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Pages:
14 pages/≈3850 words
Sources:
10 Sources
Style:
APA
Subject:
Management
Type:
Case Study
Language:
English (U.S.)
Document:
MS Word
Date:
Total cost:
$ 60.48
Topic:

Strategic Management: Severstal and Air Asia and the Tune Group

Case Study Instructions:

Strategic Management in a Global Context Coursework
Case Study Analysis
Case 1: Severstal: growth and consolidation strategies in a turbulent global steel industry [pages 661 - 667 of the 12th Edition]
Case 2: Air Asia and the Tune Group [pages 650 – 660 of the 12th Edition]
This assessment contributes 90% of your final mark for this module and you are required to analyse two case studies on Severstal and Air Asia and the Tune Group.
When answering the case questions below only use information on Severstal and Air Asia and the Tune Group contained in the case study. Your marks will be penalised if you use information on the company from alternative sources as it is your assessment of the case information provide which is being assessed.
Questions
1. Drawing on your knowledge of the PESTEL model, analyse the external environment facing Severstal and identify the key external factors which impact on the company. (15%)
2. Using Porter’s Five Forces framework, analyse the attractiveness of the global steel industry in Severstal which operates. Support your analysis with evidence from the Severstal case study. (25%)
3. Using Porter’s Generic Strategies, analyse the competitive strategy employed by Air Asia and the Tune Group. Support your analysis with evidence from the case study. (25%)
4. Using the Ansoff’s matrix, analyse the direction of growth that Air Asia and the Tune Group has undertaken to grow their business. Provide recommendations for the firm's future growth. (25%)
Mark allocated for the presentation of analysis, use of case evidence and conclusions.
(10%)
***Guidance notes****
Remember that in writing your solution to the questions you must not describe what the case says but use the concepts to analyse the information and use the evidence/facts in the case to support your analysis.
To answer question 1 you need to review the PESTEL framework (Units 1 and 2). Specifically, the external political, economic, social, technological, ecological and legal trends that could impact Severstal’s strategic position. At this stage, do not focus too much on how Severstal has managed to protect their strategic position because this requires an analysis of its internal capabilities and how they are utilised to establish a position in the industry which you are asked to discuss in question 2.
To answer question 2, you need to review Porter’s Five Forces model (Unit 2). Specifically, the five forces which enable you to determine the overall attractiveness of the global steel industry within which Severstal operates.
In question 3, you need to review Porter’s Generic Strategies framework (Unit 4). Specifically, you will need to examine the competitive strategy that Air Asia and the Tune Group has employed to position itself against its rivals and to create value. Amongst the various options outlined by Porter’s Generic Strategies are cost leadership and differentiation strategies.
Question 4 focuses on how Air Asia and the Tune Group has used their capabilities to grow the business. You are asked to focus on the options in Ansoff’s matrix which are explained in your textbook and in Unit 5. The options include market penetration, market development, product development and diversification. You also need to make recommendations on how Air Asia and the Tune Group should use their existing capabilities to implement future growth options.
In questions 3 and 4, you can make use of figures in your answer, especially to describe the relevant frameworks.
CLASS 1
• 90-100% - An outstanding answer showing an excellent understanding of the
issues and methodologies; original, independent thinking informs an answer based upon rigorous clearly directed argument accurately supported by evidence; close to perfection and could not be bettered at undergraduate level in the time available.
• 80-89% - An answer demonstrating an excellent level of understanding of the issues and methodologies. The answer displays independent thought, and strong and very well organised argument, demonstrating the ability to integrate a wide range of techniques.
• 70-79% - An answer showing most (although not necessarily all) of the above criteria
If material is simply reproduced from the case study, using the same words, this will be treated as plagiarism and a fail mark will be given. Material copied from websites or other sources that provide ready made solutions to coursework will be deemed an academic offence and subject to disciplinary action.
Grades will be awarded according to the following weightings and criteria and your assessment will be marked using the feedback sheet over page. Similarity score should be approximately 20%. No Plagiarism!
PESTEL analysis of Severstal’s external environment (15%)
Five forces analysis of the global steel industry (25%)
Presentation of analysis, use of case evidence and conclusion. (10%)
Application of Porter’s Generic Strategies to Air Asia and the Tune Group (25%
Discussion of Air Asia and the Tune Group’s direction of growth: Ansoff’s Matrix and recommendations (25%)
*******As you prepare your case analysis there are a few other points you must take into account:
• A case analysis is not a conceptual explanation or discussion so do not spend too much time on conceptual explanation, instead your focus should be on how the concepts are used to analyse the case events and reach evaluative judgments.
• Always draw on evidence from the case to support your analysis and conclusions. Using evidence without analysis will amount to describing what has happened in the case and will not gain many marks.
• It is critically important that if you use quotes from the case or academic texts, you do so selectively and they must be placed in quotation marks and referenced appropriately.
• You should answer the questions in terms of the information presented in the case up to the time of publication. You are not required to go beyond the case end date since your analysis and judgement are being assessed at this point, not in the light of subsequent events. As a result, you should not include references on Air Asia and the Tune Group and Severstal from sources other than those contained in the case.
Appendices can be a useful to provide additional information from your analysis provided that the key points are incorporated into the main body of the answer textbook.
Reference:
***APA 7th edition***
There is no limitation for reference. Whatever source is use please list. It doesn’t have to be 10 references.

