Strategic management is defined as a branch of management is concerned with development of strategic vision, setting out objectives, formulation and implementation of strategies by introducing corrective measures (Höglund, Holmgren Caicedo and Svärdsten, 2018). Managing strategies assists to gain competitive advantages with aim to compete with several competitors to achieve dominance position in market. It also increases guidance to move specific direction that defines organisation goals and implement realistic objectives that take alignment with company's vision (Bromiley, Rau and McShane, 2016). Hence, it assists to develop more core competencies and advantages for survival and expansion.
The report is based on Sentek Solutions which deals in manufacturing of special electronic devices. In Europe marketplace, they determined operations and functions which covers more productivity and effectiveness to attain more goals and objectives. They have aim to expand their business in different areas of the world with planned activities and huge scope involved in it. Their objectives to provide efficiency, productivity and safety with security in business environment. The report is going to outline the important strategies which are used in the Sentek Solutions in order to gain better consumer advantage, increase profitability, garner new support etc.
Corporate Social Responsibility refers to a business model which is self-regulation and helps a company be socially accountable to its public, stakeholders and itself. From the practice of CSR which is also known as corporate citizenship any organisation can be aware about the impacts which they are having on all the aspects of society including environmental, economical and social. For Sentek Solutions engaging in Corporate Social Responsibility refers to that in their normal course of business, it is operating in such ways which is enhancing the society and the environment rather than negatively contributing to these aspects.
The development of CSR for Sentek Solutions is seen as an important aspect in to strive business success in order to create and develop unique selling advantages and capture maximum market share. Below mentioned are the ways in which corporate social responsibility in Sentek Solutions is going to provide advantages such as consumer retention, a sustainable environment and increasing profitability to the organisation. Below mentioned are the kinds of corporate responsibilities used by the organisation to achieve growth and success:
Strategic directions with reference to growth platform
Growth platform strategies seek to scale revenues at next level of profitability. It is generally requiring that opening into new market so that new demographics also using for rolling out new competitive products (Rees and Smith, 2017). The organisation is suffering from growth since last one decade, its products and services are loosing reputation within the market and customers are shifting towards new markets. Following are different types of strategies used by the organisation in order to resolve these issues:
Consolidation strategies for growth
The consolidation strategy makes use of acquiring new and small businesses in order to develop own products and services. This strategy can be used by Sentek Solution in order resolve the issue of starting from the edge in automotive industry. From the help of this strategy the organisation can make acquire small business which are operating within the automotive industry and start selling them under its own brand name. This strategy allows the organisation to achieve growth and success. It is best described in merger and acquisition. As a result, Sentek Solutions can expand their operations and functions into new areas of the market. It allowed stating regulations at workplace. It is less expensive to grow that compared to open several branches in different areas of the world (Gomes, Barnes and Mahmood, 2016). Corporation strategy also successfully develop different advantages that would be beneficial to technically deals with align mission and dividing several components into smaller one to serve better work.
Global corporate strategies for expansion
Porter's Generic Strategy
In every business, there is ability to perform several functions and operations as globally which help to utilise internet with its fast delivery methods. Porter's Generic Strategy helps the business to develop global expansion in order to help to ascertain desired level of results in systematic manner. As a result, using global resources to cut manufacturing costs supply costs easily (Ferlie, Crilly and Currie, 2016). Below mentioned are how Porter's strategies can help the organisation in achieving growth and advantage:
Cooperative partnership strategies
This corporate strategy is designed to take several advantages with strategic alliance. Therefore, when company assists to promote another enterprise with marketing and promotion, it looks for increasing successful brand awareness, service quality and products as well. These types of partners are seeking to make qualitative products and services. The firm is facing issues in the threats of new entrants within the organisation. With the help of development of strategic alliance with different budget in line with each product and service (Eskerod and Jepsen, 2016).
