Wednesday, September 7, 2016

Scotts Miracle – Gro Company/ Strategic Management / MBA



Introduction and Background
Scotts is an American company with its headquarter in Marysville, Ohio the company begins its operation since 1868 up to now it has already carried a long life of more than 147 years and it is even continuing in its operations, the company sells lawn seed at the beginning at now as they have grown themselves on the very bigger industry they are now the market leader of the lawn and garden market as well. They have marketed and sell themselves in all over the places of America but as they are from North America they are the market leader in North America and got bigger scope in Europe as well. They have not made themselves integrated to one brand as the company has diversified themselves with the related products and the brands like Evergreen, KB, Fertiligene, and the other brand of Miracle-grow are their famous brands.
The Scotts company are not only limited to America as they have extended themselves to Europe and as well as to Asia-pacific. The main offerings so far I knew are the consumer fertilizers, plant foods even soil and mulches and all those pest controls, bird food and many more. Their head brands are the Miracle-Gro and Ortho and the name Scott represent the agent for the marketing and development of the product also they are responsible for the distribution of the product. The Scotts companu they have made it large up to 160 locations and with following net income of 174.4 Million dollars.
SWOT analysis of Scott Miracle – gro company (SMG)
Strength analysis of SMG
·         As they are the market leader and they have the leadership to the market this has been their no one strength in my view.
·         As company has been longer than 140 years a long history carries a long story of success which gives the trust among stakeholders, customers, suppliers.
·         The long history shows that the company is innovative and even adoptive to the dynamic culture.
·         The cost-leadership strategy has made them earn the loyalty from their beloved customers which now have been a greater strength for Scotts.
Weakness analysis of SMG
·         As their operations are not limited up to the local boundaries other global issues are the weakness.
·         High overhead costs for the company
Opportunities analysis of SMG
·         As they have the money and the customers all the opportunities lies in their hand in my view latest technology are the opportunities for the company.
·         As they are innovating, modifying the products and services to the market this is gaining their goodwill and more and more customers are intact with the company.
·         They have high growth potential it’s because of the globalization as they have the competitive advantage of serving customers and a long history behind them which can lead them to the global market and make them a market leader.
·         They have opportunities of mergers and acquisitions with the other international brand if needed to make the company grow larger and bigger.
Threats analysis of SMG
·         Local and global competition to the brands like American Vanguard Corporation, china green agriculture Inc is some competition to the SMG.
·         There are high threats of the international law for the agro products .let’s take an example of Srilanka  as it has bans import of glyph sate which is the agro products and some of the African countries like Nigeria, cape town also have banned several agro products which affect the business of the SMG. So the international law is a threat to the company to grow.
·         Commodity prices are not fixed as the market changes so does the price so we must say that the volatile market is also the threat for SMG.
Past, present and future strategies
As we see most company’s does price skimming at the first to attract those customers which are early adopters or innovators who will buy at any cost to be the first adopters and then they differentiate the product and goes for the cost-leadership like Samsung, LG has done on their operations
 Over viewing at SMG I have found out that they have used various strategies on various stages of their lives in order to sustain, grow and be profitable in the market. From generations to generations consumers are the key priorities of the SMG and believe as the trusts are better earned and it comes through the long practice of almost 147 years. They have given the quality and one standards to the customers they have gone to the product development and also after some time as they have benchmarked themselves they introduced more products to the market and operate the business and support communities through their practice. So concluding their past strategy I say they have sustainability as their main priority and the strategy to live and grow to the community they have incorporated a long term vision of years and years so that they cans serve to the community and be gained from the community.
Present strategies for SMG must be the adaptation to the global market as they are introducing themselves to the global market the strategy for them is the and strengthen their product strategies to make happen in the global world. Knowing and utlizatation of the HR that SMG has must also be the company strategy, prolonging the maturity stage and also using latest technology
Future strategies for SMG could be the identification of the market niches to capture even the tiny market and creating competitive advantage through it. As the products are related to the agro they can also go the distinctive competitive advantage in the market it only happens through innovation and creativity.
Conclusion and recommendations
For the Scotts miracle company as they are already a market leader and they earn more than 35% of share of the market only themselves which is the competitive advantage for them so, as to continue the prosperity and growth they must adopt newest technology and they have to put up the best HR to remain on their place. As they are already no 1 they must keep their place through various strategies and through various ways of tracking consumer’s minds and capturing their heart.










 

 

 

Bibliography

Agrawal, G. R. (2010). Strategic Management. Kathmandu: M.K. publishers.
The Scotts Miracle-Gro Company. (2015, July 6). In Wikipedia, the Free Encyclopedia. Retrieved 15:05, August 9, 2015, fromhttps://en.wikipedia.org/w/index.php?title=The_Scotts_Miracle-Gro_Company&oldid=670232572








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