Case Study Sample Content Preview:

STRATEGIC MANAGEMENT
Student’s Name:
University Affiliation:
Instructor’s Name:
Course Number and Name:
Assignment Due Date:
STRATEGIC MANAGEMENT
The business strategies employed by Air Asia and the Tune Group have made them two of the most successful companies in the ASEAN region. By examining their strategic decisions in detail, we can better understand how they achieved this success. This paper analyses how both companies have employed cost leadership, differentiation, and diversification strategies to gain a competitive edge in their respective industries. By exploring these approaches, we hope to shed light on the strategic decision-making processes that have allowed these companies to thrive.
Question One
Political
Severstal is undoubtedly impacted by the political environment in which it operates. The increasing protectionism of the US and EU poses a significant challenge to the company, as tariffs on steel and aluminium imports threaten Severstal's competitive edge in these markets. Additionally, changes in Chinese policy can have profound implications for the global steel industry, as the country is responsible for a significant proportion of global steel production. The Chinese government's commitment to closing inefficient steel and mining facilities can impact the supply and demand balance, creating further uncertainties for Severstal (Whittington et al., 2020). At the same time, the company's relationship with the Russian government is essential to its business. This relationship gives Severstal access to capital and often favourable policies, which can be critical for the company's continued success.
Economic
The global steel industry is known for its volatility, with the demand for steel products often fluctuating with broader economic cycles. As one of the world's major steel producers, Severstal has had to navigate these challenging conditions, particularly in recent years. One of the company’s most pressing issues has been the global oversupply of steel, mainly driven by Chinese overproduction. This oversupply has pushed prices down and increased competitive rivalry, squeezing profit margins for Severstal and other steel producers (Kal’ko et al., 2022). Additionally, Severstal is sensitive to changes in demand from key sectors such as automotive, construction, packaging, and rail. When these sectors falter, so does the steel demand, exacerbating the company’s challenges.
Social
As the global community becomes increasingly aware of and concerned about environmental and social issues, businesses across various sectors are under pressure to improve their sustainability practices. The steel industry is no exception. In fact, given the energy-intensive nature of steel production, the sector is particularly vulnerable to scrutiny from regulators, activists, and the public at large. Severstal, one of Russia's largest steel producers, has taken a proactive approach to address these concerns (Whittington et al., 2020). By investing in its corporate governance, corporate social responsibility, and sustainability initiatives, the company is positioning itself as a responsible global player in the steel industry. These efforts, which include partnering with in...
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