Upload
buithien
View
215
Download
0
Embed Size (px)
Citation preview
Running Head: STARTING THE STRATEGY 1
Starting the Strategy
Running Head: STARTING THE STRATEGY 2
Abstract
Honda Motor Corporation was established in 1946 by Soichiro Honda. Honda is
an international corporation that manufactures a varied range of motor products, from
fuel efficient cars, mopeds, engines, motorcycles, to exclusive sports cars. This audit
assesses Honda’s market position, value proposition and competitive advantage at the
same time evaluates the existing atmosphere Honda functions in. This paper will also
perform a preliminary assessment of external factors that comprise the Porter’s five
forces. Lastly, this paper will focus on Honda’s strategic issues and provide proposals
that will assist the company in determining problems while providing results and
recommendations.
Running Head: STARTING THE STRATEGY 3
Table of Contents
Abstract……………………………………………………………………………………2
Introduction…………………………………………………………………………….….4
Value Proposition………...…………………………………………………………….…5
Market Proposition………………………………………………………………………...6
Competitive Advantage…………………………………………………………………...7
External Environment……………………………………………………………………..7
Current Environment……………………………….…………………………………......8
Assessment of External Factors………………….……………………………………….8
Porter’s Five Forces……………………………….………………………………...…...13
Strategic Issues………………………………………………………...................……...16
Preliminary set of recommended tactics…………………………………………………17
Summary of Key Findings and Recommendations……………………………………...18
References………………………………………………………………………………..20
Running Head: STARTING THE STRATEGY 4
Starting the Strategy
Introduction
Honda Motor Corporation was established in 1946 by Soichiro Honda. Since its
establishment Honda has become renown all over the world and has also been at the
forefront of the automobile, motorcycle, and power products industry. In the current
market few businesses recognize that continuing to uphold a competitive advantage is
vital to the long life of a company.
The superiority of Honda cars show just how efficient the manufacturing is from
beginning to completion. Honda cars last longer than American cars and maintenance
although more costly, is not required as often. American drivers owning Honda cars have
joined the mile high clubs for mileage over 200,000. Most American cars at this mileage
would start to damage, though the excellence of Honda cars is long lasting and
continuously perfecting. Owners have been known to retain their Honda cars for decades
without many issues or problems.
Many consumers will buy American cars based on capital advantage. This is
where faithful support of the countries' products comes in. The three big car makers in
the United States manufacture vehicles in every size and model ranging from small cars
to large trucks. However for many years Honda’s main focus was on profits. During
times of a bad economy, consumers are reluctant to make frivolous expenditures due to
pay freezes, pay cuts, job lay-offs they are holding on to every dime and are making sure
they receive their money’s worth.
Running Head: STARTING THE STRATEGY 5
According to Naylor (2013), Honda is thought to be one of the top auto makers in
the world, and its customer base endures to see reliable growth time and again. Its
revenues are also steadily greater than Toyota's, however not by much. Honda's
motorcycle division gives them an edge over Toyota which has helped them draw
customers from emerging markets like Thailand and Brazil (Naylor, 2013).
Honda was the first to form a manufacturing facility in the United States, but later
was joined by Nissan and Toyota. In Canada, Honda was yet again the first to form
production facilities and was later joined by Toyota. In Mexico, Honda was preceded
by Nissan. Overall, Honda took a leading role in establishing overseas operations and
over half of its total production is from overseas plants. According to Chappell (2013),
Nissan Mexico was the first Japanese company to produce cars outside Japan. Nissan
anticipates its Mexican division to play a major role in Nissan’s strategy to attain an 8%
global market share by 2016. This effort wouldn't help Nissan-brand dealers in their
competition against Honda. But it would help Nissan's business strategy of
manufacturing more small cars to increase total U.S. market share (Chappell, 2013). The
differentiation is important to consumers because they want to be linked to a particular
status. Honda’s competitive advantage comes from repeat consumers that appreciate the
quality of Honda products.
