In this assignment, you are to use the same corporation you selected and focused on for Assignment 1. ( The assignment and template for assignment 2 are attached below)
Using the corporation you chose from Assignment 1: Strategic Management and Strategic Competitiveness, examine the industry in which the entity operates. Use any or all of the following resources to conduct research on the company:
- Company website.
- Public filings from the Securities and Exchange Commission EDGAR database.
- The Nexis Uni database,
- Other miscellaneous sources. Note: the company’s annual report will often provide insights that other resources may not include.
Requirements
Write a four- to six-page paper in which you do the following:
- Choose the two segments of the general environment that would rank highest in their influence on the corporation you chose. Assess how these segments affect the corporation you chose and the industry in which it operates.
- Considering the five forces of competition, choose two forces of competition that you estimate are the most significant for the corporation you chose. Evaluate how well the company has addressed these forces in the recent past.
- With the same two forces in mind, predict what the company might do to improve its ability to address these forces in the near future.
- Assess the external threats affecting this corporation and the opportunities available to the corporation. Give your opinions on how the corporation should deal with the most serious threat and the greatest opportunity. Justify your answer.
- Give your opinion on the corporation’s greatest strengths and most significant weaknesses. Choose the strategy or tactic the corporation should select to take maximum advantage of its strengths, and the strategy or tactic the corporation should select to fix its most significant weakness. Justify your choices.
- Determine the company’s resources, capabilities, and core competencies.
- Note: Wikipedia and similar websites do not qualify as academic resources.
Your assignment must follow these formatting requirements:
- Be typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides; references must follow SWS or school-specific format. Check with your professor for any additional instructions.
- Include a cover page containing the title of the assignment, the student’s name, the professor’s name, the course title, and the date. The cover page and the reference page are not included in the required page length.
Use the
Assignment 2 Template [DOC]
to ensure that your assignment meets the above requirements.
The specific course learning outcome associated with this assignment is as follows:
- Analyze the effects of the general environment, competition, threats, opportunities, strengths, and weaknesses relative to a corporation.
Grading for this assignment will be based on answer quality, logic and organization of the paper, and language and writing skills, using the scoring rubric.
1
Figures title: 8
Week 6 Assignment 2
Student’s Full Name
BUS499 Business Administration Capstone
Professor’s Name
Date
Template Instructions (delete this page before submitting)
This template is provided to help you meet the assignment requirements.
This page should NOT be submitted with your assignment, as it is not part of an academically written paper. Note the “Clarity, writing mechanics, and formatting requirements” section of the grading rubric.
HOW TO USE THIS TEMPLATE
· Read the explanations provided in the template for each section of your paper.
· The explanations are in blue font below.
· You should have already read the assignment instructions in Blackboard.
· Type your response to each of the assignment requirements within the designated sections.
· Each assignment requirement is identified using a section Heading that is in black font
· DO NOT add extra spaces between sections.
· DO NOT change the margins.
· You are required to have a heading for each of the sections in your paper.
· The required headings have been provided for you.
· Follow the instructions below to customize the Headings as directed.
· DO NOT type the assignment instructions into the sections.
· After typing your responses, change the font color to black and make sure it is not in bold.
· Be sure to change the font color on the title page to black after typing your name, professor’s name, and date.
· Everything in blue font below should be deleted and replaced with your responses.
· DELETE this entire page before you submit your assignment to avoid losing points. Do not leave a blank page here.
REMINDERS
· The assignment is due in week 6. Late submissions negatively impact your grade.
· Use the same public corporation you used for assignment 1.
· Do not copy content from other assignments in this class or others.
· Include at least 4 full and complete academically written pages that address the requirements. The title page, this instruction page, and the source page do not count.
· Use at least 3 quality sources, one of which MUST be the course textbook.
· Strayer uses SafeAssign – an automated plagiarism checker. It is advised that you do your own writing and use external resources to support what you have written in your own words.
Week 6 Assignment 2
Write your introduction here. Include one (1) paragraph (not more than 6 lines of text) that explains what your paper will discuss. Much of your introduction may be taken from the assignment instructions (in your own words). Read all assignment resources to understand what should be included in your paper. Be sure to review the assignment instructions in Blackboard, the grading rubric, and relevant course announcements to understand the requirements. Do not exceed 6 lines of text in this introduction. There should be no direct quotes in this section. After reading these instructions, replace this blue text with your introduction and change the font color to black.
