Mitigating Market Entry Barriers The WritePass Journal

Mitigating Market Entry Barriers Introduction Mitigating Market Entry Barriers ). McLaren Electronic Systems (MES) creates electronic control systems for the McLaren Racing team. The company’s electronic systems are used in formula one vehicle for various telemetry and sensory systems. The company also creates electronic control units for other teams in the motorsport industry to use across Europe and North America. (McLaren, 2013) McLaren Applied Technologies (MAT) focuses on supplying the best technology to boost the technical support in world of sports and to enhance the performance of McLaren’s formula one vehicles. McLaren Applied Technologies has continued to boost McLaren’s reputation as the ‘forefront of British engineering and technology’ (McLaren, 2013). MAT has helped worldwide sports by providing technology to help improve the efficiency of the participant’s performance in the best way possible. This could be something as simple as providing mountain bikes that weigh less without hindering the efficiency of the bike. Absolute Taste is engaged in hospitality and event management business. It serves food to McLaren’s customers and fans at formula one race. Absolute Taste also provides a catering service and hospitality to upper class customers around the world. They also organise events and the serve various cuisines to cater its global customers (McLaren, 2013). McLaren’s Horizontal Diversification The aforementioned diversification strategies of McLaren can be categorized as either related or un-related diversification strategies. Related diversification strategies can be further divided into three categories as horizontal, vertical and cross-sector diversification (Charles et. al, 2010). These related diversification strategies differ due to their different combination of industry similarity and value chain similarity (see fig 2).   Horizontal diversification pertains to a business’s venturing into a new field which uses the same value chain as its core business and falls within the same industry. Considering this definition, McLaren has not diversified horizontally as it has not acquired any other formula one racing teams. Fig.2   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   (Source: Charles et, al. 2010, p. 296) McLaren’s Vertical Diversification Vertical diversification refers to a diversification initiative within the same industry, but one which uses a different value chain than that of the company’s core business.   (Charles et, al. 2010). McLaren diversified vertically through its automotive business as it operates within the same industry but has different customers and marketing channels. Likewise, McLaren’s electronic systems and applied technology business can be termed as vertical diversification as it operates within the same (formula one racing) industry, but it requires a distinct value chain i.e. production, distribution and customer network (McLaren, 2013). McLaren’s Cross Sector Diversification Cross sector diversification occurs refers to diversification within a different industry, but one which has a same value chain (Charles et, al. 2010). McLaren’s venturing into the catering, hospitality and event management business (Absolute Taste) can be classified as cross-sector diversification. Absolute Taste share’s the same value chain as McLaren’s core business as it is an extension of the company’s own marketing activities and thus uses the same managerial and other resources. However, Absolute Taste also operates in a complete different hospitality industry; a field completely different from car racing business. Similalry, McLaren’s applied technologies can be termed as cross-sector diversification in that it also operates in other industries such as medical science apart and sports (other than car racing). McLaren’s Unrelated Diversification Unrelated diversification is referred to a firm’s engagement in a completely un-related business (Charles et, al. 2010). McLaren, diversification strategies so far do not include any un-related diversification as the company achieves economies of scale and synergies through all of its diversification strategies. McLaren has developed this portfolio of companies to boost the Group’s reputation and to expand. The development of the production centre improved McLaren’s chances of increasing economies of scale. By having so many of the McLaren companies being managed under the same roof, it allows each company to make the most of tangible and intangible resources and materials that wouldn’t have been used otherwise (McLaren, 2013). The joint use of inputs means that different McLaren subsidiaries share the transaction cost of machinery and other possible production costs for the