Value Proposition:
Honda gratifies the customer base by providing superior customer value, speed to
the market and product quality. In most aspects, Honda’s catering to the needs and wants
of consumers surpassed customer expectations due to reputation for dependability and
value. But moreover with the overall driving and owning experience, Honda reviews
Running Head: STARTING THE STRATEGY 6
have common themes like insightful design, better-than-average fuel economy and
awareness to safety. Per Edmunds (2012), annual report for best-retained value in 2010,
Honda has reliably been the leader or second best each year since, maintaining highest
tributes for the second time in 2012. Edmunds stated that Honda cars maintain virtually
48 percent of their initial value after five years. For example, if a Honda vehicle was
purchased today for 25 thousand dollars in 2018 its value will still be 12 thousand dollars
(Honda, 2013). This is one of the reasons why Honda is observed as huge value and
reliability. Unequaled quality is a chief factor, and the unmatched driving experience
also contributes. The better-than-average gas mileage and the safety awards are often
cited as well.
Honda has positioned themselves as a Motorcycle maker that is above pedigree
and projects a certain status symbol that demands respect and admiration from onlookers.
Honda strictly speaking has three main competitors; Toyota, Nissan, and the Big Three
U.S. car makers, General Motors, Ford and Chrysler.
Market Position:
Honda’s target consumers for motorcycle retailing are women and men between
the ages of 16 to 70 and up. Honda’s consolidated unit sales of motorcycles in fiscal year
2013 totaled over 9,000. This was an increase by 9.9% from the previous year. In 2012
the U.S. dollar sales of Honda motorcycles was more than 150 billion dollars and
increase by 9.1% from fiscal year 2011 (Honda, 2013). Honda’s product offerings of
power products, motorcycle, financial services and automobile businesses seek to gratify
customer’s needs and wants. Customers view products as parcels of benefits and they
purchase the products that provide them the most value for their hard earned money. For
Running Head: STARTING THE STRATEGY 7
example, Honda’s sleek and fuel economy car the Civic it has many benefits and is also
has a low price tag. The Acura represents prestige, extravagance and all the bells and
whistles. Given their wants and needs consumers demand products with amenities that
add up to the most satisfaction to include the reputation, the dealer, and the satisfaction of
owning a certain brand.
Competitive Advantage:
Honda cars are well-known for their stellar reputation and quality leadership.
Their prices are also similar with that of American cars of equal value. One of the main
reasons why Honda cars are well-liked is due to the fact they are superior in fuel
efficiency and quality. Honda spends a lot of money to repetitively upgrade technology.
They also spend a lot of time and money on research and development to certify that cars
are manufactured with the latest and sophisticated ways. Honda selects expert staff and
provides them with continuous knowledge and training they need to develop highly
efficient vehicles. Per Honda (2013), a front runner of the ground-breaking hybrid
gasoline/electric drive trains are an example of Honda’s leadership in finding no-
nonsense solutions for improved fuel efficiency and lower emissions (Honda, 2013).
External Environment
Current Environment:
Honda has placed the corporation to be at the front of automobile creativity and
quality workmanship that consumers aspire to be on the front lines with. Consumers
similarly want to be part of a trusted brand recognized all over the world.
Many companies think that just delivering products to customers is the main
objective of the automobile industry and principally it is. Regrettably, for organizations
Running Head: STARTING THE STRATEGY 8
there are external fundamentals that can cause difficulties to the success of their business.
On the opposite end, some external elements can also help businesses succeed as well.
Honda as an international corporation manufactures and develops a multitude of
products, varying from exclusive sports cars, scooters, engines, motorcycles and
automobiles.
Assessment of External Factors:
In today’s economy, it is critical that a universal corporation such as Honda be
responsive of the external factors that come from technological, economic, political
natural and cultural factors.
Technological Factors:
Using innovative Information Technology (IT), Honda continuously transforms and
develops itself. Variations in IT lead Honda‘s operations effective such as: In the
manufacturing process; Honda’s use of the auto fit machine, Honda can mass produce,
reduce the cost and save time. In the marketing process, when the internet was available
in the early 1990s the innovation of multi-media replaced Honda’s method of marketing
for example, via television, newspapers and magazines. In terms of customers, when
they shopped to buy a, they had to physically go to town to a dealership. In the present
day, with the Internet and Multi-media shopping for a car is more convenient and
efficient.
