Reducing client churn
1. Imagine you are presenting to WRSX investors. Referring to data from the performance log and your notes on the decisions that were made, assess a specific decision (or group of related decisions) which explains the performance outcome. Include a discussion of the underpinning theoretical frameworks you either used, or could have used, to assist your decision making. Did the theory support the decision, or mislead you, and why?
2. Consider your original analysis of the strategic position and strategic choices. To what extent did your assessment of the strategic position and strategic choices change or evolve over the three year period? Did key changes occur, or new information emerge, that changed your original summary and did this lead to a change in strategy?
1. During the 2nd week, the board members of the company WRSX has made some corporate strategies to make the company better. The strategies which have been made by the board members of the company are given below:
- Reducing client churn
- Strengthening client relationships
- Sponsorship opportunity.
- Knowledge sharing and communication coordination
- Corporate governance issue.
These are all the strategies taken by the board members WRSX Company to run their business fluently.
The phrase reducing client churn means that the succession of getting new-fangled clients and losing the old clients of the firm WRSX. In every business, the clients of the firm help the company to run their business in profit. So, the client is very much important to every firm. Holding the old client and getting a new client for the company is the main strategy for every entity. Every entity should focus on their clients need. Reducing the client churn means focusing on the clients need and to hold the old client of the firm by giving their work satisfaction and acquiring new clients for the company, if the company loses any old clients.
The relationship between both the supplier and the client of the company should be good because serving the client will help the company to earn more profit. This concept is known as the business partnerships. According to a report research, it has been seen that in the year 1984, the average relationship between the company and the client is 7.2 years but in the year 1997, the average relationship between the client and the company declines by 25 % and the period of relationships come down to 5.3 years. Many company mainly the advertising company working hard on it to minimize this problem.
The client relationships of WRSX are significantly above many other companies. The WRSX Company still trying to improve their client relationships. The strength of WRSX is the relationships of client (From Week 1).
The board members of the WRSX company trusts in SCR program. They believe that SCR program has merits and can improve the client relationships between the company and the client. They are thinking about a post in their company who will control the SCR program and will maintain the client relationship between the company and the client (Appendix 1).
The WRSX Company believes in the sponsorship. According to the manager of WRSX Company, the brand value of the company should be amplified by giving advertisement in the society. This will help the company to increase their brand value. Then many new clients will be acquired by the company and it will help the company to run in profitable condition. This will also help the company to get expose in the market and will help to expose the brand name of the company.
Client Relationship of WRSX
The manager of WRSX wants to sponsor a tennis player who has won two Junior US titles and Wimbledon in the past. According to the manager of WRSX, this sponsorship will expose the brand name of WRSX and will also increase the brand value of the company (From Week2).
The board members of the company do not believe in the sporting event. They think it will be a better option to give advertisement in the business magazines
Knowledge sharing and the communication coordination is the essential strategy in the business purpose. Communicating with the client will give much information about other clients. Serving the clients need and satisfying the client by sharing the knowledge about market condition will satisfy the client’s satisfaction level. This will help the company to expose their brand name in the market and will help the company to get many new customers. The WRSX Company should invest in the technology of information which will improve the quality of communication and in the management information.
The current position of WRSX in knowledge sharing and communication coordination is in very good position. Qorvic, one of the largest drinks company in the world wants to make a relationship with the WRSX Company. Qorvic wants to leads their brand in the Western and Eastern Europe. This shows that WRSX Company is really working hard on its communication coordination. That is why, the largest drinks company in the world wants to lead their brand in the Western and Eastern Europe (From Week 3).
The board members of the WRSX Company do not want to involve and invest in the Information Technology because it is quite risky. The company does not want to take risky decision. They want to run their business in calculated risk. But the company has good position in coordination communication. That is why; the Qorvic Company is interested in making client relationship and wants to lead their brands in the Western and Eastern Europe. (Appendix 3).
Corporate Governance issue means the method of rules and regulations processed by the WRSX is controlled. Corporate Governance issues mainly controls the relationships of the company with their clients. These relationships include the management of the company, clients, government and the community.
The WRSX Company has a good reputation in the worldwide for providing the best PR services. This shows that the WRSX Company has a good Corporate Governance Issues. This will help the company to do a better business and will help the company to get more clients (From Week 4).
The Corporate Governance Issues of WRSX Company has better position in the company that is why the company is satisfied with this action and do not want to focus on this issues (Appendix 4).
