The Warehouse Statergy Analysis
Short Description
Strategic analysis of The Warehouse...
Description
Group Assignment The Warehouse Group
Submitted By: S. No
Name
Student Id No.
1.
Prem Chand
1 0 0 0 02 1 8 8 5
2.
Prathamesh Edirisinghe
10 0 0 0 1 6 4 3 5
3.
Sheng He
1 0 0 0 0 0 3 6 83
4.
Mingya Hu
1 0 0 0 01 4 0 87
5.
Pengyue Ding
1 0 0 0 0 0 18 1 3
Submitted To: To:
Ms. ydia Harre!! e"turer in Strategi" Management Su#missi$n date% 02nd Mar"h 2015
EXCECUTIE SU!!A"# 1
&he 'areh$use gr$u( is a !argest retai!er in )e* +ea!and. ,t has di--erent st$res in under di--erent #rand names a!! $er )e* +ea!and. ,n this re($rt *e hae d$ne an e/tensie resear"h $n &he 'areh$use *e hae gien a #rie- des"ri(ti$n $- the 'areh$use a!$ng *ith the isi$n isi$n missi$n missi$nss and g$a!s g$a!s and $#e"ti $#e"ties. es. &his &his re($rt re($rt "$ntains "$ntains ma"r$ ma"r$ enir$nm enir$nment ent ana!ysis *hi"h in"!udes PES&E ana!ysis P$rters -ie -$r"es a!$ng *ith the S'& ana!ysis $- &he 'areh$use. e($rt a!s$ "$ntains interna! ana!ysis $- &he 'areh$use in *hi"h *e hae *ritten , and ,). ,). &he im $- this re($rt t$ ana!yse a!! the -a"t$rs $- an $rganiati$n and re"$mmend #usiness !ee! strategies and its im(!ementati$n.
usiness9!ee! strategy is a#$ut the *ay a "$m(any use t$ a!!$"ate its res$ur"e su"h as -inan"e su((!y "hain management and human res$ur"e in $rder t$ ad$(t the strategy that "ann$t #e imitated #y its ria!s :esan;$ :esan;$ Dran$e Shan!ey < S"hae-er 2013=. 2013=. ,t aims t$ integrates the "$m(anys res$ur"e int$ "$re "$m(eten"ies that "$ntri#ute t$ its "$m(etitie adantages :Hi!! :Hi!! et a!. 2007=. 2007=. ,t is a#$ut t$ im(r$e a "$m(anys -un"ti$na! $(erati$ns in manu-a"turing manu-a"turing !$gisti"s !$gisti"s human res$ur"e res$ur"e and s$ $n. &he 'are 'areh$use h$use is $ne $- the !argest retai!er retai!erss in )e* +ea!and. +ea!and. ,ts strategi strategies es determin determinee its mar;et mar;et ($siti$ ($siti$n n and "$m(eti "$m(etitie tie adantages. &he $#e"tie $- this re($rt is t$ dis"uss the #usiness strategies $- the 'areh$use >r$u(.
TAB$E %& C%NTENTS
2
S.No.
Content
'age Number
1.
E/e"utie Summary
02
2.
,ntr$du"ti$n
04
3.
isi$n Missi$n >$a!s and #e"ties
04905
4.
Ma"r$ Enir$nment
05 9 07
5.
P$rter s ?ie ?$r"e
08 9 0 @
6.
,nterna! na!ysis
0@ 9 1 3
7.
S'&
1 4 9 16
8.
Strategy 1
17
@.
,m(!ementati$n $- Strategy 1
18
10 .
Strategy 2
18
11.
