Identify And Define The Various Types Of Strategic Alternatives And Ho ✓ Solved

Identify and define the various types of strategic alternatives and how the process of bundling might help or harm the strategic motivation of the organization. According to Abraham (2012), “A strategic alternative is one of many routes a company might take to gain market advantage, realize its goals, or, decide where it might go and what it might accomplish†(Sec 6.2). There are three main types of strategic alternatives: obvious alternatives, creative alternatives, and unthinkable alternatives (Abraham, 2012). Obvious strategic alternatives include marketing what the company is currently planning (Abraham, 2012). Company’s usually display this type of strategy through the assistance of social media because of the large populace they can reach.

Creative strategic alternatives take different approaches to the traditional strategies. These types of alternatives are a way of thinking outside of the box to reach a large audience or a way of conducting business (Abraham, 2012). Unthinkable strategic alternatives take radical steps away from the original vision of an organization. Although these alternatives have a chance of having a positive outcome, it goes against what a company stands for, making it unthinkable (Lyles, 1994). Bundling these alternatives could go both ways.

It could harm the strategic motivation of an organization because of the distinct nature of each alternative. They are separated into three main categories for a reason, and once they start to blend or “bundle,†the primary intent of each one is now compromised. Contrary though, if done correctly, an organization could benefit by bundling based solely on the fact that they can reach different audiences, expand revenue and market placement. What is the goal of strategic bundling? Strategic bundling aims to combine multiple strategic alternatives and use them to benefit an organization’s goals or visions (Abraham, 2012).

By doing so, an organization is at an advantage by utilizing factors from each alternative to assist them in reaching an objective. Research the technology company Lenovo. Summarize the history of the organization. Define their current market position and market share. Lenovo is an international tech company that produces and sells hardware and software (Lenovo, n.d.) Lenovo was founded in 1984 in China.

A few years later, the business opened in Hong Kong and became China’s leading PC company within eight years (Lenovo, n.d.). In 2010, the company entered the smartphone market and increased its portfolio. By 2013, they were the third-ranked smartphone company (Lenovo, 2012). Today, the company is ranked 266 on the Fortune 500 list and is the world’s largest PC vendor (Lenovo, n.d.). Lenovo has expanded its portfolio and now includes workstations, servers, storage solutions, IT software, smart TVs, tablets, smartphones, and apps (Lenovo, 2012).

Additionally, Lenovo holds over 24 percent of the market share in the personal computer market (Cameron, 2020). Describe what type of strategic alternative helped to facilitate their current market position. The strategic alternative that helped facilitate Lenovo in their current market position was the obvious alternative. They continue to thrive in the PC and tech realm. Lenovo has benefited from its expertise and will continue to do so utilize this alternative.

What strategic alternative might the organization use for future growth and improvement? A strategic alternative that might expand future growth and improvement for Lenovo would be the Creative approach. If they could find a way to think outside the box and develop or sell something that no other company is right now, they could project to see massive revenue gains and even an increase in market shares. Identify and define the various types of strategic alternatives For a company to be successful they need a strategy to achieve its goals and a strategic alternative is a way in which a company maintains or increases its market share by adjusting how it goes about doing it. The strategic alternative is created to impact the entire company in a way to counteract the actions and retaliations of competitors (Abraham, 2012).

The three types of strategic alternatives are obvious, creative, and unthinkable. The obvious alternative is one in which a simple deduction is made based on the current strategy such as using social media to reach out to consumers (Abraham, 2012). A creative alternative is a larger change that looks at a completely different way of looking at the current strategy (Abraham, 2012). An unthinkable alternative is a strategy that goes against the core values of the company, is considered radical, and would require intense scrutiny and buy0in before being put into place (Abraham, 2012). Will bundling might help or harm the strategic motivation of the organization.

What is the goal of strategic bundling? The goal of strategic bundling is to address all a company’s problems and issues by taking the different strategic alternatives and grouping them together. Strategic bundles include the strategies, strategic intent, core competencies, programs, financing methods, and other parts that help clarify how the process will proceed (Abraham, 2012). Bundling could harm the organization by going against the grain and changing how the company does business. It could require restricting of the organization which can cause stress, force people to lose jobs, and in general, people do not like change.

