See if you can identify the value chain relationships that make the businesses o
ID: 350398 • Letter: S
Question
See if you can identify the value chain relationships that make the businesses of the following companies related in competitively relevant ways. In particular, you should consider whether there are cross-business oppurtunities for (a) transferrign competitively valubale resources, expertise, technological know-how and other capabilities, (b) cost sharing where value chain acitivities can be combined, and/or (c) leveraging use of a wellrespected brand name.
Bloomin' Brands
outback steakhouse
Carrabba's Itialian Grill
Roy's Restaurant (Hawaiian fusion cuisine)
Bonefish Grill (market-frssh fine seafood)
Fleming's Prime Steakhouse & Wine Bar
L'Oreal
Maybelline, Lancome, Helena Rubinstein, Kiehl's, Garner, and Shu Uemura cosmetics
L'Oreal and Soft Sheen/Carson hair care products
Redjun, Matrix, L'Oreal Professional, and Kerastase Paris professional hair care and skin care products
Ralph Lauren and Giorgio Armani fragrances
Biotherm skin care products
La Roche-Posay and Vichy Laboratories dermo-cosmetics
Johnson & Johnson
Baby products (power, shampoo, oil, lotion)
Band-Aids and other first-aid products
Women's health and personal care products(Stayfree, Carefree, Sure & Natural)
Neutrogena and Avveno skin care products
Nonprescription drugs (Tylenol, Mortrin, Pepcid AC, Mylanta, Monistat)
Perscription drugs
Surgical and hospital products
Acuvue contact lenses
Explanation / Answer
Blooming brands- The follow the strategy to distinguish its outlets by providing food and serviceof high quality and quantity at reasonable prices and good atmosphere. The cross business strategic fit they follow is combining related value chain activities and transfering skills and lowering costs in the administrative activities.
L'Oreal- They follow the stratefic fit of transfering skills and cross business collaboration for creating new streaghts to introduce new beauty products. They also combine related value chain activities through manufacturing and R&D resources.
Johnson and Johnson- They follow the concept of leveraging use of well respected brand name They also follow the strategic fit approach by combining the related value chain activities in manufacturing, distribution and sales and marketing activities.