NMIMS - Strategic Management

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NMIMS

Master of Business Administration - MBA Semester 2

Strategic Management

Q1. Godrej & Boyce has announced plans to set up a “Smart Factory” at Khalapur, a small town surrounded by villages at Raigad district about 60 kms from Mumbai? Perform a Stakeholder analysis comprising of 3 steps & outline all the processes that you shall follow as a consultant to Godrej to satisfy the needs of all stakeholders.

Answer. The organization is influenced by a number of factors including the stakeholders’ expectations. Some strategies designed by the management may not be approved by the stakeholders. If the stakeholders are more powerful, they will influence the management’s strategy and even modify it to suit them. In case the management is more powerful, their strategy will ultimately be accepted by one and all. Another factor that influences the organization strategy is the culture followed within the organization as well as by the world outside. The strategic position of an organization can be evaluated and determined by the combined influence of its own capability as well as the political, social and cultural environment within and

Q2. Délifrance is a bakery company that produces "French style" bakery, savoury and snacking products that wishes to enter India’s Retail market. Conduct a PESTLE analysis for Délifrance in India & suggest whether Délifrance should enter India or otherwise.

Answer.  PESTLE Analysis

●       Political factors: The developments in the political environment strongly influence marketing decisions. The constituents of political environment include laws, statutes, government agencies and political parties. The marketers should use the political climate in favour of their products. Legislation affecting business has increased steadily over the years.

●       Economic factors: Marketers are required to follow rules and regulations framed under the law of the operating country with regards to pricing, advertising and all marketing activities.

●       Social factors: Social trends influence individuals, which increases the demand for a particular product. For example, India’s shift towards younger population, the migration

Q3. Pertamina is an Indonesian Oil & Gas corporation that wishes to enter India & is competing against Reliance Industries Limited.

a. As a consultant you are required to recommend whether backward integration or forward integration is a superior strategy to compete against RIL in India? Which one of the alternatives would you choose to your client & why? Justify with reasons.

b. In your opinion, in case Petramina wishes to diversify into unrelated diversification, which sector in India would you consider as attractive for the company to diversify? Choose only 1 sector. Specify statistics such as Growth potential of that sector, advantages of doing business in that sector, etc.

Answer. a) There is a change in the structure of the organization as it grows and expands into new geographical locations and diversifies into new product markets. A new firm with a simple structure consistently experiences an increase in sales revenue and the product output over a period. It may also engage in some vertical integration to secure sources of supply (backward integration) as well as channels of distribution (forward integration).

Backward integration is a form of vertical integration in which a company expands its role to fulfill tasks formerly completed by businesses up the supply chain. In other words, backward integration is when a company buys another company that supplies the products or services needed for production

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