Synthesis of Internal and External Analyses - Essay Sample

Introduction

Internal Analyses- synthesis of internal analyses is an approach to evaluating key internal factors of an organization. Shak utilizes strategic management; this would play a vital role in the business because it makes it easy to identify potential threats, opportunities within the firm and outside. Since the owners and the head chef operate the firm, it would be easy for the business to make decisions and initiate new strategies to adopt the dynamic marketing of the café industry. Management is one of the key internal factors to consider in firm growth and development (Aprillia, 2020, p23); Shak, therefore, is likely to benefit from a small management team. Employees also play an essential role in delivering on the objectives, and strategic goals of Shak, the nature of owner to staff relationship has a greater impact on business operation. Therefore treating staff members as part and parcel of the firm would significantly contribute to the success of the company in the industry. A small number of staff increases flexibility and the ability to develop a close relationship with clients. The nature of the ownership and the number of employees also provide greater financial gain, a small amount of resources will be used to carry out managerial duties, and the rest can be used for expansion, marketing, and risk management.

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External Analysis- External environment play an essential role in business, suppliers, stakeholders, and customers, contribute to the overall functionality of Shak Organic Café. Developing positive relationships with suppliers and customers would provide more opportunities for the firm to active short and long term objectives. Competition is one of the main external factors that influence the Café industry and marketing strategies. Following the Covid-19 pandemic, demand for restaurant services had reduced, giving rise to high demand for Shak services as well as other firms in the Café industry (Beck and Hensher, 2020, p15). Change of customer preferences in the team's nutrition, and consumption of healthy food would allow the firm to enjoy a competitive advantage in the market. Government and public health concerns also play in business operations; as a result of the Covid-19 pandemic, the firm must consider adopting health-related issues and new legal measures. The requirements to meet these standards affect the financial status and operational activities at Shak Organic Café.

Interpretation of the Value and Relevance of the Integrated Strategic Analyses

Shake strategic management and business operation would provide more opportunities and for the firm to relate positively with customers and suppliers. The contemporary market structure and demand for café services provide considerable value for the firm; it also position Shake in the market. Strategic staffing standards also provide a greater value for the business. Staff competency and expertise are the major factors that the firm would consider. As a result, it will be easier to deliver on the firm's short and long term objectives and well as attain competitive advantage. The main concern for Shak is to provide quality services, and following customer change in preferences, this will help to add value and position the firm in the market. Serving coffee as one of the strategic product would provide an opportunity for the firm to secure a considerate market share and customer loyalty (Han et al., 2018, 87).

Conclusion & Recommendations

In conclusion, the Café industry is one of the trending business opportunities in the contemporary society of COVID. There are opportunities to explore in the industry; Shak, therefore, is in a good position to position itself in the market. Strategic management and staffing are essential for a business to succeed; Shak employee requirements and management would provide an effective platform to develop and initiate strategic plans for growth and development. Small staff comes with various advantages such as flexibility, low cost of labour control, and easy decision making (Knox, 2016, p370). Shak is based on quality production and effective delivery of services; this allows the firm to achieve its objectives and secure a considerate market share within a short period. Key internal and external factors are the main facilitators for the success of any business; in the Café industry, these factors play an essential role, and Shake must consider adopting a strategic production and marketing initiatives to position itself in the market. Suppliers operating in the industry and customers provide considerable opportunities for the firm.

It is essential to consider that the café industry is under maturity; Shak and other firms, therefore, must adopt market-oriented strategies to help in the growth and development of the industry, especially at this time of COVID. The online platform is one of the opportunities that the firm must consider; most of the customers have shifted to online delivery of food to mitigate the spread of Covid-19. Shake, therefore must consider expanding online delivery to reach more customers and increase its market share. It is also essential to consider the supply of farming products and maintain positive relationships with suppliers to ensure that it continues to supply. The decline in demand for restaurant services has provided an opportunity for the café industry; the firm should, therefore, develop more strategies to increase market share. Quality of services should remain the driving factor in the café industry because it is a critical aspect of a business to help in value positioning among firms in the industry in the market.

References

Beck, M.J. and Hensher, D.A., 2020. Insights into the impact of COVID-19 on household travel and activities in Australia–The early days of easing restrictions. Transport Policy. https://dx.doi.org/10.1016%2Fj.tranpol.2020.08.004

Han, H., Nguyen, H.N., Song, H., Chua, B.L., Lee, S. and Kim, W., 2018. Drivers of brand loyalty in the chain coffee shop industry. International Journal of Hospitality Management, 72, pp.86-97.

Aprillia, S., 2020. The effect of marketing mix towards customer loyalty at The Traders Cafe, Restaurant and Bar (Doctoral dissertation, Universitas Pelita Harapan).

Knox, A., 2016. Coffee nation: an analysis of jobs in A ustralia's café industry. Asia Pacific Journal of Human Resources, 54(3), pp.369-387.