* Executive Summary
* Literature review
* Environment analysis
Porter Five Forces analysis
* Internal Auditing
Resource based view
Threshold capabilities and core competence
* Strategy direction
TOWS matrix analysis
Strategy selection and result
* Implementation and recommendation
Strategy of change
Scope of change
Performance Motors Limited:
For the following the report, I will be pointing out the current strategic position of the organization, what strategies it currently employs, and what other strategic options it can make for the future. In modern day business, almost all organizations operate according to the context of an external environment, which is usually made up of your competitors and the operations of the industry. Which means when evaluating an organization, the evaluators must not only evaluate what the current internal situations are but also how the organization is dealing with their relations to the external environment. These evaluations can help point out what the organization’s current strategic position is. Once the evaluation has been done, the organization can assess what its options are and therefore make a decision on whether it needs to change up its strategy or continue with the current one. When developing a new strategy, the strategists will be able to use the evaluations to deal with the opportunities and threats, while using the organization’s strengths.
Performance Motors Limited has been the sole importer/distributor in Singapore of BMW automobiles and motorcycles since 1979 their mission statement is as follow: We are passionately committed to hiring and keeping the best people and empowering them to develop the best business processes and practices in order to deliver proactive and caring services that exceed our customer’s highest expectation. This will ensure the employees to keep their service standard as high as possible with every customer that they encounter. The organization’s vision will be to relay the vision of BMW itself, which is to make BMW cars become the best premium brand in the car industry, in Performance Motor’s case it would be to make BMW the best luxury car brand in Singapore. According to the Land Transport Authority (LTA) of Singapore and Performance Motors (2011) new vehicle sales in 2010 for BMWs in Singapore was at a record breaking 4,287 units, which is a 21% increase in sales compared with 2009 and it is the first time Performance Motors broke the 4000 units mark in a 12 month period. With the record sales number, BMW became the top luxury car brand in Singapore beating out direct competitors Mercedes-Benz (4,105 units sold) and Audi (2,199 units sold). Performance Motors objectives are to continue to break sale records year after year, as they have had increased in sales for four consecutive years and also to keep indentifying potential areas of growth and expansion so to always be one step ahead of the competition. These objectives can be met if they keep their relationships strong with their partners, such as Esplanade and the Singapore government, and to keep their after sales service standards high so existing customers will show support and loyalty. Performance Motors must recognize what the needs and preferences are of their targeted customers, which most likely will be the high level of service that is expected because it is usually the rich that can afford luxury car brands in Singapore, where the same BMW car is at an estimated 4-5 times more expensive compared with U.S prices.
Why did BMW Group decide to authorize Performance Motors to sell their vehicles in Singapore? We will now analyze the factors, PEST, that influence the business environment in Singapore. There are currently more than 7,000 multi-national companies operating in Singapore, which can be...
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