Business Management & Strategic Management-Samples for Students

Question: Discuss about the Business Management and Strategic Management. Answer: Introduction For bringing advancements and enhancements in the organization the business entity is required to Identify and decide the strategies and plans. This process of identification and management of the strategies and plan has been considered as an empirical task and is known as business management and strategic management. This process of management is required to be implemented with the organizational structure and culture so as to bring some positive changes and these changes will be proven beneficial for the business corporation in terms of growth and results. The managerial staff and top level within the organization are the authorities who are held liable for the adoption and execution of these strategies (Adewuyi and Oyejide, 2012). Bringing a hike and boost to the performance level and productivity has been considered as the main objective behind the adoption and implementation of these tactics and strategies. Scheduling, managing, monitoring, analyzing the operations within the or ganizational structure are the additional operations and functionalities which are executed within these management practices. The below-described concept has been considered as an integral approach for the entity and is also relevant and liable in effectively attaining the desired goals and objectives of the organization. A position over the rivals will be attained and the business corporation will be able to sustain easily in this competitive environment. The concept can also be termed as the set of activities or the decisions which are required to be essentially and effectively taken by the managers for deciding the outcomes of the performance and productivity of the business corporation (Aigboduwa and Oisamoje, 2013). The below-executed analysis has been concentrated on The Ritz Carlton which is a high standard or premium brand name in the sector of the hospitality industry. The below-executed report has been made focused on the analyzing the business situations and also proposi ng the new strategic choices and the business implications of the new strategy. External competitive environment for identifying opportunities and threats Competitor analysis comprises of the competitors who can be considered as the barriers or the obstacles on the track of growth and success of the business entity (Anomohanran, 2012). The below-executed analysis has been made focused on the external competitive environment of The Ritz Carlton. The competitive environment comprises of some the main competitors of the entity which are discussed as follows: Opportunities Growing business markets: The upcoming developments of the businesses and business travel dictate an opportunity for the business corporation because the independent business travelers are considered as the major driving factors of the hospitality industry. Their spending tendency is more as compared to an average traveler (Ritzcarlton 2017). Generally, while spending money if the consumers are spending others money on themselves they do not economize but will try to gain the highest value of it. Innovations as compared to the competitors: The business entity should attempt to innovate some services or products for grabbing the attention of the travelers. For instance, offering libraries etc. As mentioned in the presented case the entity has focused on the design of the hotels in the regions of China .i.e. Beijing, the brand can develop some innovations in the design which will be proven beneficial for the entity (Anthony, 2012). As presented in the case, The Ritz- Carlton Beijing brings a new level of elegance and design aesthetic to Chinas capital city, this point can be considered as an advantage for developing relations and bonds with the public in China on cultural and religious aspects and which will be considered as a big opportunity for the firm. This will aid the business corporation in stepping ahead in the intense competitive environment. Moreover, offering discount schemes and packages can also be considered as one of the strategies which can be adopted by The Rit z Carlton for sustaining in the competitive environment. Business expansion: The business corporation should focus on the business expansion and this will be considered as an opportunity which will be relevant for sustaining in the external competitive environment (Aron, 2013). For instance, the entity can try to enter some new regions and establish the markets. This will aid the organization by an increase in the market share, goodwill and brand equity etc. All these factors considered as a whole will be assisting the entity in developing a strong position in the competitive environment. Threats The biggest threat which is very much significant and is liable in affecting the productivity of the organization is the development of the competitive environment which has been faced by The Ritz Carlton in Beijing China. Grand Hyatt and Hilton Beijing are the two brand names which are the leading names in the hospitality sector and are the top competitors of The Ritz Carlton (Ciarreta and Nasirov, 2012). Fear to the travelers has become a prominent theme across the hospitality sector and the reason is the terrorist activities and the natural calamities in the region of Beijing China (Qz 2017). For instance, the creation of a terrorist threat by repressing the secessionist fervor in its western frontier has been considered as one of the biggest and upcoming threats for the travelers and which will bring a decline in the rate of the tourism in the region of Beijing. This will be considered as one of the biggest threat for The Ritz Carlton. Internal operating environment for analyzing strengths and weaknesses Strengths The business organization is a luxury brand name and offers the highest standard and lavish facilities to the travelers and tourists in Beijing and other regions of the world (Ghandi and Lin, 2014). The quality of the service has been considered as one of the biggest strengths for the business entity. The Ritz Carlton has focused on the design and structure of the hotels in Beijing which attains the entity with the attraction of a huge volume of consumers (Hiatt, Grandy and Lee, 2015). The brand offers a number of services such as a distinction of housing special feature is offered by the entity which comprises of the mezzanine floor offers guests a wedding chapel, private family salons for grooming before the ceremony and a spacious function area for hosting large private banquets etc. This can also be counted in the list of the strengths of the brand. Moreover, the grand ballroom, wood-paneled boardrooms and meeting rooms for the professional tourists are made technologically appropriate and updated (Hu and Xu, 2013). This presents the technological advancements of the brand and is the one of the strength for The Ritz Carlton. Weaknesses In general sense, it can be considered that The Ritz Carlton is a premium brand name which offers set of premium and lavish services. These services are very expensive and are un-affordable by middle-class tourists (Keil, 2014). And due to this reason, the entity lacks a major portion of consumers. Moreover, on the basis of the research