Exam (elaborations)
MNG3702 Assignment 1 Semester 2 2024 (605474) - DUE 25 July 2024
- Course
- Institution
MNG3702 Assignment 1 Semester 2 2024 (605474) - DUE 25 July 2024 QUESTIONS WITH DETAILED ANSWERS
[Show more]
2 reviews
By: rrloate • 1 month ago
By: emeldahmmapiyeye • 1 month ago
Seller
Follow
pablitoh11
Reviews received
Content preview
MNG3702 Assignment 1Semester 2 2024
(605474) - DUE 25 July
2024
[Company address]
,MNG3702 Assignment 1 Semester 2 2024 (605474) - DUE 25 July 2024
Question 1
“The aim of strategic management is to ensure that an organisation achives a
competitive advantage and sustains its competitive advantage over competitors.” Apply
the process perspective of strategic management process to the Michelin company,
focusing on the ‘History of the Michelin Guide’. In your answer, you need to explain
each stage in the process perspective of strategic management and apply it to Michelin
and the development of the Michelin Guide as an effort of the company to sustain its
competitive advantage. (21 marks, of which 7 marks will be awarded to each of the
stages correctly explained and applied to the case)
To address this question, we need to explain each stage in the strategic management
process and apply it to the Michelin company, particularly focusing on the history and
development of the Michelin Guide. The strategic management process typically
includes the following stages: environmental scanning, strategy formulation, strategy
implementation, and strategy evaluation.
1. Environmental Scanning
Explanation: Environmental scanning involves the collection and analysis of
information about events and trends in the external environment that could impact the
organization. This helps the organization identify opportunities and threats.
Application to Michelin: When Michelin first introduced the Michelin Guide in 1900,
the primary purpose was to encourage more driving, which would, in turn, increase the
, demand for tires. The company conducted environmental scanning by observing the
market trends and the needs of their customers. They recognized that one of the
obstacles to increased car usage was the lack of reliable information about where to
find fuel, food, and accommodations. By providing this information, they could promote
more road travel, thereby boosting tire sales. This insight allowed Michelin to identify a
unique opportunity to connect their product (tires) with a service (the guide) that
addressed a specific need in the market.
2. Strategy Formulation
Explanation: Strategy formulation involves developing long-term plans to leverage
strengths, address weaknesses, capitalize on opportunities, and mitigate threats. It
involves setting objectives, determining the best course of action to achieve those
objectives, and allocating resources accordingly.
Application to Michelin: Michelin formulated a strategy to create the Michelin Guide as
a free publication to drivers. The strategy was to provide value-added services that
would encourage car travel. The guide included maps, instructions for changing tires,
and lists of hotels, restaurants, and petrol stations. Over time, Michelin refined this
strategy by focusing more on restaurant reviews, which significantly increased the
guide's prestige and utility. This strategic move allowed Michelin to position itself not just
as a tire manufacturer but as a trusted source of valuable information, thereby creating
a strong brand association and customer loyalty.
3. Strategy Implementation
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller pablitoh11. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $2.97. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
74735 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now