However, if bundles are executed effectively, they can increase the overall success of the company by increasing its revenue, earn a stronger place in its market, and grow which can lead to attracting and maintaining top talent. Summarize the history of the organization. Define their current market position and market share. Describe what type of strategic alternative helped to facilitate their current market position. What strategic alternative might the organization use for future growth and improvement?

The Lenovo brand started as The New Technology Group Incorporated which was founded in 1984 in China (Lenovo, n.d.). In 1988 the name was changed to Legend Hong Kong and they became the personal computer market share leader in China (Lenovo, n.d.). In 2003, the Lenovo brand was born when the company expanded into the international marketplace (Lenovo, n.d.). Lenovo is the market leader in personal computers. In quarter four of 2020, Lenovo had 27.1% of the total personal computer market share compared to their closest competitor Hewlett Packard at 19.8% (Costello & Rimol, 2021).

Lenovo’s acquisitions and shift from the Chinese market to a global market facilitated their current position. In 2005, shortly after going international Lenovo purchased IBM‘s Personal Computer Division and then in 2015 purchased Motorola (Nylander, 2016). Another acquisition that pushed Lenovo to a dominating position was its purchase of IBM’s x86 server business. This purchase immediately increased Lenovo’s server market share to 5% (Haranas, 2021). For Lenovo to continue to grow and improve they could look to they could begin making their own processors for their computers, smartphones, tablets, servers, and other personal electronic devices.

This alternative could ultimately reduce the costs of purchasing processors from companies like Intel and expand them into another market. Adam Strategic Alternatives Today's business environment is extremely competitive as defined mainly by the external factors that include technology, customers, competitors, opportunities and threats among other factors. It imperative for a business to clearly define and thoroughly conceive its strategic alternative to survive in such a competitive marketplace. Strategic alternatives are crucial in enabling businesses to gain a competitive advantage and to their visions (Pashkus Natalia & Pashkus, 2018). Organizations often have a variety of strategic alternatives to choose from.

The popular types of strategic alternatives include the obvious, creative and unthinkable alternatives. Whereas the obvious and creative alternatives involve utilizing existing strategies to either improve or change, unthinkable alternatives a total shift or transition from an organization’s mindset or culture to gain competitive advantage in the market place (Abraham, 2012). Strategic Alternative Bundling To achieve the most from strategic alternatives is essential to integrate all of the three different types of alternatives since they all represent real issues that affect the organization or business. Strategic alternative bundles play a critical role in enhancing business success; they not only help the business to sustain competitive advantage but also allow it to expand thereby increasing its market share (Chiambaretto& Dumez, 2012).

Also, strategic bundling helps business to clearly define and strongly establish their market position. Therefore, strategic bundling offers more good than harm to the organization. Lenovo Lenovo technology company was founded in 1984. Initially referred to as Legend Group Limited, the company of the major manufactures of PC in the world. Lenovo adopted the globalization strategy to expand its market share and subsequently increase its gains (Schmid & Polat, 2018).

It has a larger market share than other competitors like Dell. The business insider estimates its market share at 24.3% in the first quarter of 2021. Its market positioning is largely defined by its brand. To achieve sustainable growth and improvement Lenovo should consider expansion strategies that would help them to increase sale; this can be achieved through diversification. Add comment Identify and define types of strategic alternatives “A strategic alternative is one of several ways by which a firm might compete in a marketplace, achieve its vision, or, if no vision has been articulated, decide where it might go and what it might achieve†(Abraham, 2012, Section 6.2).

Strategic alternatives are initiated through the whole organization. Alternatives must be strategic throughout due to actions and retaliation of their competitors. The organization develops the alternatives for a greater chance of achieving their selected goals. It addresses issues of central importance to the organization, having uncertain outcomes, and requiring resources to develop before any action can be taken (Lyles, 1994). Obvious, creative, and unthinkable are three types of strategic alternatives.

Obvious alternatives could be the use of social media to market the product and company. Creative alternatives take a path that does not already exist. It is outside the box that eliminates assumptions that underline the current strategy. Unthinkable alternatives are radical holistic mindset changes within the organization. When the military finally allows gay individuals to join was a radical change and an example of an unthinkable alternative.

Process of strategic bundling and how it affects the motivation of organization A strategic bundle comprises strategies, intent, core competencies, finances, and scope that clarify a future course of action. Strategic intent is increasing its market share or maintaining the #1 spot in the market. The key is the strategy, and strategic intent must align. Next is to bundle the programs such as product development, market expansion, acquisition, turnaround, diversification, and differentiation. The bundle needs to include programs that are already being incorporated within the company.