Economic Factors:
An economic recession, loss of consumer confidence, and rising fuel costs caused a
decrease in demand for automobiles, motorcycles and power products that negatively
affected Honda‘s operations. Total demand in the United States in calendar 2006 fell
2.6% from the previous year. Soaring gasoline prices in the summer buying season
Running Head: STARTING THE STRATEGY 9
pushed up demand for fuel-efficient cars. Another reason was the expansion of on-road
models and the declining in off-road models. The All-Terrain Vehicle (ATV) market
held fast due to the new designs. In fiscal year 2007, Honda‘s unit sales in North America
fell 18.2%, to 503,000 units. Rising fuel prices and interest rates deeply affected the
North American Market. In general, sales declined by shifts in the market environment.
According to The Economist (2008), Japan's economy dropped into a recession during
third quarter of 2008, as companies steeply cut back on spending and exports contributed
to a negative growth. The impact of the global financial crisis began to have an effect on
Japan's economy (The Economist, 2008).
Political Factors:
In 1965, the U.S. was engaged in the war with Vietnam. Many young American
men representing a part of Honda’s market went off to battle in the jungles of Southeast
Asia. Society showed signs of uncertainty as the financial markets began to waiver. By
the spring of 1966, sales of Honda products were in a decline. Honda had problems with
motorcycle manufacturers in Southeast Asia in regards to violating a trademark and
violating Japanese intellectual property of Japanese manufacturers. Consumers in this
part of the world did not have enough money to buy Honda‘s motorcycles. They
purchased imitation motorcycles that were made by Chinese manufacturers. The cost
was less than half of the cost of a Honda product. To handle this problem Honda came
up with an alliance strategy with Chinese manufacturers instead of challenging them.
With this new strategy, Honda made a new model called the Wave that was sensible in
price and in quality. The Wave became very popular in Vietnam. Political uncertainty
affected the demand in the Asian Market causing the automobile market to shrink.
Running Head: STARTING THE STRATEGY 10
Honda’s political factors also include government regulations that Honda
manufacturer’s strategy must contain and observe. The political factors include matters
such as tariffs, trade barriers, taxes, exchange control and advertising laws. There are
also Regulations concerning carbon emissions, fuel economy, and noise and safety are
problems of the motorcycle, automobile and power product industries.
Natural Factors:
The more industry discovers and creates, the more the environment will be
affected. Among the environmental quandaries such as the Pollution Level and Global
Warming are the concerns of the citizens. Various organizations have demanded the
industrial organizations to reduce toxic wastes and CO2 emission. To handle this
problem, Honda researches and develops modern technology involving fuel cell and
hybrid vehicles. To accomplish this goal, Honda established three resolutions:
Development of hybrid vehicles
Promotion of alternative fuel-powered vehicles
Expand improvements in the reduction of emissions from internal combustion engines and enhancement of fuel efficiency
Honda strives to create cleaner and more fuel-efficient technologies. The Company also
plans to make additional progress with fuel and solar cells. Honda has also been
furthering the efforts of minimizing its environmental impact. Honda established goals to
reduce the environmental burden measured by the Life Cycle Assessment, in all areas of
business, of production, logistics and sales.
Cultural Factors:
In 1969, the first automobile built by Honda that was imported to the United
States was the N600. The sales did not go over well and one of the main reasons why
Running Head: STARTING THE STRATEGY 11
was because this model was built for the Japanese market and American consumers
preferred bigger cars with stronger engines. The Japanese’ declining Birthrate led to
Aging population and the decreasing number of youth leads to the declining number of
licensed motorcycle drivers. In 2006, the demand for motorcycles under 50cc of engine
was displaced. The trend of the Japanese people was traveling, thus automatic-only
vehicle licenses were introduced, and the Electronic Toll Collection (ETC) System was
expanded to include motorcycles. These developments helped improve the transportation
situation. As a result, it started an upswing in demand in certain categories during
fiscal year 2007. In 2008, Honda expected the demand to shrink slightly however,
720,000 units sold, this is up from 503,000 in 2007. Honda is world re-known for their
motorcycle market. One of the main hi-lights of Honda’s success is the ability to market
at the right time and to the right segment. Honda performed a research on gender and
their demand the focus was on what products would be desired of a scooter. Depending
on the wants and needs, Honda produced the Honda Active. The research provided the
following information: men like its metal body and greater than 100cc power. Women
like the ease of maneuvering and comfort. They also preferred a scooter with great
mileage, good looks and safety. Honda later created the Scoot Pep with ABS (plastic)
body and with less than 100cc power. The dominant consumer is young women aged 18
to 24.
