Grand Strategy Selection

List the strengths, weaknesses, opportunities, and threats for General Motors Corporation using IBIS World (Car & Automobile Manufacturing in the US: 33611A). Search the Navigation Tabs (Competitive Landscape, Major Companies, Industry at a Glance, Industry Performance, and Industry Outlook) to develop your SWOT Analysis. 

Review the SWOT Analysis Diagram (Slide 4 of the Grand Strategy Selection MatricesPowerPoint presentation). In which cell do you believe General Motors belongs? Defend your answer. 

Next, using the Grand Strategy Selection Matrix (Slide 7), determine the grand strategy (or grand strategies) that should be pursued by General Motors. Discuss the assumptions you have made in applying the Grand Strategy Selection Matrix (i.e., explain why you chose “overcome weaknesses” vs. “maximize strengths” and why you chose “internally directed” vs. “externally directed”). 

Next, apply the Model of Grand Strategy Clusters (Slide 8) to General Motors. Discuss the assumptions you made in applying the Model of Grand Strategy Clusters to General Motors (i.e., rapid vs. slow growth; weak versus strong competitive position). 

Finally, apply the BCG Matrix (Slide 10) to General Motors’ core strategic choices. Again, discuss your assumptions for choosing (e.g., high versus low market share). Is General Motors a Dog, Cash Cow, Star, or Question Mark? 

Compare your results from the Grand Strategy Selection Matrix (Step 2), the Model of Grand Strategy Clusters (Step 3), and the BCG Matrix (Step 4). How do your results compare? 

Conclude your written analysis by stating which grand strategy (or strategies) General Motors should follow and why. Defend your answer.

Module 3 – SLP

For purposes of the Module 3 SLP, you are a Strategic Management consultant. Your client is a major competitor in the Amusement Park industry and CEO of Sea World Parks and Entertainment, Incorporated.

Your client has an extensive number of strengths, a solid image, an emerging market share in the industry, excellent cash flow, and a very low long-term debt-to-equity ratio. Because your client’s company is renowned in the industry, the organization has also managed to attract and retain the most talented people working in the industry. Finally, the company’s approach to marketing is second to none. 

While your client is clearly aware of its internal strengths, the organization is still unclear relative to whether the company should pursue a “Grow” (a more aggressive) strategy or a “Hold” (a more passive) strategy.  

  1. Your client has engaged you to do some research on the industry (use IBISWorld and other current publications in the library). In IBISWorld: Amusement Parks in the U.S. (713110, be sure to review the sections: “Industry Questions” and “Industry Issues” in addition to other key information and industry data. 
  2. Perform a SWOT Analysis for the company and determine the relative attractiveness of the industry as a whole. 
  3. Using the G.E./McKinsey Matrix, decide whether your client should pursue a “Grow” or a “Hold” strategy and discuss recommendations for action. 
  4. Finally, use the Model of Grand Strategy Clusters to recommend a grand strategy that your client should pursue. Be sure to justify your choice.   

Discussion: Macy’s Grand Strategy

Recently, Macy’s announced the combined closing of over 125 stores and the layoff of approximately 2,000 workers nationwide. 

Do some research on Macy’s. Visit IBISWorld and research the U.S. Department Store Industry, then address the following: 

  1. Describe the specific strategies that you believe Macy’s has followed in the past 3 years.
  2. Discuss why the strategies of this company appear to be failing (why are they now needing to close so many stores?). 
  3. Are the strategies of the company you selected flawed? If so, why? If not, what else is the cause of the multiple store closures on the part of both companies?