Introduction and Background Information about the OrganizationHarvey Norman is an Australian franchisor of several independent retail companies that sell a wide range of products for office and home use. Some of the products sold by Harvey Norman franchises include computers and communication equipment, beddings, furniture, carpets, lighting equipment and a wide assortment of small office and home appliances. Harvey Norman was established in 1961 as a small retailer of common home appliances and office equipment. Through strategic business planning, the company has grown dramatically to dominate the Australian retail market. In addition, the company has extended its business operations to overseas markets- the company has stores in Europe, Asia and the Pacific region.
Currently, there are more than 200 Harvey Norman franchised retail chains operating in Australia (Macquarie, 2012). The company’s long term plan is to increase and consolidate its domestic market share as it expands into foreign markets. The company has long term plans to open stores in selected countries in Europe, Asia and North America. Being a leading domestic market player, Harvey Norman has a strong financial background and is actively working on this strategic capability to explore new markets, both domestically and internationally.
The company targets both high and low income earners and offers affordable, reliable and high quality products. Harvey Norman’s Strategic Business Objectives, Mission and VisionMission Statement Analysis Harvey Norman’s mission objective is to deliver an innovative and the best retail experience in Australia and beyond by providing its customers with high value, cheap and easily accessible products and services. The company intends to achieve this mission by opening up more retail outlets and by developing a lean its supply chain process both in the domestic market and also in the foreign countries where it operates.
Harvey Norman’s other mission is to offer a consistent and unique retail experience that appeal to customers of all levels of income hierarchy. To achieve this mission objective, the company has developed mutual relationships with its customers and other stakeholders in the industry (Macquarie, 2012). Vision Statement Analysis In its vision statement, Harvey Norman is committed to developing a realizable business that appeals to the interests of its customers while remaining responsive to contemporary issues in the industry.
The company prides itself of offering high quality products and meeting customer demands promptly. Harvey Norman’s franchises cherish and value timeliness, self improvement, personal excellence and respect for customers, employees and other partners. The company shall always hold itself accountable to its customers by delivering high quality products and honoring its commitments (Macquarie, 2012). Strategic Goals and ObjectivesHarvey Norman’s long term strategic objective is to have the largest retail share in Australia. Such a market position will enable the company achieve strong revenue growth and build on key competencies to establish a remarkable presence in the international market.
To offer the lowest prices among all Australian retailers. This objective will stimulate domestic demand for Harvey Norman’s products. The objective will be achieved by targeting price conscious households. To provide the best customer service experience among all competitors. The retail giant will achieve this objective by developing products and deals which will attract customers in long term strategic relationships. This objective will be achieved through a customer focused and product focused strategies.
The product strategy will entail among other things price reduction, efficient distribution, maximum volume and thin margins. On the other hand, the customer focused strategy will involve creation of special segments for specific customers.