In today’s economy, it is critical that a universal corporation such as Honda be
responsive of the external factors that come from technological, economic, political,
natural and cultural trends.
Running Head: STARTING THE STRATEGY 12
One of Honda’s marketing team responsibilities is to establish customer
demographics and appease customer needs and wants better than the competitors. Honda
market’s to and effectively offers its products all over the world. According to Honda’s
founder Honda Soichiro, "Upholding an international reputation, we are devoted to
providing products of the maximum efficiency and at sensible prices, for universal
customer gratification" (Honda, 1956).
Honda’s target customers for their motorcycle sales are men and women ages 16
to 70 and beyond. In fiscal year 2012, unit sales exceeded more than 150 billion dollars.
Honda’s sale of motorcycle’s increased by 9.17% from 2011.
Utilizing a transmission platform and common engine, Honda created three
different models to fulfill a wide range of customer expectations. The purpose was to
surpass the expectations of customers worldwide and adopt a method to transcend across
international borders.
Since the economic recession from 2007 to 2009, consumers were especially spendthrift
in the manner of how they spent their money. Customers who purchased Honda products
do so for the following two reasons: The first is for the longevity of Honda products.
The second is for Honda’s fuel savings.
The automobile industry falls under numerous government guidelines. The
international car industry also falls under these laws and guidelines that include
environmental concerns such as carbon emissions, fuel economy, and noise and safety
technology such as air bags, stability control, wheel lock up, front, side and rear end
collision.
Running Head: STARTING THE STRATEGY 13
Honda’s product portfolio of automobile, motorcycle, financial services, and
power product businesses meet and exceed the consumers’ wants and needs. Consumers
view products as a bundle of values and buy products that offer them the best value for
their hard earned money. For example, all-new 2013 Honda Civic symbolizes the tenth
generation of one of Honda’s most popular and globally distinguished products. Having
earned a reputation for being a fun to drive car that is sporty, stylish, fuel efficient and
durable, the Civic is also a trusted element of the global transportation dynasty. By 2012,
Civic has been the top-selling car in Canada for 14 years.
The information flow throughout Honda allows all segments of the company to
rapidly spot trends to Honda's advantage. Honda formed a high-tech communications
network that was a key element in the reduction of cycle time in new car assembly for the
US market. Critical to Honda's approach was the creation of multi-disciplinary redesign
crews and the information technology infrastructure that allowed them to promptly seize,
send and share information using communication networks, between Japan and Los
Angeles. Honda's business and information technology displays the importance to Honda
of managing its knowledge base and expertise to development processes. Honda's
infrastructure abilities include a high-tech communication network and the management
of databases (part ordering, finance and sales) on a global basis that are required for the
sharing of information.
Porter’s Five Forces:
With the five external factors above, Porter‘s Five Forces is an analysis tool to
evaluate the opportunities and competitive advantage of the Honda Motor Corporation.
The information will inspire strategic managers and marketing to not only look at current
Running Head: STARTING THE STRATEGY 14
competitors but also at perspective competitors. It will also help Honda recognize what
consumers want and make its supplier operations more efficient.
The threat of substitute products or services:
A threat of substitutes can happen when a product's demand is influenced by a
price or innovation change of a substitute product. For example, when Honda‘s
competitors produce a model with more incentives at a lower price than Honda‘s and the
product replaces Honda‘s product in the market. This reduces Honda’s market share and
revenue. For instance, Honda’s motorcycle CRF450 versus Yamaha’s YZ426, the
YZ426 is the closest substitute to Honda’s CRF450. If Yamaha comes up with new
innovations with a lower price it can replace Honda‘s CRF450 because consumers have
the same expectation of both products, however Yamaha will have an advantage.
The threat of new entrants:
Honda is confronted by more competition than ever. New small entrants are
disrupting the auto industry with their abilities in manufacturing alternative fuel engines
and electric vehicles. Larger businesses are streamlining themselves to become more
effective. As a consequence, companies like Honda are being bombarded with
competition from both large and small players. The threat of new entrants includes two
barriers; one to entry and two, the response from current competitors. For example,
General Motors and Honda compete against each other in the auto industry. Honda
cannot obtain maximum profit in the US market if there are policies from US
Government protecting a domestic company. Honda will also have excessive
expenditures to access distribution in the US market.