,m(!ementati$n $- Strategy 2
1@
12 .
e-eren"es
20
(. Intr ntrodu)tio tion
3
s a )e* +ea!and $*ned and $(erated !arge s"a!e retai!er the 'areh$use se!!s a ariety $- g$$ds t$ "ust$mers "ust$mers ranging -r$m a((are! s($rting gardening gr$"eries and entertainments entertainments t$ e!e"tr$ni" g$$ds. ,t *as esta#!ished in 1@82 and has gr$*n t$ hae @2 *areh$use st$res a"r$ss a"r$ss the "$untry "$untry 77 )$e! eeming eeming st$res st$res s(e"ia! s(e"ia!isin ising g in e!e"tr$ e!e"tr$ni"s ni"s and a((!ian" a((!ian"es es 64 'areh$use Stati$nery st$res and seera! $n!ine #usinesses :&he :&he 'areh$use 'areh$use 2015 2015=. =. &he gr$u( has #een (u#!i"!y traded $n the )e* +ea!and St$"; E/"hange. 'ith the steady gr$*th and dee!$(ment the 'areh$use has #e"$me the #iggest genera! mer"handise and a((are! retai!er in )e* +ea!and. esides its $*n $(erati$ns the 'areh$use a!s$ $*ns a ariety $- its $*n #rands that are !$"ated !$"at ed *ithin the st$res su"h as a s the #rand ‘Just’ -$r -$r the gardening.
&he ma$r ria!s $- the 'areh$use in )e* +ea!and are Amart :dis"$unt de(artment st$res= ?armers :gr$"eries= the ris"$es :dis"$unted ((are! and h$me *are st$res= and Su(er Chea( ut$ :aut$m$tie (r$du"ts=. H$*eer the ariety $- (r$du"ts s$!d in these de(artment st$res is signi-i"ant!y !$*er than th$se $- the 'areh$use. &he 'areh$use is usua!!y a#!e t$ $--er m$re "h$i"es *ith !$*er (ri"es #e"ause it has esta#!ished an e/tended su((!y "hain *ith manu-a" manu-a"ture turess in s sian ian "$untri "$untries es and maintai maintained ned "!$se "!$se re!ati$n re!ati$nshi( shi( *ith *ith these these su(( su((!ie !iers. rs. H$*eer a!th$ugh the 'areh$use $--ers !$*er (ri"es and ari$us "h$i"es t$ "ust$mers it has #een "riti"ised -$r the ($$r Bua!ity $- g$$ds it s$!d and has re"a!!ed re"a! !ed s$me items it e/"!usie!y e/"!usie! y se!!s.
*. ision+ ision+ !ission+ !ission+ Goa,s and %b-e %b-e)ti )ties es
1@82 Sir Sir Ste( Ste(he hen n &inda! nda!!! -$un -$unde ded d &h &hee 'areh$ reh$us usee *ith *ith a isi isi$n $n $- ision / ,n 1@82 re$!uti$nising retai! industry in )e* +ea!and. &he 'areh$use gr$u( isi$n is t$ remain true t$ Sir Ste(hen &inda!!s isi$n and #ui!d a hundred year #usiness *hi"h he!( A,',s t$ -!$urish.
!ission Statement
&he C$m(anys missi$n statement is 'here Pe$(!e C$me ?irst and ua!ity is --$rda#!e and it is thr$ugh this management sty!e $- (utting (e$(!e -irst that &he 'areh$use has managed t$ gr$* at su"h a ra(id rate. :&he 'areh$use 2013= &hr$ugh this missi$n statement *areh$use gr$u( main!y "$n"entrates $n the "ust$mers and their e/(e"tati$ns. &$ -u!-i! the "ust$mers e/(e"tati$ns and t$ amuse them #y !u"ratie dea!s 4
this attra"ts m$re "ust$mers. ua!ity (!ays an im($rtant r$!e in the retai! industry. 'areh$use has a re(uted name *hen it "$mes t$ "ust$mer seri"e and Bua!ity $- the (r$du"ts. ?resh Bua!ity (r$du"ts are (ut -$r sa!e in *areh$use. &he 'areh$use em(!$yees *$r; as a team and hae a ery -riend!y and g$$d enir$nment enir$nment t$ *$r; in. ,t a!! re(resents the the missi$n statement statement !aid #y the -$under $- &he 'areh$use.
