Strategic Analysis and Recommendations for Fiat Chrysler Automobiles (FCA)

External Environment Analysis

You will act as Strategic Advisors for a large international organisation. You are invited to submit a report for the annual strategic executive board in May 2020, where you will collectively report your position on what you consider to be the strategic situation facing the organisation and your suggestions on how the organisation should move forward.

Your report is to be supported by extensive wider research and your results from your own analysis employing the strategic analytical tools.

Fiat Chrysler- (Car Manufacturer)

Estimated sales growth: -3.1% Total assets: $112.63b. 12-month sales: $126.24b

“The years spent slimming its portfolio of businesses through spinoffs and sales almost resulted in a merger of Fiat Chrysler Automobiles NV with Renault SA in 2019. Next year may see the deal revived or new suitors seeking FCA’s wildly profitable Jeep and Ram brands.” —Kevin Tynan

What do you consider to be the strategic situation facing Fiat Chrysler and how do you suggest the organisation moves forward; what should its strategy, or strategic options, be?

1. Brief overview of the company.
   
   
2. Strategic Analysis Of The Companies Current Position. Both Internal And External.

Consider the external environment (for example PESTLE):

• Review political trends and international barriers for the organisations’ international strategy – how might this change in the future?
• current and future economic climates of the geographical regions of relevance
• Social trends such as customer buying habits – national and international
• Advances in technology and the impact this will have on the business now and in the future

Utilise relevant strategic analytical tools:

e.g. SWOT, Strategy clock, Barneys Strategic Capabilities, VRIO, Porters 5 forces, cultural web etc to support your discussion points and arguments. These can be presented in graphs or diagrams.

1. What are the company’s strategic options for the future?

Depending upon the internal/external factors outlined above, what should the focus of the organisation’s strategy be?

• Include stakeholder analysis - what is best for the whole company and its stakeholders
• How should the organisation move forward.

To summarise the company’s strategic options and make recommendations to the CEO and company director on what should be the long-term direction of the business

• How does this fit with the current values, mission and vision statements of the organisation?