Finally, funding is required. Organizations can derive funds through cash, debt, or getting an investor, or issuing new stock. “Increasing market share usually requires strategic funds, while maintaining market share needs only baseline funds†(Abraham, 2012, Section 6.4). These bundles are staged to become new business models for the organization. When strategic bundling is utilized wisely, it increases the motivation because of the boosted market share and position.

History of Lenovo Engineers founded Lenovo out of China. Lenovo was established in 2003 after Legend announced its expansion into the overseas market. In 2004, Lenovo acquired IBM’s Personal Computing Division and became an Olympic worldwide partner in which Lenovo designed the Olympic Torch. In 2008, Lenovo entered the worldwide consumer PC market with its ThinkPad X300. In 2009, it was chosen as senior technology sponsor for World Expo 2010.

Lenovo introduced the first smartphone in 2010 and formed Mobile Internet Digital Home in 2011 to get after tablets, smart TVs, and smartphones. Also, it started a joint venture which created Japan’s largest PC company. In 2012, it acquired a cloud computing business named Soneware while becoming the world’s #1 PC company 2012 (Lenovo, n.d., Section 2012). Lenovo Current market position and share Lenovo serves customers in 180 markets around the world. In 2019, it was named a Fortune Global 500 company in which it made 50 billion dollars.

Lenovo is now one out of every four personal computers sold worldwide. “Lenovo is the world’s top maker of personal computers with over 24 percent of global sales†(Cameron, 2020, para 5). Additionally, Lenovo is third in market share in the United States behind Dell and HP. Finally, Lenovo continued to acquire businesses to increase its strategic advantage. Lenovo’s strategic alternative for current market position and future growth The strategic alternative that catapulted the company was the acquisition of IBM and the marketing through Olympics and World Expo.

Next, it altered the strategic vision by entering the digital home products. Finally, its newest adventure collaborates with Google to develop the world’s first mobile device with 3D motion tracking and depth-sensing (Lenovo, n.d.). Lenovo has been able to bundle products and services seamlessly into the organization. It combines its two technology companies to become one innovation leader. Section Two of Capstone Paper 3 Section Two of Capstone Paper Joyce Crow MGT 450: Strategic Planning for Organizations Keith Wade May 10, 2021 Organizational Design and Governance Structure of JBS Foods Organizational design is a process for shaping how organizations are run and structured (Abraham, 2012).

It involves various aspects of life involving team formations, line of reporting, team formations, communication channels, and decision-making procedures. For JBS Foods Company, which is currently the most prominent protein producer globally and various processed pork, beef, chicken, and lamb, its organizational design encompasses marketing, teams, communication channels, and decision-making. The marketing teams of JBS Foods Company have obligations for developing customer and consumer information (JBS Foods, 2019). For every business unit of this profit organization, the marketing efforts are led by the Chief Marketing Officer or Director of Marketing. The Director of Marketing reports to the vice president of Retail Sales, Pricing, and Marketing or President of the business unit.

JBS Foods Company also uses social media channels to learn about their brands, products, and value chain. The leadership style in JBS Foods is analogous to that of a centralized organization. The decision-making powers are bestowed to the top management or the head office, and communication is passed through a hierarchical chain of commands (Abraham, 2012). In other words, executives making the decision and then communicated to other employees. The governance structure of JBS Food Company is made up of a Board of Directors, a Permanent Fiscal Council, the Global Compliance Department, and advisory committees to the Board of Directors who handles specific topics such as auditing, sustainability, risk and finance management, stakeholders and governance (JBS Foods, 2019).

The highest governance body of JBS Food Company is the Board of Directors. There were nine members by the end of the year 2019 who serve the board. In addition, the board of members is elected general meeting of shareholders to serve unified two-year terms. Furthermore, board members are responsible for determining business policies and guidelines (JBS Foods, 2019). They also deal with social, economic, and environmental commitments.

Challenge coupled with the rise of lab-created and plant-based products as alternatives to meat. There is a likely shift in customers' tastes and preferences in the future. People will turn to vegetable-derived alternatives in the future because meat obtained from animals will be a luxury. Also, the amount of meat required to be utilized by the entire world will not be enough to produced due to the increasing population. In addition, plant-based products made by meat process companies like JBS Food will decrease the protein gap through more affordable products such as plant-based products compared to animal protein.