Goa,s 0 %b-e)ties
Goa,s 9 &he 'areh$use gr$u( has an am#iti$us g$a! t$ drie its ne*!y e/(anded $ut!ets t$
ria! *ith the "$m(etit$rs. &he )+F9!isted retai!er has made numer$us a"Buisiti$ns in re"ent years in"!uding )$e! eeming 'areh$use stati$nery. &$ "$m(ete *ith its ria!s #etter "ust$mer seri"e and !u"ratie dea!s are the main "riteria t$ "$m(ete. ?$r #etter "ust$mer seri" seri"ee (r$(e (r$(err train trainin ing g t$ the sta-sta-- and and m$ m$ti tiat ati$n i$na! a! (r$gr (r$gram am are are "arri "arried ed $ut #y the the managem management ent team $- *areh$us *areh$use. e. M$tiat M$tiati$na i$na!! (r$gram (r$gram su"h as in"rem in"rement ent in"enti in"enties es (r$gram *i!! m$tiate the em(!$yees. !! these -a"t$rs he!( t$ e/(and the #usiness $- *areh$use. &he main strategy $- *areh$use *as t$ d$minate sa!es thr$ugh sa!es $n!ine as *e!! as in st$res.
$#e"ties $- 'areh$use 'areh$use are t$ -u!-i! the "ust$mers e/(e"tati$ns e/(e"tati$ns %B1ECTIES: &he main $#e"ties and a!s$ t$ ;ee( its em(!$yees m$tiated. &$ &$ "$m(ete *ith its "$m(etit$rs and t$ rise in the retai! mar;et "ust$mers e/(e"tati$ns has t$ #e -u!-i!!ed. &$ t$( the retai! se"t$r $n!ine sh$((ing a!s$ has t$ #e m$re "$nenient t$ use.
2. !a)ro Enironment Ana,ysis
Ma"r$ enir$nment a!s$ re-erred as the e/terna! enir$nment are the "$m($nents used -$r the strategi strategi"" (!anning (!anning -$r an $rganis $rganisati ati$n. $n. &he ma"r$ ma"r$ enir$nm enir$nment ent "$nsists "$nsists $- PES&E PES&E i.e. i.e. P$!iti"a! E"$n$mi" S$"ia! &e"hn$!$gi"a! Enir$nmenta! and !ega!.
5
PES&E ana!ysis *hi"h is a!s$ re-erred as PES& ana!ysis is a "$n"e(t in mar;eting a!ues its a "$n"e(t used #y an $rganisati$n t$ tra"; the enir$nment they are $(erating $r (!anning t$ !aun"h a ne* enture. :'e#erien"e :'e#erien"e C 2015= 'o,iti)a, 3 &his -a"t$r determine the g$ernment sta#i!ity and its in-!uen"e in the e"$n$my $-
a "ertain $rganisati$n. ?$r e.g. &he ,ndian g$ernment has (assed its ne* #udget in *hi"h the (ri"e $- Cigarettes t$#a""$ (r$du"ts !iBu$r (!asti" #ags et". hae in"reased due t$ *hi"h the entire reenue reenue generating stru"ture stru"ture $- the re-erred re-erred industry might might "hange. :Hindustan :Hindustan &imes 2015= &he )e* +ea!and g$ernment has a dire"t im(a"t $n the retai! industry in regards t$ the trading h$urs -air trading and "$m(etiti$n. e"ause $- the su(($rt -r$m the g$ernment the retai! industry in )e* +ea!and is #$$ming and generating a huge am$unt $- reenue. 'hen it "$mes t$ ta/ati$n )+ im($rts int$ )+ are ta/9-ree i- the duty (aya#!e is !ess than G60. )+ $(erates minimum minimum duty $n the (r$du"ts *hi"h is #een im($rt in )+ itse!