Strategic Management Accounting Coursework Example | Topics and Well Written Essays - 2000 words

Strategic Management Accounting - Coursework Example The group has diversified its business to a vast magnitude in the past few years in various sectors for a successful venture. This particular strength has further helped the company to develop a strong brand and gain an impressive reputation in the market. In the similar context, it can also be argued that the brand reputation of the organisation is creating pressure on its management to preserve its success record and suffice the customers’ demand with consistent performances. Due to massive diversification, the corporate group has also faced few issues with respect to its services and strategic management initiatives. The business has accordingly been using the concept of brand stretching for its various products as well as services. With regard to Fransoko Group, strategic management is an important consideration required for the success of the business. There are various strategic factors that affect the business and its success, such as the management style, financial per formance as well as other relevant aspects, as can be apparently observed from the case reference. Industry rivalry- Fransoko will face intense rivalry from its competitors to enter the new market. To attain the required market share, the company will need to appoint skilled managers to accomplish their objectives. Although the personality of the Chairman deciphers his effective leadership abilities, it shall not be sufficient in meeting the intense rivalry and hence, proper strategic planning will be required. Bargaining Power of the suppliers- Suppliers need to provide resources on regular basis for the company to develop its market worldwide. Quality along with the reliability of the supplier is also deemed as an important issue, which needs to be mitigated by managing the resources effectively. Bargaining Power of the buyers- The bargaining power of the buyer is high in the industry context of Fransoko and therefore, it is