Strategic Plan to Position Donalsea Industries and Beverages Ltd for Outstanding Performance
NATIONAL INSTITUTE OF MARKETING OF NIGERIA
EXECUTIVE MEMBERSHIP PROGRAMME (EMP)
TOPIC:
STRATEGIC PLAN TO POSITION DONALSEA INDUSTRIES AND BEVERAGES LTD FOR
OUTSTANDING PERFORMANCE
BY
ADEOYE BABATUNDE ADEOLA
EMP/22/11/LAGOS
INTRODUCTION
Donalsea Industries and Beverages Ltd Is a company that specializes in the production of variety of Alcoholic and soft drinks. It is situated in Ilorin, Kwara State. The down turn in the economy has affected the industry greatly. The market share of Donalsea Industries and Beverages Ltd is being gradually eroded so much so that if urgent step is not taken to reposition the company it might go down. In order to reverse the trend, there is need for a strategic plan that will assist the company to meet the prevailing economic down-turn.
Business Strategy
A business strategy, sometimes termed a competitive strategy or simply strategy, is here defined by six elements or dimensions. The first four apply to any businesses, even if it exists by itself. The remaining two are introduced when the business exists in an organization with other business units. A business strategy specification includes a determination of:
1. The product market in which the business is to compete: The scope of a business is defined by the products it offers and chooses not to offer, by the markets it seeks to serve and not serve, by the competitors with whom it chooses to compete and to avoid, and by its level of vertical integration.
2. Level of investment: Although there are obvious variations and refinements, it is useful to conceptualize the alternatives in terms of: • investing to grow (or enter the product market) • invest only to maintain the existing position • milk the business by minimizing investment • recover as much of the assets as possible by liquidating or divesting the business
3. The functional area strategies needed to compete in the selected product market. The specific
EXECUTIVE MEMBERSHIP PROGRAMME (EMP)
TOPIC:
STRATEGIC PLAN TO POSITION DONALSEA INDUSTRIES AND BEVERAGES LTD FOR
OUTSTANDING PERFORMANCE
BY
ADEOYE BABATUNDE ADEOLA
EMP/22/11/LAGOS
INTRODUCTION
Donalsea Industries and Beverages Ltd Is a company that specializes in the production of variety of Alcoholic and soft drinks. It is situated in Ilorin, Kwara State. The down turn in the economy has affected the industry greatly. The market share of Donalsea Industries and Beverages Ltd is being gradually eroded so much so that if urgent step is not taken to reposition the company it might go down. In order to reverse the trend, there is need for a strategic plan that will assist the company to meet the prevailing economic down-turn.
Business Strategy
A business strategy, sometimes termed a competitive strategy or simply strategy, is here defined by six elements or dimensions. The first four apply to any businesses, even if it exists by itself. The remaining two are introduced when the business exists in an organization with other business units. A business strategy specification includes a determination of:
1. The product market in which the business is to compete: The scope of a business is defined by the products it offers and chooses not to offer, by the markets it seeks to serve and not serve, by the competitors with whom it chooses to compete and to avoid, and by its level of vertical integration.
2. Level of investment: Although there are obvious variations and refinements, it is useful to conceptualize the alternatives in terms of: • investing to grow (or enter the product market) • invest only to maintain the existing position • milk the business by minimizing investment • recover as much of the assets as possible by liquidating or divesting the business
3. The functional area strategies needed to compete in the selected product market. The specific
References: Ansolf, H.I. (1957). Strategies for Diversification. Harvard Business Review September/October 1967. David A. Aaker (1984). Strategic Market Management. New York: John Wiley & Sons. Hamermesh, R.G. (1986). Making Planning Strategic. Harvard Business. Review July/August, 1986. Kotler, P & Armstrong, G. (1996). Principles of Marketing, Prentice Hall International Inc. Rotler, P. (2002). Marketing Management. Analysis, Planning and Control Prentice. Hall International Inc. Stanton, W.J. (1994). Fundamental of Marketing. McGraw Hill Rogakusha Ltd. ISE.