vehicles that are produced. Once the McLaren production centre was built, it meant that the internal process of vehicle production would change. Within the production centre research is continuously gathered on how to improve the general performance of McLaren’s Racing and Automotive vehicles. As the car is built they can then send it off to be spray painted by hand within the same facility which not only saves time but reduces errors that may have been made on the paint work by machines. Managerial ambition is the drive of many businesses. McLaren has a reputation to withhold as the ‘forefront of British engineering’ (McLaren, 2013). McLaren are always attempting to produce the best. By diversifying into so many subsidiaries it creates new targets for the groups as a whole. The diversification strategy allows the company to increase its business profile and spread risks accordingly. McLaren’s Diversification strategy as a Reflection of Historical Trends in Corporate Strategy Throughout the midst of 20th century till the early 1990s, there were several dominant logics of strategic management. During 1950s, there was an emphasis on general management skills, along with widespread un-related diversification moves by corporates. It was followed by the prevalence of requiring specific management skills for different industries in the 1970s and 1980s. This was coincided with the requirement of portfolio planning. It was not until 1990s, that the focus of management practitioners and academics was led to prevailing themes of core competencies and dominant management logic view to achieve synergies through growth and diversification strategies (Goold and Luchs, 1993). During this time (i.e. 1990s) McLaren embarked upon its diversification initiative as part of its growth strategy. McLaren’s growth strategy precisely coincided with the prevailing business view of achieving synergies through diversification. Once the new McLaren production centre was built it allowed McLaren Automotive to increase their daily production and enabled them to introduce new road cars such as the MP4-12C sports car. The production centre has not only boosted the production rates but has also got a production line which allows McLaren to test its vehicles (Fosters plus partners, 2013). The production centre is also connected to the McLaren technology centre which is ‘connected by a subterranean walkway, lined with interactive exhibition spaces’ (Fosters plus partners, 2013). This connection allows the technology centre to provide for the McLaren Automotive department by coming up with new McLaren electronic systems for their vehicles. With the producti on centre in place it allows the diversification of the McLaren industries to take advantage of the ability to share machinery. With the connection of the Production centre and the Technology centre it allows McLaren to develop new technology to be used by MES for McLaren Automotive and McLaren Racing to use in their formula one vehicle. To either improve the vehicle performance in some way or to generally improve the safety of the racing car. Absolute taste provides food for the McLaren racing team and other clients such as Mercedes-Benz at all grand Prix races worldwide (McLaren, 2013). Igor Ansoff defined synergy as ‘Exploitation of similarities between different lines. Two plus two equals five’ (Ansoff, 1957). This analogy is saying that when similar industries combine such as McLaren Racing and McLaren Automotive it increases the production levels beyond the predicted rate. This synergy was improved greatly once McLaren has built the new Production centre. It allow ed the McLaren group to all operate in the same vicinity roof which inevitably improves synergy amongst the different industries. All of each other’s resources are at the disposal of whoever wishes to use it. References Ansoff, I. (1957) Strategies for Diversification. Harvard Business Review. Vol. 35 Issue 5. Charles E.,   Bamford, G. and West, P (2010). Strategic Management. Cengage Learning. Fostering plus Partners, (2013) Projects:McLaren Technology Center   Available from fosterandpartners.com/projects/mclaren-technology-centre/ (cited on 5th, March, 2013) Goold, M. and Luchs, K. (1993) Why Diversify: Four Decades of Management Thinking. Academic of Management Executive. Vol. 7 No. 3 McLaren (2013) Vodafone McLaren Mercedes. Available from mclaren.com/formula1/page/mclaren-group (cited on 5th, March, 2013) Nye, D. (1988) McLaren: The Grand Prix, Can-Am and Indy Cars. Guild Publishing. Porter, M.E. (1979)  How Competitive Forces Shape Strategy,  Harvard Business Review, March/April 1979. Terpstra, V. (1994). International Marketing, USA: The Dryden Press William, T. (2009).   McLaren  Ã¢â‚¬â€œ The Cars 1964–2008. Coterie Press.

