Friday, May 3, 2019

Strategic Management Paper Assignment Example | Topics and Well Written Essays - 1250 words

Strategic Management Paper - Assignment ExampleThe value discipline arise was created by Michael Tracy and Fred Wiersema. The trine value disciplines are operational excellence, product leadership, and customer intimacy. Operational excellence deals with having superior operations and executions and execution quality at a reasonable price (Valuebasedmanagement, 2011). This dodging is not align with the objectives of Auxilium pharmaceutic. The gild has deuce patented product one of them, Xiaflex, was introduced in 2011. The company must implement a retail price strategy for its drugs, thus selling cheap or at discounted price is not a possibility. Product leadership is associated with innovation and brand marketing in dynamic marketplaces. This approach would be very suitable for Auxilium Pharmaceutical. The company already has build up some brand value referable to its 13 old age of existence in the marketplace. The third base value discipline is customer intimacy. This appro ach is achieved by providing superb customer service and customer attention. The use of this value discipline arsehole help the company achieve long term harvest-feast. The second strategy that the company can consider to achieve growth is the use of a generic strategy. The generic growth strategy approach was seted by Michael Porter. The three generic strategies are cost leadership, differentiation, and focus strategy. Cost leadership implies attempting to become the market leader in terms of prices in your industry. A cost leadership strategy is not well suited for a pharmaceutical company that sells patented drugs. Drug companies have to invest at least $1.2 billion to develop a advanced drug. Pharmaceutical companies such as Auxilium Pharmaceutical are given 20 years of patent protection to be able to recover their investment and to obtain a reasonable profit. Auxilium Pharmaceutical should not pursue a cost leadership strategy. The second generic strategy is called differe ntiation. A differentiation strategy calls for the development of a product or service that offers unique attributes that are valued by customers and that customers perceive to be better than or different from the products of the competition ( Mcraigh, 2011). This growth strategy is aligned with the mission, vision, and objectives of Auxilium Pharmaceutical. The third generic strategy is focus. Focus is a hybrid strategy that attempts to achieve both cost and differentiation. much(prenominal) a strategy is suitable for large companies with multiple products. Auxilium Pharmaceutical only has two products the company is sharp marketing. The third strategy that Auxilium Pharmaceutical may pursue is a grand strategy. A grand strategy can be defined as a comprehensive long term plan of actions by which a firm plans to change its long term objectives (Businessdictionary, 2011). Some of the ways a company can implement a grand strategy to achieve business growth are joint ventures, acquis ition, strategical alliances, divesture and diversification. A joint venture occurs when went two or more companies unite forces to form a new single entity. Prior to Chinas acceptance into the WTO in 2001 the only way for foreign companies to permeate the Chinese market was to form joint ventures with Chinese state owned companies. Strategic alliances occur when two or more companies participate together in a project or business function. For lesson in the airline industry it is common for companies to form strategic alliance

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