D081 Task2 Attempt 1

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School

Western Governors University *

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D081

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Management

Date

Feb 20, 2024

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docx

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Uploaded by BrigadierElement11150

Renee Peavy 009415833 D081 Task 2 6/21/2023 A. Two Potential Risk 1. Risk #1 Through noting the case studies, one of the first potential risks of fishing company entering a new market may encounter is the decision-making process. This is known as preventable risk. Risk is in the fact that all decisions are evaluated by all employees. The risk can negatively affect the fishing company is various ways. a. Time is one greatly affected component involve. When involving employees from the US and India the time spent in the prototype stage would be stalled due to the amount of time spent in the ideate stage of decision-making. b. Cultural differences are another element that negatively impacts the new fishing company. This is due to the decentralized organizational structure they operate under. With this type of structure in place there are very few to no managers, to help in facilitating information is properly received and communication is accurate. With the company originated in the US it is safe to assume most currant staffing is primarily from the US. The company will need to go out of their current comfort zone and hire local employees from India. With this big of a cultural shift the company will be sure to face challenges such as language barriers, religious practices, and all social awareness for India’s culture. 2. Risk #2 Legality is a major risk the onset fishing company faces. This is known to be the uncontrolled due to the fact the company has no authority over India’s laws and regulations. With regulations and laws greatly differing from the current ones intact the company will find it difficult to follow these. With great financial loss at risk the company could negatively be impacted by the cost of the fines for inadvertently breaking the law. The company may not have considered all the research needed to accurately adhere to the current laws and regulations. They will need to fully know and obey all laws pertaining to manufacturing the boats. The company will also need to consider the possible increase in cost due to obtaining the plastics via the landfill. B. SWOT Internal Strengths 1. Strength #1 The company’s steady commitment to innovation and creativity. There is evidence of this by the company’s mention of incentives provided in exchange for creative ideas. The company also mentions the hire of Indian native fishermen to help design the boat. 2. Strength #2 Organizational structure is another major advantage. This allows for information to flow not only quickly but also efficiently. Better relationships are able to be built with the founders being open to any and all feedback from not only fellow employees but from their own customer base as well. With this structure the founders and employees are able be transparent with one another allowing trust to be built in the decision-making process. By having the employees evaluate decisions made they become more invested with the success of the company’s products and potential growth.

Renee Peavy 009415833 D081 Task 2 6/21/2023 B2. SWOT Internal Weakness 1. Weakness #1 The fishing company’s decentralized organizational structure can be identified as the first weakness. This type of structure has been previously identified as a strength however with the expansions into India the possibility of failure is becoming more likely. The employees are used to the founders being very directly involved in aspects of the company such as decision making this is becoming not feasible with the current expansion. 2. Weakness #2 The company will need to make a significant starting investment in order to reserve and secure a manufacturing facility, this is considered to be a potential weakness. The cost of starting up as well as the cost of using plastics solely produced from India were not considered initially. This may affect the company’s ability to not only be profitable but sustainable to operate out of India. B3. SWOT External Opportunities 1. Opportunity #1 The demand or a non-mechanized boat amongst traditional fishmen of India is considered to be the first external opportunity. With fishing being one of India’s primary economic resources the market potential is exponential. The fishing market makes up seven percent of the global market having over fourteen million people as a part this specific industry. The growth potential makes this a sound opportunity. 2. Opportunity #2 Making a momentous investment in India is opportunity for the company. India's business climate. Is looking to partner with new companies. They want these companies to have a focus of preserving. The ecosystem in every way possible. With using recycled materials. In the manufacturing facility they plan to hire local workers, this is in their favor. They will furthermore be able to gain endorsements from NFDB for these favorable actions. With this in mind, the fishing company will be able result in more market share and more sales, leading to more profits. B4. SWOT External Threats 1. Threat #1 Competition is the first most likely threat for the company to face. With fishing being the top industry throughout India it is unlikely that this is the only company looking to expand. It is possible that other companies have already gain access to endorsements from NFDB, meaning that their manufacturing would be able to commence. If these said company’s products are able to be introduced to the market sooner, they would gain first market entry status lessening the market share of the other fishing companies. With this in mind lower sales and decreased profits would be the result. 2. Threat #2 Laws and regulations specific to the location of India would be the second external threat known. Taxation laws, employment, and environmental regulations must be learned and followed at all times. IF the company does not adhere to all

Renee Peavy 009415833 D081 Task 2 6/21/2023 mandated laws, they risk not only hefty fines but ultimately foreclosures as well. The risk of this is big but also could be avoided with proper understanding and supervision. C. Strategic Recommendations Based on SWOT 1. Strategic Recommendation #1 With the threat of competition heavily in mind a recommendation for the newfound fishing company would be focus on differentiation. By doing this the company will be able to set itself apart from other competitors also entering the same market. The US based fishing company can use differentiation in terms of materials. They have access to somewhat more expensive materials that retain a hirer quality than competitors, setting them apart from the rest. 2. Strategic Recommendation #2 Knowing the company will need a significant financial start up investment, it would be wise for the company to consider employing an integrated strategy. This company specifically is already used to the practice of inviting fellow innovators from all different industries across the board. They should be able to use that to their advantage when it comes to finding investors. C1. Justify Strategic Recommendation via Benefits Based on the thought to utilize integrated strategy the company would benefit from this on a multilevel platform. They should look to form partners and relationships with local Indian companies providing plastics directly from their facilities. This will help in terms of the company looking to gain endorsements from NFDB. This will consequently help with saving time and money by allowing the company access to locally sustained plastics. Not only will this finically benefit the newfound company, but it will also help in time management with consider production. One last recommendation would be to contract with a local facility owner of a manufacturing site verses having to purchase one of their own. This would also help avoid the company having to build one outright. With this recommendation the company would once again save on invest cost as well as speed up the time frame it takes to get the final product to the market.

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D081 Task2 Attempt 1

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