Strategic Marketing Essay: Resource Based Theory In Emerging Markets.

Discuss about the:-

American Journal of Industrial and Business Management,

In Strategic Marketing Issues in Emerging Markets.

Resource based theory in operations management research.

Description of Strategic Planning Frameworks

This tool is one of the famous tools which are used to start proper strategic planning. Through this framework, it has been seen that power assistance can be given to the decision making process as it enables an entity to uncover opportunities for the entire success. Through this threats can also be taken into consideration before it gets burdensome. Through this analysis it can be simple to evaluate the niche market so that competitive advantage can be achieved. The strength of the company helps to consider the internal attributes and also resources that support the overall results. Weakness states that internal attributes and resources can also work against the overall outcome. In context to the opportunities the company can consider this as an advantage. Also threats are related to the external factors that relates to the entity success.  It has been seen through this tool proper decisions can be considered that can give positive impact on the workplace. Through this current and future position in the marketplace can be considered. This tool is considered by the top management so that activities can be managed (Dominici, 2017).

It has been seen that company has a good employee base that helps to complete the activities on time. The company also has the wide range of product line like from electric cars to hybrid cars; the focus is on spreading types of cars in the market. The weakness of the company related to the dependence on the suppliers. It has been examined that to manage the activities the company has to rely on the supplier. Opportunities which are available for the company are many like green vehicle technology. Also the threat of the company is related with the number of competitors in the market. The competitors of the company are many like Ford, Hyundai, Volkswagen and Mitsubishi (Colmorn and Hülsmann, 2014).

This is the framework that is considered by the marketers so that proper analysis and monitoring can be done of the factors which are internal and externally related to the company. These factors also give effect on the overall activities of the company. Political factors are related to the government interference in context to the activities of the company. This also considers overall political stability and also tax policy. Political factors also affect the activities of the company. Next is related with economic growth that gives impact on the exchange rates and also on the interest rates. The factors also deal with the management demand and also focus on the interest rate control. Social factor also focuses on attitude and population rate of the society. Technological factors focuses on marketing and management of the activities with the help of technology. Legal factors focus on health and safety opportunities and also on product safety (Garrette, Phelps and Sibony, 2018).

Evaluating Toyota's Internal and External Factors

Political factors have given impact on the overall process of the company by focusing on the rules and regulations imposed by the company. The turnmoil in Europe has given impact on the present years in the market. In economic factor, the recession related to the economy will be considered. Economic factor also give impact on the overall employment rate of the company. In social factor it has been analyzed that company has jump into the mass production of electric vehicle by 2020. In the technological factor, it has been seen that company has achieved the share market by focusing on the latest technology that will help to achieve competitive advantage. In environmental factor the company focused on promoting next generation vehicles with the emission rate of zero. In legal factor the company ensured the legal compliance that also focused on the CSR activities (Debnath, 2015).

Porter five force analysis is taken into consideration so that growth can be achieved and also the managers of the company focus on this tool. This tool is important as it helps to evaluate the overall market situation of the company and also helps to consider right direction to survive in the competitive market (Mukherjee, 2018).

The bargaining power of the suppliers is weak and also it has been seen that their moderate price is also the reason that influence the overall process of decision. Also the bargaining power of customers is strong as there are large numbers of many vehicle industries and also the customers have the choice to consider low price products. The overall threat of substitute is weak as the people have the right choice to consider the use of proper substitutes. The company has also introduced the products through which positive impact can be seen on the environment.  Threat of new entrants is weak and the large investment is important to introduce the products in the market. Also it has been seen that for the new company to enter into the market requires a lot to spend on promotions and marketing. These all are the obstacles that can give negative impact on the overall operations of the company (Sisson and Elshennawy, 2015).

In context to the company it has also been seen that competitive rivalry is high as there are many players in the automotive industry and also the level of competition is high. The competitors of the company are Ford, Toyota, Honda and Hyundai (Li, 2018).

Applying Resource Based Theory to Operations Management Research

This is one of the development tools which are considered by the companies so that competitive advantage can be taken into consideration. It also enables the company to consider the strategic resources or the overall competencies so that potential can be determined towards attaining the competitive advantage (O'brien, 2015).

It has been investigated that the competencies of the company are created and implemented by considering the intellectual capital. The competencies of the company are related to supply chain management, lean production and also inventory management. The company also considered the use of technology and workers so that quality cars can be built in a proper manner. The company has also designed decentralized structure related to business and networks that can helps to transfer the data and decisions through proper cycle. It has also been seen that company offers effective services which helps to achieve competitive advantage and also through this it can be simple to enhance the satisfaction level of the customers. The company outsourced 70 percent of the overall production operations which helped to build proper competence related to outsourcing and supply chain management (Rothaermel, 2015).

 It has been investigated that through proper outsourcing the company has brought improvisation in the overall quality of the company. The strategy which is considered by the company is related to the value chain which leads to the quality of the cars which are purchased by the customers. The company also focuses on proper communication process with the buyers and suppliers so that activities can take place in the right direction. Also it helps in maintaining long term relations with the customers that directly give impact on the activities of the company (Hitt, Xu and Carnes, 2016). Therefore, this tool is beneficial for the company as it give positive impact on the company operations.

Conclusion

Therefore, it is concluded that company should focus on considering these tools so that growth can be achieved. It is recommended that company should consider porter five forces Analysis so that market condition can be evaluated.  If company wants to analyze the internal environment it is recommended to consider the SWOT analysis. The company should also emphasize on Pestle analysis so that external environment can be analyzed. It has been seen that resource based view will help to analyze the resources so this should be considered for proper utilization of the resources.

References

Colmorn, R. and Hülsmann, M., 2014. Strategic perspectives for electric mobility: some considerations about the automotive industry. In Evolutionary Paths Towards the Mobility Patterns of the Future (pp. 155-168). Springer, Berlin, Heidelberg.

Debnath, S.C., 2015. Environmental regulations become restriction or a cause for innovation–a case study of Toyota Prius and Nissan Leaf. Procedia-Social and Behavioral Sciences, 195, pp.324-333.

Dominici, G., 2017. Systems Thinking Research in the Twenty-First Century: A SWOT Analysis. International Journal of Systems and Society (IJSS), 4(1), pp.10-18.

Garrette, B., Phelps, C. and Sibony, O., 2018. Structure the Problem: Analytical Frameworks. In Cracked it! (pp. 95-116). Palgrave Macmillan, Cham.

Hitt, M.A., Xu, K. and Carnes, C.M., 2016. Resource based theory in operations management research. Journal of Operations Management, 41, pp.77-94.

Li, Z., 2018. Business Network Positioning Analysis of Toyota. American Journal of Industrial and Business Management, 8(07), p.1693.

Mukherjee, I., 2018. Applying Porter’s Five Force Framework in Emerging Markets—Issues and Recommendations. In Strategic Marketing Issues in Emerging Markets (pp. 307-316). Springer, Singapore.

O'brien, J., 2015. Category management in purchasing: A strategic approach to maximize business profitability. Kogan Page Publishers.

Rothaermel, F.T., 2015. Strategic management. McGraw-Hill Education.

Sisson, J. and Elshennawy, A., 2015. Achieving success with Lean: An analysis of key factors in Lean transformation at Toyota and beyond. International Journal of Lean six sigma, 6(3), pp.263-280.