Why Diverse Teams Are More Successful

Why Diverse Teams Are More Successful Diverse teams are smarter, deeper and more effective than usual ones. The secret is on the surface. Diversity is the condition of being composed of different elements and is often referred to people. The types of diversity can vary according to the age, religion, race, culture, and abilities. Recently Credit Suisse conducted the research â€Å"The CS Gender 3000: Women in Senior Management†. Since 2012 the company’s research team has been analyzing the gender diversity and corporate management. The report shows that the companies with more women in the boardroom bring better results on stock markets. â€Å"Why Diversity Matters†, another report on diversity prepared by Mckinsey in 2015, shows that companies committing themselves to diversity in leadership are more effective and successful. The non-homogenous staff is believed to improve their customer orientation and decision making. The report found that ethnic and racial diverse managers are 35% more likely to have financial returns above the industry mean. A BETTER WAY TO UNDERSTAND TEAMS AND ROLES Why Is Diversity Important? Employees with diverse backgrounds may change the behavior of the whole group. This change may be different, positive and negative. In the USA even mentioning the word â€Å"diversity† may lead to conflict. It’s because a strong idea of inclusion that everyone should be able to use the same facilities, enjoy the same experiences and take part in the same activities. American companies tend to spend millions to manage workplace diversity issues, but yet they still having lawsuits on discrimination. But it is reasonable to dig into what importance of diversity is and what good it does. If you want to create a team capable of outside-the-box thinking and innovating you should bring a diversity in it. Diversity is considered to change the way a group of people thinks. When different people are brought together to solve the problem, they express their opinions and thoughts on the matter. And there may be the difference in these opinions as to the ways of solving the problem. Diverse teams are more objective and are constantly reexamining the facts. Analyzing Information Diverse teams process and analyze facts and information more accurately to make the right decision. In the study published in the Personality and Social Psychology Bulletin in Northwestern University by Katherine Phillips, a team was divided into 2 groups of members: the first one with the out-group newcomers and the second with newcomers. Both groups were to read the interviews conducted by the detective who investigated a murder and to find out who the suspect was. It turned out that the second group was more accurate of a joint decision. This research showed that diverse groups may outperform the homogeneous ones in discussing, problem-solving and decision making. Teams with any, gender, racial or cultural diversity work harder both socially and cognitively. Diverse groups of people exchange a wider range of data, they are better at considering the facts, they assume that they need to work harder to come to a consensus. Globalization demands more interaction among people from diverse backgrounds. Since the diversity in the workplace shows strong potential to improve collective work and yield productivity, bringing it to the companies become a key to effective management. A diverse team in your company may become the reflection of the rapidly changing marketplace and the world. MANAGING CONFLICT IN GROUPS If you are assigned to write an essay on any type of diversity this sample essay will be useful to read and determine the main issues to focus on. If you have no time to write on your own feel free to contact our professional writers and place an order.

Gay-lesbian should allowed to become foster parents or adopted Personal Statement

Gay-lesbian should allowed to become foster parents or adopted - Personal Statement Example Allowing gay-lesbian adoption helps in two main ways i.e. it enables the state to reduce the amount of tax payers money used to support this system and also gives the child a chance to grow up in a family where he or she is loved. In this context, the child acquires the right to inheritance thereby guaranteeing him a brighter future than that which he could have under the system. It is important to note that in a year such as 2000, the US government spent approximately $20 billion to support the program, money which could have been spent on other important sectors such as provision of quality healthcare (Shirk 45). A significant number of children in the child welfare system come from families which administered torture and discrimination to them maybe due to disability or other types of health defects. As such, they feel rejected by the society and therefore would do anything only to make them feel loved. Having undergone the same predicaments in a society that tends to shun same se x relationships, gay couples are in a better position to understand these children and offer them emotional support based on their first hand experiences (Hicks 27). It is therefore not a wonder to find such children excelling much more than those adopted by heterosexual couples.

Dakota men and the Pictographic Style Essay Example | Topics and Well Written Essays - 500 words

Dakota men and the Pictographic Style - Essay Example Dakota men had painted in what is called the pictographic style for centuries, usually to record tribal histories and personal exploits. The arrangement of these points was usually according to one of a few traditional designs, one of the most popular being the Tahokmu or spider-web design. The Museum’s collection of over 6000 objects consists of paintings, drawings, prints, photographs, textiles, sculptures, and Native American artifacts and art. The objects are a cultural reflection of the work of local, national, and international artists. The emphasis however, is on the work of artists from South Dakota and the surrounding region. Dakota men had painted in what is called the pictographic style for centuries, usually to record tribal histories and personal exploits. Howe learned that Dakota artists frequently contemplated the painting surface, often for days, until and arrangement of â€Å"aesthetic points† appeared, the intersections for all lines subsequently drawn or painted in making the picture. The arrangement of these points was usually according to one of a few traditional designs, one of the most popular being the Tahokmu or spider-web design. (South Dakota Art Museum. Oscar Howe. Oscar Howe Biography. South Dakota State University).