-. :S"h$!ar :S"h$!ar 2012= &he )+ g$ernment has im(!emented a s"heme -$r the retai! mar;et that the em(!$yees "an hae #ene-its -r$m the *$r;(!a"e 'areh$use a!s$ hae #ene-its -$r its em(!$yees *hi"h he!( them t$ sae their in"$me as m$st (r$du"ts are at a ery "hea(er (ri"e -$r the sta--s. Chi!d"are #ene-its medi"a! aid *hen needed t$ the em(!$yees and its -ami!y *i!! #e (r$ided #y *areh$use. &his -a"t$r -a"t$r determi determine ne the e"$n$mi" e"$n$mi" (er-$rman"e (er-$rman"e $- an $rgani $rganiati$ ati$n n *hi"h *hi"h E)on E) onom omi) i) 3 &his dire"t!y im(a"ts and #$$m -$r the !$ng term e--e"ts. E"$n$mi" -a"t$rs in"!ude #usiness "y"!es >)P trends trends interest rates e/"hange rates. &he )+ e"$n$my sh$*ed a str$ng sign $- re"$ery -$!!$*ing the g!$#a! -inan"ia! "risis and the 2010 < 2011 earthBua;e. Minimum *ages $- an em(!$yee has #een in"reased #y the g$ernment g$ernment *hi"h has a ($sitie e--e"ts e--e"ts $n the retain )e* +ea!and. So)io So)io Cu,tura Cu,tura,, 3 S$"i$ "u!tura! is a ma$r -a"t$r in-!uen"ing "$nsumers "h$i"e. ,n )e*
+ea!and "hanging s$"ieta! "$n"erns attitude and !i-esty!es hae resu!ted in dramati" "hanges in the retai! industry in )e* +ea!and. ,n m$dern *$r!d "ust$mers are m$re "$n"erns a#$ut hea!th $#esity et". due t$ that hea!th -$$d and e"$9-riend!y $rganiati$ns $rganiati$ns are in high demand in )e* +ea!and. ,mmigrati$n ($!i"y $- )e* +ea!and has attra"ted a t$n $- migrants -r$m a!! ar$und the *$r!d and due t$ that di--erent regi$na! "uisine -$$ds are in high demand. Te)hno,ogy Te )hno,ogy 0 Enironment Enironment 3 ,n m$dern times due t$ e/(ansi$n in internet and e!e"tr$ni"s
"ust$mers (re-er $n!ine sh$((ing in "$m(aris$n t$ traditi$na! sh$((ing. ,n )e* +ea!and $n!ine $n!ine sh$( sh$((ing (ing #ehai$ur #ehai$ur $- "$nsume "$nsumers rs has -$r"ed a!! the retai!ers retai!ers t$ (r$ide (r$ide $n!ine $n!ine 6
sh$((ing -a"i!ities t$ their "ust$mers. etai!ers are (r$iding ne* and in9inn$ating se!-9 "he";9in "$unters in their st$res -$r their "ust$mers. &e"hn$!$gi"a! adan"ement has a!!$*ed $rganiati$ns t$ redu"e "ar#$n emissi$ns Energy management redu"e *aste and re"y"!ing.
'orter4s &ie &or)es:
Thre Th reat at o5 Ne6 Ne6 En Entr tran ants ts 3 )e* +ea!and ($sitie and str$ng e"$n$my and "hanging
sh$((ing #ehai$ur $- "ust$mers are attra"ting ne* entrants in )e* +ea!and retai! industry #ig retai! giants !i;e *a!! mart are (!anning t$ start their $(erati$n in )e* +ea!and. &he 'areh$use 'areh$use >r$u( has seera! years $- e/(erien"e e/(erien"e in retai! #usiness and e/isting retai! giants :i.e. Amart and Pa";nSae et".= (uts a str$ng #arrier -$r a ne* entrant.
