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Assessment Brief
Unit Details:
Unit Code: A/601/0796 (Unit 7)
Unit Name: Business Strategy
Programme Name: BTEC ig!er National "i#loma (N") in B$siness
A%arding &od': Ede()el
Unit Le*el (+C,): +C,-.
A)ademi) term: /an$ar' 0011
"istri&$tion date: 2/C - 00/01/0011
3$&mission deadline: 01/01/0011
4es$lt and 5eed&a)6 date: 1 %ee6s 5rom t!e deadline
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Course Details
Course Name BTEC ig!er National "i#loma (N") in B$siness
Unit number 7
Unit Name B$siness 3trateg'
Credit Value 1.
Lecturers A&!i7it/Al5red/A&im&ola/8$sman/3!eena
Hand Out/ssue Date /an$ar' 0011
Submission Deadline 1
t!
A#ril 0011
ntroduction
3t$dents are e(#e)ted to %rite an essa' )o*ering t!e #oints listed $nder ea)! o5 t!e learning o$t)omes9 To a)!ie*e a
#ass in t!is $nit: st$dents m$st s$))ess5$ll' address all o5 t!e assessment )riteria listed (P1-P11)9 2e e(#e)t all st$dents
to a)!ie*e t!eir #otentials and %o$ld en)o$rage 'o$ to address all #ass )riteria: merit and distin)tion des)ri#tors9
,or )ertain tas6s st$dents are en)o$raged to $se real li5e e(am#les o5 t!eir )!oi)e and/or t!e s)enario #ro*ided &elo%9
T!e s)enario gi*en &elo% ma' not &e rele*ant to all #ass )riteria listed9 T!ere5ore: 'o$ s!o$ld read and )ite rele*ant
ne%s#a#ers and ind$str' 7o$rnals to 5ind s$ita&le arti)les 5rom %!i)! 'o$ )an dra% e(am#les to s$##ort 'o$r ans%ers9
T!ere is not set 5ormat 5or t!is essa'9 o%e*er: li6e all &$siness essa's 'o$ s!o$ld !a*e an introd$)tion: &od' and a
)on)l$sion9
Scenario
Case 3t$d':
Strategy at Virgin Group
Under the strong and populist leadership of its chief executive, Sir Richard Branson, Virgin Group has
pursued an opportunistic strategy to build a company with estimated annual sales of over US$! billion by
"!!#$ Starting from nothing in %&', Virgin Group tried a series of strategies over the next (! years$ )ts aim
was to find opportunities to grow the business on the basis of what became the Virgin brand name and on
the strong reputation of its founder and chief executive$ *he strategic trial+and+error process was essentially
emergent, rather than prescriptive$ *his case outlines some of the main strategies with Virgin,s successes,
failures and continuing business developments$
Background to the early years
After an experimental launch of a student magazine, the young Richard Branson developed a small record
mail-order business in 1969 to tae advantage of the end of resale price maintenance in the !"# $e opened
his first record shop t%o years later and subse&uently developed it into the 'irgin (egastore chain#)1* At the
same time, he %as attempting to develop a record label by signing up various pop artists of the time# +one of
these businesses possessed any clear competitive advantage, though arguably contractual rights to popular
musicians and the 'irgin brand itself had some real value# $e continued to see business opportunities using
the 'irgin brand and, by chance, met up %ith an entrepreneur %ishing to develop an airline business# ,his
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eventually led to the 'irgin airline business %ith its first route to +e% -or in 19./#)0* 1n later years, the
company moved into a variety of business ventures 2 from 'irgin Bride and 'irgin 3ola to 'irgin ,rains and
'irgin (obile telephones 2 see ,able 0#0# 1n terms of its strategy, 'irgin 4roup claims to examine business
opportunities carefully, seeing an opportunity for 5restructuring the maret and creating competitive
advantage6#
Virgin Groups underlying business strategy
,he company has developed its strategy over a number of years# 7ssentially, 'irgin taes the vie% that there
are al%ays opportunities available for the hungry business executive# ,he underlying business logic has
been summarised by Branson thus8
Business opportunities are li-e buses $ $ $ *here,s always another coming along$[3]
1n practice, %hat this means is that 'irgin examines ne% opportunities to see if the group can offer something
5better, fresher and more valuable6 than existing companies# 1t loos particularly at marets %here the
existing customers are not al%ays receiving value for money and %here the existing companies have in
