Unit 4 DB - Overview
• When working in the area of strategic management, you
will often be asked to look at what appears to be a
strategic initiative on the part of another company and
speculate as to what the strategy behind the initiative
really is.
• In other words, what is the company really trying to do
and why?
• You will find that you have to use your knowledge of
business and strategic management to penetrate the
rhetoric and determine what is really behind it.
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Unit 4 DB - Questions
• Explore the GM website: http://www.gm.com/
• Characterize GM’s commitment to the environment?
• Do you think this commitment will offset the
environmental issues with fuel economy and greenhouse
gas emissions? Provide support for your opinion.
• What are GM’s real strategic reasons for these
environmental initiatives?
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Friendly Reminders
– Please note: you must answer and support via outside reliable sources
and be sure to cite all references in APA format.
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What Are Some Things We
Might Want To Look Into Before
We Make Any Decision?
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Unit 4 IP - Overview
• You are to develop the fundamentals of strategic plans for the Ford
Motor Company and the Honda Motor Corporation, two giants of the
automobile industry.
• You are to develop SWOT Analyses and propose strategies for the
two multinational enterprises.
• In doing so, it will be necessary to research, analyze, and compare
both firms to better understand their current position and future
plans to increase competitive advantage.
• Common problems facing each auto giant today are the current
economy; the competition of the other auto firms; and the demand
for a lower cost, more ecologically friendly, alternative fuel vehicle.
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Unit 4 IP - Overview
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legal, social, and economic environments
management structure
operational and financial issues
impact of potential change factors
an analysis of strategic intent
future performance projections for at least five years
social and external challenges
current manufacturing facilities and distribution systems
market demand and demographics
alternative fuels and propulsion systems
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Unit 4 IP – Additional Overview
• We can often better see ourselves when
reflected through the perspectives of others.
• In this exercise you are to take the advantage
point of the industry leaders, Ford and Honda.
• This has the advantage of helping to anticipate
competitive positioning that may effect the
successful execution strategy.
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Unit 4 IP - Tasks
• Based on the narrative of the two companies, their
competitors, and additional overview of the situation,
please answer the following questions on the next slide
from the perspective of being their Director of Strategic
Planning and Analysis.
• For real world situations always keep in mind that the
status and plans of competitors can almost never be
known except through an analysis of their actions, and
even then almost never with certainty.
• Dealing with imperfect information is one of the essential
aspects of the economic problem.
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Unit 4 IP - Tasks
• Take the perspective of Ford's Director of Strategic
Planning to develop a full SWOT analysis of Ford
– Identifying and explaining at least five factors for each
category (strengths, weaknesses, opportunities and
threats)
– Propose a complete strategy which addresses one of
Ford’s weaknesses and what you would do about it
• Implementation
• Ramification (Pros and Cons)
• Feedback Mechanism
Remember to support your work with outside supporting
sources.
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Unit 4 IP - Tasks
• Take the perspective of Honda's Director of Strategic Planning to
develop a full SWOT analysis of Honda
– Identifying and explaining at least five factors for each category
(strengths, weaknesses, opportunities and threats)
– Propose a complete strategy which addresses one of Honda’s
weaknesses and what you would do about it
• Implementation
• Ramification (Pros and Cons)
• Feedback Mechanism
Remember to support your work with outside supporting sources.
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Unit 4 IP - Tasks
• Use the business terms and concepts from your reading
assignments and to use the Library and your course materials.
• Make sure it includes a
– Title page
– Abstract
– Introduction
– Conclusion
– Reference list.
• Make sure it is
– Double-spaced
– Headings/sub-heading are included
– Citations and Reference List via APA Style 6th edition
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What Are Some Things We
Might Want To Look Into Before
We Make Any Decision?
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Unit 4 IP – Things To Look Into
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Where should we start?
What do we know?
What do we think?
How should we proceed, especially related
to supporting our viewpoints?
• What should we avoid?
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Unit 4 IP - Overview
•
•
•
•
•
•
•
•
•
•
legal, social, and economic environments
management structure
operational and financial issues
impact of potential change factors
an analysis of strategic intent
future performance projections for at least five years
social and external challenges
current manufacturing facilities and distribution systems
market demand and demographics
alternative fuels and propulsion systems
13
Unit 4 IP - Tasks
• Take the perspective of Ford’s Director of Strategic Planning to
develop a full SWOT analysis of Ford
– Identifying and explaining at least five factors for each category
(strengths, weaknesses, opportunities and threats)
– Propose a complete strategy which addresses one of Ford’s
weaknesses and what you would do about it
• Implementation
• Ramification (Pros and Cons)
• Feedback Mechanism
Remember to support your work with outside supporting sources.
14
Unit 4 IP - Tasks
• Take the perspective of Honda's Director of Strategic Planning to
develop a full SWOT analysis of Honda
– Identifying and explaining at least five factors for each category
(strengths, weaknesses, opportunities and threats)
– Propose a complete strategy which addresses one of Honda’s
weaknesses and what you would do about it
• Implementation
• Ramification (Pros and Cons)
• Feedback Mechanism
Remember to support your work with outside supporting sources.
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Alignment
Research
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•
•
•
legal, social, and economic
environments
management structure
operational and financial issues
impact of potential change factors
an analysis of strategic intent
future performance projections for at
least five years
social and external challenges
current manufacturing facilities and
distribution systems
market demand and demographics
alternative fuels and propulsion
systems
SWOT Analysis
• Strengths
• Weaknesses
• Opportunities
• Threats
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SWOT Analysis
Strengths
Weaknesses
• Patents
• Strong brand names
• Good reputation among
customers
• Cost advantages from
proprietary knowledge
• Exclusive access to high grade
natural resources
• Favorable access to
distribution networks
• Not having patent protection
• An unimpressive brand name
• Mediocre reputation among
clients
• High cost structure
• Lack of access to the best
natural resources
• Lack of access to key
distribution channels
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SWOT Analysis
Opportunities
Threats
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• Fluctuates in consumer tastes
away from the company's
products
• Surfacing of replacement
products
• New regulations
• Increased trade barriers
An unfulfilled customer need
Arrival of new technologies
Loosening of regulations
Removal of international trade
barriers
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Proposing a Complete Strategy
• Implementations
• Ramifications
(Pros & Cons)
• Feedback
Mechanism
• Short-term & longterm
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