The intensity of competitive rivalry:
Running Head: STARTING THE STRATEGY 15
Among Porter’s five forces the most important to the automobile industry is
competitive rivalry. Honda’s three main rivals are Toyota, Nissan, and the Big Three,
General Motors, Ford and Chrysler. Changes in strategy or product offering that one of
these competitors launch can sway the performance of Honda. According to GM’s 2012
annual report, GM reported 152.3 billion dollars in revenue (General Motors, 2013).
According to Honda’s 2012 annual report, Honda reported 96.7 million dollars in
revenue. According to Toyota’s annual report, Toyota reported 226 million in revenue.
To keep up with the demand and technology Honda as well as its three rivals continues to
revolutionize, refine, research, and develop. For example, when one of the three
competitors release a new model, the others will follow up and have a similar product to
compete. When Honda released the next generation of its fuel cell vehicles, FCX Clarity
in 2008, GM put their fuel cell platform into its Chevy Equinox SUV. Honda’s
prominent model the Honda Accord launched in 1976 has been competing with its
principal rival, Toyota’s Camry since its first appearance in 1983. Chevy’s Malibu and
Ford’s Fusion are also competitors of the Accord. Honda’s rivals can replace them at any
time in the auto industry. Honda needs to continue improving on its technology, research
and development to continue creating a competitive advantage.
The bargaining power of customers (buyers):
In the world of business, if a company wants longevity it must have products that
consumers need or want. Honda being a global company has a lot of competitors.
Therefore Honda needs to make products that make an easy decision for consumers. A
sale is not only dependent on brand labels but by price and quality. For example, when
Honda launched the Air Blade Scooter, it was sporty, fashionable, fuel thrifty and had
Running Head: STARTING THE STRATEGY 16
new engine technology. It quickly appealed to the youth however the supply did not
compensate the demand. The shortage of the Air Blade in the market increased its price.
Customer’s had to place orders and wait up to two months for delivery. Suzuki took
advantage and introduced the Hayate Scooter. It had the same qualities of the Air Blade
but with a lower price and no shortage.
The Bargaining power of suppliers:
Suppliers have a significant role in a company’s success. Companies need to
build strong relationships with their suppliers. Without suppliers there is no business.
Some suppliers will continuously increase prices or refuse to work with certain
businesses. Understanding this, Honda has a supply contingency plan. Honda purchases
raw materials and parts from many suppliers. Honda’s supply strategy has enabled them
to purchase supplies efficiently and cost-effectively however is subject to a number of
factors. Some factors are not within Honda‘s control, to include the ability to obtain a
continued source of supply and to competing with other companies needing the same
supplies. If Honda loses a key supplier, it may affect production and increase costs. One
of Honda’s suppliers; Kikuchi Co., Ltd supplies not only Honda but also Nissan.
If Nissan were willing to buy at greater prices or offered more incentives than Honda,
Honda’s production could be at jeopardy.
Once the Business strategy and infrastructure are aligned, the IT strategy outlines
what type of technology is needed to deploy the Business strategy.
Preliminary set of recommended tactics
Strategic Alignment:
Running Head: STARTING THE STRATEGY 17
There are four areas of Honda’s strategic alignment, two internal and two
external. The internal domains include the Business Infrastructure and the Information
Technology (IT) structure. The external domains include the Business Strategy and the
IT strategy. The Business Strategy drives both the Business and IT Infrastructures. The
priority is to enhance business procedures. IT efforts are focused on the application
development that is driven by the need to maintain the business structure.
Operating performance:
Honda’s Operating Performance is measured against average or
fixed indicators of efficiency, effectiveness, and environmental accountability such
as, regulatory compliance, cycle time and productivity. Honda’s operating performance
ratios depict the association of Honda’s level of operations and the assets required to
sustain their operating activities.
Strategic Issues
Identify Opportunities
Why is it an Issue?
According to Richardson, (2011), In 1958 Honda sent Kihachiro Kawashima
(who later became president of Honda) to the U.S. to scope out the market. Honda did not
have market research of any kind, and knew very little about America. Kawashima’s
reaction upon arriving in the U.S. was, “How could we have been so stupid as to start a
war with such a vast and wealthy country?” (Richardson, 2011).