General Environment
In this section you will choose the two (2) segments of the general environment that would rank highest in their influence on the public corporation you chose for assignment 1. You must select from the segments discussed in the course. Hint: see table 2.1 in the textbook. Do not assess all the segments—only assess the two (2) segments that rank highest in influencing your corporation. You will then assess how these segments affect the corporation and the industry in which it operates. There are two (2) subsections below, each has a heading. The heading “Segment 1” should be changed to the first segment of the general environment you select. The heading “Segment 2” should be changed to the second segment of the general environment you select. Replace this paragraph with a very brief introduction that includes the identification of the two (2) segments of the general environment you selected and change the font color to black.
Segment 1
This subsection is where you assess the first of the two (2) segments of the general environment you think ranks highest in its influence on the public corporation you chose for assignment 1. Change the subheading for this section, which currently says “Segment 1” to the name of the selected segment. Assess how this segment affects the corporation and the industry in which it operates. Remember that to assess a concept, you will weigh all aspects to judge the importance or relevance of that concept. Do not simply define the segment. Do not copy from you assignment 1 submission.
Your assessment should demonstrate that you have read, understand, and can apply the concepts covered in the course resources regarding the segment. Your writing here should thoroughly assess how the selected segment influences your corporation. Do not write about the general environment in general terms. Your assessment should be directly related to your selected corporation. A thorough assessment is defined as providing a complete response that is not superficial or partial regarding the various details of the concepts as described in the course. You will need to apply and incorporate key concepts from the course material to your assessment. Do not Google “segments of the general environment” or provide high-level summaries. You must display, in specific detail, an understanding based on what is studied in this course and demonstrate your ability to apply the concepts in a real-world assessment of a corporation. Read chapter 2 in the course textbook. Review the Week 2 Learn Reading for supporting content. Properly cite your sources and avoid the use of direct quotes. After reading these instructions, replace this blue text with your assessment and change the font color to black.
Segment 2
This subsection is where you assess the second of the two (2) segments of the general environment you selected. Change the subheading for this section, which currently says “Segment 2” to the name of the selected segment of the general environment that would rank highest in its influence on the public corporation you chose for assignment 1. Repeat the evaluation instructions provided in the “Segment 1” subsection above for this second segment of the general environment. Re-read the instructions above to ensure you have covered all of the requirements for this second segment of the general environment. After completing this section, replace this blue text with your evaluation and change the font color to black.
Five Forces of Competition
In this section you will consider the five (5) forces of competition and choose the two (2) that you estimate are the most significant for the corporation you chose in assignment 1. Hint: see figure 2.2 in the textbook. You will then, evaluate how well the company has addressed each of these two (2) forces in the recent past. There are two (2) subsections below, each has a heading. The heading “Force 1” should be changed to the first of the two forces of competition you select. The heading “Force 2” should be changed to the second of the two forces of competition you select. Replace this paragraph with a very brief introduction that includes the identification of the two (2) forces of competition you selected and change the font color to black.
Force 1
This subsection is where you evaluate the first of two (2) forces of competition that you estimate to be the most significant to the corporation you chose. Change the subheading for this section, which currently says “Force 1” to the name of your selected force. Provide a thorough assessment of why you think the selected force is significant to your corporation. A thorough assessment is defined as providing a complete response that is not superficial or partial regarding the various details of the concept as described in the course. Do not Google “five forces of competition” or simply provide a definition. You will need to apply and incorporate key concepts from the course material in your assessment.
Evaluate how well the company addressed the selected force in the recent past. This will require some research. Remember that to evaluate a concept, you will break down all components to determine or analyze facts, value, or views. Your evaluation should demonstrate that you have read, understand, and can apply the concepts covered in the textbook and course resources. Do not write about the selected force in general terms. Your evaluation should be directly related to your selected corporation and include a thorough evaluation of how the company has addressed the force recently. You must display an understanding based on what is studied in this course and demonstrate an ability to apply the concepts in a real-world evaluation of a corporation. You will need to read the chapters and listen to the lectures to understand the key concepts for each force. Read chapter 2 in the course textbook and review the Week 2 Learn Reading for supporting content. Cite all sources and limit the use of direct quotes. After reading these instructions, replace this blue text with your evaluation and change the font color to black.
Force 2
Choose another one (1) of the five (5) forces of competition that you estimate to be the most significant for the corporation you chose. This should not be the same force assessed in the “Force 1” section above. Change the subheading for this section, which currently says “Force 2” to the name of the selected force. This subsection is where you evaluate the second of the two forces of competition that you selected. Repeat the evaluation instructions provided in the “Force 1” subsection above for this second force of competition. Re-read the instructions above to ensure you have covered all of the requirements for this second force of competition. After completing this section, replace this blue text with your evaluation and change the font color to black.