some cases become complacent 2 trains, insurance and baning for example 2 and %here the ne% internet
might deliver a business opportunity# ,his means that the main thrust of the strategy has been to find ne%
maret opportunities %here the company believes its brand name can create competitive advantage#
53ontrary to %hat people may thin, our constantly expanding and eclectic empire is neither random nor
recless# 7ach ne% business demonstrates our sill at picing the right maret and the right opportunity,6
says the 'irgin %ebsite#
All the businesses in the 'irgin group is strategically targeted to%ards a five pillar empire system that 9ir
Richard Branson is eager to create# At the heart of 'irgin6s strategy to develop the five pillars of
business strategy travel, leisure, mobile phones, entertainment retailing and personal finance#
Outcome of strategies: Virgin focuses on geographical
expansion
1n the last fe% years, 'irgin has focused its strategy on geographical expansion of its existing product
portfolio rather than adding products# :or example, it has taen its highly successful concept of 'irgin (obile
telephones to other countries beyond its !" base# $o%ever, it remains opportunistic in its main product
areas 2 for example, its bid to rescue the failed !" ban +orthern Roc in 0;;<# ,he strategy continues to
emerge 2 both into ne% countries and into ne% product areas#
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:or more information, you can visit %%%#virgin#com
9ource8 !tt#://%%%9glo&al-strateg'9net/emergent-strateg'-at-t!e-*irgin-gro$#/
(Or, you can research and analyse any organisation of your choice by using internet , trade
journals, business magazines, books etc., and provide answers to all tasks given below.)
!o ac"ie#e a $ass in t"is unit you must successfully address t"e follo%ing tas&s '()*())+:
() E(#lain strategi) )onte(ts and terminolog'- mission: *ision: o&7e)ti*es: goals: )ore- )om#eten)ies9
(AC 191)
(, 4e*ie% t!e iss$es in*ol*ed in strategi) #lanning ( <$idan)e : )onsider impact on managers in
formulating strategic planning; targets; when to plan; who should be involved; role of
planning). (AC 1.2)
(- E(#lain di55erent strategi) #lanning te)!ni=$es (<$idan)e- 'o$ s!o$ld $se any t%o o5 t!e 5ollo%ing
te)!ni=$es: BCG growthshare matri!; directional polic" matrices; #$AC%& $'(# etc.&) (AC 19;)
(. Prod$)e an organi>ational a$dit 5or ?irgin or an' ot!er organisation o5 'o$r )!oi)e (g$idan)e : 'o$ ma'
)onsider $se o5 one or more t!e 5ollo%ing te)!ni=$es: benchmar)ing; #*+, anal"sis; product
positions; valuechain anal"sis; demographic influences& Competitive advantage profile anal"sis
etc.&) (AC 091)
(/ Carr' o$t an en*ironmental a$dit 5or ?irgin <ro$# or an' ot!er organisation o5 'o$r )!oi)e (g$idan)e-
'o$ ma' )onsider $se o5 any one o5 di55erent models s$)! as PE3TEL: $orter-s . force anal"sis etc.&)
(AC 090)
(0 E(#lain t!e signi5i)an)e o5 sta6e!olders anal'sis (<$idan)e: 'o$ ma' de5ine t!e )on)e#t and im#ortan)e o5
3ta6e!older Anal'sis: tools @ #ro)ess o5 anal'sis: 3ta6e!olders Anal'sis Aatri( et)9 Bo$ )an lin6 it %it! ?irgin
<ro$# or an' ot!er organisation o5 'o$r )!oi)e) (AC 090)
(1 Anal'se #ossi&le alternati*e strategies relating to s$&stanti*e gro%t!: limited gro%t! or retren)!ment A (AC
;91) '2ou may define strategic c"oice a#ailable to a business unit and &ind of alternati#e strategies a#ailable+
(3 3ele)t an a##ro#riate 5$t$re strateg' 5or ?irgin gro$# or an' ot!er organisation o5 'o$r )!oi)e (Bo$ ma'
&e allo%ed to $se an' organi>ation o5 'o$r )!oi)eC (AC ;90) ( 2ou may do t"e analysis of e4isting strategies and
alternati#e strategies a#ailable to t"e selected organisation)
(5 Com#are roles and res#onsi&ilities o5 3enior Aanagement to%ards strateg' im#lementation (AC 191)
( Bo$ ma' re5le)t on t!e di55erent le*els o5 senior management to%ards strateg' im#lementation)
()6 E*al$ate reso$r)e re=$irements to im#lement a ne% strateg' 5or ?irgin <ro$# or an' ot!er organisation
o5 'o$r )!oi)e (AC 190) (Bo$ ma' e*al$ate t!e reso$r)e re=$irements li6e ,inan)e: 4: Aar6eting: et)9: and t!e
6e's to im#lement a ne% strateg' o5 t!e gi*en or an' )!osen organisation)