conducted by the Trip Advisor, it has been analyzed that the staff is proven inefficient and in-capable in meeting the standards of the organization. The staff lacks training and is inefficient in serving the tourists (Killing, 2012). Due to this, there has been a decline in the goodwill and market share of the organization. Moreover, the Trip Advisor has also mentioned in the blogs that the consumers and face a lot of trouble during the time of renovations. The tourists who are currently present in the hotel during the time of renovation are not treated well and which is tarnishing the brand name. Consistency of strategies with mission and goals of The Ritz Carlton The below presented is the justification of the consistency of the strategies with the mission and goals of The Ritz Carlton: One of the adopted marketing strategies of the business firm is that understanding the value of the each and every employee. This means the organization considers the workforce an integral part of the organizational structure and hence it has been mentioned in the mission statement. The mission statement focuses on the employees and attempts to develop and offer a working environment where a value is given to a diverse range of staff, enhancement is brought to the quality and standard of living and also the individual ambitions are fulfilled (Mitchell, Marcel and Mitchell, 2012). The next strategy is the fulfillment of the unexpressed requirements of the consumers. As it has been clearly mentioned in the mission statement The Ritz Carlton experience invigorates the senses, instills, well-being and attempts to fulfill the wishes which are un-expressed by the tourists. Business model of The Ritz Carlton Figure 1 Business Model of the Ritz Carlton (Source- Business model canvas of the Ritz Carlton, 2017) The above pasted is the business model canvas of The Ritz Carlton which comprises of the below-mentioned components: Key partners This component has been considered as one of an integral part of the business model. The entity should make identification of the key partners as they play a crucial role in aiding and assisting the organization in business operations and functionalities (Ovadia, 2012). In case of The Ritz Carlton, the key partners are the 3rd party payment providers, the hotel owners and also the other hotel organizations etc. Key activities The key activities comprise of all the operations and the functionalities which are executed within the organizational structure of the entity. For instance, some of the core operational ties are the platform management, promotions and maintaining personal relations. Key resources The resources are the assets which are available with the organization and are utilized in the generation of revenues (Pinkse and Van den Buuse, 2012). This comprises the human resource .i.e. the staff, the premises of the hotel, financial resources, the technology used by the organization etc. Value proposition This factor comprises of bringing an enhancement in the visibility of the hotel, expanding increase in the customer base, development in the accommodation options, offering accessibility and an ease in booking facilities etc. Customer relationship This factor is also one of the key element which should be considered at priority as customers are the king of the market and a strong relation will be proven beneficial for the entity. Offering personal assistance, serving additional discounts and services to the tourists etc can be considered under this component. Channels The channels are referred to the mediums which are utilized by The Ritz Carlton for distribution and promotion of services. This can include the official websites, the advertising websites for which the entity is paying, the sales teams etc. These are the platforms or the channels which are being utilized by the business entity for making promotion and distribution of the products and the services. Customer segments The customer segment comprises of the business class professional who conducts meetings, the travelers, and the tourists. These are the main segments which aid the entity in generating the expected revenues for the firm. Cost structure The cost structure comprises of all the expenses which are incurred by the entity during all the operations and functionalities. This includes the advertising and marketing costs, salaries to the staff, logistics, legal, company registration, platform maintenance etc. Revenue streams This factor comprises of the elements which assist in the revenue generation process. For instance, the commission received from the accommodation booking, from the cab service owners etc. Employment of strategic management theories Implementation of the strategic management theories comprises of the translation of the chosen selected strategies into organizational practices for attaining strategic goals and targets. The employment of the strategic management theories has been termed as the concept of developing, utilizing, and amalgamating organizational structure which will lead to the attainment of the competitive advantage and a better productivity. The below presented is the review of the steps through which the strategic management theories are employed in The Ritz Carlton: An appropriate disbursement of the abundant resources is required to be done for operating the strategy and the associated activities. Moreover, there should be a development of some strategy supporting policies which will assist in the strategic management process. Further selection and employment of the best policies and programs should be done, which will bring constant improvements. And at last the reward system should be linked so as to accomplish the outcomes. Reflection of the role played I have been appointed as the internal consultant in The Ritz Carlton. The main function which was executed by me, as an internal consultant was to manage the people side of change by implementing the mechanisms and tools of structured change management. The core operations for the role is spreading awareness about the change management process, developing strategy and plans and enabling the other doers of the change management. These all are the role which has been played by mean internal consultant for bringing improvements and advancements in the productivity and effectiveness of the organization. Conclusion In the limelight of the above-executed analysis, it has been inferred that the strategic management and business management are the two crucial concepts for any of the business entity which is required to be managed efficiently. The Ritz Carlton is a premium and luxurious brand name in the hospitality sector. Beijing is the region which has been considered in the above-presented report and analysis over the same has been executed. The analysis comprises of the internal and the external environment to win a sustaining position in the competitive environment. Moreover, the report also includes the strategies which affect the business model of the entity. It has been observed that the strategic management and implications of the above-mentioned strategies will offer the business organization with a number of benefits. The adoption of the outlined strategies will discharge the stress and burden of the managers. 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