Future Improvements
With the same two (2) forces assessed and evaluated in the previous two (2) sub-sections above, predict what the company might do to improve its ability to address the forces in the near future. Your writing here should provide a thorough prediction of what the company should do to address impacts from the selected forces. Do not simply discuss company information published by your sources. This section should be your prediction of what the corporation should do. Your prediction should be your own, not predictions or recommendations from your sources or actions your corporation has already taken or plans to take. Remember that a thorough evaluation is defined as providing a complete response that is not superficial or partial regarding the various details of the concepts as described in the course. Your prediction should be specific to your selected corporation, relevant to the evaluation you conducted, and directly related to improvements the corporation could make to address the two forces you selected in the two (2) sub-sections above. Read chapter 2 in the course textbook and review the Week 2 Learn Reading for supporting content. Cite your sources and avoid the use of direct quotes. After reading these instructions, replace this blue text with your prediction and change the font color to black.
Greatest External Threat
Identify what you consider to be the greatest external threat to the corporation you selected. The threat should be specific to your corporation. Justify why you consider the threat to be the greatest. Support your justification with an assessment of the impact the threat has on the corporation. For example, your justification could include a comparison of other threats or an evaluation of facts that support the magnitude of the threat’s impact. Follow this justification with a discussion on how the corporation should address the threat. Specifically describe the strategy and provide a justification that supports why you believe the strategy will be successful in combating the threat. This section must include both a clearly identified external threat and a clearly articulated action\strategy the corporation should take to address the threat. Do not write in general terms. Your writing here should be specific and incorporate the course concepts relating to threats and the external environment. Read chapter 2 in the course textbook. The textbook provides a solid background for this section. Review the Week 2 Learn Reading for supporting content. Cite your sources and avoid the use of direct quotes. After reading these instructions, replace this blue text with your response and change the font color to black.
Greatest Opportunity
Identify what you consider to be the greatest opportunity to the corporation you selected. The opportunity should be specific to your corporation. Justify why you consider the opportunity to be the greatest. Support your justification with an assessment of the impact the opportunity could have on the corporation. For example, your justification could include a comparison of other opportunities or an evaluation of facts that support the magnitude of the opportunity’s impact. Follow this justification with a discussion on how the corporation could best take advantage of the opportunity. Specifically describe the strategy and provide a justification that supports why you believe the strategy will be successful in adding value to the corporation. This section must include both a clearly identified opportunity and a clearly articulated action the corporation should take to take advantage of the opportunity. Do not write in general terms. Your writing here should be specific and incorporate the course concepts relating to opportunities and the external environment. Read chapter 2 in the course textbook. The textbook provides a solid background for this section. Review the Week 2 Learn Reading for supporting content. Cite your sources and avoid the use of direct quotes. After reading these instructions, replace this blue text with your response and change the font color to black.
Strengths and Weaknesses
Give your opinion on the corporation’s greatest strengths and most significant weaknesses. Keep in mind that strengths and weaknesses are internal to the organization (i.e. the internal environment). You will need to address both the greatest strengths and most significant weaknesses. Do not choose one or the other. Both the greatest strengths and most significant weaknesses must be addressed. Do not write in general terms. The identified strengths and weaknesses should be specific to your selected corporation. Include a justification that supports your opinions. This section must include both clearly identified strengths and clearly identified weaknesses. Read Chapter 2 and 3 in the course textbook. The textbook provides a solid background for this section. Review the Week 2 and Week 3 Learn Reading for supporting content. Cite your sources and avoid the use of direct quotes. After reading these instructions, replace this blue text with your application and change the font color to black.
Strategy or Tactic
Choose the strategies or tactics the corporation should select to take maximum advantage of the strengths you identified in the section above, and the strategies or tactics the corporation should select to fix the most significant weaknesses you identified. You will need to select strategies/tactics for both the strengths and weaknesses. Do not choose one or the other. Strategies/tactics for both the strengths and weaknesses must be addressed. Justify your choices. Your justifications should be sound and thoroughly explained. For example, do not simply state that the corporation should choose a selected strategy, but rather explain why the strategy is a good choice for your corporations’ specific strengths or weaknesses. Read Chapter 2 and 3 in the course textbook. The textbook provides a solid background for this section. Review the Week 2 and Week 3 Learn Reading for supporting content. Cite your sources and avoid the use of direct quotes. After reading these instructions, replace this blue text with your responses and change the font color to black.