Online business strategies
Business can also use different kinds of online strategies in the market, that helps to engage several clients to create sales streams. Large corporation work at dominating with search engine and advertising via keywords (Starr, Ganco and Campbell, 2018). Hence, small business can utilise online strategies for growth. The organisation is making use of the below strategies in order to deal with new entrants and easily launch its products and services in the market:
In order to successfully develop different products and services of Sentek Solutions, the company facing different challenges. With the help of specific strategies' product strengths, pricing and acquire another aspect can be successfully taken that helps to gain more success at workplace (Rosenbaum-Elliott, Percy and Pervan, 2015). The internal and external business strategies are used by the organisation in order to resolve the issue of customer orientation, lack of growth, product development etc. Following are different strategies which will be successfully implemented in systematic manner:
Internal Strategies – ADOPTED FROM ORGANISATIONAL INTERNAL BUSINESS ENVIRONMENT
External Strategies – ADOPTED FROM THE PESTLE FACTORS
THE ANSOFF MATRIX MODEL
Market Penetration: The organisation is producing new products in order to enter into the auto mobile industry. The current competition of UK's market is large (Haines, 2016). To deal with this issue, the organisation can penetrate its current electronic products in to the markets of United Kingdom to ensure proper growth and advantage.
Product Development: It is important for the organisation to develop its products in existing markets where there is still a large requirement. It can help the organisation in achieving set growth and development as its auto mobile products will be available to its existing markets of electronic products and its issue of growth orientation in the economy will be resolved.
Market Development: In order to develop its products in new markets. It is important that Sentek Solutions develops its products into new markets. It can allow the organisation to grow and maintain its products advantage within the current scenario (Rosenbaum-Elliott, Percy and Pervan, 2015)s. This can make sure that the organisation is achieving growth and is consumer-centric. These overall efforts can resolve the issue of lack of market growth and development within the organisational environment.
Diversification: The diversification is another important strategy for the organisation to diversify its products and services in markets where its is not having any sort of consumer reach. The issue of maintaining its position in new markets as a better auto mobile manufacturing company can be solved if its products and services are diversified within different markets.
The above mentioned Ans-off Growth Matrix can help the organisation to resolve its issues completely to serve new markets and ensure growth and advantage.
The corporate strategy used above will allow the organisation to expand its business functions and achieve growth and advantage. The vertical strategies in growth platform can to set up its products and services under single brand names. It is important for the organisation to resolve the issue of having a single management and operations management for both of its electronic and auto mobile sector and this can be resolved from the usage of vertical strategies. These are one of the most important strategies used within the business environment to achieve market growth and advantage. The usage of growth platform strategies allows the organisation to set its standards in the market as per the growth and development of the organisation. Also, it helps the organisation to gain a better market revenue and advantage along with an increase in its profitability. These all efforts can allow the Sentek Solutions to achieve set growth and advantage within the Business Industry (Haines, 2016).
The horizontal, vertical, diversification and market penetration allows the organisation to maintain strong advantage in achieving its overall market goals and objectives. It is important for the organisation to make use of corporate strategies in order to gain a strong market advantage. Another important strategies is The horizontal strategies which are used allows the organisation to place its existing products in the market and maintain a strong consumer advantage. In case, when existing products are being placed in the market it does not make it difficult for the organisation to put an effort into creating and making new products and services. It allows the organisation to achieve the required profitability in the market with the use of current products and services and without putting a large sum of effort into making any changes and developments.
The vertical strategy allows the Sentek Solutions to penetrate its market and deep dive into new developments to seek growth that creates value added developments for the organisation and its environment. Other important aspect of vertical strategy is to gain more customer from new markets and understand their particular needs and requirements. This helps the organisation to maintain a good market allowance where different culture and their consumers are being tracked within the working environment of the organisation (Busch and Shrivastava, 2017). After tracking these consumers and cultures, they get targeted in order to achieve new markets and core developments.
The business strategies such as finding new markets for the products allows the organisation to maintain a new market hold within the service industry. Also, it provides the organisation to expand its markets and services towards new consumers. It is one of the most effective strategies used within the organisational environment to achieve set growth and development. Finding new markets allow the organisation to understand what are the core markets where it competitors are having a strong hold onto. This can allow the organisation to achieve growth and advantage within the business industry respectively.
