2 hours

STRATEGIC MANAGEMENT

60 Marks

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ Section A: All questions are compulsory. Briefly explain the concept and each questions carries 3 marks 1.1. Strategic Management Process 1.2. SWOT analysis 1.3. Importance of strategic planning 1.4. Functional Strategy 1.5. Product Life Cycle 2. Read the case study and answer the questions given 15 marks

1.

15 marks

Cambridge has become a trademark of gents clothing. Initially, the company started marketing quality shirts for the common m an at an affordable price. The concept of the company was offer better products at a cheaper price. The strategy clicked. There was a boom in sales and Cambridge shirts became a rage with the general public. But, over the years, the Company wanted to increase its market segment. It, therefore, began offering clothing for both, the middle as well as the higher level income groups of gents customers. Buoyant with their success, Cambridge expanded their product range to include pants, trousers, shirts and other accessories. The basic philosophy of the company is outsourcing. The cloth, thread and other materials are supplied by Cambridge to the garment factories. The labour required is also outsourced. But outsourcing brought in various problems. Cambridge did appoint its own quality control personnel to ensure the requisite quality of the finished products offered to the customers. But, the expertise and the experience of the quality control inspectors were questionable. The company heavily depended upon them to ensure the quality. The products required by the customers are produced in standard, acceptable sizes. They were produced in bulk to economy of scale in production. But whether all the goods produced in such large scale would be sold with definitely w as in doubt. It was a risk, since customers tastes change rapidly. What is of value today for a customer, maybe absolutely useless tomorrow. In all, there are about 20 company-owned outlets spread over the city and suburbs of Mumbai. The stocks at these outlets are replenished by the central stores of the company as per the demand and the forecasts made by these outlets. Sometimes, delays in the delivery of supplies occur due to unforeseen inadequacy of stocks. The company has its own fleet of tempos to deliver the finished products. In fact, these tempos are used for both, inbound as well as outbound activities. Presently, the tempos are handling more than 50 stock keeping units. SKUs of various gents attire enjoy a strong brand image which the company has build. But, fierce competition is making it extremely difficult to maintain the sales. But, Cambridge believes that their s trength lies in their quality. This, they believe, will ward off the threat from its competitors. In the Light of case study, Do a SWOT analysis
for the product.

a. Compare the Swot analysis of the company and textile industry. b. Analyse the importance of strategic management in the light of case study. c. What is the importance of strategic planning and what are the pre requisites, explain in the context.
3. 4. 5. Section B: Answer any 3 questions, Each carries 10 marks What is the need for strategic management and what are the advantages of same? Why strategic plan fails? Explain the factors indicates environmental influence of a business in the light of PESTLE analysis Explain 5.1. BCG Matrix 5.2. Importance, advantages and limitations of Porters five force model Explain 6.1. Role of leadership in strategic management 6.2. Strategy Evaluation and control 30 Marks

6.