There are many companies in the UK providing baby care products. Examples of such companies include Johnston Baby Skincare, Water Wipes Pure Baby Wipes and Mum and Me Little Explorers. The skin of a child is sensitive thereby requires best and quality products. The companies provide the skin care products since the children’s skin is delicate. Healthy competition exists between these companies with Johnston being the leading company in the UK. The companies provide products useful to small infants of below the age of four. In addition they provide products for pregnant mothers which can be used before and after the pregnancy period. Examples of baby products produced by this company include food, shoes, clothing, lotions, baby bedding toys, playing games, bottles, gifts and other baby care products used to maintain good hygiene to the delicate children. Other products are produced especially for pregnant mothers which include maternal clothing, nutritious food supplements and other products related with mothers hygiene. This report will give an outline on how managers should implement given strategies in order to make the companies successful.

The importance of achieving strategic fit

Strategic fit is the process used by a company to ensure that both capabilities and resources comply with the factors affecting the business externally. The company uses resource based theory in order to ensure that both capabilities and externalities are available and utilized for success of the company. Strategic fit is used to analyze the current strategy used in the company and ensure that the right strategies are used to bring success to the company. For example Johnston Company uses the strategic fit to analyze its products and improve the products in accordance to the current technology (Jolly, 2012, p.341). Resources utilize use of modern technology which contributes success to the organization. Capabilities in an organization are intangible in nature and thus cannot be measurable. Organizations show their capability in the number of employees, given resources and type of technology used.

Organizations should ensure that they have necessary resources as away of encouraging investment and profits. Modern technology should be used in terms of machines. Organizations should use modern software thus boosting the IT department. Strategic fit entails use of the resource based theory thereby ensuring that capabilities and resources are used in a maximum way. Organizations should venture in to different resources according to the resource based theory (Jolly, 2012, p.341). Resources are mainly the collections in an organization that impact positively or negatively. Resources should therefore be utilized in an efficient manner. The baby care company ensures that through the strategic fit resources impact positively to the success of the company. In addition strategic fit entails the company to develop and utilize the available raw materials by enhancing modern technology. This brings success to the baby care company which is useful in keeping hygiene of small babies and pregnant mothers (Truss et al, 2012, p.254).

Strategic fit helps the company plan long term successful plans. It helps companies get reliable supply chains where the products get to reach the customers in a good time. This advantages the baby care company since customers can access the product at different stores and supermarkets. Strategic fit ensures that the company uses modern technology and efficient communication strategies (Blundel & Lockett, 2010, p.213). It ensures that the company uses corporate strategies in its activities. The manager ensures that the employees follow the requirement of company. The manager ensures that competition is healthy thereby looking for effective methods of maintaining strategic fit in that company. A corporate strategy entails developing plans which are long and reliable for the company’s present and future success. The manager ensures that the prices of products are affordable to the customers who are mainly mothers. Strategic fit ensures that the working environment is convenient for employees (Blundel & Lockett, 2010, p.213).

Employees should remain motivated in order to support the company. Managers should look for markets for the products. The baby care company being an international company ensures that products are distributed globally (Lockwood, 2007, 312). This maintains success since globalization is taking place thus improving international trade markets. Managers should be flexible in order to change with the changing strategies and technological changes. Managers should ensure that the company is not outshone by the competitors. Managers should identify the problems faced by the company and come up with reliable and efficient solution to ensure success of the company (Lockwood, 2007, 312). The objectives and aims the company should be achieved by managers applying their management skills. Mangers should make sure that the plans are well implemented and that the set goals and objectives are maintained. This makes the company remain strategically fit.

Porter’s Five Forces framework as a tool of competitor analysis

Competitive rivalry

There are three largest baby care companies in the UK such as; Johnston Baby Skincare, Water Wipes Pure Baby Wipes and Mum and Me Little Explorers. These companies are operating by applying diverse approaches to appeal customers. Thus, they all are operating in a same industry, where everyone’s battling to win customers interest and share. This means that the baby care companies have had to be advanced and exclusive in order to gain large amount of market share (Osterwalder & Pigneur, 2013, p.234). Competition implies that the business is growing and thus the company should remain competitively advantaged. In order to reduce the competition, the company should lower its prices, give discounts and promotions to its customers and practice advertisement as a way of attracting customers who are mainly mothers. The company should differentiate its entire goods and service in order to survive in the competitive environment.

Threat of substitute products

There is a high threat of substitute within the baby care industry. Consumers hold great power to substitute to the other dominant retailers. Many baby care companies contain variety of similar and close substitute products. It causes price elasticity of demands since the market is sensitive to price and accordingly price will be increase or decrease in terms of their competitor attitude towards the product pricing (Osterwalder & Pigneur, 2013, p.234). UK baby care industry always tries to increase the product quality and services to make them less price sensitive. Companies provide high quality products which will attract the targeted customers.

