Interpretation: The competitive priorities of the online platform and the focus of its operations strategy is to be identified.
Concept Introduction:
Competitive priorities can be defined as the dimensions that should be included in a production process to fulfil the needs of the internal or external customers now, and in the future. This concept is crucial in goal achievement and ensuring business performance in the long run.
Explanation of Solution
Competitive priorities of the online platform A are as follows:
- Low-cost operations:
- Delivery speed:
- Variety:
It has a low-cost base due to the absence of physical retail outlets. Further, the online marketplaces have allowed the online platforms to sell more units without an increase in marginal costs. This has led to a decrease in the consumer prices.
One of the key reasons for its success has been due to the use of superior logistics and distribution networks. As a result, the order fulfilment rates have become better leading to a competitive edge over other players.
It has an extensive range of products which is one of its key strengths. Its products are sold by a wide variety of sellers across several global markets. Moreover, it has also adopted a strategy in Asian markets that suits their local needs.
The areas where its operations strategy should focus on are as follows:
The key focus should be on winning the competition despite the pressure from other players in the market. The main reason for this is the imitable business, and hence, the company should plan its operations to create differentiation with other players.
Although it is operating in a low-cost operation model, still there have been losses recorded in certain parts of the world such as India. It offers free shipping to its customers and, as a result margins have eroded. Therefore, the company should increase their margins at least for high risk products or else focus on reducing shipping costs.
Want to see more full solutions like this?
Chapter 1 Solutions
Operations Management: Processes and Supply Chains (12th Edition) (What's New in Operations Management)
- Where exactly does Instagram's operational CRM tie into its overall strategy?arrow_forwardFor the sake of argument, let's say you've isolated the source of XYZ's operational problems.1. What are the current operational difficulties confronting XYZ corporation?(2)Consideration of strategic operational options is required in light of these challenges.arrow_forwardLearn what sales and operations strategy is and how it connects engineering, logistics, customer support, and marketing strategies.arrow_forward
- How will operations plans and actions be used to meet the business's demands and provide the company with a strategice edgearrow_forwardOperations Management - Make a strategic sourcing process utilizing the hospitality/tourism industry operations. How to source products/materials used in the operation of the said department which is the (HOUSEKEEPING DEPARTMENT) Follow the strategic sourcing process from the video. https://youtu.be/oYxxp7yh8Lsarrow_forwardWith the aid of an appropriate diagram discuss any four perspective that inform the content of the operations strategy of a globally competitive company, such as H&M. In your discussion highlight how a consolidated view of the four perspectives of of operations strategy provided broader ideas about the pressure which inform the content of H&m's operations strategy and provide an example to illustrate each of the four perspectives.arrow_forward
- Incorporate strategy and operating strategy are related but different. Also, identify why they must be coupled but clarify how it is vital to connect the two.arrow_forwardYou work for B&B Import and Export Incorporated, who just acquired a new business, Agro Smart Suppliers, a Canadian distributor of outdoor power equipment such as trimmers, chainsaws, blowers, mowers, log splitters, pressure washers, parts and accessories. As a new division of B&B, your manager has given you the task of laying out a road map to success from an operations management and supply chain perspective.arrow_forwardYou work for B&B Import and Export Incorporated, who just acquired a new business, Agro Smart Suppliers, a Canadian distributor of outdoor power equipment such as trimmers, chainsaws, blowers, mowers, log splitters, pressure washers, parts and accessories. As a new division of B&B, your manager has given you the task of laying out a road map to success from an operations management and supply chain perspective. Among the responsibilities you have here are some of the main requests: Lay out a flow chart that illustrates the main suppliers (factories), who they interact with, the type of transportation they use to deliver to Canadian ports, and the timeline from each location to your warehouses in Vancouver, Calgary, Winnipeg, and Toronto. Using your knowledge from concepts and strategies presented from week 1 to 3, provide a list of least 3 suggestions with detailed justifications on how to improve the current supply chain map by increasing efficiencies and reducing cost…arrow_forward
- How service productivity can be improved by implementing the strategies of separation, self-service, focus, automation, and training? Provide relevant examples in each case to elaborate your understanding related to the strategies involved.arrow_forwardchoose a real-life corporate example and briefly explain their product/services diversification strategy ( corporate-level ).arrow_forwardRevenue and expense data for Bluestem Company are as follows: Year 2 Year 1 Administrative expenses $ 37,000 $ 20,000 Cost of goods sold 350,000 320,000 Income tax expense 40,000 32,000 Sales 800,000 700,000 Selling expenses 150,000 110,000 (a) Prepare a comparative income statement, with vertical analysis, stating each item for both years as a percent of sales. (b) Comment upon significant changes disclosed by the comparative income statement. Round percentages to one decimal place.arrow_forward
- Practical Management ScienceOperations ManagementISBN:9781337406659Author:WINSTON, Wayne L.Publisher:Cengage,Operations ManagementOperations ManagementISBN:9781259667473Author:William J StevensonPublisher:McGraw-Hill EducationOperations and Supply Chain Management (Mcgraw-hi...Operations ManagementISBN:9781259666100Author:F. Robert Jacobs, Richard B ChasePublisher:McGraw-Hill Education
- Purchasing and Supply Chain ManagementOperations ManagementISBN:9781285869681Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. PattersonPublisher:Cengage LearningProduction and Operations Analysis, Seventh Editi...Operations ManagementISBN:9781478623069Author:Steven Nahmias, Tava Lennon OlsenPublisher:Waveland Press, Inc.