Bargainin Bargaining g po6er po6er o5 buyers buyers 3 &he #argaining ($*er $- "ust$mers determines h$* mu"h
"ust$mer "ust$merss "an im($se (ressure (ressure $n margins margins and $!umes $!umes.. ,n )e* +ea!and +ea!and retai! retai! industry industry num#ers $- "ust$mers are !arge #ut they d$ n$t #uy in #u!; *hi"h indi"ates that #argaining ($*er $- "$nsumers in *ea; state. ,n )e* +ea!and it is m$re e"$n$mi"a! t$ #uy -r$m $ne retai!er rather than -r$m a h$st $- retai!ers. Supp,ie Sup p,ierr Bargai Bargainin ning g 'o6er 'o6er 3 Su((!ier #argaining ($*er is !i;e!y t$ #e high *hen the
mar;et is d$minated #y a -e* !arge su((!iers. su((!iers. ,n )e* +ea!and retai! industry s*it"hing s*it"hing -r$m $ne su((!ier t$ an$ther is n$t "$st!y -$r a retai! giant !i;e &he 'areh$use. &he 'areh$use gr$u( mar;et share and d$minan"e a!!$* them t$ di"tate the (ri"e they are *i!!ing t$ (ay the su((!ier. Indust Industry ry Compe Competit titor orss 3 C$n"entrati$n -i/ed $r aria#!e "$sts di--erentiati$n "a(a"ity
(ri"ing #ehai$ur #ehai$ ur and mar;et and a nd "$m(any gr$*th gr $*th are s$me $- the th e -a"t$rs "$nsidered "$ns idered in this -$r"e. &he 'areh$uses areh$uses "hie- "$m(etit$rs "$m(etit$rs in the nati$na! retai! s"ene in"!ude ?armers :!$* s"a!e de(artment st$res= Amart :dis"$unt de(artment st$res= the ris"$es :dis"$unted s($rts and h$me *are st$re "hains= and Su(er Chea( ut$ :aut$m$tie (r$du"ts=. ,n )e* +ea!and retai! industry &he 'areh$use ria!ry is ery intense as their ria!s use (ri"e "uts t$ #$$st their unit sa!es.
7
industries Substitution 3 ,n retai!ing industry there are !arge num#er $- "$m(etit$rs. ,n retai! industries s*it"hi s*it"hing ng -r$m $ne "hain "hain t$ an$ther an$ther "reate !$* "$st -$r the "$nsumers. "$nsumers. &he 'areh$ 'areh$use use "$m(etit$rs are -$"using $n (ri"e redu"ti$n and #etter "ust$mer seri"e.
Interna, Ana,ysis:
,nterna! na!ysis is a (r$"ess thr$ugh *hi"h strengths and *ea;nesses $- an $rganiati$n "an #e identi-ied #y ana!ying their "$m(eten"ies. ,n #usiness di--erentiati$n in (r$du"ts and seri"es "an #e attained thr$ugh "$m(eten"es *hi"h are its res$ur"es and "a(a#i!ities. ,n #usiness tangi#!e and intangi#!e asset #$th # $th are a!ua#!e #e"ause it redu"e redu "e "$st and add a!ue a !ue t$ -irms $ut(uts. Cust$mer gies (re-eren"es th$se (r$du"ts $er th$se $- their "$m(etit$rs.
a,ue Chain Ana,ysis
8
:mindt$$!s 2015=
&irm In5rastru)ture In5rastru)ture I &he 'areh$use gr$u( is a !arge retai!er in )e* +ea!and. ,t has @2
'areh$use st$res 77 )e$! eeming st$res and 64 'areh$use stati$nary a!$ng *ith seera! $n!ine #usinesses. &his high num#er $- st$res !$"ated a!! $er the )e* +ea!and a!!$*s &he 'areh$use t$ sere m$re than 10000 "ust$mers in a day. &he 'areh$use gr$u( -$!!$* EDJCE EJSE < ECKCE m$tt$ in a!! the st$res *hi"h gie them a "$m(etitie adantag adantagee as their their $(erating $(erating "$st redu"es redu"es and they earn a g$$d "ar#$n rating rating *hi"h is a((re"iated #y the g$ernment a!$ng *ith "ust$mers.