()) "is)$ss targets and times)ales 5or a)!ie*ements in a gi*en organi>ation to monitor a gi*en strateg'
(AC 19;) ( 2ou may $ropose target and a plan to implement proposed strategy/new strategy based on
some assumptions you have made)
Ac"ie#ement of a merit grade
To a)!ie*e a merit grade 'o$ m$st a)!ie*e a #ass grade and also 'o$r essa'/assignment/)o$rse%or6 demonstrates 'o$r
a&ilities and s6ills as gi*en in t!e merit des)ri#tors 5rom A1 to A1:
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Merit Descriptors Indicative Characteristics
M 9ubmit your =or on time and in appropriate
:ormat#
-our Assignment must be submitted by the due date
=ord processed
,he report should comply %ith the %ord count of
>;;; %ith ?@-1;A margin#
,he report must be %ritten in professional manner
and properly referenced#
M! 1dentify and apply strategies to find solutions
through effective Budgement#
Relevant theories and concepts have been
successfully applied to the %or#
7ffective Budgements of the leadership and
management concepts have been made#
7ffective approach to study has been used#
M" 9elect@design and apply appropriate
methods@techni&ues# -ou are Budged on the application of
relevant techni&ues and the Bustification for their application#
A range of sources of information has been used,
re&uiring different methods of research#
Custification for using different approaches to
research has been given#
Ability to deal %ith complex information and identify %hat
is important in order to produce a synthesis has been
sho%n#
M# Dresent and communicate appropriate findings# ,his
includes the use of an appropriate structure and approach
%ith coherent, logical development of principles@concepts
for the intended audience#
Eifferent methods of presentation have been used#
A clear and concise %ritten style %hich %ould allo%
someone unfamiliar %ith the issues to understand the
arguments# :or example, good referencing F$arvard
styleG#
Ac"ie#ement of a distinction grade
To gain a "istin)tion grade 'o$ must ac"ie#e all t"e $ass mar& criteria and all t"e merit mar& criteria and in
addition 'o$ m$st satis5' t!e )riteria as o$tlined &elo%9
$istinction $escriptors %ndicative &haracteristics
$ !se 3ritical reflection to evaluate o%n %or and
Bustify valid conclusions including realistic improvements
%hich have been proposed against defined characteristics
for success#
3ritical thining has been used to generate valid
conclusions discerned from a thorough
understanding of various theoretical concepts#
,he validity of results has been Budged#
9elf-criticism of approach has taen place#
$!Eemonstrate convergent@ Hateral@creative thining by
sho%ing evidence on receptiveness to ne% ideas and
effective thining in unfamiliar contexts#
+e% ideas have been generated
7valuation of performance
Himits of the theories used in the text explained and
relate to the organisations#
1nnovative and creative interpretations have been
offered and receptiveness to ne% ideas
demonstrated#
4ood referencing and arrangement F$arvard styleG#
$",ae Responsibility for managing and organising
activities including accommodating the unforeseen and
recognising the importance of interdependence#
,he %or student6s o%n %or and sho%s
originality and independent#
,he %or has been %ell planned, managed
and organised#
,he %or has been submitted on time#
Submission nstructions:
T!is assignment m$st &e )om#leted &' all t!e )andidates $nderta6ing Ede()el NC/N" "i#loma in B$siness9
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4easona&le )onsideration %ill &e gi*en in t!e )ase o5 5ail$re to s$&mit t!e assignments on time d$e to an' medi)al
reasons9 ( Pro*ided t!e s$55i)ient medi)al #roo5 is made a*aila&le at t!e time o5 e(em#tion)
Late s$&missions are not allo%ed and %ill &e #enalised9
4e5eren)ing s!o$ld &e #ro*ided in ar*ard 3t'le re5eren)ing9
T!e assignments s!o$ld &e )om#leted in ,ont T'#e: Time Ne% 4oman/Arial %it! 3i>e 10 and 19. s#a)ing &et%een
lines9
A$$endi4 A: (lagiarism and Collusion
An' a)t o5 #lagiarism and )oll$sion %ill &e serio$sl' dealt %it! a))ording to t!e reg$lations9 Dn t!is )onte(t t!e
de5inition and s)o#e o5 #lagiarism are #resented &elo%:
EUsing t!e %or6 o5 ot!ers %it!o$t a)6no%ledging so$r)e o5 in5ormation or ins#iration9 E*en i5 t!e %ords are )!anged
