Instructions
What is the internal current internal analysis for J. Crew?
1. Determine significant strengths and weaknesses
2. Compare with competition
3. Develop stretgies
4. Key indutry factors
- Market share
-Pricing
-Financial position
-Location
-Product quality
-General Image
-Webpage Social Media
-Identify Competition
1.Management
Executive turn over, executive reputation
2.Marketing
Reaching target Market, distribution channels, product differetiation, knowledge customer needs, promotion, brand recognition, pricing strategy
3.Operations
TEchonology, operations planning, inventory management, research and development
4.Human resources/ employee climate
morale, productivity, skills, clear job discriptions, structure, autonomy
One example from another company is:
Polaris' success is in part due to its executives' ability to engage in strategic planning. The company sets 10-year strategic plans broken down into 3 to 5- year goals, which provides employees and managers with common objectives and a sense of
Direction. Polaris operates under four different segments: ORVs, snowmobiles, on-road vehicles and PG&A. As discussed previously, key success factors in this industry are size, focus on research and development, diversity, global presence, revenue growth and sustainability. P
olaris has a large market share in the Other Transportation Manufacturing industry but is smaller in size than competitors such as Honda, which compete in other industries as well. This affects Polaris' ability to benefit from economies of scale. However, the company has managed to grow its investments towards research and development, a strategy that has so far been successful and allowed the company to achieve an impressive revenue growth.
Polaris' segmentation and strong brand portfolio also allows the company to secure its revenue, in case unpredicted external events would affect some of its operations. Polaris is present in 130 countries but remains highly dependent on the domestic market, where it generates 70% of its revenue from. In developing markets, Polaris faces strong competition from local or regional firms (such as Honda and Yamaha in Asia).
Polaris has been trying to reduce the environmental impact of its products, in order to comply with EPA regulations and increasing customer concern towards sustainability. Polaris' distributes its products through dealerships, subsidiaries and other distributors (See Exhibit 3 for SWOT analysis) Most of its products are advertised through billboards, group publications, television and radio.
Polaris has a hybrid divisional-by-product-by-region organizational structure (Pearson, 2016). This organization has worked so far, but Polaris could become more effective and facilitate corporate communications with a simplified structure.
In the proposed chart in Exhibit 3, the number of line executives has been reduced from 8 to 6 (Global Integration merges with Corporate Development, and the Compliance Officer reports to the CFO). International operations are now divided by region under the control of the VP for Corporate Development. The Chief Operations Officer now oversees the four major segments of Polaris.