Per Evans (2013), Honda wasn't the first foreign auto company to open a plant in
the U.S. Volkswagen, operating previously unfinished Chrysler factory in Pennsylvania
in 1978, beat them by a few years and Rolls-Royce manufactured cars in Massachusetts
Running Head: STARTING THE STRATEGY 18
in the 1920s. Both of those operations folded after 10 years of production. Honda's plant
in Marysville, Ohio, is still building Accords 30 years after it opened, and is the oldest
foreign auto plant operating in America.
In today’s unyielding competition and technology changes, it is difficult to predict
all opportunities with any assurance. Honda must have the elasticity and knowledge to
adapt to change and control its forces to their advantage.
Implementation Plan
Why is it an issue?
According to Richardson (2011), during the early 1950’s, Honda lacked planning
ahead of time. Soichiro Honda’s predecessor Kawashima recalled, “We had no strategy
other than the idea of seeing if we could sell something in the United States.”
(Richardson, 2011). According to Roper (2010), an implementation plan will allow for
the process of thinking through critical elements, anticipation of challenges, identifying
critical steps in advance, identifies and resolves discrepancies before they become costly
(Roper, 2010).
Economic Strength
Why is it an issue?
According to Taylor (2011), for years, Honda has been thought of as the ultimate
playground of engineers. They drove to work riding on their Honda motorcycles and got
to discover abstract schemes like humanoid robots and jet airplanes. With their extensive
list of scientific accomplishments dating back to the revolutionary CVCC engine of the
1970s (it produced a clean exhaust without a catalytic converter), they were proud of
their heritage and enjoyed an elite status within the company (Taylor, 2011). A bad
Running Head: STARTING THE STRATEGY 19
economy can have a number of effects on both small and large companies. For Honda to
stay afloat during a bad economy they have to keep production costs low. However,
during a recession the demand for automobiles decreases because consumers are being
careful because they are looking to save money, not spend it. The auto industry is hit
hard twice by decreased sales and increase in costs of producing automobiles.
Summary of key Findings and Recommendations
The Key Findings:
Market Position
According to Blackman (2013), Honda’s Civic as compared to Toyota’s
Corolla is higher priced, the Corolla received a five-star crash test rating from
the National Highway Traffic Safety Administration, the Corolla is also
designed better, Toyota offers a complimentary maintenance program with
free oil changes and 24 hour roadside assistance for the first 2 years or 25,000
miles, lastly, Honda recalled more than 820,000 Civics and Pilots during the
past year (Blackman, 2013). Honda should match or beat its competitors.
Honda has been successful in making the company attractive to all ages
however Honda should produce a motorcycle that is more female friendly to
increase the number of female riders.
Competitive Advantage
The reliability and quality of Honda are its key competitive advantage’s
between buying Honda or a competitor like Yamaha or General Motors. In
order to stay ahead of the tough competition in the auto industry Honda needs
to be in the forefront of technologically. Many consumers will buy American
Running Head: STARTING THE STRATEGY 20
cars based on capital advantage. The big three U.S. car makers manufacture
vehicles in every size and model ranging from small cars to large trucks. For
many years Honda’s main focus was on profits. They need to focus on
maintaining the competitive edge ahead of their rivals.
Strategic Issues
Honda’s strategic issue of Identify Opportunities, with today’s unyielding
competition and technology changes, it is difficult to predict all opportunities
with any assurance. Honda must have the elasticity and knowledge to adapt to
change and control its forces to their advantage. Honda’s strategic issue of
Implementation Plan, an implementation plan allows for the process of
thinking through critical elements, anticipation of challenges, identifying
critical steps in advance, identifies and resolves discrepancies before they
become costly. Having a plan and carrying it out through to implementation
is crucial for the longevity of Honda. The strategic issue of Economic
Strength, for Honda to stay afloat during a bad economy they need to keep
production costs low. However, during a recession the demand for
automobiles decreases. The auto industry is hit hard twice by decreased sales
and increase in costs of producing automobiles. Honda must be diligent and
aware of the economy and its effect on the corporation.
