Four year strategic plan for Erie Capsim Company Essay

The 4-spot stratum strategic blueprint pull up stakes focus on key drivers of the manufacturing, factors find future of the play along, intentness attractiveness, and its warlike environment. separately section contains detailed subsections which clearly defines the strategic plan. The plan uses 2009 data and our quaternity year plan runs up to 2013.1.1  Driving ForcesIn this industry there are umteen operate forces. Our top management uses the theory of driving forces to reach consensus on what strategic area represents the industries current driving force.1.1.1 research and DevelopmentOur social club go away be introducing a new game can product in all(prenominal) year. In rise to power we go forth computer memory our performance and surface segment products into our initial targeted sections. This leave alone alter a stream or products run along up along the High destroy, traditional, and paltry fetch up sections. In addition we give allow present traditional section products to become a Low block section product so as to create room for segment drift. The companion exit later introduce a new product to the High End and leave alone finally have four products each in the Low, Traditional, and High end sections during those four old age. This way the partnership lead present to clients products in line with their ideal procedure for age, reliability, and positioning. too the high society endeavors to dumbfound its existing product line, insure presence in each section, and strive to nonplus its products in the next four historic period in spite high levels of automation.1.1.2 sellingMarketing is another main driving force. At first our friendship will attempt to keep pace with the availability and awareness of immediate competitors products.  Ideally we will be revisiting our status both year for the next four years to square off whether promotion and gross gross revenue budgets should be siz ed or if the federation will continue matching that of competitors. broadly speaking our company will offer products at reduced prices. Also for these four years our company is planning to spend precipitously in sales and promotion in targeted sections Low, Traditional, and High sections. In this light every client will have cognize our superb designs for the next four years. Basically, we are planning simplify logistics involved in identifying products by customers. After defining the companys cost leadership position, we will reconsider the companys view to explore alternatives to enhance accessibility and awareness.1.1.3   deedSignificantly our company will importantly increase automation levels on all products in the next four years. Since automation limits the companys ability to dislodge its products in line with R& adenineD, we will edge our automation butt against in the Low and Traditional sections in the next two years and thence High end section during the a t termination two years. Our company will moderate capacity building to meet the generated demand. In the first half we will reposition our tags. However, in the last half we will evaluate ways of increasing in automation levels to enhance margins as tumefy as repositioning products and stick outing sections as they brood the perceptual map.1.1.4 FinanceThe nature of our industry allows it to draw funds from a astray source. During the first half the company will finance its investments mainly through perplex issues supplementing with stock offers following an as needful basis. For last half, the company will get down a divided policy and pop out to retire stock. The company is not uncomely to leverage and expectation is that we will sustain debt/equity ratio at 2.0-3.0.1.2  forthcoming key success factorsFactors for success in our company include1.2.1 ConcentrationOur company will concentrate on Low, Traditional, and High end sections. This will keep work costs, r aw material costs, and R& antiophthalmic factorD costs to a minimum. Also company product lifecycle concentration will enable us to reap sales for the next four years on each of the four new products to be introduced into High end section.1.2.2 Brand credit and awarenessThe company will hold back presence in every section. We will endeavor to ensure a competitive edge by differentiating our products. This will be done through excellent design, behind accessibility, and high awareness during first half. In the other half, the company will discipline a competent R& deoxyadenosine monophosphateD that ensures fresh and exciting designs. Products will be in line with the commercialise needs, presenting enhanced performance and size.1.3  Attractiveness of industry and competitive environment1.3.1     Factors make the industry attractiveSeveral factors make our company to be attractive.  These are factors that will determine how far our company can watch still. These include   Reliable products will ensure products which are authentic to mainstream clients and brands that offer value. aid products our company offers good products and brands that will groundwork the test of time.   Low price the company offers products at reduced prices. Its brands offer real value.   Easy technology our products are reliable even to low technology customers1.3.2 factors making the industry unattractive Funding the grocery store is unpredictable and there getting seemly financial support is a job Extensive research product sustainability requires an commodious research. This adds to cost by way of experts and professionals.1.3.3 especial(a) industry issues/problems Product presence our company plans to maintain a competitive proceeds by ensuring presence in every section. Unrelenting focus concentration ensures brand recognition which leads to unique opportunity everywhere competitors. Substitutes the company is likely to suffer enclose sub stitutes flood market, particularly during last half. untried entrants during the first two years the company will enjoy monopoly but in last two years entrants are likely to enter the market.1.3.4 Profit prospectThe company currently is enjoying a net margin of 20%. This strategic plan aims to grow the profit by redundant 10% for first two years and another 15% in the last two years.