商务文化与策略HND.docx
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商务文化与策略HND.docx
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商务文化与策略HND
BusinessCultureandStrategy
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1.0Introduction
ThisreportbasedoncasestudyofAlphabetGames,mainlyincludebusinessstrategies,themaindifferencesandworkingrelationshipbetweenstrategiesandstrategicchoice,potentialbenefits,andanalyzetheroleofmanagement,thepossibleimpact,aswellassuggestionsforresistanceminimizewithinAlphabetGames。
2.0Mainbody
2.1Porter’sgenericstrategic
‘Costleadershipstrategyfocusesonefficiencyandlowestcost,inordertofightrivalstoobtaincompetitiveadvantage’(cost—leadership,2015).Itaimsgaintheinitiativeofthepriceandtakelowcostasmarketentrybarriers,thusmakingthecompanybecometheleaderintheindustry.Sotheapplicablebusinessenvironmentofthisstrategyisthatthemarketcompetitionisfierce,andtheindustryproductsorservicesarestandardwithlotsofsubstitutesinthemarket,buttherearefewwaystoachievedifferentiation.Becausethemarkethaslargebuyersandsignificantbargainingpower,companycanuseamountchangeprice.Whenthisstrategycanbeimplementedsuccessfully,thelowcostwillbeusedasthebarrierstopreventotherstoentry,astimespasses,thecompanywillbecometheleaderinthismarket。
Differentiationinvolvescreatingaproductthatisperceivedasunique.Differentiatedgoodsandservicessatisfytheneedsofcustomersthroughasustainablecompetitiveadvantage.Sothisstrategysuitstheenvironmentthattherearemanymethodstodistinguishtheproductsorservice,mostconsumersinthemarketarenotswitchinglowcostwithdiversifiedneeds,andtheycanrecognizeandvaluethiskindofuniqueness。
Andthefirmshouldhavestrongresearchanddevelopmentskills,strongproductengineeringskills,strongcreativityskillsandstrongmarketingskills.
Becausedifferentiationleadtoacomparativelyhigherprice,ifconsumerspursuitthelowpriceandcannotacceptthepriceandthiskindofdifferentiation,theymaynotwillingtobuyyourproduct。
Andoncethestrategybeimplementedsuccessfully,itcanbringcompanycustomerloyaltyandbrandloyalty。
Costfocusreferstoprovideproductsandservicestoafewcustomersatthelowestprices.Thisstrategyadapttoanarrow,nichemarket,usedbysmallerfirms。
Inthisbusinessenvironment,consumersswitchingonlowcost.Becausethisstrategyfocusesonafewconsumers,sotheorganizationcanaffordneitherawidescopecostleadershipnorawidescopedifferentiationstrategy,inordertoprovidebetterproductsorservicesforconsumerswithlowcost,costfocusstrategyismostsuitableforthiskindofenvironment.
Differentiationfocusreferstoonecanprovideproductsandservicestoasmallnumberofcustomersbetterthanrivalsbydifferentiation.Thiskindofstrategyissuitableforanarrow,nichemarkettosmallerfirms,andinthemarket,consumershavedifferentdemands.Becausethisstrategyfocusesonafewconsumers,andwithdifferentiationfocusstrategy,thecompanycanmeetvariousdifferentdemandsofconsumers,providingbetterproductsandservices。
2.2Businessstrategiesandstrategicchoice
Businessstrategyisthelong-termplananddecisionusedtoguideacompany,inordertoachievegreaterprofitabilityandsuccess。
‘Strategicchoiceisamatchingprocessofenvironment,advantagesanddisadvantagesinsideandoutside’(TANGDongfang2011,p15).Itisconcernedaboutanorganization’sfutureandmanypressuresandinfluencesformitsexternalandinternalenvironments.
Abusinessstrategyisaplan,aconcreteprogram,whileastrategicchoiceisaprocesstodecidethebetterone,andpickuptheappropriatechoiceforthecompanyamongmanydifferentdesignatedstrategies.Theconnectionbetweenthetwoisthatonlythroughtheamatchingprocessofstrategicchoice,canthecompanydrawthemostappropriatebusinessstrategywhichcontributetothecompany’sdevelopment.
Atthestart-upstage,AlphabetGames'resourcesandfundingislimited,itisimpossibleforAlphabetGamestoexpandthescaleofproductiontoreduceproductioncosts.Andthegamemarketisflourishing,profitsbackisquick,thecompetitorsarealsoveryfew。
Soaccordingtocompany’spresentsituationandtheexternalenvironmentsuchascompetitionwithintheindustry,AlphabetGameschoosedifferentiationstrategywhichisthemostsuitableforthepresentstageofthecompany'sdevelopment.