Resources, Capabilities, and Core Competencies
Determine the company’s resources, capabilities, and core competencies. Your determination should include an explanation of the relevance of each resource, capability, and core competency. Do not simply list the resources, capabilities, and core competencies. Remember that a thorough determination will provide a complete response that is not superficial or partial regarding the various details of the concepts as described in the course. Use your course materials to demonstrate your understanding of the key course concepts regarding resources, capabilities, and core competencies. Do not write in general terms. Your determination should display that you can apply the course concepts to your selected corporation.
R
ead Chapter 3 in the course textbook. The textbook provides a solid background to this section. Review the Week 3 Learn Reading for supporting content. Cite your sources and avoid the use of direct quotes. After reading these instructions, replace this blue text with your determination and change the font color to black.
Sources
1. Hitt, Ireland, & Hoskisson. 2020. Strategic management: Concepts and cases: Competitiveness and globalization (13th ed.). Mason, OH: South-Western Cengage Learning
2. Author. Publication Date. Title. Page # (written as p. #). How to Find (e.g. web address)
3. Author. Publication Date. Title. Page # (written as p. #). How to Find (e.g. web address)
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Week 3 Assignment 1
Bridget Lynn King
Strayer University
BUS499 Business Administration Capstone
Professor Joseph Keller
May 8, 2020
Week 3 Assignment 1
The corporation chosen for assessment in this paper is American Eagle Outfitters Inc. (AEO) the company deals in teen fashion clothes in the American market. AEO is a multinational company with trading roots in many regions. This trait makes AEO the perfect company choice for dissection in this assignment. This paper indulges in the globalization aspect of AEO, how technology has impacted the company’s growth, the real importance of AEO’s mission and vision statements, and the models leading to the organization’s success.
Globalization
American Eagle Outfitters was founded almost 43 years ago in 1977. The company began as an accessory store for women and men footwear with other retail chains in over 36 states in the 1980s. AOE’s growth was fueled by consistent and fruitful integration into new markets all over the USA. A globalization strategy implemented by the shareholders at the time involved focusing the company’s sales on clothes outfits instead of footwear. This focus has dramatically influenced the organization’s capability to produce quality and customer targeted outfit products. This tactic aided in the company’s advancement to 803 company-owned stores as of February 2020 (American Eagle Outfitters Inc FORM 10-K, 2020). Another effective strategy that helped AEO’s journey to global market indulgence is when the company joined the stock exchange in 1994. American Eagle Outfitters is a major player in the American and global market. A giant among competitors, AEO ranges in the likes of Nike in the market. The company has impacted the competition by acquiring a niche market of teenagers and occasionally 25-40-year-olds who also fantasy wearing the company’s products. Globalization into other countries and markets have changed American Eagle Outfitters in the following ways. It has finessed the company’s market entry techniques through the use of past market entry experience.
Additionally, globalization has increased the company’s revenue to over 2 billion in the 2020 fiscal year. Last but not least, globalization has impacted AEO by providing extensive access to resources, technology, capital, new market, and human capital. The companies identify that globalization has enhanced its acquisition of raw materials for its finished products. American Eagle Outfitters acquires its raw materials from multiple merchants all over the world. The company applies a tactic of not buying more than 10% of raw material from a single manufacturer. Hence, the company not tied to exclusive rights for a manufacturer.
Technology
American Eagle Outfitters is a versatile organization moving as fast as the technological world is moving. The company has advanced over into e-commerce and dominated the scene. With digital platforms in over 81 countries, the company offers its products to customers via a digital channel like
www.toddsnyder.com
. This site is one of the digital channels used by AEO to target markets in each market segment. Moreover, this is a technology that has advanced and enhanced the indoor experience of customers by replicating physical stores on online channels. The company has perfected the art of digital commerce by studying customer buying patterns and working to fulfill customer needs. The company also recently advanced into Oracle cloud computing technology to enhance the companies employee transfer process. Efficient cloud computing services from Oracle have improved the companies online presence by reducing downtime and system maintenance problems. Customers can now engage in AEO’s digital channels with seamless ease when purchasing products. The use of cookies on the companies official website has opened up avenues for the company to improve the customer’s buying experience. Through the use of these cookies, the company can offer streamlined and relevant information to its customers based on their location and buying patterns.
Industrial Organization Model
The external environment of American Eagle Outfitters is filled with hazardous and potential risk factors. For the organization to reel in above-average earnings, various aspects need to be implemented in the companies industry organization model. American Eagle Outfitters has been taken to court on multiple occasions on the grounds of design mimicking. On all these occasions, American Eagle Outfitters won the case by proving that it is impossible to patent design in their line of work. In this light, American Eagle Outfitters has improved its brand recognition by imprinting the company’s label on the clothes products it sells. By doing this, it was an efficient strategy that acts as a way to perfect monopolistic competition in the sensitive industry. Another plan for the industry organization model is aiming to acquire a market monopoly in other countries. Buying market monopoly in the United States for American Eagle Outfitters may be next to impossible, with other brands like Nike having more significant influence in this market. By advancing into new markets like Canada, and Dubai, American Eagle Outfitters can acquire market monopoly status. That would be a good tactic that will allow the company to gain above-average revenue.