Running Head: STARTING THE STRATEGY 21
References
Honda. (2013). Retrieved from:
http://world.honda.com/investors/library/annual_report/2013/honda2013ar-p14-
17.pdf
Honda. (2013. Retrieved from:
http://blog.teamhonda.com/honda-a-true-value-
proposition
Tay, H. K. (2003). Achieving competitive differentiation: The challenge for
automakers. Strategy & Leadership, 31(4), 23-30. Retrieved from
http://search.proquest.com/docview/194378425?accountid=34899
Naylor, T.J. (2013). Which is the Better Investment: Honda or Toyota? Retrieved from:
http://www.benzinga.com/general/travel/13/11/4075804/which-is-the-better-investment-
honda-or-toyota
Chappell, L. (2013). Nissan's new Mexico plant ready to unleash small cars. Retrieved
from:
http://www.autonews.com/article/20131112/OEM01/131119980/nissans-new-mexico-
plant-ready-to-unleash-small-cars#axzz2lm1a8lO4
The Economist. (2008). Japan in Recession. Japan enters a recession. Retrieved from:
http://www.economist.com/node/12627563
General Motors. (2013). 2012 Annual Report. Retrieved from:
Running Head: STARTING THE STRATEGY 22
http://www.gm.com/content/dam/gmcom/COMPANY/Investors/Stockholder_Infl
ormation/PDFs/2012_GM_Annual_Report.pdf
Richardson, Adam. (2011). Lessons from Honda's Early Adaptive Strategy. Harvard
Business Review. Retrieved from:
http://blogs.hbr.org/2011/02/lessons-from-hondas-early-adap/
Taylor III, A. (2011). Why Honda is hurting. CNN Money. Retrieved from:
http://money.cnn.com/2011/08/02/autos/honda_problems.fortune/
Scott, E. (2013). 1812 Miles in Three 2013 Honda Accords. Land of Opportunity:
America Embraces an Automotive Immigrant.
http://www.motortrend.com/features/travel/1301_1812_miles_in_three_2013_hon
da_accords/
Roper, A. (2010). Best Practices for a Strong Implementation Plan. Retrieved from:
http://www.hhs.gov/ash/oah/oah-initiatives/webinars/
slides_implementationplanwebinar121310.pdf
Blackman, T. (2013). Why the Toyota Corolla Is Better Than the Honda Civic. Retrieved from:
http://partsblog.olathetoyota.com/2190/why-the-toyota-corolla-is-better-than-the-
honda-civic/
LASA 1—Preliminary Strategy Audit Rubric
Running Head: STARTING THE STRATEGY 23
Assignment Component
Unsatisfactory
Emerging Proficient Exemplary Score
Content Knowledge: Understanding
Communicates understanding of how to assess an organization’s value proposition, market position, and competitive advantage.
Response does not incorporate analysis or synthesis of central concepts of the assigned topic.
Response reflects lack of understanding of the specific topic within the discipline.
Response provides inaccurate supporting details and irrelevant examples.
Response incorporates minimal analysis and synthesis of central concepts of the assigned topic.
Response reflects a superficial understanding of the specific topic within the discipline.
Response provides few details and examples.
Response incorporates analysis and synthesis of central concepts of the assigned topic.
Response reflects understanding of the nature of the specific topic within the discipline and its applications in contemporary times.
Response provides necessary details and specific examples.
Response incorporates in-depth analysis and synthesis of central concepts of the assigned topic leading to new conclusions and recommendations.
Response reflects a thorough understanding of the nature of the specific topic within the discipline and its applications in contemporary times.
Response provides a variety of insightful details and specific examples that consider different perspectives.
Unsatisfactory: <45
Emerging: 46–51
Proficient: 52–57
Exemplary: 58–60
__60____ / 60 pts.
Comments
Flawless work here ... in great depth.
Content Knowledge: Application Component
Communicates the ability to assess the external factors that impact the organization using five forces analysis.
Response exhibits substantial gaps in the knowledge of the disciplinary content.
Response provides a minimal explanation of the specific issue within the context of the topic area.
Response fails to provide supporting details or examples.
Response exhibits some gaps in the knowledge of the disciplinary content.
Response discusses the specific issue superficially within the context of the topic area using a few details.
Response relates the specific aspect of the issue to applicable areas within
Response demonstrates a working command of the disciplinary content knowledge.
Response examines the specific issue within the context of the topic area using relevant details and examples.
Response analyzes the specific aspect of the issue to applicable
Response demonstrates an exemplary understanding of the disciplinary content.
Response provides an in-depth discussion of the specific issue within the context of the topic area using relevant details and numerous examples.
