Discussion responses
Initial post 2 (R Williams):
1. Explanation of Mission Statement Requirements
A mission statement describes what the organization needs to do to achieve the vision of the organization. The mission statement conveys to stakeholders why the organization exists. It explains how it creates value for the market or the larger community. The mission statement expresses strategic goals.
2. A Mission Statement for Smithfield Custom Furniture's New Product Line
We produce upscale furniture with traditional sustainability for evolving professionals and modern families.
3. Explanation of Vision Statement Requirements
The vision statement is a statement of an organization’s overarching aspirations of what it hopes to achieve or to become. The vision is a broad description of the value an organization provides. It is a visual image of what the organization is trying to produce or become. It should inspire people and motivate them to want to be part of and contribute to the organization.
4. Vision statement for Smithfield Custom Furniture's Product Line
To decorate your modern lives with traditional grace
5. Application of Porter’s Competitive Strategy
Porter’s model describes two ways of achieving competitive advantage, either by differentiation or by cost. It also identifies two ways of targeting the market, by focusing on a particular market segment or appealing to the overall (broad) market. This approach results in four separate competitive strategies: overall differentiation, overall low cost, focused differentiation, and focused low cost.
New Line
Focused low-cost strategy: For this strategy to be successful, it requires that only one or two companies can be industry leaders in this position. Focusing on a specific demographic, which speak to be millennials and speaking directly to their needs and interest will provide an opportunity for the new line to thrive as an industry leader.
Traditional Line
Focused differentiation strategy: Companies whose strategy depends upon maintaining a loyal customer base convinced of the superior quality and uniqueness of their products—and who are also willing to pay a premium for the perceived quality value (2). The traditional line has proven to be a statement of luxury amongst the elite and will continue to be a visual signature of status. The strategy is to continue nurturing the relationships with those who continue to identify with this messaging by curving the demographic slightly to target those older than millennials. This target may be baby boomers and older
6. Priority Order/Justification Smithfield's 3 Next Steps
Step One: Strategic Objectives and Analysis: Once the vison and mission align, do a PESTEL and SWOT analysis to gage the market. Having an understanding of the internal and external market is important the development and response of the initiative.
Step Two: Strategic Formulation: Develop the strategic goals to identify the competitive advantages you have over competitors. This will help identify how to navigate through the strategic planning process. It also will determine if there is a viable market for your initial idea and how it fits in with the overall consumer marketplace.
Step Three: Strategic Implementation: A good plan is not enough—the right action is what will determine success or failure. Creating the proper protocols, team, workflow and execution plan is important. Then putting that plan into action to test the market will give you ammunition to pivot, curve, change or stay the same once the evaluation process has been completed.
Reference:
(1) Mission, Vision, and Values| Principles of management. (n.d.). Lumen Learning – Simple Book Production https://courses.lumenlearning.com/wmopen-principlesofmanagement/chapter/reading-mission-vision-and-values/
(2) Stages and Types of Strategy| Principles of management. (n.d.). Lumen Learning – Simple Book Production https://courses.lumenlearning.com/wmopen-principlesofmanagement/chapter/stages-and-types-of-strategy/
(3) Putting It Together: Environments and Strategic Management. | Principles of management. (n.d.). Lumen Learning – Simple Book Production
https://courses.lumenlearning.com/wmopen-principlesofmanagement/chapter/putting-it-together-environments-and-strategic-management/