7uman "esour)e !anagement I Human res$ur"e is a ;ey "$m($nent $- &he 'areh$use
gr$u( as they a!ue their em(!$yees the m$st. &he 'are h$use gr$u( -$!!$*s an $(en d$$r ($!i"y -$r their em(!$yees in *hi"h em(!$yees "an "$mmuni"ate *ith managers easi!y. &he 'areh$use en"$urages their em(!$yees t$ "$mmuni"ate $(en!y t$ share ne* ideas ta;e ris;s and hae -un. &he 'areh$use em(!$y @0L $- its *$r;-$r"e $n h$ur!y *ages *hi"h are "$m(eti "$m(etitie tie a!$ng *ith *ith the *ages *ages a!! the em(!$y em(!$yees ees get "$m(reh "$m(rehensi ensie e #ene-it #ene-itss *hi"h *hi"h in"!ude medi"a! "$erage h$!iday (ay !eae $- a#sen"e et". !! the #ene-its are aai!a#!e -$r #$th (art time and -u!! time em(!$yees. e m(!$yees. 9
Te)hno,ogy 8ee,opment I &he 'areh$use gr$u( in"$r($rate ne* te"hn$!$gies int$ their
dai!y dai!y $(erat $(erati$ i$ns. ns. &h &hey ey hae hae "$m(ut "$m(uter er #ase #ase *are *areh$u h$use se te"hn$ te"hn$!$g !$gy y !i;e !i;e #ar "$de "$de se!-9 se!-9 "he";$ut "$unters and inent$ry management systems. &he 'areh$use gr$u( has ad$(ted 'aynes a*ard *inning s$-t*are (r$gramme in their st$res. &his s$-t*are a!!$*s them t$ regu!ate e!e"tri"ity air "$nditi$ner *ater su((!ier et". $n their $(timum uti!iati$n. %peration %per ationss o5 The Wareh Warehouse ouse / &he 'areh$use gr$u( $(erates $n a ery !arge s"a!e in
)e* +ea!and they hae st$res a!! ar$und the )e* +ea!and. &he 'areh$use 'areh$use gr$u( aims t$ (r$ide a sa-e sh$((ing sh$( (ing e/(erien"e -$r -$ r "ust$mers and sa-e *$r; (!a"e (!a "e -$r a!! their em(!$yees. &he 'areh$use 'areh$use gr$u( $(erati$n gie a high (ri$rity t$ enir$nment they gie a high (ri$rity t$ re9"y"!ing.
'rimary A)tiities (3 Inbo Inboun und d ,ogi ,ogist sti) i)ss 3 &he 'areh$use ad$(ts ust9,n9&ime :,&= t$ manage its su((!y
"hain and !$gisti"s t$ maintain its su((!ying and inent$ry !ee!s. 29 %perations 3 &here are @2 'areh$use st$res 77 )$e! eeming st$res 64 'areh$use Stati$nery st$res in )e* +ea!and. 39 !ar9eting and Sa,es / &he ma$rity $- sa!es in the st$res -$r nati$na!!y adertised mer"handise. 'are h$use st$res are $(en -$r 13 h$urs thr$ugh$ut the *ee;. !! st$res maintain uni-$rm (ri"es t$ meet !$"a! "$m(etiti$n. 3 Ser Seri)e i)es / &he *areh$use has made a-ter sa!es standards in their $rganiati$n.
"I% Ana,ysis
10
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rganiati$n
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P$siti$ning Su((!y Chain KES
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,ntegrati$n Mar;et
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Pr$/imity Cust$mer
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Seri"e Diersi-i"ati$n H Management
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According to the VRIO framework of are ho!"e# there are "i$ t%&e" of factor" need to di"c!""' (ir"t)%# the *a)!e of wareho!"e +!"ine""# "!ch a" their &rod!ct# tho!"and" of &rod!ct" ha*e +een "hown on the wareho!"e "tock# it i" a good &rice &o"itioning that in "trategic management# +eca!"e of the co"t of &rod!ct i" *er% &ro,ta+)e &rice# com&are with other "ho&# wareho!"e do"e ha*e de,nite)% ad*antage a+o!t their &rice "trateg%' -he com&)eti*e ad*antage i" *er% im&ortant for a ,rm# wareho!"e own a *ar% of &rod!ct which inc)!de the mo"t of !"ing faci)it% in o!r )ife # it re)% on thei theirr good good "! "!