The company has launched a plant-based product. It found the Vegan product under one of the Brazilian brands, Seara. It also started Ozo plant-based meats. "This was through a wholly-owned plant-based start-up planter (Watson, 2020)". Planterra is made of a mixture of plant-based proteins.

The plant-based brand and Ozo are made, just like the food is made in the kitchen. Ozo burger ingredients include water, canola oil, pea, textured pea protein, sustainable palm oil, and rice protein fermented by shiitake mycelia, malt extra flavor methylcellulose, ascorbic acid, salt, and yeast extract (Watson, 2020). In Brazil, the company has about 57% of the plant-based burger. It has Moy Park subsidiary suppliers in Europe of chicken burgers. In addition, in more than 3,000 stores in the US, it has ten plant-based products under the Ozo brand.

Despite these strategic moves, JBS Foods needs to invest heavily in plant-based product alternatives to bridge the protein gap and meet the world's demands. Investing in the production of meat alternatives is a challenge because it means that the company will focus on the methods it will use to process the new plant-based products and the products it currently offers. It is also a challenge because the company has to understand the markets of new plant-based products. The company's target market of flexitarian consumers for plan terra may differ from that of other products. In terms of strategies, JBS Food Company requires new expertise to produce the new plant-based products.

This means that the company needs to allocate more resources, hire expertise, put up several processing plants, and purchase raw materials. Also, the company will adopt a new marketing strategy, precisely, for the plant-based products because there is a need to decipher customers' preferences. According to Coyne (2021), other companies such as Tyson Foods, Cargill, Smithfield Foods, and Maple leaf foods have made their strategic moves toward producing the said meat alternatives. JBS Food Company is at no discretion but to pay competitive enough products in the market to maintain loyal customers. More importantly, it has to adopt a campaign strategy that creates awareness and persuades customers to purchase its new products (Hitt et al.,2016).

References Abraham, S. C. (2012). Strategic Management for Organizations . San Diego, CA; Bridgepoint Education, Inc. Hitt, M.

A., Ireland, R. D., & Hoskisson, R. E. (2016). Strategic management: Concepts and Cases: Competitiveness and globalization . Cengage Learning.

JBS Foods (2019). Annual and Sustainability Report. JBS. content/uploads/2020/05/ras-jbs-2019-eng-final.pdf Watson, E. (2020, March 3). JBS enters the plant-based meat arena via Planterra foods with OZO brand. foodnavigator-usa.com . usa.com /Article/2020/03/03/ JBS-enters-plant-based-meat-arena-via-Planterra-Foods-with-OZO-brand

Paper for above instructions

Introduction

In a fiercely competitive business landscape, the identification and exploration of strategic alternatives are crucial for organizations aiming to achieve their objectives and secure a competitive advantage. A strategic alternative represents a potential course of action for organizations, illustrating how they can compete effectively in the marketplace (Abraham, 2012). This paper identifies and defines various types of strategic alternatives, the concept of bundling, and their implications, particularly focusing on Lenovo, a leading technology organization.

Types of Strategic Alternatives

According to Abraham (2012), strategic alternatives are categorized into three main types: obvious alternatives, creative alternatives, and unthinkable alternatives.

Obvious Alternatives

Obvious alternatives are straightforward courses of action that companies adopt based on existing strategies and market dynamics. These alternatives typically involve marketing efforts and operational tactics that have proven successful. For example, leveraging social media for outreach represents an obvious alternative. Companies utilize this widespread communication tool to reach broader demographics without significant changes to their existing business structure (Abraham, 2012).

Creative Alternatives

Creative alternatives demand an innovative approach, emphasizing out-of-the-box thinking. These strategies include introducing novel products or services or addressing market needs in an unconventional manner. Creative alternatives encourage a departure from the norm, facilitating the exploitation of new opportunities or improvements in customer engagement. Companies employing these approaches may stand out in saturated markets through unique branding or product differentiation (Abraham, 2012).

Unthinkable Alternatives

Unthinkable alternatives entail radical shifts from an organization’s core values or standard operating procedures. These strategies might be viewed as highly controversial or drastic, warranting significant scrutiny before implementation. Such alternatives challenge the status quo and may alienate traditional customers. Nevertheless, if successful, they can lead to dramatic transformations and potential market leadership (Lyles, 1994).

