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  University of Khartoum School of Management Studies D/MBA Graduate Program (Semester Four)2! Strategi# ManagementStrategi# Ana$ysis of%Pre&ared By% Ba'ri smai$ $sayednde*% !+,!Grou& (A)   CONTENTS 1.INTRODUCTION2.STRATEIC ANA! SIS2.1. Inte#nal St#engths and $ea%nesses2.2.   E&te#nal O''o#tunities and Th#eats2.(. S$OT Anal)sis2.*. Com'an)+s St#ateg)2.,. Com'an)+s St#uctu#e and Cont#ol S)stem(.RECOMMENDATIONS 1.INTRODUCTION !   -i'e. a US ased #om&any. is no0 #onsidered one of the iggest #om&anies in the usiness of s&orts mer#handising1 hough it is are$y aove 3 years o$d. esta$ished!,42. it has 5! i$$ion in annua$ revenues and its &rodu#ts are so$d in around ! #ountries1 he #om&any started as an entre&reneurshi& y Phi$ Knight. a former USath$ete. and his #oa#h 0ho #omined to design a shoe to he$& ath$etes im&rove their  &erforman#e and then turned the idea into a su##essfu$ usiness1 he #om&any6s initia$ &rodu#t 0as the s&orts shoes. ut then it started dea$ing in s&orts a&&are$ and e7ui&ments1 -i'e6s usiness in#$udes designing and mar'eting these &rodu#ts. they do not a#tua$$ymanufa#ture them. ut rather they use su#ontra#tors to do the manufa#turing for them1hey have a g$oa$ net0or' of + fa#tories em&$oying more than 8. &eo&$e aroundthe 0or$d1For a$$ this su##ess. -i'e has een &ersistent$y a##used of using 0hat is #a$$ed9S0eetsho&s: to ma'e its &rodu#ts 0here underage 0or'ers are $aored in ha;ardous.inhumane #onditions and yet eing under&aid1 he #om&any found itse$f in the defensiveside for the $ast de#ade and een #aught in a series of #onfrontations 0ith human rightsorgani;ations and ma<or US universities even those 0ho have had an a$$ian#e or somesort of s&onsorshi& 0ith the #om&any1 And a$though it #ontinuous$y denies thesea##usations. $ater it admitted to the &ro$em ut #riti#s sti$$ e$ieve it did not do enough toremedy these &ro$ems and #$ear its name1 2.STRATEIC ANA! SIS2.1. Inte#nal St#engths and $ea%nesses- Strengthshe #om&any is 0e$$ 'no0n for its #om&eten#e in the mar'et #onsidering the 7ua$ity of  &rodu#ts it &rovides #ou&$ed 0ith good mar'eting s'i$$s= the #om&any is 'no0n to use#e$erity s&onsors to &romote its &rodu#ts1 A$so. the #om&any6s >?D s'i$$s have een astrength in &roviding ne0 and innovative &rodu#ts to sustain its distin#tive #om&eten#eover riva$s1hrough the years -i'e has deve$o&ed its rand name re&utation to e one of its iggeststrengths1@ea'nesseso try and redu#e its #osts. -i'e invo$ved in su#ontra#t agreements 0ith &artners 0honegative$y affe#t the #om&any6s image y vio$ating the $a0s of $aor and ausing humanrights ethi#s1and$ing the situation 0ith #riti#s has &roved to e a diffi#u$t tas' and for a #om&any of  -i'e6s si;e the res&onse 0as e$o0 0hat is e*&e#ted and even audit re&orts 0ere7uestioned as eing un&rofessiona$ and iased1 -i'e has #on#entrated more in im&roving its &u$i# image ut did $itt$e to #orre#t the root#ause and a$though it severed its ties 0ith some vio$ating su#ontra#tors. it fai$ed to fu$$yre#over the $ost trust 0ith the &u$i#. it even rea#ted negative$y 0hen o$d a$$ies $i'e2  University of regon <oined the @or'er6s >ights Consortium (@>C) y 0ithdra0ing a &$anned 53 mi$$ion donation to the university1 2.2. E&te#nal O''o#tunities and Th#eats- &&ortunities*amining the ma#roenvironment fa#tors 0e #an see -i'e is a#tua$$y in a usiness that is#onsidered gro0ing and e*&anding as interest in s&orts is s&reading around the 0or$des&e#ia$$y among the younger generations ( demographics ). a$so the technological  advan#es o&ens o&&ortunities for this usiness1 *amining Porter6s five for#es mode$ in -i'e6s #ase 0e #an oserve that the #om&any6se#onomies of s#a$e &oses a arrier to entry of ne0 #om&etitors of the same s#a$e. a$so. sofar there is no threat of sustitutes to the $ine of &rodu#ts &rovided y -i'e1hreatshe &ossi$e threats to the #om&any may #ome from the deteriorating image if the#onf$i#t 0ith #riti#s is sustained as hi&rofi$e as it is= even if it is reso$ved. this most &roa$y 0i$$ raise the #ost of su&&$iers if they 0ant to #om&$y 0ith the ne#essarystandards of 0or'ing #onditions and &ay systems1 his #ontinuity of the #onf$i#t 0i$$intensify the riva$ry 0ith other esta$ished #om&etitors 0ho 0i$$ find it a #han#e toim&rove their image and mar'et &osition1 2.(. S$OT Anal)sis Given the aove findings on interna$ strengths and 0ea'nesses and e*terna$ o&&ortunitiesand threats. -i'e6s overa$$ #om&etitive &osition may sti$$ not e regarded as 0ea'1 he#om&any is sti$$ #onsidered as a mar'et $eader and it #ontinues to sustain its #om&etitiveadvantage1 he usiness strategy #an e &ursued &rofita$y and it does not need a shift or #hange from its #urrent usiness. ho0ever. it needs a shift in its dea$ing 0ithsu#ontra#tors to a#tua$$y address the #onf$i#t of 0or'ers #onditions1 his has to e#ou&$ed 0ith a strong &u$i# re$ations effort to regain the trust of inf$uentia$ odies andreinstate the image of the #om&any as a res&e#tfu$ and #onsiderate firm1 2.*. Com'an)+s St#ateg)  -i'e6s #ore usiness is s&orts &rodu#ts mer#handising and it has not een invo$ved indiversifying a0ay from this usiness. this fo#using on a s&e#ifi# $ine too' the #om&any tothe maturity stage of its usiness1 he #om&any6s mission is to stay the $eader in itsmar'et and sustain its #om&etitive advantage over riva$s su#h as >eeo' and Adidas1 he#om&any6s generi# #om&etitive strategy is to fo#us on its &rodu#t $ine and &rovidedifferentiated &rodu#ts to the different s&orts needs as ea#h s&ort re7uires a different 'indof a&&are$1 his 0as a#hieved y a dedi#ated resear#h and deve$o&ment strategyn its &ursuit of redu#ing the #ost of its &rodu#ts. -i'e6s strategy of su#ontra#ting#reated the &ro$ems 0hi#h are the fo#us of this ana$ysis1 So. the #om&any a&&arent$y3

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Jul 23, 2017
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