&& &&)% )% chai chain n inte integr grat atio ion n in "tra "trate tegi gic c of +!"i +!"ine ne"" "" #one #one of ad*antage i" that .the c!"tomer &!rcha"e the &rod!ct i" a)mo"t chea& than an% other com&an% #+eca!"e of the re"o!rce of &rod!ct i" come from man% factor% #the% can com+ine tho"e o&inion" to determine the +e"t *a)!e &rod!ct for c!"tomer and take the ad*antage to again"t other" ' It i" a mo"t "im&)e /!e"tion that wareho!"e ha" +een dea) with it# which i" their c!"tomer "er*ice can co*er a)) of cit%# if the &rod!ct ha" the /!a)it% &ro+)em or "ome other i""!e# the c!"tomer co!)d contact the c!"tomer "er*ice to e$change it or other aording i""!e# the% ha*e man% of "ho& in e*er% area of A!ck)and "!ch a" cit% centra) or we"tern ,e)d' eca!"e of the &rod!ct might +e "ame or e*en +etter than wareho!"e if a c!"tomer to +!% "omething in other "ho&# howe*er for the area of "er*ice co*ering#
11
wareho!"e wareho!"e doe" ha*e ad*antage# that wi)) not co&ing from other ea"i)%' ea"i)%' A" of an!ar% 2015# -he areho!"e em&)o%ed o*er 12#000 &eo&)e in ew ea)and' ea)and' -he areho!"e areho!"e" " cor&orat cor&orate e head/!art head/!arter" er" are )ocated )ocated in orth orth hore# ew ea)and' A&art from it" 242 retai) )ocation"# it o&erate" 2 di"tri+!ti di"tri+!tion on centre" centre" )ocated )ocated in iri# iri# ew ea)and ea)and and in Ro))e"to Ro))e"ton# n# ew ea)an ea)and d a" we)) we)) a" 12 on)ine on)ine "tore "tore"' "' A ar areho eho!"e !"e an anage agerr ear earn" n" an a*erage "a)ar% of 55#580 &er %ear' eo&)e in thi" :o+ genera))% dont ha*e more than 20 %ear" e$&erience' a% for thi" :o+ doe" not change m!ch +% e$&erience# with the mo"t e$&erienced earning on)% a +it more than the )ea"t' It "how" !" that ;R management "%"tem i" *er% "trong "trong and it i" a com&etiti*e ad*antage'
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. SW%T Ana,ysis
O- ana)%"i" i" a fa"t wa% to e$amine organia)* >a )*in in## G ;a ;aid idar ar## 20 2007 07B' B' -he -he areho areho!" !"e e ado& ado&t" t" the the co"t co"t )ead )eader er"h "hi& i& "trateg% with the aim of oering the )owe"t &rice" and *ario!" t%&e" of 16
good" with )ow )e*e) of &rod!ct dierentiation to c!"tomer"' -he o+:ecti*e of the co"t )eader"hi& "trateg% i" to red!ce co"t" and increa"e e?cienc% in the &rod!ction and de)i*er% &roce"" C!mar# C!mar# one"# Venkate"an# G =eone# 2011B' 2011 B' % !"ing thi" "trateg%# the areho!"e can e"ta+)i"h an e$tended inter internat nation iona) a) "! "!&&) &&)% % chain chain to en"!r en"!re e e?cien e?cientt man!fa man!fact! ct!rin ring g and co"t co"t eecti eecti*e *e )ogi"t )ogi"tic ic manage manageme ment' nt' A)mo"t A)mo"t a)) of the &rod! &rod!ct" ct" "o)d "o)d in the areho!" areho!"e e are man!fact!red man!fact!red and "!&&)ied "!&&)ied +% foreign foreign com&anie com&anie"' "' -hi" a&& a&&roach ach
make" ake" f!)) f!)) !"e
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the com com&ar &arati* ati*e e
ad*an d*anttage" age" in the the
inter internat nation iona) a) +!"ine +!"ine""e ""e" " a" the areho areho!"e !"e co!)d co!)d enhanc enhance e &ro,t &ro,t" " +% "o!rcing the"e good" from co!ntrie" where ha" )owFco"t )a+o!r and raw materia)"' -he high "tandardi"ation of the good" a)"o aim" to who)e"a)e )arge amo!nt of endF&rod!ct" to red!ce the co"t" and enhance the &ro,t"' -he areho!"e can target dierent target market" market" in ew ea)and )ike con"tr!ction +!"ine""' After the earth/!ake" con"tr!ction +!"ine"" in ew ea)and i" Eo!ri"hing at a *er% high &rice' -hi" increa"e ha" created a )arge demand for con"tr!ction good" )ike con"tr!ction materia)# too)" etc' -he areho!"e ha" a )arge ca&ita) a""et and "tore" )ocated a)) aro!nd ew ea)and' -he areho!"e d!e to it" o&erating "i
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