Another important strategy is social media engagement used by the Sentek Solutions. It allows the organisation to maintain a better market position (Albers, Baum and Delfmann, 2017). Social media is used by most of the organisations today to achieve market growth and advantage, also, it helps the organisation to develop and explore new markets. It can be seen as an important aspect for the organisation where it develops itself in order to gain large consumer base. Social media can help Sentek to produce new products and achieve new market growth. It can help the organisation to gain new customers from markets which are new and large. Social media is having numerous followers in platforms such as Facebook, Instagram, Twitter etc. Once the brands products and services are promoted within the market, it can help the organisation to achieve new growth and advantage respectively.
The above-mentioned strategies can help Sentek Solutions to gain new markets and a better consumer advantage within its industry. It is one of the most effective solutions to increase its market and grow its products and services along. This can make the organisation grow its products and services and maintain a better marketplace within the competitive scenario.
The business strategies which are explored in the present report showcases in what ways the organisation can achieve a better market growth with the help of set strategies and developments (Dagnino, King and Tienari, 2017). Strategies such as improving customer orientation and dwell into new markets includes growth platform strategies. The main purpose of using growth platform strategies in the present report is to provide the organisation with new developments. The growth platform strategies are one of the core advantages that a firm can use in order to increase its market growth and advantage. It allows the organisation to understand the kind of consumer which are there in the new markets and in what ways the organisation can serve these consumer markets.
The used global strategies for expansion allows the organisation to understand what are the requirements of its global customers worldwide. Improving its products and services globally is important because global market is the only market where new products can be tested in order to understand their success (Adler, 2018). It is important for the organisation to develop its products and services in the global market to serve its consumer needs respectively. In such manner, the organisation achieves both global audience and consumer markets and increases its profitability as well. For example, selling of a product and service online allows the organisation to understand the consumer demands of a particular product (McMillan and Overall, 2016). Also, the organisation can take require feedbacks and understand in what ways it can improve its set products performance and selling. The online market in 21st century is the biggest gain for a business to develop its products and services entirely and set new performance standards.
Another important advantage of being online is social media. Social media can provide Sentek Solution tonnes of advantages in gaining a better reputation of the firm and understanding new markets online (Johnsen, 2015). Firms across the world make use of social media in order to develop their products and services and understand consumers advantage. It is important for the organisation to develop such products and services in order to gain an efficient market advantage respectively.
People across the world today makes use of social media in order to understand the current market trends. Also, a variety of people across the world develops relationships on social media and evaluates each other preferences and their needs. This provides an advantage to the organisation to achieve growth in the new markets and develops its product and services accordingly. Social media also going to help Sentek Solutions in understanding the consumer feedbacks and comments on the platforms. It allows the organisation to think as in what ways new consumers can be gained and the market position can be improved to served these needs. (Austin and Pinkleton, 2015).
Finding new markets for the products allows the organisation to understand the market needs appropriately. It is important that the organisation makes use of appropriate strategies in order to maintain and serve its consumer base. New markets would allow the organisation to make sure its products and services are being served to new consumer markets. Understanding new markets allow the organisation to expand its products and services and garner new reputation. It is important for the organisation to develop itself into new markets and better its profitability (Haines, 2016). It can allow the organisation to rapidly develop its products and services into new markets and serve its consumer base properly.
The strategy of products skimming allows the organisation to set high prices of its products in its introductory phase. It helps the organisation to gain a better market advantage and develop its overall reputation. Setting high rates to the products in its initial stages allows the organisation to understand that its products and services are being sold or not. These rates allow the organisation to understand if its products are successful or not. It can prove as a success for the organisation to manage and sells its products and services in its initial stages and developing a better organisational environment for new products and services.
These strategies can help the organisation in increasing its overall market value and develop its needs and requirements as per the set consumer demands. It is important for the organisation to achieve and maintain a better market reputation and these strategies would fulfil the role of helping the organisation in its growth (Busch and Shrivastava, 2017). Overall, these recommendations can help the organisation to make use of its products and services and gain a successful market advantage to stand as a better organisation and deliver its products and services to the customers in set standards.