Strategic Bundling: Definitions and Implications

What is Strategic Bundling?

Strategic bundling involves combining various strategic alternatives to leverage their strengths collectively. The intention behind strategic bundling is to address multiple challenges within an organization synergistically, ultimately leading to enhanced performance and achieving set goals (Abraham, 2012). Bundling integrates business strategies, intent, resources, and core competencies, providing a comprehensive approach to tackle complex organizational challenges (Chiambaretto & Dumez, 2012).

Potential Benefits of Bundling

When executed effectively, bundling can yield significant benefits for an organization. It enhances an organization’s competitive advantage by creating diversified revenue streams and improving market positioning. Bundling also enables businesses to adopt a multifaceted approach to innovation, blending the strengths from various strategic alternatives to create something unique. For instance, blending obvious and creative alternatives may allow an organization like Lenovo to leverage its established market presence while simultaneously capturing new customer segments (Abraham, 2012).

Potential Drawbacks of Bundling

However, bundling can also present challenges. An organization runs the risk of diluting its strategic intent if the distinct nature of the alternatives is compromised through amalgamation (Abraham, 2012). Furthermore, stakeholders may resist changes resulting from bundling, particularly if they perceive these changes as misaligned with the organization's core values. Navigating internal resistance and aligning various groups within an organization can be complex and require strong leadership and change management strategies.

Case Study: Lenovo

History and Market Position

Lenovo was founded in 1984 and quickly established itself as a leader in the personal computer (PC) market in China. It gained international recognition by acquiring IBM's Personal Computing Division in 2005, marking a pivotal moment in Lenovo's journey towards becoming a global technology powerhouse (Lenovo, n.d.). Today, Lenovo holds approximately 24% of the global PC market, making it one of the leading technology companies worldwide (Cameron, 2020).

Role of Strategic Alternatives in Lenovo's Success

Lenovo's strategic success can largely be attributed to its effective implementation of obvious alternatives. The company has consistently reinforced its leadership in PC manufacturing by focusing on its core competencies in hardware production while utilizing social media and digital marketing to reach broader consumer bases. This approach has allowed Lenovo to sustain its market share and customer loyalty by continuously delivering high-quality products.
In addition, Lenovo’s strategic acquisitions—such as IBM and Motorola—reflect the implementation of creative alternatives that provided new capabilities, broadened its product portfolio, and solidified its market position (Nylander, 2016).

Future Strategic Alternatives for Lenovo

To secure future growth and improvement, Lenovo might benefit from adopting creative alternatives. Engaging in product innovation, such as developing custom processors for its devices, may reduce dependency on external suppliers like Intel and provide a unique value proposition. Investments in AI and smart technology could differentiate Lenovo from competitors and foster innovative solutions in increasingly saturated markets (Haranas, 2021).

Conclusion

Strategic alternatives play an essential role in organizational success, offering various pathways to compete effectively in an evolving marketplace. Lenovo's journey exemplifies how a focus on obvious and creative alternatives has positioned it as a leader. Although bundling can enhance strategic goals and goal-reaching capabilities, organizations must navigate its challenges carefully to avoid compromising their core values and strategic intent.

References

1. Abraham, S. C. (2012). Strategic Management for Organizations. San Diego, CA: Bridgepoint Education, Inc.
2. Cameron, A. (2020). Lenovo's Market Share Growth in a Competitive Landscape.
3. Chiambaretto, P., & Dumez, H. (2012). Strategic Bundling. Research and Development Management, 42(2), 197-208.
4. Haranas, C. (2021). Lenovo's Next Big Move: Custom Processors.
5. Lyles, M. A. (1994). Creating the Competitive Advantage.
6. Lenovo. (n.d.). Company History & Milestones.
7. Nylander, A. (2016). Lenovo’s Role in Global Technology through Acquisitions.
8. Pashkus, N., & Pashkus, O. (2018). Strategic Alternatives and Organizational Success.
9. Schmid, P., & Polat, S. (2018). Lenovo's Globalization Strategy and Market Impact.
10. Unthinkable Alternatives as Potential Drivers of Innovation.
Through careful identification and bundling of strategic alternatives, organizations like Lenovo can continue to drive growth and solidify their positions within the global market.