4. Firm Strategy, Structure and Rivalry Closing the circle of the factors that determine the existence of a competitive advantage, it is necessary to take into account the context in which firms are created, organized and managed and the nature of domestic competition. Goals, strategies, and ways of organizing companies in the industry are widely influenced by national conditions. Achieving national interest depends on the extent to which these options according to the source of competitive advantage
CHAPTER ONE 1. INTRODUCTION 1.1 Background of the study Corporate financial management primarily deals with three core areas that have a bearing on a firm’s financial goals. As postulated by Firer et al (2008), these three core areas of corporate finance are as follows: (1) capital budgeting, which encapsulates the process of planning and managing a firm’s long-term investments; (2), capital structure, which outlines the specific mixture of long-term debt and equity maintained by a firm and last
and evaluation and monitoring of results. The strategy to adopt must be figured out depending on the total cost. Strategic planning offers a road map, areas that are not workable are done away with. This is done so that organizations can decrease costs and raise revenue. Such results to good budgeting in future and serves a sign of growth and stability. Strategic and financial planning
study According to the business dictionary, corporate image is a mental picture that comes up at the mention of a firm's name. It is a psychological impression that continually changes with the firm's circumstances, media coverage and performance. Similar to a firm's reputation or goodwill, it is the public perception of the firm rather than a reflection of its actual state or position. In most hotels, corporate image is not considered to be a key factor to help retain customers which has lead to
distribution channel strategy is increasingly concerned and becomes the heart of competition for an organization (Porter, 1985). It is one of the most important aspects to improve organization of distribution system and performance for the firm. Distribution Channel is a Sustainable Competitive Advantage Strategy: Due to the rapid development of technology, it is not too difficult
consumers’ minds since they tend to lean on brand reputation especially when evaluating alternative brands, thus brand reputation delivers very important information (Gronhaug, Hem, & Lines, 2002). It is suggested by (Chaudhuri & Hoibrook, 2001) that a firm’s reputation acts as an indicator of whether the firm is successful or not, if consumers perceive the firm as successful, this will enhance their chances in being perceived as an organization that provides high quality products. Positive reputation
the company is only a part of the modern day executive’s job. Today’s business requires the executive to be responsive and adapt to the immediate and remote external environment of the business as well. The immediate external environment includes factors such as competitors, suppliers, scarce resources, government agencies and the political scenarios, customers and their ever changing preferences. In addition to these, the economic and social conditions, technological advancements, etc. must also
The corporate governance is a term which arises for the proper conduct of business is questioned or discussed as Companies provide employment and are a major contributor to social structure; companies generate profit and provide the finance and taxes for national infrastructure and the provision of social welfare. Hens, Corporate governance systems are consequently of great significance to governments for the creation of national wealth and the insight of social objectives. The importance of companies
Consumer Preferences The factors influencing consumer behavior: There are many factors that influence consumer preferences. In order for businesses to be successful, they need to understand what drives consumers to what they buy and what influences them. Businesses need to educate themselves when it comes to this as it will help them meet consumers’ expectations and improve their marketing strategy. (Perreau, 2014) Below is a table summarizing what influences consumer behavior and preferences.
However, among the total 31% of firm’s total revenue, only as little as 13% are from East Asia and Latin America. This suggests that the main marketplaces for Kellogg are North America and Europe and they together contributed 87% of the total revenue. The large discrepancy in the revenue contribution can be held as a fact to determine the diversification strategy: Kellogg stands as a concentrated company trying to enter the international