2。
3TwodifferentbusinessstrategieswithinAlphabetGames
Inthecase,thegamemarkethasfiercecompetitiveness,soaccordingtotheanalysisofbusinessenvironmentofstrategicchoice,AlphabetGamesapplythedifferentiationstrategythatprovidingbespokesoftwaresolutionstoclientsaroundtheworld,inordertomeetmarketchallengesandindividualneeds。
Then,withthechangeofbusinessenvironmentthatarecentgrowthindemandforflashgame,soAlphabetGamesapplythecostleadershipthatusingdatacapturetoprovidekeymessagestoComprehensiveconsumermarketwithcomparativelowercostsforsurvivalinmarket。
Ontheonehand,differentstrategiesmayleadtothesamebehavior。
BecauseAlphabetGamesalwayspursuittheinnovation,qualityandexcellence,andemphasizethepassioninthework,sonomatterhowthestrategychange,theemployees’valuewouldnotbechangedthattheystillinsistthephilosophyoftheinnovation,qualityandexcellence。
Ontheotherhand,intheinitialdifferentiationstrategythatcorporate’sprofitsiscomefromthespecialcorewhichdifferentformothers,buttheemployeesinAlphabetGamesmayhavedifferentunderstandonthevalueandthedifferentiationstrategy,thusleadingtothedifferentbehavior.
2.4Forcesforchanges
‘Strategymanagementincludesstrategyformulationandtheplanningandmonitoringofstrategyimplementation,inordertoachievecompanygoals'(Strategymanagement,2015)。
‘Whilestrategyupdatingisthatbecauseofthechangeofexternalenvironment,enterpriseshavetotakeadvantageofnewknowledgeandinnovativebehaviortochangetheproductormarket'(Strategyupdating,2015).
OneofforcesforchangesAlphabetGamesmustconsideredwhenmanagingitsbusinessstrategyisestablishingakey‘differentiator’。
Onlyadoptamodelthatishardtoimitatecanorganizationmaintainthesuccess。
AndthedifferentiationofAlphabetGamesreflectsinitspursuitofinnovation,qualityandexcellence,whichenabledAlphabetGamestodevelopsuccessfully。
AndAlphabetGamesalsoprovidebespokesoftwaresolutionswhichisdifferenttoothers,inordertomeetmarketchallengesandindividualneeds。
Anotheronecanbeofferingconsumers‘auniquevalue’,perceivedorreal.Onlytheconsumerscanreceiveandacknowledgecompany’sproductorservice,canorganizationachieveitsstrategicgoals.Soinordertomeetmarketchallengesandindividualsneeds,andgainrecognitionandacceptancefromconsumers,AlphabetGamesconsideronofferingconsumersauniquevaluethatprovidingthebespokesoftwaresolutions.
TheforcesforchangeAlphabetGamesmustconsideredwhenupdatingitsbusinessstrategycanbetheinflation。
Becauseinflationwouldresultinhighergameproductioncost,whichisanimportantfactorsindecidingthesuccessorfailureoftheAlphabetGames’strategyupdating。
Forexample,inthecase,thegamedevelopmentcost£50000in1980whilenowitcost£5million,becauseoftheinflation,thecostsassociatedwithdevelopmentandmarketinghaveseenasignificantrise,soinorderto
copewiththissituation,AlphabetGamestendtoconsiderthestrategyupdating.
Andthedemandforhigherquality,newgenerations,developedtechnologyalsoneedtobeconsiderbyAlphabetGames.Consumerstendtopursuittheconceptthatgameworldsmustalsoreactinarealisticmanner,sothischangeofmarketdemandalsoledtostrategyupdatinginAlphabetGames.
2。
5Potentialbenefits
Thefirstbenefitistheincreasedscale。
Becauseoftheeffectivestrategy,AlphabetGames'scalealsobeexpanded.Therentedofficethathousedthreestudentshasbeenreplacedbyacustombuiltfacilitythathousesresearch,developmentandproductionwhichranksalongsideanyofitscomparablecompetitors。
Anditsexpansionandsubsequentdevelopmenthasledtotherecruitmentof25staffrangingfromsoftwareandgamesprogrammerstoanewbreedofmarketingprofessionalsandbusinessmanagers。
Stableconsumersisalsooneofthebenefits.Becauseoftheeffectivebusinessstrategy,AlphabetGameshasdevelopedaworldrenownedreputationforexcellence,qualityandinnovation,socustomerscanrelyontheAlphabetGames’products,thusformingthestablecustomerbase.
TheotherbenefitistheloyaltyfromstafftoAlphabetGames。
Duetotheeffectivestrategy,AlphabetGamesdevelopedrapidly,providingmanyjobopportunitiesandthechanceofpromotiontoemployees。
Employeesthinkthejobispromising,andsalaryandbenefitscanbeensuredinthecompany,theirenthusiasmonworkandloyaltyofAlphabetGameswillalsobeimproved.
TheeffectivestrategyalsobringAlphabetGamestheincreasedprofits。
Inthecase,AlphabetGamesnoonlyexpanditsscale,butalsodevelopmorelife—likevideogame,whichmeansitprofitshasalsoimproved.
2。
6Theroleofmanagement
ThemanagementinAlphabetGamesplayaroleofeffectivedecisionmakers。
Inthecase,whenAlphabetGamesfacewiththefiercecompetitionandtheproductswouldbecomeunprofitableinthemarket,themanagementquicklydecidetoquitthecurrentgamemarket,changingtheproduct,developingthenewmarket,andfocusinthedatacapturethatprovidingkeymessagestoconsumersandemployees.Becauseoftheeffectiveandefficientdecisionbymanagement,companycantransform
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