With roughly 8,000 locations, the Blockbuster Company is a market leader in rental movies and video games. The businesses rented movies and video games to consumers for personal use. Blockbuster’s eyesight is to be a one-stop-shop for games and films. Its objective is to continue growing its fundamental rental business while leveraging its company image, massive database, retail locations, and cinema interactions to convey an even wider scope of home entertainment to existing and new viewers. The corporation has operations in the United States of America, Europe, Latin America, Australia, Canada, Mexico, and Asia. Blockbuster’s headquarters are in Dallas, Texas, and the company employs 58,561 individuals on a full-time, part-time, and occasional basis. The business made $5,287.9 million in income during the fiscal year ending January 2009, down from 4.6% in 2008. Blockbuster blamed the profit reduction mainly on non-cash asset impairments against its goodwill and other long-lived investments. By renting Continue reading
Business Strategies
Socially Responsible Strategies
A question of central interest here is, how can corporations formulate socially responsible strategies? How can companies assure that corporate domain choice strategies and competitive strategies are responsive to social needs and do not harm the public interest? There are two basic approaches to dealing with these questions. First is to evaluate the social merits of each corporate and business strategy selected based on financial, technological, and market criteria. For each strategy, one could ask these questions: What social good does the strategy contribute? Does the strategy create any public risks or harm? Does the strategy harm the interests of our stakeholders? How does the strategy affect public image and goodwill? Will the strategy lead us into social controversies? The answers to these questions can aid in modifying strategies to fit reasonable demands. The idea is not to abandon strategies that have even the slightest negative consequences, but to consider Continue reading
Case Study: General Electric’s Two-Decade Transformation Under the Leadership of Jack Welch
When Jack Welch became CEO of GE in 1981, he set out to reenergize one of America’s largest companies. Through a revision of GE’s mission and values Jack Welch grew GE from a $24+ billion company to into a $74+ billion company, ready to face competitors and future challenges. Welch realigned goals and motivation, forcing managers to stretch to previously unknown limits. Any company not number one or two in their industry was divested or closed and though sometimes perceived to be a destroyer, he restructured GE into one of the world’s most staid corporations. Jack Welch’s management and motivation approach included three main areas: Goal setting and preparing the company on a corporate level for its competitive challenges; Empowering employees at all levels of the organization; and Communicating his new goals and visions through the entire organization, using such tools as extensive training programs, newly formed teams and 3600 Continue reading
Case Study: Starbucks Growth Strategy
In 1971, three academics, English Teacher Jerry Baldwin, History Teacher Zel Siegel and writer Gordon Bowker opened Starbucks Coffee, Tea and Spice in Touristy Pikes Place Market in Seattle. The three were inspired by entrepreneur Alfred Peet (whom they knew personally) to sell high-quality coffee beans and equipment. The store did not offer fresh brewed coffee by the cup, but tasting samples were sometimes available. Siegel will wore a grocers apron, scooped out beans for customers while the other two kept their day jobs but came by at lunch or after work to help out. The store was an immediate success, with sales exceeding expectations, partly because of interest stirred by the favorable article in Seattle Times. Starbucks ordered its coffee-bean from Alfred Peet but later on the three partners bought their own used roaster setting up roasting operations in a nearby ramshackle building and developed their own blends and Continue reading
3 Levels of Business Strategy Hierarchy
A strategy is the model or plan that incorporates an organization’s main policies, action progressions, and goals into a dependable whole. Besides that, it is the way and compass of an organization long time ago, which accomplished improvement for the organization during its pattern of resources contained by a demanding situation, convene the needs and wants of markets and fulfill stakeholder prospection. The strategy of the organization is to match between its internal capacities and its external associations. Business Strategy Hierarchy Strategies subsist at some levels in whichever organization and collection from the generally business or grouping of businesses throughout individuals working. 1. Corporate Strategy Corporate Strategy is the general idea and possibility of the business to meet up stakeholder opportunity. This strategy is a critical level as it’s deeply influenced by shareholder in the business and operates to conduct strategic decision making during the dealing. Corporate strategy is frequently Continue reading
The Impact of Innovative Culture on Organizations
Growth creates a need for structure and discipline, organisation changes which can strain the culture of creativity that is so vital to future success. To sustain competitive advantage, companies need to institutionalize the innovation process; they need to create an internal environment where creative thinking is central to their values, assumptions and actions. Management changes and management generally is about implementation. When the managers of an enterprise feel pressured, the fear-driven response is generally to implement better and which generally results doing more of the same only quicker or cheaper. While this is great for doing more of the same, it is still the same and meanwhile everything else is changing — customer’s needs, technology, society, macroeconomics and geopolitics are all changing. Innovation is the engine of growth. It is also a mindset — meaning it is influenced by beliefs, values, and behavior. Company culture therefore has a huge influence Continue reading