Hispanic and Latino Americans Essay Example for Free

Hispanic and Latino Americans Essay The poem â€Å"Legal Alien† by Pat Mora is in the open poem form, it has no stanzas. It does have a few words that rhyme which are â€Å"English† (5) and â€Å"Spanish† (6) and also with â€Å"Mexicans† (14) and then with â€Å"Americans† (15). The poem also has rhythm, it is a low steady beat. It is a straightforward poem about how life is for a person with the same race/ethnicity as others and at the same time, different from others. The poem â€Å"Legal Alien† is about a woman of Mexican parents, who is born and raised in America. An American citizen established by law, but at the same time this person feels like an illegal alien because of how some people treat her. She is fluent in both, English and in Spanish. Feels American because she is, but at the same time she doesn’t. She is looked at by Americans (Anglos) as inferior, and looked at by Mexicans like she doesn’t belong. They make her feel like she is not one of them, like she doesn’t fit anywhere. â€Å"An American to Mexicans a Mexican to Americans a handy token sliding back and forth between the fringes of both worlds† (14-18). – What this means is that she feels like she could be from both places and at the same time from neither, but on the border of each. Happy, sad, confused, lost but at the same time she tries to cover all her feelings and what she is thinking â€Å"by masking the discomfort† (20) is that she has to grin and bear the fact that she is being condemned for having two nationalities. After reading this poem over and over I can say that I have felt what the speaker mentions in the poem, I have been in her shoes. Yes it’s hard to believe but if you think about it we are all different and at the same time we are all the same. For some people it is hard to accept people of different nationality, but the only thing we can do is to move on. I am Mexican American, also bilingual, with two different cultures, born in America with Mexican parents. I think this poem â€Å"Legal Alien† is a little about racism which is everywhere and it has been around for a long time. I have felt looks from Mexicans and Americans, and to be honest it doesn’t feel that good. But I think that the only thing we can do is to just let it go and live life at the fullest and accept everyone as they are. Race, color, religion, or even language should not matter. In the end, and underneath of it all, we are all the same.

New York City Essay examples -- Descriptive Personal Narrative Essays

When you associate anything with New York City it is usually the extraordinary buildings that pierce the sky or the congested sidewalks with people desperate to shop in the famous stores in which celebrities dwell. Even with my short visit there I found myself lost within the Big Apple. The voices of the never-ending attractions call out and envelop you in their awe. The streets are filled with an atmosphere that is like a young child on a shopping spree in a candy store. Although your feet swelter from the continuous walking, you find yourself pressing on with the yearning to discover the 'New York Experience'.   Ã‚  Ã‚  Ã‚  Ã‚  Upon arrival into the jungle of vast buildings, the first thing noticed is the mobbed streets filled with taxi cabs and cars going to and fro in numerous directions, with the scent of exhaust surfing through the air. As you progress deeper into the inner city and exit your vehicle, the aroma of the many restaurants passes through your nostrils and gives you a craving for a ?NY Hot Dog? sold by the street venders on the corner calling out your name. As you continue your journey you are passed by the ongoing flow of pedestrians talking on their cell phones and drinking a Starbucks while enjoying the city. The constant commotion of conversing voices rage up and down the streets as someone calls for a fast taxi. A mixed sound of various music styles all band together to form one wild tune.   Ã‚  Ã‚  Ã‚  Ã‚  After a few hours of bustling through the streets, you realize that...

