Strengthen Competitive Advantages Enterprises - Free Samples

Question: Discuss about the Strengthen Competitive Advantages Enterprises. Answer: Introduction: There are many tools related to management which is necessary for business development. The tools help the business to conduct the activities in a smooth manner. The problems which arise are minimized if the focus is given to these management tools. It is seen that some of the management tools are SWOT, PESTLE and Porter five force models on which discussion will be made in this paper. These strategies help to evaluate the competitive environment and also minimize the competition level prevailing in the market. It is analyzed that management tools help in implementing the methods to evaluate the business activities. The internal and external environment analysis is also done by taking into consideration these management tools. This management tool help to evaluate the strength, weakness, opportunities, and threats prevailing in the organization. It is used by the business to evaluate the actual performance of the company. There are many factors that are considered to evaluate the business activities like the emphasis is given to enhance the strength and opportunities and reducing the threats and weakness prevailing in the business (Bull et al., 2016). The companies use SWOT analysis at the time of analyzing the competitors and also to enhance the overall profitability. For instance: It is seen in Amazon the strength of the company is its brand name and weakness is that the company is only conducting the activities through an online platform. So, by analyzing these factors the company focuses on the overall growth. Same as with the opportunities and threats, the opportunity of the company is that it is enhancing the activities on a global platform. The threat to the company is from the competitors, so SWOT analysis helps to overcome the competitors. The tool plays a great role in offering motivation in the business plan so that goals and objectives can be accomplished effectively. This tool also gives a positive impact on the overall productivity level of the company (Shabanova e al., 2015). Like by analyzing the competitors, Amazon focuses on giving discounts to the customers so that demand can be enhanced in an effective manner of the company. The offers and discounts are given to the customers so that threat which is prevailing in the market can be minimized. The strength of the company is the good image in the market and also the large market share which helps to accomplish goals and objectives of the company. There are many opportunities that are seen but it require a right time for the company to grab it. The company has an opportunity to consider marketing strategies so that demand of the products can be maximized in the market. By enhancing the demand profits can be easily achieved which leads to success and growth of the organization. Pestle Analysis This is also one of the most important tools considered by the company for development. This tool helps to analyze the political, economic, social, technological, legal and social factor of an organization. It helps to analyze the business to explore the laws and economic growth in the market. It also assists in analyzing the target market by taking into consideration demographic factor. This tool helps the company to know about the current position and also to enhance the knowledge of business (Rothaermel, 2015). This tool mainly emphasizes on the product specification or at the time of developing the market plan. It helps the company to analyze the overall market in a proper manner so that products can be promoted effectively (Yksel, 2012). It is seen that this tool also help the company to analyze the opportunities prevailing in the market so that it can be grabbed and success can be achieved. It is analyzed that by considering this tool it can be easy for the company to focus on each and every factor. If emphasis is given on every factor then it can be seen that large market share can be grabbed easily. This tool is also useful in analyzing the target market by emphasizing on the age group and growth of the population. It is seen that it also assit in making plans so that threats that are prevailing in the business can be minimized. Proper understanding of the business is also be done by giving focus on Pestle analysis. Pestle helps to motivate employees by considering the strategies that will help to enhance the growth in the market (Gupta, 2013). Five force analysis Five force analyses take into consideration five factors like rivalry against the competitors, threat of new entrants, the power of suppliers, the power of buyers and threat of substitute. This tool helps the company to analyze the actual position in the market. So, to enhance the overall performance the company focuses on these five factors. This tool evaluates the business opportunities by considering the value of the company (E. Dobbs, 2014). Also, it emphasizes on the steps to enhance the changes in the market. Five force analyses focus on creating effective plans and also help to induce the customer to purchase the products from the company. They are used by the sales and top management team to evaluate the actual position in the market and planning of strategies is done so that large market share can be grabbed (Grant, 2016). If the threat of substitute is considered then it is seen that it is also high because there are many substitutes available for the same product.If threats of new entrants are considered then there are many companies like Tesco who face a high level of competition. These factors assist the company to analyze the situations that give impact on the overall profitability of the company (Johnson, 2016). So, it is concluded that to achieve the growth in the market, it is important for the company to consider these tools so that activities can be conducted smoothly. Also, these tools help to gather the information about the market so that process of the business can be created easily. These tools enhance the overall profits of the company and also enhance the customer's satisfaction level. It is seen that strategic analysis is important for every organization so that goals and objectives can be achieved easily. References Bull, J.W., Jobstvogt, N., Bhnke-Henrichs, A., Mascarenhas, A., Sitas, N., Baulcomb, C., Lambini, C.K., Rawlins, M., Baral, H., Zhringer, J. and Carter-Silk, E., 2016. Strengths, Weaknesses, Opportunities and Threats: A SWOT analysis of the ecosystem services framework.Ecosystem services,17, pp.99-111. Dobbs, M., 2014. Guidelines for applying Porter's five forces framework: a set of industry analysis templates.Competitiveness Review,24(1), pp.32-45. Grant, R.M., 2016.Contemporary strategy analysis: Text and cases edition. John Wiley Sons. Gupta, A., 2013. Environmental and pest analysis: An approach to external business environment.Merit Research Journal of Art, Social Science and Humanities,1(2), pp.13-17. Johnson, G., 2016.Exploring strategy: text and cases. Pearson Education. Porter five force analysis., 2018. Research gate. [Online]. Available at: https://www.researchgate.net/figure/The-Porters-Five-Forces-10-The-Porters-Five-Forces-model-is-used-to-analyze-competitive_fig4_308611478. [Accessed on 19 April, 2018]. Rothaermel, F.T., 2015.Strategic management. McGraw-Hill Education. Shabanova, L.B., Ismagilova, G.N., Salimov, L.N. and Akhmadeev, M.G., 2015. PEST-Analysis and SWOT-Analysis as the most important tools to strengthen the competitive advantages of commercial enterprises.Mediterranean Journal of Social Sciences,6(3), p.705. Yksel, ?., 2012. Developing a multi-criteria decision making model for PESTEL analysis.International Journal of Business and Management,7(24), p.52.