From the above report, it can be concluded that strategic management considered important role in business success and expand desired level of results. In this consideration, several positive advantages will ascertain to focus on building more positive outcomes. With the help of corporate and business strategies, Sentek Solutions can easily build their creativity in new areas of the market. According to further analysis, it can be summarised that different types of corporate strategies could be used by business such as growth platform, consolidation, global, online and cooperative strategies. It assists to attain overall goals and objectives that assists to attain positive outcomes and effectiveness that make desired level of results at workplace.
Books and Journals
Adler, R. W., 2018. Strategic performance management: Accounting for organizational control. Routledge.
Albers, S., Baum, H. and Delfmann, W., 2017. Strategic Management in the Aviation Industry. Routledge.
Austin, E. W. and Pinkleton, B. E., 2015. Strategic public relations management: Planning and managing effective communication campaigns. Routledge.
Bromiley, P., Rau, D. and McShane, M. K., 2016. Can strategic risk management contribute to enterprise risk management? A strategic management perspective. A Strategic Management Perspective (October 20, 2014). Forthcoming: Bromiley, P., Rau, D., and Mcshane, M, pp.140-156.
Busch, T. and Shrivastava, P., 2017. The global carbon crisis: Emerging carbon constraints and strategic management options. Routledge.
Chen, C. M., Delmas, M. A. and Lieberman, M. B., 2015. Production frontier methodologies and efficiency as a performance measure in strategic management research. Strategic Management Journal. 36(1). pp.19-36.
Dagnino, G. B., King, D. R. and Tienari, J., 2017. Strategic management of dynamic growth.
Eskerod, P. and Jepsen, A.L., 2016. Project stakeholder management. Routledge.
Ferlie, E., Crilly, T. and Currie, G., 2016. Strategic management in the healthcare sector: the debate about the resource-based view flourishes in response to recent commentaries. International journal of health policy and management. 5(2). p.145.
Gomes, E., Barnes, B. R. and Mahmood, T., 2016. A 22 year review of strategic alliance research in the leading management journals. International business review. 25(1). pp.15-27.
Haines, S., 2016. The systems thinking approach to strategic planning and management. CRC Press.
Höglund, L., Holmgren Caicedo, M. and Mårtensson, M., 2018. A balance of strategic management and entrepreneurship practices—The renewal journey of the Swedish Public Employment Service. Financial Accountability & Management. 34(4). pp.354-366.
Höglund, L., Holmgren Caicedo, M. and Svärdsten, F., 2018. Strategic Management in the Public Sector: How Tools Enable and Constrain Strategy Making. International Public Management Journal. 21(5). pp.822-849.
Johnsen, Å., 2015. Strategic management thinking and practice in the public sector: A strategic planning for all seasons?. Financial Accountability & Management. 31(3). pp.243-268.
Makadok, R., Burton, R. and Barney, J., 2018. A practical guide for making theory contributions in strategic management. Strategic Management Journal. 39(6). pp.1530-1545.
McMillan, C. and Overall, J., 2016. Wicked problems: turning strategic management upside down. Journal of Business Strategy. 37(1). pp.34-43.
Rees, G. and Smith, P. eds., 2017. Strategic human resource management: An international perspective. Sage.
Rosenbaum-Elliott, R., Percy, L. and Pervan, S., 2015. Strategic brand management. Oxford University Press, USA.
Starr, E., Ganco, M. and Campbell, B.A., 2018. Strategic human capital management in the context of cross‐industry and within‐industry mobility frictions. Strategic Management Journal. 39(8). pp.2226-2254.
Sullivan, K., Thomas, S. and Rosano, M., 2018. Using industrial ecology and strategic management concepts to pursue the Sustainable Development Goals. Journal of Cleaner Production. 174. pp.237-246.
Turner, M. J., Way, S. A. and Witteman, W., 2017. Hotel property performance: The role of strategic management accounting. International Journal of Hospitality Management. 63. pp.33-43.
just share your requirements and get customized solutions on time
offer valid for limited time only*
someone in is bought