Strategic Management Report- Hubbards
Executive Summary
This report discusses the analysis Hubbard Foods as a company competing in cereal industry. The main focus of the report is analyzing Hubbard's operating environment, evaluating strategic issues or challenges and recommending strategy to overcome company's current issues. Firstly, Hubbard’s operating environment is categorized into external and internal environments. This includes analyzing Hubbard's strengths, weaknesses, opportunities and threats in running and managing the business. PEST+ analysis and Porter's five factors are methods that are used to find the external factors that impact on Hubbard's performance. The result from this analysis shows that trade agreements, economic circumstances of New Zealand, eating habits in New Zealand society, advanced technology for Hubbard's research and development, and globalization aspect are used to determine the opportunities for Hubbard's strategy. Furthermore, the threats are identified through Porter's five factors that include an intense competition, weak barrier to entry, high level substitute products and strong power of supplier. In term of Hubbard's internal environment are analyzed using resources, core competencies and value chain. It summarized the strengths and weaknesses of the company. The strengths include unique innovative products and the implementation of family culture as their competent management system. From core competencies it is shown that the weakness of Hubbard is that the products are not a rare product as the product is similar to other competitors. Additionally, another major weakness is research from the value chain which is lack of advertising activity.
Hubbard's current strategic issues and challenges are laid on a high cost of raw materials, lack of advertising activity and simplex distribution channel. This issues results on strategy recommendations which are to internationalize Hubbard's products to China market via export entry mode. This will helps Hubbard
This report discusses the analysis Hubbard Foods as a company competing in cereal industry. The main focus of the report is analyzing Hubbard's operating environment, evaluating strategic issues or challenges and recommending strategy to overcome company's current issues. Firstly, Hubbard’s operating environment is categorized into external and internal environments. This includes analyzing Hubbard's strengths, weaknesses, opportunities and threats in running and managing the business. PEST+ analysis and Porter's five factors are methods that are used to find the external factors that impact on Hubbard's performance. The result from this analysis shows that trade agreements, economic circumstances of New Zealand, eating habits in New Zealand society, advanced technology for Hubbard's research and development, and globalization aspect are used to determine the opportunities for Hubbard's strategy. Furthermore, the threats are identified through Porter's five factors that include an intense competition, weak barrier to entry, high level substitute products and strong power of supplier. In term of Hubbard's internal environment are analyzed using resources, core competencies and value chain. It summarized the strengths and weaknesses of the company. The strengths include unique innovative products and the implementation of family culture as their competent management system. From core competencies it is shown that the weakness of Hubbard is that the products are not a rare product as the product is similar to other competitors. Additionally, another major weakness is research from the value chain which is lack of advertising activity.
Hubbard's current strategic issues and challenges are laid on a high cost of raw materials, lack of advertising activity and simplex distribution channel. This issues results on strategy recommendations which are to internationalize Hubbard's products to China market via export entry mode. This will helps Hubbard