To install StudyMoose App tap and then “Add to Home Screen”
Save to my list
Remove from my list
Competition plays a vital role in determining the success or failure of a business and hence building a competitive business takes making the most effective decision. DRD company has been in existence for 22 months s and has to some extent being challenged by other businesses due to its conventional agricultural practices and lack of expertise in adhering to business policies and strategies to counter risks. It is a young company which ventures in alcoholic beverages to battle long-established organizations such as Prince Edward Distillery which has different sectors in various countries and which has a great fan base with most of its products available in many restaurants and pubs.
For DRD to prosper, it needs to focus on producing products which are high-quality at affordable prices and partner with other organization to ensure that people have access to their products at different locations and take advantage of their competitors' weakness to bring in new marketing techniques such as advertising.
Verified writer
Proficient in: Business
5 (876)
“ Have been using her for a while and please believe when I tell you, she never fail. Thanks Writer Lyla you are indeed awesome ”
This will enable the establishment of customer relations through different channels and hence attracting customers to buy their products and in the process giving people more reliable products.
Businesses are witnessing a great level of competitive nature in the market, especially when it comes to providing customers with high-quality goods or services which is undermining the prosperity of some business and hence seeing others go bankruptcy. Providing insights towards understanding the constraints and opportunities of the organization will enable utilization of appropriate techniques that adheres to the business strategies in determining the weaknesses and strengths of the company and develop ways to turn these weaknesses into opportunities.
Since the overall goal of the Deep Roots Distillery (DRD) is to ensure effective competition in the market, it is vital to generate policies and initiatives which seek to create advantage over other competitors such as providing high quality products, adopting modern technology or building customer relations by ensuring their tastes and preferences are catered for. Great businesses are made of perfect decisions and therefore, for Mike Beamish issue of allocating limited resources and capital into growing DRD to a competitive business has been an issue of concern given that it is just a small family business which is new to the market. Thus, because it takes tremendous efforts to establish a large organization which has a variety of choices in international and domestic operations, anticipating for the future is the next big step towards figuring out strategic planning and developing peripheral vision. The issue is to determine the best techniques that involve development, production, marketing and administration, and a route to follow in obtaining business success.
DRD is a company which is located in Warren Grove, and it is outside of the largest city with its environment being the favorite spot for tourists. It is the best site for a business especially due to population size living in the region, and for past years, this family-owned has been growing substantially and providing a beautiful scenery because of well-organized lifestyle and beaches for summer camping. Although it has been the trend of the family to provide different customers with food products by opening farms to provide better services, their convectional agricultural practices have been greatly affected by the existing competition from other organizations. DRD business has grown to some extent and follows a cost level strategy to develop value-added products, and this involves allocating enough resources to hold improvements and accessing provincial grant. Hence obtaining regulatory approvals that allow finer control for marketing and trade assistance and in-house sale that is analyzed and establishing the business by creating stable operations.
The overall planning of the company was to improve what was considered as a temporary business idea into a well-recognized organization which meets the needs of the customer and adheres to their perception. The Beamish orchard building has been well budgeted to meet the desired requirements and provide more suitable products. It has taken DRD enough time to focus on the interests of the people and ensure that all regulatory measures are adhered to and employed technology. It is mandatory that to contextualize the problem at hand, the market definition which is made up of the customers should be taken into account by controlling the quality of the product. This involves production using a more convenient technique which does not alter the desired taste, for instance, crafting product with locally sourced produce. DRD spirits which have been a result of initial fermentation of cider can promote pure type beverages to generate liqueurs with less than 25 percent alcohol.
For two decades, beverage processing sector has grown considerably, and in 2014, the growing craft brewing companies in PEI have been the manufacturing best vodka using potatoes. Indulging in the production of a new product that offers alternatives but still maintains the same brand can be important in attracting customers and continuing the legacy of the operating distillery. To ensure that DRD competes effectively in the market, it is vital to ensure measures which favor customers such as promoting a competitive advantage over other competitors to earn a profit. For fundamental success, cost-effectiveness, quality, innovation, and globalization can create a more dominant product that favors customers and takes advantage of tourist trade within the environment. Since more choices provided increases demand rate, a combination of preference will avail high-quality goods that thrive customers' expectations. Promoting the products is one of the ways of understanding customers' satisfaction through their feedback on how they receive and describe products.
