Baldwin Bicycle Company
Question 4 - Make a recommendation regarding the future strategic direction if the company.
According to the SWOT analysis, MD is regarded as a star taking the BCG matrix. Therefore MD should hold its position within the market. In order to do this, we have recommended a few strategies for MD to maintain its position.
To maintain its star position, MD needs to be proactive and be constantly aware of its environment. Currently there is an opportunity in the Chinese market. MD has plans to penetrate this market. In order to be successful, MD needs to thoroughly analyse this market and tailor its products to the target market.
Due to the growing industry and increasing competition, MD needs to also integrate a differentiation strategy. According to the weaknesses, MD is currently having problems with delivering excellent customer service. Whilst MD has invested in employee training and values customer service within the organisation, this may be an area MD needs to strengthen on. This will help differentiate itself from competitors such as Wendy's and Burger King and hence continue to hold its position within the market.
3. DEVELOPMENT and RECOMMENDATIONS FOR IMPLEMENTATION OF STRATEGIC OPTIONS
Strategic options:
Reduction of employee training spending (lowering employee turnover);
Taking advantage of organic food industry popularity (develop new products for new segments);
Advantage of human health problems (improvement of products).
1 Reduction of employee training spending (lowering employee turnover).
In order to reduce of employee training spending and to lower turnover, we would like to suggest:
To give the job just for highly motivated people. It means, that they are going to be loyal and not to leave job so fast;
To train new employees using ’’Big Brother’’ principle. New employees would be trained by employees, who are working longer. In this way, company reduces training spending, new employees are trained by the people, who are working
According to the SWOT analysis, MD is regarded as a star taking the BCG matrix. Therefore MD should hold its position within the market. In order to do this, we have recommended a few strategies for MD to maintain its position.
To maintain its star position, MD needs to be proactive and be constantly aware of its environment. Currently there is an opportunity in the Chinese market. MD has plans to penetrate this market. In order to be successful, MD needs to thoroughly analyse this market and tailor its products to the target market.
Due to the growing industry and increasing competition, MD needs to also integrate a differentiation strategy. According to the weaknesses, MD is currently having problems with delivering excellent customer service. Whilst MD has invested in employee training and values customer service within the organisation, this may be an area MD needs to strengthen on. This will help differentiate itself from competitors such as Wendy's and Burger King and hence continue to hold its position within the market.
3. DEVELOPMENT and RECOMMENDATIONS FOR IMPLEMENTATION OF STRATEGIC OPTIONS
Strategic options:
Reduction of employee training spending (lowering employee turnover);
Taking advantage of organic food industry popularity (develop new products for new segments);
Advantage of human health problems (improvement of products).
1 Reduction of employee training spending (lowering employee turnover).
In order to reduce of employee training spending and to lower turnover, we would like to suggest:
To give the job just for highly motivated people. It means, that they are going to be loyal and not to leave job so fast;
To train new employees using ’’Big Brother’’ principle. New employees would be trained by employees, who are working longer. In this way, company reduces training spending, new employees are trained by the people, who are working