MGM465-0801A-05 Business Strategy - Phase 3 Individual Project Essay

MGM465-0801A-05 Business Strategy - Phase 3 Individual Project - Essay Example On the other hand, the huge size of the company is also a great problem. Above all, their distributors are not feeling good to work with them. Taking the above statement in which the company’s strength and weakness are shown the very first step the company should adopt is to launch a cost-leadership strategy. This strategy requires such steps that will lower its operational cost. As mentioned above that they have old manufacturing plants, showing that they lack technological advancement. The company needs to enhance their technological advancement that will lower their labor cots. The labor cost in western countries is very high. The famous companies are now substituting human labor with latest CNC machines. These machines have more operational productivity and provide flexibility. Therefore, company needs to enhance their technologies and should place new plant rather the old one. This technological advancement will provide sufficient affect on the cordless product thus improving the sales of cordless. As the company does not know clearly about its market share and for this they have to develop Research & Developme nt department for efficient research on the market in order to know the exact information. The company must adopt the vertical integration as their distributors are not good to be with them. On the other hand, the huge size of the company is also a great problem. And that is because the poor management or due to the huge product line. While to solve the problem the company should adopt the strategy of mass customization. The mass customization will allow the company to produce those products that are demanded by the customers and stop producing the products that are causing the extra cost. The company needs to know that which product is producing more profit in the end. The company’s biggest strength is the demand of products and its brand. So if the company launches the strategies