American Airlines Strategy Paper Essay

Currently the airline industry as a whole seems to be on the road of recovery. We, American Airlines, the fourth largest carrier recently avoided bankruptcy, but had a summer full of pressure due to ongoing union struggles and questionable executive compensation packages. After having incurred such big losses, this recovery has come about because of the government bailout and many of our large competitors’ abilities to survive the turbulence in the industry. So far, the prospects look promising. Revenue has improved across all regions of the business. Domestic unit revenue was up almost 10 percent and Latin American revenue has increased by close to 11 percent in the last quarter of 2012 compared to the same period the prior year. We are performing better than other airlines that have filed for protection and have done so without slashing capacity. In short, American is doing the right things to return to business efficiency and customer effectiveness. In order to establish a sustainable position for the future, American Airlines must adopt a three-pronged strategy moving forward. First, we should focus on low priced operations and increased marketing strategies to improve customer demand. We have to enhance customer experience and our volume of loyal customers to build a stronger presence in Airline Industry. Second, we must focus on increasing and improving the routes to cater to large customer base. Lastly, we must address the difficulties our company might face in integrating with the culture of US Airlines. Our future success is highly dependent on these two entities efficiently operating as a single organization. Industry Analysis Current Position US Airline industry today is dominated by five major domestic carriers. United, Delta and Southwest each has more than 15 percent market share. American is fourth, with around 12 percent and US Airways is fifth with around 10 percent. Four of these five are profitable — all but American. We lost $2 billion in 2011 and $1.7 billion in the first quarter of 2012. Future Strategy Our emphasis in 2013 is on operational flexibility, international growth through alliance and selective network expansion, and domestic partnerships to reduce operational and balance sheet risks. American’s market differentiation is based on emphasizing and meeting the needs and expectations of high value customers (particularly large global corporates) and better alignment with the one world airline network and value proposition. Also, being the lead carrier between not only the United States and Latin America but, increasingly, the world and Latin America—connecting through Dallas, Los Angeles, or Miami. This strategy makes sense; if they can get all labor work groups on board, they should be able to make it happen. That is still the main challenge, as is competitor contestation, particularly from larger traditional rivals like Delta and United. Improve Customer Demand Lower Operational Costs American passenger division which already has 57 fewer planes in service than an year ago, should further shrink by another 57 planes this summer. This would improve operational efficiency. Current service levels include 275 cities with a fleet of over 1000 aircraft. American carries about 80 million passengers daily and receives more than 329,000 reservation calls, handles more than 293,000 pieces of luggage and flies more than 4300 flights in one typical day. In order to reduce costs further over 27000 jobs will have to be eliminated. Because of high competition in the industry, substantial price fluctuations occur related to fares. Enhance Customer Base Increase value added services offered through our interactive website, AA.com. Any differentiation that convenience added capabilities offer is the center of focus. Busy hiub systems and schedule patterns need to be looked at to improve efficiency and routing effectiveness, thereby enhancing customer experience. We need to do rigorous marketing to attract more customers. Our marketing is currently focused on seasonal and business travelers and much analysis is taken in order to optimize peak travel seasons as well as frequent flier miles programs and pints systems. The Making More Room in coach program is the original marketing ploy of American to project a perception of higher passenger comfort levels. As increased advertising and intense market share is gained, we will continue to remain a key player assuming passenger demand goes up as projected. We will focus on upgraded in-flight entertainment systems, football game special fares, and buy-on board meal options to further enhance customer experience. Improve Network American Airlines’ new network strategy is designed to improve profitability by offering the routes and schedules that attract and retain not only their own high value customers but also those of alliance partners, an important source of revenue through codeshare agreements and closely aligned loyalty programs. The network is the core product that works in concert with lie-flat seats, onboard amenities, and customer service. Latin America is a prominent focus, due in part to our strong presence in key hubs to Latin America such as Dallas and Miami. This is where the profits are. Passenger growth forecasts for Latin America for 2013-17 are 6 percent for Latin America North (Central America and the northern rim of South America) and 8 percent for Latin America South (southern cone countries such as Brazil and Argentina). This compares with 3.6 percent for Europe and 4.4 percent for Asia. Increase International Routes To follow the growth markets, we must change our portfolio mix to focus more on international rather than domestic routes. This is a gradual process, moving from 38 percent international and 62 percent domestic capacity in 2013 towards a 44/56 percent balance by 2017. As we refocus more of our flying towards international opportunities, it is likely to look towards increased code-sharing with domestic carriers like Alaska Airlines, jetBlue, and others to further enhance our network in places like Los Angeles and New York City. This is likely to have initial teething problems, due to terminal colocation and product disparity issues. For instance, the business passengers that we are pursuing may be disgruntled by jetBlue’s more restrictive carry-on baggage policies or by extra time and added security checks if they are required to change terminals. Refurbish domestic feed Our plan is also to diversify our domestic feed by increasing the number of regional carriers with which we do business to reduce operational and balance sheet risk. Today, we primarily get a feed from our wholly-owned subsidiary, American Eagle, which has higher costs than some other regional carriers. American Eagle is going through its own restructuring to lower its costs, and it may ultimately be spun off. Synergies with US Airlines Merger with US Airways will result in the largest carrier in US. It would create roughly $1.2 billion in financial benefits.