Initiation of the production process requires capital and loss may have a great impact on the company; hence, DRD has to focus on going beyond their set objectives. Considering the environment which is a favorable site for tourist activities, there are higher chances of breakthrough and achieving set profit target. The cheap prices which most customers can afford in the future will provide easy access to the product and worldwide distribution due to the desire to save and hence making the flow of such products sufficient in the market.
When it comes to selling the products to the customers, advertising gives a new channel of ensuring that most of the existing and new customers know the product. It is necessary to put emphasis on the planning and marketing budget and even to use mediums such as social media platforms, or televisions. DRD has been prominent by setting tight budgets and creating its website that gives information about its history, new products, and location. Given the number of individuals accessing the services, customer relations will be established and therefore improving prosperity in local and international markets.
Considering that DRD is a company which is trying to bring competition to the business world, it should consider measures that will ensure that all the brands produced can pose a challenge to other products from various organizations. The competitors are well-established organizations such as Matos Winery and Distillery, which has been a pride to nations like Germany, and award-winning wines and offering better beverages. Also, the DRD should take advantage of the tourist trade, and therefore, it means that demand in the area is favoring business and hence from the forecast, the net gain is expected to improve. For example, the financial year which gains expected was approximated to be 62000 dollars with the exclusion of salaries and year-end inventory. Thus, working towards developing business would require effective management to attain market share.
Since many businesses tend to develop a loyal client base, the success of the company will depend on how the products are accepted in the community. Based on the unique flavor of the products, this will encourage opening up networks through which to avail DRD products to the people and give way to public recognition, which can lead to significant interest. Apart from this, the company needs to adopt strategic planning, which involves determining what the society desires the visitors particularly and promoting appropriate customer relations with the community in the process of ensuring that both parties benefits. Reducing the constraints of the organization increases chances to penetrate through markets and provide a simplex alternative to deal with incompetence and disorganization within DRD. Since overarching challenge to the organization is how to generate sufficient net business income, building good customer relations and enough products supply will be important in achieving stability.
Solution #1 is the most effective in building a long-lasting since it ensures that the company's products are distributed widely and at low prices. This solution will provide an environment for the success and give knowledge towards proper managerial traits to eventually generate profits. Also, it will encourage appropriate marketing strategies which adhere to five forces of market analysis and therefore giving DRD enough chances to survive in the business.
It is important to introduce a mail-order option that will enable quick access to the products through online shopping, mostly in areas where the DRD branch are not located. Since partnering with other organization is becoming recognized as a technique for providing access to the company's products, taking the opportunity of newly established business from other organizations is a good strategy towards building a more viable business. The consistency of the competition requires adhering to changes both in technology and improvement in quality, and hence, long-term business prosperity relies on the power of the management to convert their weaknesses into advantage. Keeping the costs low to attract customers when pricing products can help realize profits and speed up the competition within marketplaces to counter the actions of competitors.
DRD has been a company which is making sure that customers are provided with high-quality products even though it started as a small family-run business. It has gone through a period of financial and resource constraints to the point of growing into a competitive business which has made a difference in the marketing field as it continues to expand. It is a kind of evolutionary organization that utilizes managerial skills that help people collaborate and generate new ideas to harness successful innovations in transforming resources into products.
Strategic Analysis of Company. (2019, Dec 07). Retrieved from https://studymoose.com/strategic-analysis-of-companyconducted-by-hamid-nawazdate-july-example-essay
👋 Hi! I’m your smart assistant Amy!
Don’t know where to start? Type your requirements and I’ll connect you to an academic expert within 3 minutes.
get help with your assignment
