Strategic Management
Master of Business Administration
Strategic Management
Assessment
INTRODUCTION
Yum! operates in more than 130 countries with over 40,000 restaurants. The organisation is one of the operators of QSR (quick service restaurant). Its brands are KFC, Taco Bell and Pizza Hut which specialises in chicken, food categories in Mexican style and pizza respectively.
Yum! restaurant business entered China in 1987 and has established itself within the Chinese market.
The organisation has provided new and unique experiences for customers with the introduction of quick service restaurant (QSR).
Yum! employed Chinese people that were exposed to the business models in western countries. The organisation also had good relationship with Chinese government by making it a partner (the introduction of executives appointed by the government)
“Business environment could be defined as all relevant physical and social factors outside an organisation that are considered into decision-making process.” (Duncan 1972 cited in Remenyi 2007:230)
According to RDI (2009a:1), “organisation’s internal capabilities and resources or Core competencies, the external environment, via a PEST/PESTLE analysis and the competitive environment, via Porter’s Five Forces Model” should be considered in analysing business environment
THE STRUCTURAL ANALYSIS OF THE OPERATING ENVIRONMENT
The structural analysis needs to be carried out so as to know the various influences on the organisation.
THE INTERNAL ANALYSIS
THE CORE COMPETENCIES
“Core competencies relate to those resources and capabilities of the firm, that when combined, enable the firm to attain a competitive edge in the market(s) in which it serves.” (RDI 2009b:2)
Core competencies differentiates an organisation from all competitors and this is always difficult to imitate.
The core competencies in an organisation helps to create value for customers and explore new market opportunities. The core competence in Yum is the
Strategic Management
Assessment
INTRODUCTION
Yum! operates in more than 130 countries with over 40,000 restaurants. The organisation is one of the operators of QSR (quick service restaurant). Its brands are KFC, Taco Bell and Pizza Hut which specialises in chicken, food categories in Mexican style and pizza respectively.
Yum! restaurant business entered China in 1987 and has established itself within the Chinese market.
The organisation has provided new and unique experiences for customers with the introduction of quick service restaurant (QSR).
Yum! employed Chinese people that were exposed to the business models in western countries. The organisation also had good relationship with Chinese government by making it a partner (the introduction of executives appointed by the government)
“Business environment could be defined as all relevant physical and social factors outside an organisation that are considered into decision-making process.” (Duncan 1972 cited in Remenyi 2007:230)
According to RDI (2009a:1), “organisation’s internal capabilities and resources or Core competencies, the external environment, via a PEST/PESTLE analysis and the competitive environment, via Porter’s Five Forces Model” should be considered in analysing business environment
THE STRUCTURAL ANALYSIS OF THE OPERATING ENVIRONMENT
The structural analysis needs to be carried out so as to know the various influences on the organisation.
THE INTERNAL ANALYSIS
THE CORE COMPETENCIES
“Core competencies relate to those resources and capabilities of the firm, that when combined, enable the firm to attain a competitive edge in the market(s) in which it serves.” (RDI 2009b:2)
Core competencies differentiates an organisation from all competitors and this is always difficult to imitate.
The core competencies in an organisation helps to create value for customers and explore new market opportunities. The core competence in Yum is the
Bibliography: Hitt, Michael A., Hoskisson, Robert E. and Ireland, Diane R. (1990): Mergers and Acquisitions and Managerial Commitment to Innovation in M-Form Firms. Strategic Management Journal, Vol. 11, Special Issue: Corporate Entrepreneurship. (Summer, 1990), pp Remenyi, Dan (2007): Proceedings of the 6th European Conference on Research Methodology for business and Management Studies. UK, Academic Conferences Limited RDI (2009a): Strategic Management: Analysing the business environment. P1 of 12 RDI (2009b): Strategic Management: Analysing the business environment RDI (2009c): Strategic Management: Analysing the business environment. P2 of 12 RDI (2009d): Strategic Management: Analysing the business environment RDI (2009e): Strategic Management: Internal Environment Factors. P5 of 8 RDI (2009f): Strategic Management: Analysing the business environment RDI (2009g): Strategic Management: Strategic Choice. P7 of 17 RDI (2009h): Strategic Management: Strategic Choice RDI (2009i): Strategic Management: Strategic Choice. P5 of 115 ,