in different global markets and is competing with many leading competitors to occupy the leading position. The company was established in 1906 and it experienced…
Download file to see previous pages...
For conducting external audit of the company, its opportunities and threats are discussed below.
Consumers are becoming more health conscious and consequently the demand for healthy and organic food products is also increasing significantly. Kellogg’s’ is capitalising on this trend to develop its brand image (Seaberg et al, n.d.). The company has expanded its business in global market and is equipped with necessary human and other resources to gain upper hand position in the international market (Wayne State University School of Business Administration, n.d.).
The rate of competition is increasing drastically which poses a vital threat to the company. The company is facing intense competition from General Mills and PepsiCo. The products offered by its competitors act as substitute for its ready-to-eat cereal products. The main buyers of its products are Wal-Mart and Target Group. Their bargaining power is very high and it affects the pricing strategy of the company.
Porter’s Five Forces analysis indentifies the five factors that affect the competition level of an industry. These five forces are bargaining power of suppliers and customers, threat of substitute products and new entrants, and rivalry from existing competitors (Henry, 2008, p.69).
The company relies on its suppliers for manufacturing high quality food products. It needs suppliers for a wide range of products from raw materials and ingredients, packaging equipment and skilled labours. However, a large number of such suppliers are easily available in the global market and it can negotiate with them. Therefore, the bargaining power of the suppliers is quite low in this industry. In convenient food market, a large variety of ready-to-eat products are available. Fast-foods are the greatest threats to Kellogg’s products. The barrier to enter this industry is comparatively low due to low
...Download file to see next pagesRead More
This means that strategic management brings together the mission, objectives, and vision of a firm and develops policies and plans then allocates resolves to allocate resources to the set plans and policies in order to ensure their implementation (Wheelen & Hunger, 2011).
Strategic Management Name: Institution: Strategic Management The success of any organization regardless of its affiliation depends on how it conducts its strategic management. This allows an organization to analyze all the key initiatives that the top management of the company undertakes on behalf of its key stakeholders.
The purpose of strategic management is to create new and different opportunities for the organisations to sustain in its usually competitive environment. In brief, the notion of strategic management is fundamentally described as the procedure of devising along with executing effective strategies with the intention of supporting an organisation to attain its expected business targets (Nag et al., 2007).
Crisis management plan must be prepared keeping into consideration the overall safety of the strategic planning process. The aim of the strategic management in such needful situations is to enhance the organizational capacity in responding to the crisis and make strategic plans to effectively overcome from the identified obstacles (European Interagency Security Forum, “Crisis Management of Critical Incidents”).
Main products of the company are printers, personal computers, network management software, high end servers etc. Company is operating its business globally in several areas like printing, computing, digital imaging. Beside this, the company is also providing software and services.
Strategic management in the public sector is a complex process since there are multiple stakeholders with varying needs and limited resources available. There are various approaches to strategic management in the public sector.
In an article published in the Wall Street Journal on 7 May, 2009 and titled Arbitron, Looking To Make Strategic Investments, Takes Page From Cisco, Ty McMahan wrote about the recent decision that had recently been taken
r changing surroundings, managers need to constantly analyse and decide on the actions that would increase the efficiency of a firm’s operations and enable it to survive the competition. This is where strategic management play a vital role in the organisation’s survival. The