BCG Matrix, GE matrix, SWOT analysis, porters 5 Generic model, Value chain analysis, Sustainable competitive advantage, this is all for study purpose only..... no other intention....

1. STRATEGIC MANAGEMENT
Pavan Gadade
Sachin Chavan

2. STRATEGIC MANAGEMENT
 Enviourment:- Surrounding factors that affect the business
4 C:1.
Company
2.
Customer
3.
Competition
4.
Condition
Internal Factor
External Factor

3. STRATEGY
 Strategy :- Taking action in order to achieve desired outcome
Types of Strategy
Corporate Strategy
Function Strategy
 Higher Level Management
Middle Level Management
Business Strategy
Middle Level Management

4. SWOT ANALYSIS
Strength
1) Best Design &
Engineering Capability
2) Eco System
Opportunity
1) Enter into different
market segment
2) Demand for smart phone
and tablet is growing
Weakness
1)Higher Cost as compared
to competitor
2) High lead time
Threat
1) Samsung competition in
technology
2) Chinese intervention

5. MICHAEL PORTER’S
FIVE FORCES MODEL

6. MICHAEL PORTER’S FIVE FORCES
MODEL
Example:- Cement Industry
BPOS (Bargaining power of supplier):- High
 Scarcity of raw material (Mineral)
 Most of mines are own or govern by government body
 Many customer and few supplier

7. BPOB :- HIGH
High number of cement company

8. TONE :- LOW
 Require own plant
Own distribution network
 High technology
 Government licenses
 High capital requirement

9. TOS :- LOW
 Nothing can replace cement for construction purpose

10. IOC/CR :- LOW
 There are many players in market but few player dominate the market
Market share of cement company
 L & T :- 22 %
 ACC :- 15 %
 Ambuja :- 13 %
 JP :- 10 %
 India Cement:- 10%

11. SUSTAINABLE COMPETITIVE
ADVANTAGE

12. SUSTAINABLE COMPETITIVE
ADVANTAGE
AMUL
√
√
√
INIMITABLE
√
√
RARE
√
√
VALUABLE
√
UNSUBSTITUTABL
E
Below
average
returns
Average
returns
Above
average
returns
Above Above
average
returns

13. VIRU
Example: Apple
VALUABLE
INIMITABLE
 Product Design
 Product interface
 Heritage of technology
 Innovation
RARE
UNSUBSTITUTABLE
 Convergence ( 4 segment got
unstable)
 Linkage to customer
 Trust

14. INTEGRATION
Integration
Vertical
Forward
Horizontal
Backward

15. INTEGRATION
 Forward Integration : From Firm to Source
 Example:- Videocon
 Backward Integration : From Firm to Customer
 Example:-Reliance Fresh, Vedanta Group
 Horizontal Integration:- a strategy where a company acquires another company in the
same Production Line.
 Example:- Ultratech acquired JP Cement plant

16. MERGER & ACQUISITION
 Merger :- A merger is a integration of two companies relatively on co-equal basis to
form a new company
Company A +Company B= Company c
 Acquisition: It is strategy when firm buys controlling or 100 % interest in another firm to
make acquired firm a subsidiary business with its portfolio
 Company A +Company B= Company A

17. WHY MERGER FAILS
 Diversification away from firm’s core business
 Inadequate analysis
 Ethical Concern
 Large Extra ordinary Debt

18. DIVERSIFICATION
When firm decides to operate business in several Industries
 Related Diversification
 Unrelated Diversification

19. RELATED DIVERSIFICATION
Mahindra
systech
(component)
Farm
Construction
Equipment
Mahindra
Automotive
Steel
processing
M& M

20. UNRELATED DIVERSIFICATION
Leisure &
Hospitality
IT
Retail
• Tech Mahindra
• Mom & Me
• Club
Mahindra
• Mahindra
Satyam

21. BCG MATRIX
Objective :- To help SBU’s with analyzing their business units or product lines & recommend strategies with
the help of four quadrants by plotting products against Relative market share & Market growth
Brand
L/F
Market Growth
Relative Market Share
Swift
L
13
4X
Swift Dzire
L
12
4X
Alto 800
L
4
4X
Wagon R
L
3
3X
Omni
L
2
2X
Ritz
F
10
0.8X
Ertiga
F
6
0.9X
SX 4
F
2
0.6X
Kizashi
F
-3
0.1X
Grand Vitara
F
-4
0.1X

22. Boston Consulting Group Model
15
Market Growth
Swift
Swift Dzire
Ritz
Ertiga
5
Alto 800
Wagon R
Omni
SX4
Kizashi
Grand Vitara
-5 5x
1x
Relative Market Share
0.1x

23. GE MCKINSEY MATRIX
 Assess the strength of a SBU
 Analyze current portfolio and resource allocation
 Focuses on Profitability, Market Attractiveness and Business Strength.
Industry Attractiveness
Growth
Business Unit Strength
Market share
Growth
SBU
Size
Beverage and
alcohol
XXL
XXL
Aviation
XXL
M
UB Engineering
XXL
S
Chemical & fertilizers XL
(MCF)
S

24. GE MCKINSEY MATRIX
Beverage
& alcohol
Engineerin
g
Chemical
& Fertilizer
Aviation

25. VALUE CHAIN ANALYSIS
“Value chain analysis (VCA) is a process where a firm identifies its primary and support activities
that add value to its final product and then analyse these activities to reduce costs or increase
differentiation.”
Food Segment
Details
ITC
HUL
Nestle
Inbound Logistics
9
8
7
Operations
9
9
7
Outbound Logistics
9
8
8
Sales & Marketing
9
8
10
Service
-
-
-
Total
36
34
32

26. WEBLIOGRAPHY
http://www.theautomotiveindia.com/forums/indian-auto-news/12327-march-2013sales-figures-cars-india.htm
http://autobei.com/blog/indian-passenger-vehicle-sales-analysis-april-2013/
http://en.wikipedia.org/wiki/Mahindra_%26_Mahindra_Limited
http://www.oncars.in/compare-cars/hyundai-i10-asta-1-2-at-kappa2-with-sunroof-Vsmaruti-suzuki-omni-e-mpi-std-bs-iv
http://www.mahindra.com/What-We-Do/Automotive
http://economictimes.indiatimes.com/news/news-by-industry/auto/automobiles
http://en.wikipedia.org/wiki/United_Breweries_Group
http://en.wikipedia.org/wiki/Mahindra_Group
http://www.mahindra.com/#

27. thank you