99% of businesses have four key business functions, these include; operations, marketing, finance and human resource management. Each of these specific areas has their own attributions towards their businesses success and failure and often has dedicated departments and staff for these four business functions. Despite this the functions are interdependent meaning they rely upon one another to achieve and exceed their goals and expectations set by themselves and management.
The function of finance affects and is affected by the other key business functions. The interdependence of the key business functions and finance solely depends on money. All operations activities rely on funds meaning the outcomes of the finance department affect the other
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Operation decisions are influenced by marketing strategies while marketing strategies are affected by the outcomes of other KBF’s. Marketing is largely concerned with strategies to ensure the sale of product which include influencing consumers to buy product by altering, design, pricing, the image of the product in the market, promotion and the quantity produced. These can all be restricted by other KBF’s. Pricing strategies, for example, can’t be set lower than the costs of making the products (reaching break even point). Every key business function has affects on marketing and physical limits on the amount that can be produced and the sorts of marketing strategies that can be implemented. If operations becomes more efficient marketing teams may be able to set lower prices on products as a new break-even point will be applicable. Similarly, marketing decisions affect operation’s management as they determine the goals of products. Marketing may decide to apply a price skimming marketing strategy where prices are set relatively high in comparison to competitor’s products. Price skimming is implemented to give consumers the impression of high quality or social status. In this case operations are able to focus on quality and a higher amount of inputs that lead to quality such as …show more content…
Most closely related to operations, the decisions can determine how staff are needed and what attributes they will need in order to execute their tasks. Adversely, HR management may generate limits to options available to operations. Perhaps the most important part of the transformation process is human labor. HR management ensures workers are correctly suited to their jobs and ensures all tasks are completed within the business. Communication of decisions made by operations on how to produce a product affects decisions made by HR management with regards recruiting, training and termination of employment contracts. An example of this is the use of a new peie of machinery by operations may require human resources to hire appropriately trained workers or train existing workers who are able to operate it. This may include having to terminate existing employment contracts in order to accommodate new workers. The performance of human resource management affects the performance of other KBF’s especially operations. It is the role of HR management to ensure that workers are skilled enough and have the motivation to complete tasks set by managerial staff. If this is completed to a high standard, the business will be able to operate at its highest efficiency rate therefore affecting the other KBF’s than operations. This ensures quality of product and “smooth” running of the
Marketing Campaign -The marketing campaign will be targeted to mainly younger audiences but other people could also be targeted depending on what they desire. -The method of marketing will include billboards, radio and television commercials, since these are what younger and older audiences listens/watches everyday. -The radio advertisement will be played on 97.3FM, as it is currently the most popular radio channel at the moment and the advertisement will be played at around 3 pm, as during this time is when usually students get picked up their parents or on the bus home. The ad can also be played at around 5 pm, as this is the main time where adults usually finish work.
Verizon produced results based on its culture and the way that it took up training its employees. There were set goals that had to be achieved. Verizon was focused on how they trained their employees which resulted in advancing their actual business goals for the company. Verizon had three chief business goals: "to build a business and workforce as good as its networks-- to lead in shareholder value creation-- and to be recognized as an iconic technology company" , Kinicki and Williams (2013).
Mass advertising efforts can likewise make mark value. In the event that buyers will pay more for a non specific item than for a marked one, in any case, the brand is said to have negative brand value. This may happen if an organization had a noteworthy item review or brought about a generally announced ecological fiasco. 4. Distribution and pricing Web based retailing another distributional channel-Company have chosen to refresh the site page so that the clients can request and pay on the web.
The temporary character of competitiveness, which can be lowered anytime. 4. The massive spending on technological advances. 5. The brand image misconception in which low prices are usually associated with low quality product.
With the help of effective utilization of process and capacity improvement; the company competed world-wide based on the low-cost. To achieve the economy of scale, Galanz should transform itself from OEM (original equipment manufacturer) and ODM (original design manufacturer) to OBM (original brand manufacturer). This case study highlights the operational and competitive strategies that Galanz practiced to achieve the rapid growth. The case clearly stated that the company started with a clear competitive strategy which is derived from the cost-leadership strategy, later the operations strategy is being designed and implemented to achieve the lowest-cost with the help of economies of scale ("Operations Strategy at Galanz",
External environmental issues which impact the financial services organizations, strategic Planning have been vital to make any financial service organization survive for long term. External environment comprises of all the elements which are present outside the boundary of the organization and have the capacity to affect either part or the whole organization. IN order to understand any financial organization we need to analyse its domain which exists in the external sectors of the organization (RamaRao, 2010). The niche of the organization forms the organizational domain and also defines all the externals sectors which with the organization will interact in order to accomplish its goals.