Threats of new Entrance

A new company faces several challenges and difficulties when venturing in to the baby care industry since competition is stiff. When new markets enter, the existing ones are as well challenged. New markets enter with improved products which are advanced in technology thereby posing as a threat to existing companies. New companies in order to attract customers at first lower their prices and thus will be preferred by most people (Tilmouth & Quallington, 2012 p.236). This challenges the existing markets that will be forced to lower their prices in order to compete with the new markets. This means that industry stances sturdy barriers for new entrants to enter, as new entrants have to have high financial back up to cover all the costs of the business, in order to compete with their rivals.

Bargaining Power of suppliers

The baby care industry holds low Power of suppliers as dominant markets are dealing with various customers. There is a little threat as large baby care companies dictate the price they pay to their suppliers. Thus, small businesses are not able to compete with big rivals, equally suppliers are left with big baby care companies and they have to provide material on time and increase their output capacity while decreasing the prices (Tilmouth & Quallington, 2012 p.236). The necessary raw materials and resources should be maintained. The suppliers decide on the prices of their products. It is not the responsibility of buyers to decide but the prices should remain affordable to the targeted buyers.

Bargaining Power of buyers and customers

To some extent there can be several producers but few buyers. This is disadvantageous to the baby care company. The buyers can therefore dictate the price they want by bargaining in that favorable environment. This advantages the customers but poses as a threat to consumers. Buyers will go for the best and quality products thereby disadvantaging the producers. Companies are left with no choice but to reduce the prices of their products so that customers can buy their products. In this case the consumers dictate their prices and the industry are affected negatively (Tilmouth & Quallington, 2012 p.236). Power of buyers is high threat for businesses as Customers hold great power, they force markets to reduce their prices since they have other alternatives, if one market is charging high price then they are likely to switch from one baby care company to another.

The rationale for adopting a revolutionary as opposed to an evolutionary approach to Change

Managers face difficulties in their business activities. Managers should ensure that the company remains competitive advantaged. This implies that the manager should look for opportunities and markets for the products of the company (Ray, 2010, p.204). The manager should ensure that strategic changes are implemented in order for the company to remain successful even though competition exists in the industry. They should come up with skills, inventions and ideas on how to manage the company in accordance with improved strategic changes. Evolutionary approach should therefore be changed and revolutionary approach maintained. The new and reliable opportunities should be utilized in order to maintain success of the company. Managers have a big role in defining the opportunities necessary to enhance continuous growth and development of the company (Ray, 2010, p.204). Resources and capabilities should be well utilized in accordance with the plans made by the company. The set goals and objectives should be achieved through use of revolutionary approach. Raw materials and necessary resources should be maintained in order to enhance a smooth flow of activities in the company. New strategies should be implemented which will contribute to success of the business. Managers have the responsibility of promoting success of the company through utilizing their position in guiding other employees to undertake the strategic changes in the company. Managers should motivate their employees and provide quality wages to them. This ensures that they remain motivated and work hard to ensure success of the company (Ray, 2010, p.204).

Evolutionary approach deals with developing the already existing strategies. This approach is rather not preferred by companies. Revolutionary approach is highly preferred since it guides managers on what to do and how to utilize resources, available raw materials and new opportunities for success of the company. Managers should therefore utilize the new ideas and technology in order to enhance success of the business. Managers should be keen in making decisions since they affect the entire activities of the company. Decisions should be clear and transparent and should also involve employees (Ray, 2010, p.207). Managers should not make long lasting decisions without consulting employees as a way of showing respect and value they have for employees. Decisions should be effective and well planned strategically. The company should be led by highly qualified staff members whose aim is to contribute success to the businesses. Employees should ensure that they employ good and reliable skills in order to promote success in the company. A good revolutionary approach employed by staffs of the company should entail maximum use of the given resources. Strategic planning is a key contributor to success of the company (Ray, 2010, p.207). Aims and objectives should be clearly laid down and employees given the guidelines on how successfully achieve the set standards. The management of organization should be strategic such that both resources and capabilities are utilized in the best way possible. Resources utilize use of modern technology which contributes success to the organization. This is in accordance with the revolutionary approach adopted by managers in the company.

The concept of strategic drift and how it might be avoided

Strategic drift can be referred as a gradual change that takes place so delicately that it is not recognized until it is too late (Friedman, 1987, p.99). This situation normally arises in instances when company steadily develops strategy in a manner that does not correspond with the changing external environment (Gottschalk, 2007, p.189). Strategic drift can have adverse effects to an organization, for instance, it causes the entire organization’s strategies to be unsuccessful when addressing the strategic position of an organization. Bearing in mind that Johnston baby Care Company is widely known company in United Kingdom, the occurrence of strategic drift can have adverse impacts on their strategic positions. Normally, a strategic drift can result from the organizational history and culture that in turn obstruct organizational change (Gottschalk, 2007, p.189). It is believed that a strategic drift can be experienced even in a company that has enjoyed a significant success. This is because most of the companies tend to respond too slowly to changes that take place in the external environment and they continue using the strategy that has ever served the entire company very well(Gottschalk, 2006, p.62).

