Managing Diverse Environments & Culture-Free-Samples for Students

Question: Discuss about the Origins and Background of Indra K. Nooyi and her Career trajectory in different levels of various Organizations. Answer: In todays competitive environment, the multinational companies give their strategies on how to have sustainability in their business operations, the competitive advantage they possess and also increase their levels of profits. The Pepsi CEO should be able to assess the competitors and also reassess each of the strategies and how the strategies have been met and if not, the strategy that can be replaced to meet the circumstances at hand, the new technology and the competitive situation and the new social, financial and political environment. The CEO should understand the five forces that shape industries, the markets and competition(David, 2013). The forces include: the bargaining power, threat of new entrants in the market, the threat of substitutes, and the intensity of the competition rivalry(David, 2013). Once the forces have been considered, the CEO should then examine the interrelation between the forces and then summarize them to give the company the best performance. The CEO should employ the cost leadership strategy whereby there is lower production cost per unit. The latter is aimed at gaining a larger market share than the competitors. The latter makes the price sensitive companies to shake and can at long run end up exiting the market(Lamb, 2014). When a firm needs to grow, it has to diversify its business operations. The Pepsi CEO can opt to diversify the current products for them to match the potential growth and also make sure the products meet the expected profits(Lamb, 2014). The CEO can opt to use either of the two strategies for diversification: the related and unrelated strategies. The CEO can also delegate his or her duties to the managers in subordinate level who operate in different branches(David, 2013). The latter will ensure that there is easy and faster decision making since the circle of information is shortened. The latter will yield more sells and also capture a larger market share(Lamb, 2014). Conclusion The growth of a firm is related to the size of the economy considering the processes that take place in the firm. For a firm to expand, it should be able to adapt to the business environment and also sustain its competitive advantage. Work cited David, F. R., 2013. Strategic Management.concepts and cases. s.l.:Pearson Education Limited. Lamb, R., 2014. Competitive Strategic Management. s.l.:Pearson Education Limited.