Sr. Seminar in Business Administration
Professor: Milton Lawler
Great Lakes: Great Decisions
By John B. Webb IV
For most business renovations and innovations, during the progress development of a company, continuous research and analysis is conducted to find out the ins and outs of the business. Some companies conduct this research before and or during the market place in configuring how they can enter or main their competitive position and influence of the industry involved. Great Lakes Chemical Corporation happens to be one of these companies that are in need of renovations and innovations, to stay in business at competitive position in their industry of choice. By conducting a SWOT analysis and utilizing the Porters Five Forces Model, Great Lakes Chemical Corporation can define their competitive position, while at the same time evaluating their capabilities that can keep them in business with a the ability to maintaining their competitive position.
Great Lakes Chemical Corporation is a company in the lead additive production market that is motioning towards a transformation of business away from the lead additive market place as the rest of the world around the company, and switch not only the types of products and services available in market place, but also it clientele “developing countries” to switch to using non hazardous environmental products, while a the same time saving the company’s reputation in that what Hitt and Hoskisson (2011, pg 159.) describe “Great Lakes placed a great deal of importance in the well-being of its shareholders and remaining a viable company, but it also wanted to be-and to be seen as-a respectable corporate citizen.” In order for such a transformation to be successful, GLCC needs to conduct detailed research and analysis on what are the internal and external factors such as competition, suppliers, buyers, economies, governments, etc., that are or will affect to the company during this transformation. Two useful tools that many companies have use to find solutions and or alternatives to such factors are the SWOT analysis and Porters Five Forces Model. The SWOT analysis are what Mind Tools (2011) state as the “Strengths and Weaknesses, and for identifying both the Opportunities open to you and the Threats you face.” Mind Tools (2011), further explains that “Strengths and weaknesses are often internal to your organization, while opportunities and threats generally relate to external factors.” This type of analysis can help GLCC define where it stands in its social/demographic, technological, economic, environmental/geographic, and political/legal/governmental areas or segments to understand the general environment facing Great Lakes, while Porters Five Forces Model focus on the company’s competitive edge in 5 areas including what Learn Marketing (n.a.) states as “Competitive Rivalry, Power of Suppliers, Power of Buyers, threats of substitutes, and Threats of new entrants.” Yet before establishing a competitive edge, external and internal environments factors must be confirmed to stage how GLCC can be or become the company it desires to be.
The social/demographical setting of GLCC include American employed multiple racial, multiple social class, base business focused on maintain is profitable business by 1995, having Hitt and Hoskisson (2011, pg 157.) state “$5 billion in annual revenue with consistent and healthy 15 percent operating profit margins.” From the sales of lead additives, which has been deemed by environmentalist as unsafe and unhealthy for the environment and harmful to life, concluded from scientific studies which concluded that lead can cause what Hitt and Hoskisson (2011, pg 156.) describe as “ brain damage in children, respiratory problems in the elderly, and damage to air quality, among others.”, but GLCC is also desiring to be Hitt and Hoskisson (2011, pg 158.) implies “committed to “protecting the...
References: Hitt, M.A., Ireland, R. D., Hoskisson, R.E. (2011). Strategic Management Concepts And Cases: Competitiveness And Globalization.
Mind Tools Ltd (1996-2011). SWOT Analysis, Discover new opportunities.
Manage and eliminate threats. Retrieved from http://www.mindtools.com/pages/article/newTMC_05.htm
Learn Marketing (n.a.). Porters fives forces model: Industry analysis model. Retrieved from http://www.learnmarketing.net/porters.htm
Author, A. A. (Year, Month Day). Title of article. Title of Newspaper. Retrieved from http://www.someaddress.com/full/url/
ENDS Report (2008) .Lead additive firm profits from tighter regulations. ENDS Report. Retrieved from http://www.allbusiness.com/energy-utilities/oil-gas-industry-oil-processing/14446978-1.html
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