or senten)es are #$t in di55erent order: t!e res$lt is still #lagiarismF9 (Cortell 000;)
Coll$sion des)ri&es as t!e s$&mission o5 %or6 #rod$)ed in )olla&oration 5or an assignment &ased on t!e assessment o5
indi*id$al %or69 2!en one #erson s!ares !is/!er %or6 %it! ot!ers %!o s$&mit #art or all o5 it as t!eir o%n %or69
A$$endi4 B: Har#ard 7eferencing System
An' in5ormation t!at is not 'o$rs needs to &e re5eren)ed or else t$rns to &e #lagiarism9 Co#'ing 5rom someoneGs %or6
)an &e $nintentionall' i5 'o$ are $na%are o5 t!e r$les o5 a)6no%ledging and re5eren)ing dire)t =$otations9
T!e ar*ard s'stem o5 )itation re=$ires 'o$ to a)6no%ledge )ertain in5ormation %!i)! are mainl' t!e s$rname and 'ear
o5 #$&li)ation %it!in t!e te(t9
,or e(am#le
A))ording to Bell (1999): as 'o$ %rite $# 'o$r resear)! 'o$ %ill $se a )itation to indi)ate in 'o$r te(t t!e so$r)e o5
#ie)e o5 in5ormation: 999999
T!e a$t!ors and #$&li)ation in5ormation )ited %it!in t!e main &od' o5 'o$r %or6 m$st &e listed in t!e re5eren)e list9
,or e(am#le:
Bell: /9 (1999) H"oing 'o$r resear)! Pro7e)tG9 (;rd Ed) B$)6ing!am: 8#en Uni*ersit' Press
"etailed g$idan)e on t!e ar*ard 4e5eren)ing 3'stem (43) is a*aila&le on t!e ?irt$al T$tor (?T)9
L8A7NN9 OU!CO:8 AND ASS8SS:8N! C7!87A '8;!7AC! <7O: 8D8;C8L UN!
S(8CCA!ON
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Content of t"is unit 'to be able to address t"e abo#e tas&s you s"ould co#er all of t"e contents listed
belo%+
LO ):
Understand the process of strategic planning
Strategic contexts and terminology/ role of strateg"; missions; visions; strategic intent;
ob0ectives; goals; core competencies; strategic architecture; strategic control
Strategic thinking/ future direction of the competition; needs of customers; gaining and
maintaining competitive advantage; Ansoff-s growthvector matri!; portfolio anal"sis
Planning systems/ informal planning; topdown planning; bottomup planning; behavioural
Approaches
Strategic planning issues/ impact on managers; targets; when to plan; who should be
involved; role of planning
Strategic planning techniques/ BCG growthshare matri!; directional polic" matrices;
#$AC%&
$'(#
LO ,:
Be able to formulate a new strategy
Stakeholder analysis/ sta)eholder significance grid; sta)eholder mapping
Environment auditing/ political& economic& sociocultural& technological& legal and
environmental anal"sis ($%#,1%); $orter-s . force anal"sis; the threat of new entrants; the
power of bu"ers; the power of suppliers; the threat of substitutes; competitive rivalr" and
collaboration
Strategic positioning/ the Ansoff matri!; growth; stabilit"; profitabilit"; efficienc"; mar)et
leadership; survival; mergers and ac2uisitions; e!pansion into the global mar)etplace
The organisational audit/ benchmar)ing; #*+, anal"sis; product positions; valuechain
anal"sis; demographic influences; scenario planning; s"nerg" culture and values
LO -:
Understand approaches to strategy evaluation and selection
Market entry strategies/ organic growth; growth b" merger or ac2uisition; strategic
alliances; licensing; franchising
Substantive growth strategies/ hori3ontal and vertical integration; related and unrelated
4iversification
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Limited growth strategies/ do nothing; mar)et penetration; mar)et development; product
development; innovation
Disinvestment strategies/ retrenchment; turnaround strategies; divestment; li2uidation
Strategy selection/ considering the alternatives; appropriateness; feasibilit"; desirabilit"
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LO.:
Understand how to implement a chosen strategy
The realisation o strategic plans to operational reality/ communication (selling
the concepts); pro0ect teams; identification of team and individual roles& responsibilities and
targets; programme of activities; benchmar) targets at differing levels of the organisation
!esource allocation/ finance; human resources; materials; time
!eview and evaluation/ an evaluation of the benchmar)ed outcomes in a given time period
in relation to corporate& operational and individual targets
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