Mr Lewis, a Commercial Director of MayZale Ltd, a company that supplies designs, builds, manufactures, installs, and
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- Mr Lewis, a Commercial Director of MayZale Ltd, a company that supplies designs, builds, manufactures, installs, and maintains plans and equipment across all commodity sectors, from diamonds to coal, gold, iron ore, platinum, and phosphates. The company prides itself on complementing its services with the highest quality safety standards. The benefits to the clients:
- • Reduces overall plant costs.
- • Tailored field service and support contracts.
- • Strategic stockholdings of equipment and spares to respond to your plant requirements quickly and efficiently.
- MayZale Ltd has manufacturing facilities in Gauteng and Northwest. The company has experienced exponential growth and is now considering opportunities in Botswana, West Africa, and China. Mr Lewis has attended seminars and conferences with international speakers about the value of undertaking environmental analysis. He now realises there is a serious gap within MayZale leadership team on the knowledge about the environment in which it operates. He considers that if MayZale is to continue to be successful in the future, the team must improve its foresight to actively plan for the future. Mr Lewis is also interested in performing a PESTEL analysis for the company. The Chairman of the Board has advised that the PESTEL analysis is a good framework most boards of directors use in their strategic and risk management processes. Mr Lewis wants to assure the Board that the executive committee will undertake the PESTEL analysis exercise before developing or implementing a new strategy or tactical plan.
- REQUIRED:
- 1 Discuss any five benefits and any five risks that may be associated with MayZale’s strategy to enter global markets.
- 2 Perform the PESTEL analysis that MayZale will undertake before formulating the new strategy for operating beyond South African markets. (15 marks)
Related Book For
Management Accounting Information for Decision-Making and Strategy Execution
ISBN: 978-0137024971
6th Edition
Authors: Anthony A. Atkinson, Robert S. Kaplan, Ella Mae Matsumura, S. Mark Young
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