The Smart Chips Company Answer to Question Porter’s value chain management is concerned with the identification of the best sequence of procedures which is required for effectively delivering a company’s products or services at the right time in the right place at a right cost to the customers. There are certain requirements for effective value chain management like that of (a) maintenance of relationship with the end users of products and services, (b) investment on technology, (c) operational activities of the company, (d) motivation, (e) human resource management, (f) organizational culture and (g) attributes within the company.
For Smart Chips, in order to become competitive against the clone microchips producing company, it is necessary to concentrate on a few of the above mentioned requirements (Kaplan, Norton, & Barrows, 2008). The company should focus upon the enhancement of customer relations through high quality after sales service and it should also strive towards bringing on continuous technological development within the market. This would, however, require heavy financial investment upon technological development but would restrict the clone microchips producing companies. As the imitating companies will find it hard to stay abreast with the speedy technological innovation of the company, it would bring about competitive position for the company in turn.
Answer to Question 2 Apart from concentrating at utilization of value chain management concept, Smart Chips Company should heavily focus on designing effective strategies of marketing. The company should market its products to the perfect group of consumer. Target marketing approach would be an appropriate option to choose from several others. The company should have to restructure its management functions in order to regenerate its competitive position within the market.
The end users should be effectively selected and the company should strive for making the products and services available to those customers who are ready to pay high prices for acquiring better quality products. Not only this, relationship building and sustenance of relationship with the customers are also essential (Bragg, 2004). In order to compete with the low priced clone microchips, Smart Chips Company should control its activities through which it can ensure to manufacture its products with the most appropriate technological equipments and machines.
Enhancement of internal operational environment is essential in order to provide high quality products at competitive prices. Answer to Question 3 In order to incorporate the new strategies within the organizational culture of Smart Chips Company, motivational approach would be required to be followed. Along with motivation, the company would also require adequate financial resources to be invested in the structural reform of its business. At the recent point of time, the three of the most important strategic moves of the company are to identify the target market, enhance customer relationship with quality after sales service and continuous technological innovation.
Motivation would be required for the first two cases and financial resources for the third one (Rindova, Dalpiaz, & Ravasi, 2007). Motivation to the internal staffs of the company would result in greater cohesion amongst them and they would achieve a situation of identifying one single organizational goal. Motivational approaches would help in depicting the importance of providing high quality after sales service for maintaining rapport among the consumers. The employees would be highly motivated towards identifying the most important target market through motivation.
On the other hand, inducement of financial resources would allow the company to rejuvenate its present product features on a continuous basis. The mode of incorporating the identified management concept would definitely regain the competitive position of Smart Chips Company. References Bragg, R. (2004). Target Market Identification & Development. Retrieved from http: //cpa. utk. edu/pptpresentations/agri-tourism/targetmarketpres2-04.pdf Kaplan, R. S. Norton, D. P. & Barrows, E. A. (2008). Developing the Strategy: Vision, Value Gaps, and Analysis. Retrieved from http: //www. exed. hbs. edu/assets/Documents/developing-strategy. pdf Rindova, V. Dalpiaz, E. & Ravasi, D. (2007). A Cultural Quest: A Study of Organizational Use of New Cultural Resources in Strategy Formation.
Retrieved from http: //siepr. stanford. edu/system/files/shared/pubs/Cultural%20Quest-accepted. pdf