Part 3: Pretend that you are going to start up your own company after finishing
ID: 423840 • Letter: P
Question
Part 3: Pretend that you are going to start up your own company after finishing your undergraduate degree. Based on what you now know about strategy, discuss your idea for the company and the strategy that you will use. In particular:
1. Tell me about the opportunity that you think exists, the resources you will need, how you will obtain those resources, and your role as the entrepreneur.
What will be your entry strategy, and why?
What will be your generic strategy (OCL, differentiation, focus, combined), and why?
Explanation / Answer
My dream is business, to do this I learned different concepts, strategies and required skills from my education but I do not have any practical experience, so I need to plan everything properly to get success in my business.
I would like to establish hotel because this industry has great importance and we can attract the people easily with tasty and healthy food. I really like to deliver or serve the people with tasty food to see their happiness and satisfaction
Entry strategy means
Proper plan to enter the market and to attract new targeted people, there are different entry strategies like importing, exporting, licensing, joint venture etc..
To enter into market my entry strategy is wholly owned subsidiary because I do not have any experience, so if I can get guideline, I can gain experience. Wholly owned company means operated by another company and parent company gives 100 percent support to subsidiary company
I can get the sufficient resources, guidance, and chance to enter into new markets. So I would like this strategy.
Generic strategy means strategic planning that can use by any company to face and improve competitive performance. There are different generic strategies like competitive advantage, cost leadership strategy, focus strategy and differentiation strategy etc…
Here I would like to use Cost Leadership strategy which means offering products at lower prices with comparing to industry prices but maintain the quality, it can useful to me to attract customers. I can manage costs and I want to produce standard products