Reaction Paper to the Strategic Case Study of

Aboitiz Power Corporation

Submitted by: Kimberly Daryl Cu

Submitted to: Ms. Claire Angela Rubia CPA, CMA

BSMA- 4 I MW 4:30-6:00pm
 The Aboitiz Power Corporation is a conglomerate. It is one of the leading firms in the
Philippines with interests in the generation and distribution of power. Power Generation, which
creates and distributes energy, and Power Delivery, which delivers electricity, are among its
divisions, distributes and sells energy, as well as Parent Company and others, which protects the
Company's interests. It supplies electricity to franchise areas across cities and municipalities in
Luzon, Visayas and Mindanao.

Group 6 presented the strategic case of Aboitiz power corporation and in my opinion, I can
say that it was a good strategic case study because they were able to present all the basic
components of the case like the mission statement, external analysis, internal analysis, SWOT and
other analysis, strategic alternatives or scenario, decision criteria, evaluation measurement and
implementation and transition management in which should a good strategic case study should
contained and have.

The group presented the strategic study in a coherent way. The group strategic case
study incorporates the five steps of strategic analysis by first presented the key components of
mission statement of Aboitiz in which I think is good because we can know and analyze what
Aboitiz intention, goals and purpose is. The group also presented the internal and external analysis.
For external analysis, PESTLE was used to get list out all the external factor that could impact the
Aboitiz. They also used porter’s five to analyze the Aboitiz competitive environment in which can
help to determine the strength and position of the company. For internal analysis, the group
presented the company’s performance and used IFE matrix as a tool to evaluate the internal factor
and to reveal its strength and weaknesses. In my own analysis in the presented internal analysis, I
can say that Aboitiz has a strong internal position because the company is doing well in terms of
managing their finances. Additionally, SWOT analysis was also presented by the group to help the
company asses their position to formulate new strategy. In my opinion, one of their biggest strength
would be their reputation and their biggest weakness would be their brand portfolio. For
opportunities, I think the growth demand for electricity in Philippines and for the threats is the high
exposure of Philippines to severe weather conditions. Strategic alternatives or scenario was also
given in which Aboitiz wants to expand the company’s generation portfolio, expand the company’s
distribution business, and improve the operational efficiency of its existing distribution assets. The
decision criteria were also present in which they determine the factors that impact the electricity
prices. For the evaluation and measurement, they present a balance scorecard and lastly for the
implementation and transition management, the group shows that the Aboitiz mission was to
create a long-term value for all stakeholders by Improving Efficiency for Better Customer Service,
Customer Service Performance Metrics, Balanced Mix Strategy and Aboitiz Data Innovation.

Overall, the Aboitiz strategic study of group 6 was indeed a good strategic case but I
would like to suggest that they should add more in Strategic alternatives or scenario since this will
evaluate potential solution and recommendations. In this case they didn’t include possible
scenarios that could happen in Aboitiz. They could also add some in Decision Criteria rather than
only focusing on impact of electricity prices they could also enumerate possible solution and give
which solution out of all is the best.