Name: Stephen Catterall Student ID: 864309 Unit 407 – International Business Strategy (Blended MBA, 2014) Assignment Report for senior management evaluating how well ANZ Banking Corporation, is currently performing, and recommending how it can improve its international business performance with a view to its further expansion into the China (PRC) market. Chair: Dr. Vanaja Karagiannidis Date: 25th August 2014 Word Count: 2,649 Table of Contents 1 Executive Summary 4 1.1 Project Summary 4 1.2 Procedures Used 4 1.3 Problems Identified 4 1.4 Results 4 1.5 Recommendations 4 2 Introduction 6
As the largest company in the industry in North America, Sysco easily implements their strategy as redividing profitability. By adding values to their products, customers don’t just buy food as normal. Instead, customers recognize certain values that they receive from the food they buy. Increasing the value also becomes common in today business because there are many companies in the same industry provides similar products or
The pricing strategy must align with an organization’s marketing objectives. Accordingly, Dyson should institute premium pricing and avoid discounting—to reinforce the firm’s value and market position. 4.5 Distribution and Supply
The model of the Five Competitive Forces, developed by Michael E. Porter, is based on corporate strategy, industry structure and the way they change. Porter has identified five competitive forces that shape every industry and every market and they determine the intensity of competition and hence the profitability and attractiveness of an industry. We further look into how the strategy and industry structure is placed in the field of healthcare and hospitals and analyze the attractiveness of the overall industry. 2.2 Rivalry among competitors Industry Rivalry is one of the 5 forces used to determine the intensity of competition in the industry. Competition in health care is the potential to provide with a mechanism to reduce cost and hence accessible
Normally, consumers have unique needs that are not similar all the times. Therefore, the company must develop products that can address the unique concerns of the consumers. Evidently, Apple Inc. has been successful in the creating variety of products. However, pricing of the Apple Inc. products tend to limit the ability of buyers to purchase the products. While the company might justify the price of the products, setting the prices too high limits the ability of the willing buyer to purchase the
All other functions are underpinned by the economic role of business in society. •Legal responsibilities - Although companies have their economical fundamental role they are expected to comply with the laws and regulations of the country they operate in. The legal expectations apply to companies, as juristic entities that can act as persons, and the employees they employ regardless of their responsibility. •Ethical responsibilities - Companies are also expected to comply with the ethical norms of a society. Because these are normally not written in law and are therefore not a legal requirement it is difficult for companies to behave and follow it.
Firstly, the Boston Consulting Group (BCG) matrix that concentrate the market position of different products. Secondly, the experience curve and the Profit Impact of Market Strategies model which identified a number of strategic variables. Furthermore, competitive advantages model (Porter, 1985) which focus on five different forces in environment of organization, but suit with only stable market. Generic strategy was developed strategies under this school, especially it can identify position in the market. Advantages: -Provide content in a systematic way to the existing way of looking at strategy -Particularly useful in early stage of strategy development, when date is analyzed -This school emphasis on analysis and calculation can be a very strong support to the strategy development process -This strategy suit with big businesses or organization which have ability for operate effective market research in the environment
In short, lower prices are offered to consumers, who might not be able to afford a higher price, thus attracting more visitors and raising the profits. Let’s take a look at the graph below. Output is Y number of hotel rooms booked at price P. D1 is demanded by adults, D2 – by seniors. If suppliers charge price P1 for all the rooms, they are only targeting one segment and quantity sold will be Y1. However, by charging a different price P2 to different customers, suppliers now target two segments, so the total revenue will now be P1*Y1+P2*Y2, which is obviously a better option for suppliers than just
In modern era and highly competitive climate between the organizations, the tendency to improve employee performance is by improving the HRM practices. The employee 's performance is use of knowledge, skills, experiences and abilities, to perform the assigned mission required by their managers efficient and effectively. The importance of the employees performance can be in form of several points such as : 1. Help to considering the cost of the resources used. 2.