Strategy is concerned with an organisations basic directions for the future,its purpose,ambition,resources and how it interacts with the world in which it operates(Lynch.R,p5 2003),thus it can be seen that there area number of techniques or ways in which the company can use these to achieve its goals and objectives,the purpose of this case study is to study the techniques used by MacPac to achieve its growth /achievement,the reasons for the losses suffered by MacPac and the steps taken to address these losses as well as an insight of MacPac’s current situation. Reasons for MacPac’s initial international success
Macpac Attained a lot of success after the year of its establishment especially in the international markets, thereare a number of reason for MacPac international success, these can be summarized as: One of the basic reasons for MacPac’s international success was there Value Added or differentiated strategy ,According to which a company seeks to provide products or services unique or different from those of competitors ,The value added by the uniqueness of the product may allow the firm to charge a premium price for it(Johnson.G,Scholes.K, p322 2002).Macpac provided products which were unique than its competitors with high quality but with high price, Macpac followed this strategy to target those tampers to whom quality meant everything even though the price was high. Another Reason for MacPac’s initial international success was its Resource strategy: According to which recourses of any organisation include human resource skills, investment and capital (Lynch.R,p9 3rd ed),MacPac introduced communication audit within its organisation to develop a highly communicative environment and thus increasing its efficiency, it introduced high performance appraisalwithin itsorganisation, MacPac, with the recruitment of productivity consultants the production started to go smoothly and with reduction of labor cost from 25% to 14%, MacPac introduced the concept of profit sharing and introduced team building and performance as team. MacPac’s initial success can also be attributed to its Total Quality Management, Total Quality Management Deals with maintaining a particular standard for quality. MacPac always focused on quality, quality was their main objective they believed in total quality management, they provided products of high quality which were never before introduced by any other organisation, no other organisation focused so much on total quality management as MacPac did, MacPac did not believe in marketing but believed that it had to be true to its quality. Macpac also increased its quality by introducing accounting processes and computer systems. MacPac also introduced product refinements within its organisation leading to high quality products which no one else could match at that time. Unique Resources: Uniqueresources are the resources which critically underpin competitive advantage, this unique recourses in case of MacPac was its location in new Zealand, new Zealand was considered heaven for adventure sports at that time and MacPac gears were made in consideration of the terrains of the new Zealand, which set a standard in itself for outdoor gear. Knowledge: Knowledge is the awareness ,consciousness or familiarity gained by experience or learning(Jhonson.G,Scholes.K 2002 p150). Being a keen tamper himselfMacintyre had the experience of what a keep tamper wants. Critical Success Factor: are those product features that are particularly valued bya group of customers and where the organisation must excel to outperform competition(Jhonson.G,Scholes.K 2002 p150),the critical success factor in case of Macintyre was the quality and design of its products. Product Development: It is where organisation delivers modifies or new products to the existing market (Jhonson.G,Scholes.k,2002,p368) Joint Development: when two or more organisations share resources and activities to pursue a strategy(Jhonson.G,Scholes.K...
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