Response analyzes the specific aspect of the issue to applicable areas within the discipline and
Unsatisfactory: <30
Emerging: 31–34
Proficient: 35–38
Exemplary: 39–40
____40__ / 40 pts.
Comments
I saw only focus and critical thinking.
Running Head: STARTING THE STRATEGY 24
the discipline.
Response is supported by current literature, but not consistently.
areas within the discipline and their relevance to real-world contexts.
Response is adequately supported by current and relevant literature.
provides insightful recommendations related to real-world contexts.
Response is supported by current and relevant literature based on sound theories and best practices leading to effective conclusions.
Content Knowledge: Application Component 2
Communicates the ability to identify the most important (5–7) strategic issues facing an organization or business unit.
Response exhibits substantial gaps in the knowledge of the disciplinary content.
Response provides a minimal explanation of the specific issue within the context of the topic area.
Response fails to provide supporting details or examples.
Response exhibits some gaps in the knowledge of the disciplinary content.
Response discusses the specific issue superficially within the context of the topic area using a few details.
Response relates the specific aspect of the issue to applicable areas within the discipline.
Response is supported by current literature, but not consistently.
Response demonstrates a working command of the disciplinary content knowledge.
Response examines the specific issue within the context of the topic area using relevant details and examples.
Response analyzes the specific aspect of the issue to applicable areas within the discipline and their relevance to real-world contexts.
Response is supported by current and relevant literature.
Response demonstrates an exemplary understanding of the disciplinary content.
Response provides an in-depth discussion of the specific issue within the context of the topic area using relevant details and numerous examples.
Response analyzes the specific aspect of the issue to applicable areas within the discipline and provides insightful recommendations related to real-world contexts.
Response is supported by current and relevant literature based on sound theories and best practices leading to effective conclusions.
Unsatisfactory: <30
Emerging: 31–34
Proficient: 35–38
Exemplary: 39–40
__40____ / 40 pts.
Comments
There is no question in my mind that this student has excelled in all knowledge areas.
Content Knowledge: Application
Response exhibits substantial gaps in the
Response exhibits some gaps in the knowledge of
Response demonstrates a working command of
Response demonstrates an exemplary understanding of
Unsatisfactory: <30
Emerging: 31–
Running Head: STARTING THE STRATEGY 25
Component
Communicates the ability to identify a preliminary set of recommended tactics for improving your company’s strategic alignment and operating performance.
knowledge of the disciplinary content.
Response provides a minimal explanation of the specific issue within the context of the topic area.
Response fails to provide supporting details or examples.
the disciplinary content.
Response discusses the specific issue superficially within the context of the topic area using a few details.
Response relates the specific aspect of the issue to applicable areas within the discipline.
Response is supported by current literature, but not consistently.
the disciplinary content knowledge.
Response examines the specific issue within the context of the topic area using relevant details and examples.
Response analyzes the specific aspect of the issue to applicable areas within the discipline and their relevance to real-world contexts.
Response is supported by current and relevant literature.
the disciplinary content.
Response provides an in-depth discussion of the specific issue within the context of the topic area using relevant details and numerous examples.
Response analyzes the specific aspect of the issue to applicable areas within the discipline and provides insightful recommendations related to real-world contexts.
Response is supported by current and relevant literature based on sound theories and best practices leading to effective conclusions.
34
Proficient: 35–38
Exemplary: 39–40
___40___ / 40 pts.
Comments
Perfectly composed ideas and application components.
Written Communication/Personal Effectiveness
Conveys through written word understanding and application of using ethical scholarship and proper grammar and mechanics.
Writing is disorganized and lacks appropriate APA style and format.
Writing is unclear and includes major grammatical and usage errors.
Writing shows gaps with respect to organization and rhetoric and has some errors with respect to APA style and format.
Writing is somewhat clear, but includes some major grammatical or usage errors.
Writing is concise and clear in content, language use, grammar, organization, and sentence structure.
Writing is free of major grammatical and usage errors.
Writing is professional and scholarly, reflecting mastery of content, language use, grammar, organization, and sentence structure.
Writing is cohesive, convincing, and well composed.
Unsatisfactory: <14
Emerging: 15–16
Proficient: 17–18
Exemplary: 19–20
___14___ / 20 pts.
Comments
Too much written by non-original
Running Head: STARTING THE STRATEGY 26
conventions of boilerplate and other copying.
Total: 97% 194/ 200 pts.