D081 Task 2 - Grade: Pass PDF

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Task 2: Innovative and Strategic Thinking Course Code: D081 Student Name: Student ID: Date: FEB2021 Student Mentor Name:

Discuss at least TWO potential risks that the company from the scenario may encounter in entering the new market and describe the impact to the company. (Unit 3: Managing Risks.) A.

1. Two potential risks identified for the company are personnel decision making and the entering of new strategic local partnerships. The reason why personnel decision making poses a risk is that the company relies on its employees for decisional information. If employees aren’t making sound decisions or are unable to provide decisions, it could put the company in a bind. Putting this type of authority in the employees could result in a reputational impact if the employee decides to do something of foul play or in the disinterest of the company. 2. As aforementioned, another potential risk is the establishment of local partnerships because there are certain unknowns that could negatively affect the company. If the local partnership with a manufacturer is providing a product that is subpar or untimely, the company could have their reputation reduced among local consumers. The company needs to ensure they conduct sound research on manufacturers to choose the one that is best for them and algins with their overall goals.

B1. Conduct a SWOT analysis of the company in the scenario by identifying and

explaining at least two internal strengths. The identification of each strength requires more than just listing each element. Consider a sentence or two that relates the strength to the given scenario.

1. Internal strengths established within the company are comprised of both their willingness to put trust in their employee’s innovation and collaborative designs as well as focusing on an environmentally friendly vessel. The company has put incentives in place to inspire their employees to continue providing designs in the best interest of the company. Employees are consistently putting their effort and ingenuity to use, and the company puts their trust in the employees as well as giving them rewards along the way. This employee empowerment provides positive stimulation for continued success of the company. 2. With the company caring about the local ecosystem by building eco-friendly boats, they also are viewed in a positive light by the locals. The National Fisheries Development Board (NFDB) challenged them with utilizing local Indian plastic in their

product and the company didn’t shy away but rather stepped up to the challenge. This shows the locals that the company is buying into their country and not only in it for company profit.

B2. Conduct a SWOT analysis of the company in the scenario by identifying

and explaining at least two internal weaknesses. The identification of each weakness, requires more than just listing each element. Consider a sentence or two that relates the weakness to the given scenario.

1. An internal weakness of the company is their structural company dynamic of the decision-making process. Since the company has been giving the employees free reign of making decisions, if the company decides to change this model, the employees could feel distrusted and even outraged. Since the company is expanding internationally, they may need to establish a new chain of command dynamic to work with locals as this employee empowerment may prove to be dysfunctional. This could have a negative impact on the company and proves to be a valuable scenario that needs some thought before international business is established. 2. Another internal weakness is the fact that the company aspires of quick expansion to Asia. A year of pushing products in India may not be enough time for data analysis to see if the company is successful or to establish much needed improvements. While goals are nice, sometimes goals need to also be realistic and cost effective or the company could suffer the consequences.

B3. Conduct a SWOT analysis of the company in the scenario by identifying

and explaining at least two external opportunities. The identification of each opportunity requires more than just listing each element. Consider a sentence or two that relates the opportunity to the given scenario. 1.

The company is presented with a great external opportunity because not only are they focusing on an eco-friendly product in a much needed emerging global market, but they also focused their design on a non-motorized boat which locals are familiar with using. This offers a multi-impactful opportunity because the company is proving they care about the local eco-system in more ways than one and providing critical employment to the area to meet local demands. 2. The company also has another external opportunity since they are entering the emerging market with an already established fishing industry in the area. The established economic zone is already supporting over 14 million people in the fishing industry. This fishing industry not only makes up 1% of India’s GDP, but

also supports around 7% of global fish exports. This type of industry could be intrigued with this foldable, non-motorized boat which creates an external opportunity for the company to infiltrate the already established fishing industry and take the market by storm. 3. Being endorsed by the NFBD since the company is utilizing local plastic instead of exporting an already finished product into the country provides another external opportunity. The company adhering to NFBD standards puts the company in a positive limelight since they will be promoting the eco-system by not only using a non-motorized boat, but also using recycled plastics from the countries homeland.

B4. Conduct a SWOT analysis of the company in the scenario by identifying

and explaining at least two external threats. The identification of each threat requires more than just listing each element. Consider a sentence or two that relates the threat to the given scenario.

1. Increased competition and political environment can be identified as potential external threats to the company. If a competitor can establish a product that is better suited for the local fishermen and is cheaper, it could be detrimental to the company’s business. They could be left with stock in their manufacturing facilities that are unable to be sold at the price point or that consumers just aren’t interested in purchasing. Without sales the company fails to remain competitive and loses all financial functionality. 2. The company also must stay in good standing with the local government and meet criteria that they may not be familiar with operating in the United States. If they are not established the correct partnerships and maintaining them or meeting partner’s needs, the government could rule them out of business in the country. If they are unable operate in India, this also could pose a major financial loss for everything that they have worked towards to establish manufacturing and product production.

Based on the SWOT analysis from B1 – B4, identify and explain TWO strategic recommendations for the company. (Unit 4: Business Strategy.) PLEASE NOTE: The identification of each of the TWO strategic recommendations requires more than just listing each strategy. Consider a sentence or two that relates the recommendations to the SWOT analysis for the given company. C.

1. Based on SWOT analysis of the company, a strategic recommendation is making sure that the company keeps their product at a competitive price for the consumer; not too high, not too low. India is a developing nation and local consumers may not have expendable funds and needs a product that meets their needs without putting them in a financial hardship/burden. They also may not have vehicles at their disposal, so the feature of a foldable boat the size of a suitcase that can be easily transported may be extremely desirable, setting the company apart from their competitors. Ensuring these features make it into final production of the product, this could keep the company highly competitive in the emerging market. 2. Another recommendation to keep in mind is ensuring that the company strictly follows the guidance set forth by the NFDB. If restrictions are not followed, this company could be fined and production could be halted, posing financial risk to the company and delays of product shipment to the consumers. With this, the company needs to find a manufacturer that also maintains integrity and understanding with the guidelines of the NFDB to ensure that local plastic is used in the manufacturing process of the product.

C1. JUSTIFY one strategic recommendation from part C by explaining, in

detail, the benefits to that recommendation. Again, this recommendation needs to connect back to the SWOT analysis. 1. The benefits of following necessary guidelines put in place by the NFDB make sure that the company does not incur unnecessary expenses or halted production. Both can result in losses for the company and losses incurred during the first year could be detrimental to the company’s success and outlook. The company needs the least number of hiccups possible for continued success especially when entering an emerging market in a foreign country. Seamless production keeps the company in reliable and trustworthy with both manufacturers and local consumers.

References (if applicable) If using sources (other than the course instructions and/or the case study) to support ideas and elements in a paper or project, such as quoted,

paraphrased, or summarized material, provide an in-text citation and a reference list identifying the author, date, title, and source location....