Strategic Management of Mcafee

Topics: Strategic management, Marketing, Computer security Pages: 17 (3986 words) Published: February 9, 2011
Table Of Contents



Executive Summary6

Industry Life Cycle7

Key Success Factor (KSF)9

Porter’s 5 Forces 11

- Internal Factor Analysis14
- External Factor Analysis16

Strategic Factor Analysis Summary (SFAS)18

TOWS Matrix20

Assessment of Company Performance23

Review of Options for Future Decision25

Implementation of New Strategies26

Usefulness of Strategic Models27

List of References29

Total Word Count: 4027 Words

Special Thanks To:

Mr. GV Nathan, my project supervisor, for his strong encouragement, valuable guidance and support from the initial to the final level. He had inspired me greatly and his willingness to motivate me had contributed tremendously to this report. I would also like to thank him for the examples that he had demonstrated in relation to this report during the lecture. He had provided us with real life examples in many different industries and this enables me to relate better to the models and concepts discussed in the module. It also allows me to develop a better understanding towards this module.

University of Bradford/MDIS

Applied Strategic Management

Project Outline

Name: Tan An Ni
Student Number: 07033227
Batch Number: BMME1 0833A
Selected Company: McAfee, Inc.

Brief of Company

McAfee is a software company which has fared relatively well throughout its years in the security software industry. Even today, it still lays claim to a strong brand name, presence and reputation as one of the leading, globally active computer security solution providers. It had achieved high revenue of $1.9 billion in FY2009 and $503 million in the first quarter of 2010. However, McAfee has faced stiff competition from several new entrants in the past few years.

Reasons for Selection

McAfee, Inc. is the largest dedicated security software company in the industry as of 2005. They are in the anti-virus industry where it is highly competitive. Thus I would like to understand the strategic plans that they had in plans, which allow them to stay competitive in this industry.

Main Strategic Issues facing McAfee, Inc.

• There is no government policy to restrict the number of new entrants in the industry. • An increase in piracy has affected the profit margins of McAfee. • High competition

Company’s Contribution to the National Economy

• There is an economic improvement in the security software industry in the year 2003. • McAfee is expected to grow at a rate of 16.9% annually between the years 2008 to 2013 in the security software market in USA.

Company’s Contribution to the Regional Economy

• McAfee distributes products to regional countries.
• Raised the GDP in the regional countries by contributing sales revenue of 43% in the first quarter of 2010.

Recent Strategic Dilemma

• Consumers are becoming more educated and IT savvy and they possess the perception that security software is not necessary. • No brand loyalty.

Recent Strategic Choice

• McAfee adopts strategic partnership with service providers such as MSPs, ASPs and Telcos to sell its products to the clients of these service providers. • Cost cutting is also one of their recent choice, so that they can sell product at a lower cost • McAfee also spent resources on their large customers and giving up on the smaller ones.

Source of Information


Word Count: 343 Words

Executive Summary

McAfee is the world’s largest dedicated security technology company. It is relentlessly committed to tackling the world’s toughest security challenges. It delivers proactive and proven solutions and services that secure systems and networks around the world, allowing users to...
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