Question

Prepare a 4-6-page business analysis that explains the generic business strategies for an organization, analyzes the business strategy used and the company's business model, analyzes the corporate strategy of the company and the overall corporate structure and management systems, and analyzes the strategic fit between the business and corporate strategies.

Answer 1

Company which I have considered is a handloom industry named botanical. It follows differentiation strategy for all customers. Quality of products is not comparable with competitors. It charges comparatively high price as it is hand-woven. Business strategy which botanical uses is quality, comfort, longevity over others. These are factors which distinguishes it from the other market players. When most of products are GI accredited it gives assurance of the quality. Not only in India, has it also targeted foreign countries. They go for national & international exhibitions in which they showcase their products & a huge demand is found among people. Business model works on development of weaver community which is the second largest occupation in India after agriculture. 80% of the profits go to the weaver community. Core products are saris, kurta, kurti, shirts etc. The organization is a government run business where their motive is developing the weaver society rather than profit. With a proper management in place, botanic is making 20 corers profit after restructuring. It is a self-sufficient company. CVP of botanic is " our quality our pride". With 6 decades of legacy and ISO certification, that is self-promoted. Profit proposition is "pay for what you get". Corporate strategy is to serve everyone with the exquisite collection. Products are available throughout India without any shipping charges & delay. It is also available for international shipping. Yes company has expanded from its original product line by including several new products. Company is only vertically integrated with suppliers i.e. weavers. It doesn't sell / have intermediaries as there is a high chance of fraud. They are very cautious about the products and their brand name. Corporate structure is very simple as it contains less hierarchy and they work closely with each other. They have integrated new blood into the organization after 15 years to develop the company. It has also training and development programs to develop employees. It is headed by an administrative officer i.e IAS officer who is highly workaholic & thrives for excellence. Yes, botanic employs diversification, vertical integration with suppliers and globalisation as it is exploring new foreign requirements. Yes, for advertisements, they are planning for global strategic alliances. There is a strategic fit between the business & corporate strategies; it doesn't aim for higher profits rather focus primarily on customer & employee satisfaction.