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A corporate strategy is mainly an internal document prioritizing the allocation of resources meant for the stakeholders and key staff to meet the financial goals of current business. The main purpose of this plan is to convey the strategic direction of the company in order to ensure all operating departments use the same guidelines for getting clarity on purpose. This dynamic document serves as a road map for moving the business from its current to its desired position.

A strategic marketing plan uses several interconnected components called the marketing mix consisting of place, product, promotion and price. Effective strategic marketing plans offer a clearly defined target market where the appropriate product or service can be placed with easy access and availability at prices that indicates a value to the target market with advertising and promotions that provokes a desire to buy.

British Petroleum is a huge oil company, which is not free from the strands of marketing. The following released data by British Petroleum show how their strategic marketing plans confer to the 4P’s of marketing mix.

Product: Fuel is a commodity product offered by all the oil companies in New Zealand. It is difficult to offer customers a point of difference with fuels. However, BP does so by selling petrol and diesel that is better for the environment. We are the only oil company in New Zealand to sell superior fuels that are kinder to the environment.

Price: With common products in the oil industry, prices between competitors are easily matched, which means it’s difficult to differentiate our product based on price. If our competitors undercut us on price, we see significant losses in volumes sold. A one-cent per liter price reduction requires retailers to achieve a 25% increase in volume to break even on site.

Place: Our network of service stations is a vital strength in our marketing strategy – we have some of the best locations in New Zealand for the service we provide. And research shows customers mainly choose fuel retailers based on their location.
We have a significant investment in ensuring we have the right number and quality of locations for our customers.

Promotion: Research shows that customers respond well to our promotion campaigns, such as the AA Rewards programme. Our loyalty programmes are a valuable point of differentiation; we use them to drive sales volumes and counter our competitors’ activity. (BP, 2013).

 

Sample Copy:

Egypt has undergone a major a political change since 2011, starting with the resignation of Hosni Mubarak, and election of Mohammad Morsi in June 2012. Even though a new constitution was passed, Egyptian economy is going through turmoil as to how to restore growth, market and investor confidence.

Negative effects have been seen on the GDP due to political unrest and uncertainty. Real GDP growth slowed to just 2.2 percent year on year in October-December 2012/13 and investments declined to 13 percent of GDP in July-December 2012. This contributed to a rise in unemployment, which stood at 13 percent at end-December 2012, with 3.5 million people out of work.

The government is planning to reduce the fiscal deficit, which rose to 11 percent of the GDP in FY11/12. Managing the state budget is a major issue.  Few of the measures planned to bring the fiscal deficit under Control, and attain a higher GDP are:

  1. Diesel is essential to much of the economy. Farmers use it to operate machineries for farming, and it also contributes to almost everything shipped. Diesel is now selling on the thriving black market for more than twice the official subsidized price — though the black market price is still less than $2 a gallon, less than half the price in the United States, reflecting Egypt’s heavy subsidies.
  2. Egypt is now backing on the $4.8 billion loan applied to the International Monetary Fund. This, would help Egypt met its fiscal deficit. However, the negotiations have stalled over how much Egypt must raise taxes and cut subsidies, as well as baring the current political situation in mind, President Morsi, is hesitant on the Loan.
  3. Even after 2-years of Mubarak’s resignation, the political events still tends to negatively affect tourism and foreign investment, crippling the economy. The reserve of hard currency has fallen to about $13 billion from $36 billion two years ago. The fall in the government’s reserves has also resulted in depressing the value of the Egyptian pound and raising questions about the government’s ability to import essential commodities like fuel and wheat.
  4. Thus, Sheik Hamad Bin Jassem al-Thami, Qatars foreign minister, said his government, is extending its hand by way of financial help, where in it plans to buy 3-billion dollar worth of Egyptian government bonds and to supply natural gas to ease out the domestic shortage, which results from a shortage of hard currency to import fuel.
  5. Libya’s government is also exploring the significance of signing an agreement with Egypt to deposit $2 billion in the Egyptian central bank.

 

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