Different research that were carried out due to this concept of strategic drift asserts that most of the causes of the strategic drift are obliged their continuation due to a lack of possession of the strategy by staffs of the entire organization (Gottschalk, 2006, p.62). This means that the members of the organization most often assume strategic drift as they thought that it is the failure of the people who are mandated for change management. It is essential for all baby care industries to be in a position to know ways in which they can avoid this issue of strategic drift. This is because it is too gradual to an extent they cannot be able to recognize it. It is clearly known that strategic drift can arise when an organization strategy fails to comply or to fit the operating systems as it was earlier planned (Gottschalk, 2006, p.62). Various ways that can be used to help baby care industries to avoid the concept of strategic drift may include the following:

Growth

Johnston baby care companies should come up with a well defined growth strategy that will be in a position to address all need for future growth. A well defined strategic growth will help these industries to formulate a well defined guideline that will operate as a road map for the companies to attain their goals (Gottschalk, 2006, p.62). When companies tends to have a well planned strategies, it can be in a position to attain its’ goals through an easier management of the entire employees. This in advance will help them to avoid the emergent need for changing their formally planned strategies and thus, avoid strategic drift.

Leadership

It is believed that a well planned leadership strategy is essential to an organization. This is because it acts as an important factor that helps to determine the viability of any organization operations (Gottschalk, 2006, p.62). In addition, good leadership is accountable for growth of the entire organization whereas unplanned leadership is accountable for drift in an organization. Therefore, a well planned leadership can help an organization to avoid strategic drift.   There is a certain procedure used to plan the mode of leaders. This helps to determine the weak points of the entire leaders and thus, avoiding strategic drift. This means that when Baby care industries will develop well defined rules, they will be in a position to notice the drift and thus, they will fix it easily.

New technology

When the technology is first introduced in any organization, there is a need for the entire company to have a proper planning method that will enable its employee to adapt the changes. On the other hand, lack of proper planning will result to a drift that may be hard to recuperate. This means that it is essential for these companies to identify a number of strategies that can be followed thus, lessening the occurrence of a drift.

Human resource

The fact that human resource has become one of the most vital aspects in running a business, it is essential for companies to have a competent work force. This helps them to create a competitive advantage which other companies may get hard to copy in the market. For a company to have a competent and motivated work force, they should have well planned and skilled personnel (Gottschalk, 2007, p.189). This will reduce the occurrence of drift.

The contribution of administrative management to implementing strategy in accordance with strategic change

Administrative management is of importance in ensuring success of the company. Information is delivered throughout the company from the administration department. Communication strategies are implemented from the administrative management downwards to the employees. The decisions of managers contribute great effect to the running of the whole company. A mistake committed by the manager impacts negatively to the running of activities in the organization (Henry, 2011, p.94). All employees should be included in the decision making and implementing scheme and process. Involving employees creates good employee-employer relationship. Managers should not make long lasting decisions without consulting employees as a way of showing respect and value they have for employees (Keating & Moorcroft, 2006, p.211). Managers should make decisions which will contribute success to the business. Decisions should be effective and well planned strategically thereby contributing to positive results in the company. Administrative managers should have the necessary skills to ensure smooth flow of information from one department to the other. Employees should be highly trained as a way of improving their skills and knowledge. The manager should ensure that plans are planned strategically in order to achieve the set goals of the company. Managers have a role of identifying problems within the organization and outside the organization since the problems affect the organization directly or indirectly. Managers should ensure that both external and internal factors affecting the business are catered for in the best way. Through use of SWOT analysis and the BCG matrix of the company administrative managers should ensure that marketing strategies are well implemented (Keating & Moorcroft, 2006, p.211). The managers should work out on the weaknesses of the company and transfer them in to strengths thereby making the company successful. The price of products should remain affordable in order to outdo competitors and remaining advantaged.

Conclusion

From the above discussion it is clearly evidenced that baby care industry is highly competitive. Through implementation of the porters five tool, the industry can be successful. Prices of products should remain affordable to mothers. Through use of modern technology and online marketing strategies, the company will increase its sales thereby remaining successful. Managers have the responsibility of promoting success of the company through utilizing their position in guiding other employees to undertake the strategic changes in the company. This ensures managers to come up with new and modern strategies in order to promote success to the business. It is thus evidenced that baby care companies produce products for babies and their mothers which is an effective business plan. Managers and employees should work hard to ensure that the set goals and objectives are achieved. This makes the company successful and more advantaged.