Resource-Based Model
AEO is a company that has been in the retail clothing market for 43 years. The reputation of the company is one that is ingrained in most American minds. In this sense, the company continues to produce quality products for its customers and has continued to ferment the companies reputation in the eyes of customers and potential customers. The continued production of quality products has ensured increased revenue for the company leading to above-average returns once new customers become loyal to the organization. Additionally, the company has a customer loyalty program that provides rewards, convenience, and excellent customer experience for customers who visit the digital channel of the organization. The efficiency of the resource-based model begins when AEO orders products from merchants from over 300 merchants worldwide. This model is a trick that ensures the company acquires the best of materials available from all over the world.
Similarly, the company has quality testing facilities for procured resources and raw materials. The inspection program monitors for compliance with AEO’s code of conduct for suppliers. This program has ensured continued quality production of the companies products and hence above-average earnings.
Vision
The vision statement for American Eagle Outfitters indicates that AEO is a company that is built on trust, integrity, and honesty. The company honors individuality and celebrates self-expression. The company’s stakeholders are determined, creative, hardworking, and aim at encouraging everyone to be their best self (Borden, 2010). The company banks on integrity by ensuring it provides quality products for its customers at all times. That is evident in the company’s inspection programs of raw materials sourced from suppliers.
Additionally, AEO is continually creative and hardworking by working continuously to provide customers with the best online shopping experiences in the market. The company has also invested in specializing with women wear by introducing another child company of American Eagle Outfitters known as Aerie. AEO has also encouraged its customers to be self-expressive by providing platforms for the customers to raise their issues online. This platform is in line with the company’s vision of delivering self-expression capacities to its stakeholders, including customers.
Mission
The mission statement for American Eagle Outfitters states that the company is committed to treating the people making the clothes in the company with respect and dignity (Mission Statement Academy, 2019). This mission statement goes a long way in chipping in for the company’s overall success. The company has an employee review platform where employees indicate their rating for the company. Employees can raise their concerns anonymously, which are later evaluated and acted upon. Employee satisfaction is a vital issue that means how customers will be treated in the organization. The impact of the mission statement is that it keeps American Eagle Outfitters management on their toes in adhering and meeting to the requirement of treating employees with dignity and respect.
Stakeholders
The capital market stakeholders of American Eagle Outfitters include Cooke and Bieler, The Vanguard Group, Dimensional Fund Advisors, and BlackRock Fund Advisors are some of the largest shareholders of the company. These shareholders are responsible for funding the companies projects and investing in prospects in the company. Their impact on the companies success is a phenomenon. Shareholders can steer AEO’s trajectory towards success by implementing mitigation techniques and funding in areas performing poorly in the organization. There are the product market stakeholders, which include suppliers, unions, primary customers, and host communities. This category dramatically impacts the success of the company, suppliers provide quality resources to the company, primary customers purchase products from the company and generate revenue, unions guide the company by giving policies on how the company will operate in the market, and host communities accept the company into their market. Finally, organizational stakeholders of American Eagle Outfitters e.g., managers, nonmanagers, and employees, are responsible for the daily operations in the company. Managers delegate duties to employees, and the nonmanagers monitor the companies operation and income generation in the market. (Hitt, Ireland, & Hoskisson. 2020).
Sources
1. Hitt, Ireland, & Hoskisson. 2020. Strategic management: Concepts and Cases: Competitiveness and globalization (13th ed.). Mason, OH: South-Western Cengage Learning
https://shabbiroffice.files.wordpress.com/2017/01/strategic-managment-concept-and-case-by-hitt
2. The United States Securities and Exchange Commission, Washington, 2020. American Eagle Outfitters Inc For the Fiscal year ended February 1, 2020,
https://www.sec.gov/ix?doc=/Archives/edgar/data/919012/000156459020010469/aeo-10k_20200201.htm
3. Borden, R. (2010). American Eagle Outfitters creates a branded intranet that unites its associates. Global Business and Organizational Excellence, 29(2), 40-46. https://onlinelibrary.wiley.com/doi/abs/10.1002/joe.20307
4. Mission Statement Academy, (2019). American Eagle Outfitters Mission Statement
https://mission-statement.com/american-eagle-outfitters-company/
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