Business Assignment

Q. 1 Evaluate the Boston Matrix of Suzuki Company [ 11 ].

Boston Matrix is one of the essential techniques of strategic analysis. Boston matrix analyses
and categorize the product portfolio of a company into 4 groups according to the market share
and the growth of the product.

Suzuki company has a vast range of products and they lie on the different categories of Boston
matrix.

The newly introduced product of Suzuki is Cultus eco, it is a new product and it currently, at the
stage of introduction in the product life cycle, it is currently in the category of a problem child in
Boston matrix, as it has a huge potential for growth, however, currently its market share is very
low. The profit of other cash cows of Suzuki spends on the marketing of this product. In addition,
the new Swift is in the star category because at this time, the market share of Swift is high and
also the chances of growth are high as well, Suzuki is just doing the persuasive advertising for
Swift. Moreover, the Mehran of Suzuki lies in the Cash cow category of a Boston matrix, it is at
its maximum potential and the chances for growth are very low and the market share is at its
peak. In the end, Liana is a product of Suzuki which is almost out of the market and lies in the
dog category, the market share and the chances of growth, both are very low.

Most of the products of Suzuki lie either on Star or cash cow, however, there are some products
that are dog or problem child.

Q. 2 Identify and explain two advantages and limitations of Benchmarking. [ 8 ]

Benchmarking is the method of analysing the competitor’s strategy and applying that strategy to
your own business.

Benchmarking has various advantages and limitations. The first advantage is that the huge cost
of R&D will be saved, another advantage is that the company will get a competitive edge over
its rivals. On the other hand, the disadvantage is that the blame or copyright could come on the
business and also there are severe chances that the same strategy will not work for a business.

When a business will do competitive benchmarking and it will help the business in saving its
huge cost because the company will no longer have to spend thousands of dollars on the same
idea or research that another company has already done. The saved finance could be spent on
other business operations e.g. reinvestment purposes, etc. In addition, another advantage is
that if a rivals strategy works best for a business then the business will get the competitive edge
over its rivals and it will increase the market share of the business which will automatically
increase the profit of the company as well in most of the cases except highly competitive
market. On the other hand, there are the chances that the blame for copying could come on a
business that will badly ruin the reputation of a business which will lead to a break in brand
loyalty in a decrease in profit and market share, this will lead a business into various problems
and business could face difficulties in spending working capital and in a long run it could face
insolvency as well. Moreover, there is a threat for a company that the rival’s strategy will not
work best for a business, in this case, the business has to spend a lot of budget on R&D and
introduce a new strategy for its business.

Q. 3 Explain in detail any two leadership theories. [ 8 ]

Leadership involves in setting a clear direction and vision for an organisation that other will
prepared to follow

There are various leadership theories e.g Great Persons theory, Traits theory, Behavioral theory,
etc.

The great person theory says that all the abilities of a leader are inherent and these abilities and
skills cannot be learned, although the learning of these skill could enhance the leadership
abilities of a leader. The theory posses some qualities of a leader that leader should have these
qualities, some of them are charisma, good communicator, confident, intellegent, etc. The
original name of this theory is great man theory, because in early ages the leaderships were
associated to the man only in certain aspects e.g in battle. Moreover, another theory traits
theory believes the same, that the qualities of a leader are inherent and cannot be taught, trait
theory identifies some qualities of a leader are as follows, charisma, use emotional intelligence,
intelliegent, initiative, flexible, etc. In old ages the trend was to predict the effectiveness of a
leader was to compare the traits of the potential leaders with leaders. However, in modern age,
the trend has changed and the new believe is that some of the leadership traits could be
learned. This is the believe of trait theory in todays era.

Q. 4 Discuss the advantages and limitations of the democratic style [ 8 ]

Leadership is the process of guiding employees or individuals towards the completion of their
goals. It also includes helping out the employees and motivating and encouraging them to give
their best. There are two types of leadership styles, autocratic and democratic.

In the democratic leadership style, there are various departments and delegations in a business,
that have both advantages and disadvantages.

The advantages of the democratic style are it helps in motivating the employees, as delegation
is one of the types of non-monetary rewards so it will motivate the employees which will clearly
improve the efficiency and productivity of a business. In addition, another advantage of the
democratic style is that it will enhance and improve the decision-making of a business, as in this
style every employee is considered an important part of the organisation, so due to this, for
each decision the opinion will be taken from everyone (Blue ocean strategy). This will reduce
the chances of errors in the decision-making of a business and also leads to new ideas and
innovations in business. On the other hand, the disadvantage of the democratic style is that in
this style the decision-making process is very slow and consumes time, this is a major drawback
for those firms in which the time is very competitive. Moreover, the setup cost is really high to
set up each department separately for delegation, this will require a huge budget from the
business, which could lead the business to various issues e.g business could face issues while
maintaining day-to-day expenses, and in the long period of time business could face liquidity
crises and become insolvent.

Q. 5 Discuss the possible advantage and limitations of Artificial Intelligence [ 8 ]

Artificial Intelligence is the technology that learns from human intelligence and does its work
using machine learning and artificial neural networks. It also learns from its past mistakes and
improves upon those mistakes. Examples of AI are, Chat GPT (text-based AI), Hotpot AI
(Generative AI), etc

AI has potential advantages and limitations. The advantages of AI are that it improves the
working speed of an individual by 100x, and also it will simplify the problems of a business. The
disadvantages of AI are that will replace many job vacancies, and it also creates human reliance
on computers.

The advantage of AI is that it improves the efficiency and productivity of an individual or

business by 100x, if someone knows how to effectively utilize this application, then it will help
that individual a lot and automate almost the whole work, e.g if someone wants to make a basic
website or application, then AI will do it in second, same goes with filtering out the huge data
that requires a lot of effort, AI will do it in seconds. It also helps in debugging or finding errors in
a particular instance. On the other hand, the disadvantage of AI is that it reduces some basic
jobs and replaces the workers with AI, this will badly affect the economy of the country, when
more people will be jobless in a country the poverty rate will increase in the country. Moreover,
AI creates a sort of dependency of humans on the computer, after the launch of Chat GPT,
many working professionals stopped learning new things and depends on Chat GPT, whenever
they have to do some new work, that they didn’t know they just ask it from AI rather than
learning it by themselves. This will affect the manpower and at some point in time if AI will not
available then humans will become useless.