Definition of Management Strategy and Serendipity (Essay Sample)

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Management Strategy and Serendipity
Part 1
1Serendipity refer to a surprise happening which sometimes is pleasant hence it is true from the that it is actually a random occurrence for example, when Icos tried to developed a drug which could treat hypertension however, it turn out that it could but surprisingly enough it could improve male sex performance. This was also note from the drug UK-95,480which design to treat heart diseases but was not effective but surprisingly enough it could prolonged erection thus in turn making it a blockbuster Viagra drug for those who were suffering from erection dysfunction
2 Strategic management processes refers the ability of the company’s top leadership to formulate and implement goals and objectives by assessing the available resources and the environment in general to maximized profit (Nag et al 935).It also entail planning and executing the laid down strategy through taking an action on any opportunities available and letting go others which lower performance of the company (Hamel 70). In the case of Viagra, having fail to achieve the intended goal, UK-95 drug which was intend to treat heart disease was quickly turn into Viagra basing on its result since by that time there was no outright drug for treating male dysfunction. It was the manager’s ability to realize that actually what the company produces much as it didn’t achieve the function and surprisingly it could serve another role they were quick in turning them into other purpose thus boosting company’s profitability.
3Customer satisfaction model best suit the whole process. Viagra/Cialis where developed to satisfies the demand of the customer of those who had health problem
4 Yes, this is because it shows how both management strategy and serendipity can be use to enhance performance of the companies. It shows how these two principles can be use together by top management to stair the success of the company
1 Ms. Nooyi is a B score CEO even though she manage to bring tremendous impact in Pepsi like acquisition of Tropicana and Quaker Oat through massive performance with Purpose idea (Frank 29), she failed to maintain that performance she it is evident through under her leadership Pepsi-Cola fell to No.3 in USA soda sale. In her leadership level she is rank at Level 5 in the pyramid this is she because she manage to builds Pepsi Company to greatness basing on her ability and will power to stir Pepsi to greatness as could be witness through her ability to mastermind acquisition of some other big companies by Pepsi.
2 Ms Nooyi should apply upper-echelons theory, she should use her personal interpretation of the whole situation to counter react to the challenges Pepsi Co is facing, this will include both usage of face-to-face meeting with the entire staffs, organizing business meal where all the employees might come together and share their experience as well as challenges and how to rectify them. Lastly she can use public events to market the company’s product so as to make customer feel familiarize themselves with the products (Frank 37)
3Yes I will be concerned with Pepsi Co’s performance. The first step will be to reorganize the entire leadership starting from the CEO and heads of various departments. Much as Ms. Nooyi has got a will power and wide understanding of the company due to her contributions towards making Pepsi a force to reckon with in the beverages sector. What the company current require is someone who can consolidate the whole gain achieve by Pepsi as well as steering them into the direction of profitability thus I will endorse her replacement.
4) Yes to some extent the critics are right the Pepsi Co should be split since splitting will help: Easy monitoring of each sub division-if the two are emerged together it means that monitoring each is a little bit hard as compared to when they are stand alone companies
Another advantage is that it will do away with the blanket believe that the company is doing well yet it is only the snack food side which brings profit to the organization. However, this move might further affect the PepsiCo’s stock prices since it will expose the beverage side as weak hence influencing the downward trend in stock performance. In addition, splitting these two companies will eventually lower profitability of the entire company, traditionally two is better than one hence even the return from two average performing companies is far better than one best performing company hence splitting them will lower the overall profit
Part 2
1Technological factor
To some extent the future of electrical vehicles if not clear as such this is attributed to factors like; high cost of acquiring Lithium-ion battery which is a major component of the vehicle, weak demand of these care since few will be willing to part with $100k to buy sport car. Low production run is another factor which limit the future of electric cars in US
2The profit potential in car industry is very low this is so because if look at first Porter Force analysis element-bargaining power of supplier, few technology firms are there to supply key component of the car like Lithium battery thus making it quite high to achieve which in turn lowering profit level. In line with the bargaining power of buyers, them too are very strong since they many chooses to opt to and buy venture that most electrical car are priced high due to low production this in turn driving profit towards the downward trend. Availability of the substitute also affects the car industry some might opt for hybrid type of car thus slumming down the profit. Lastly cut throat competition witness to move inventory amongst the incumbent firms limit new fi