WRSX is a global marketing agency. WRSX is a medium size company which has many branches in the worldwide. It also works in the foreign countries like America and in the Western and Eastern part of Europe. They have a broad experience in the advertising and communication group. This gives a strong background to the company. They have a very good creative and marketing solution which helps the company to reach the company’s objectives. Their target is to reach in the “Top 20 agency group” throughout the world by using their market opportunity, experience and their resources.
Agenda of WRSX
The WRSX Company has a very good reputation among the advertising and communication companies. They have very good client relationships and also have established much better client base. The reputation of WRSX is now better than the previous condition of reputation of WRSX. Among the advertisement and communication company, WRSX is now a repudiated company in the Western Countries. The research analyst observed that the share price of the WRSX Company is increasing after every board meeting so, this shows that the reputation of the company is growing high (Phase 3 Results).
Weakness: The WRSX Company has shifted from traditional media and the potential decline in western demand. So, the weakness is still creating a problem. As, WRSX is now shifted in the new market so, it will take some time to get into the better corporate position (Phase 3 results).
Opportunities: The WRSX Company moved into the emerging market of advertisement and communication group. The company is using new technologies to fulfill their needs in demographics and they have a very good growth in the market by using the new technologies. The WRSX Company is now a very emerging company. The WRSX Company is growing very fast. There are plenty of opportunities for WRSX Company in the emerging market of Advertisement and Communication market (From Phase 3 Results).
Threats: The WRSX Company is mislaid on the new technologies. The Company has reduced the budgets in the markets in North America and Western Europe. They have shifted the culture from East to West. The WRSX Company is still having some problem in fund because they are opening a new company in the Asian countries. As the research analyst observed that the profit of WRSX Company is declining. So, the WRSX Company should focus in the wealth of the fund (Phase 3 Result).
From the phase results, the researcher can study that the WRSX is doing quite well in the advertising and communicating market. They are doing all the needs needed to reach their strategic objectives of the company. The key factor for the company is the company is already well established in the advertising and communicating market and according to their present growth, it can be seen that the WRSX Company can generate more growth in the advertising and communicating market.
As a whole scenario it can be seen that the WRSX Company is well positioned in the market. The relationships between the client and the company are very good. They have years of experience in the advertising and communicating market. They have plenty of resources and they used their resources very well to reach their strategic objectives.
Sources of competitive advantage at the level of the individual businesses within the Group
The WRSX Company have declined their growth in the European market and American market due to the fall in economic growth and difference in exchange rates. The change in the economic conditions of both the countries forced the WRSX Company’s client to face a difficult situation for the company. This makes reduced in the company growth. Now, the WRSX Company is rising in the Asian market.
Due to the slow rate of growth in the Europeans countries, the company now aimed to increase their growth rate in the Asian market. On the board meeting, the members of the board have improved their growth by hiring new workers and retaining the old workers in the company. Secondly they focused on the brand value and services of the company.
The main focus of the company is to improve the brand value and services of the company in the advertising company. The growth of the company is rising due to the high profit earned by the company. Secondly, the firm can improve their innovation process so that the company can produce a better quality services to its client.
If the WRSX Company wants to shift in other market which is new to them, then the WRSX Company has to merge with the other company who has a better experience in that market. If the Company wants to expand their firm then the Company should shift in the Asian market to have quick growth in the new market.
The WRSX Company can measure the success and growth of the company through the changes in share price of the company in the market and also the change in the number of new clients achieved by the company.
To export a reference to this article please select a referencing stye below:
My Assignment Help. (2016). Analyzing WRSX - Performance And Strategic Position Change - Essay.. Retrieved from https://myassignmenthelp.com/free-samples/financial-strategies-of-wrsx.
"Analyzing WRSX - Performance And Strategic Position Change - Essay.." My Assignment Help, 2016, https://myassignmenthelp.com/free-samples/financial-strategies-of-wrsx.
My Assignment Help (2016) Analyzing WRSX - Performance And Strategic Position Change - Essay. [Online]. Available from: https://myassignmenthelp.com/free-samples/financial-strategies-of-wrsx
[Accessed 29 November 2023].
My Assignment Help. 'Analyzing WRSX - Performance And Strategic Position Change - Essay.' (My Assignment Help, 2016) <https://myassignmenthelp.com/free-samples/financial-strategies-of-wrsx> accessed 29 November 2023.
My Assignment Help. Analyzing WRSX - Performance And Strategic Position Change - Essay. [Internet]. My Assignment Help. 2016 [cited 29 November 2023]. Available from: https://myassignmenthelp.com/free-samples/financial-strategies-of-wrsx.