• Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

This summary provides the most significant points of Caterpillar's strategic plan. It includes both solving present problems and decisions of how to use company's opportunities in the future

Extracts from this document...

Introduction

Executive summary of a strategic plan This summary provides the most significant points of Caterpillar's strategic plan. It includes both solving present problems and decisions of how to use company's opportunities in the future. Company's strategy must directed on saving its leading positions in existing markets and improving in the developing markets. The construction and heavy machinery market generated total revenues of about $70 billion in 2000. Caterpillar made $20 billion of the industry revenue. Caterpillar is a leader in the construction and heavy machinery industry in the world with about 45% market share. But now there are some problems within the company which may lead to declining the market share and losing key positions of this market. ...read more.

Middle

China and Korea are two of the most perspective markets in this region and it is very important to have good business relations with local companies. Another problem connected with lack of innovations and outdated production methods. The fact is that Asian rivals (Komatsu) use more modern technologies of production with cheap labor. It affords them to invest more money in research and development. Caterpillar must review their production placement policy in order to produce their goods more efficient. If we look at the map of spreading Caterpillar's production in the world we can see that most of factories are based in US and Europe. But now the most perspective markets are Asia and South America. ...read more.

Conclusion

Also it is good way to build strong dealers network and gain competitive advantages. If we try to define opportunities of the company we could say that there are many positive factors for world construction market. In near future there would be such huge perspective markets as South America, China, India, Korea, and East Europe. Caterpillar has opportunity to become the leader in these markets. But becoming a leader means that company has to have the best products, strategy and management style. The strategy making process is the most important and most vulnerable aspect of the company and all recourses should be directed to make it better, stronger. The good strategy of the company solves majority of the internal problems and the success of the company directly depends on its strategy. ...read more.

The above preview is unformatted text

This student written piece of work is one of many that can be found in our AS and A Level Case Studies and Analysis section.

Found what you're looking for?

  • Start learning 29% faster today
  • 150,000+ documents available
  • Just £6.99 a month

Not the one? Search for your essay title...
  • Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

See related essaysSee related essays

Related AS and A Level Case Studies and Analysis essays

  1. Business Plan window cleaning

    How much do you expect to pay for conservatory to clean? �8 �9 �10 �12 �15 6. Would you like to try a new window cleaning service? yes no Thank you for completing a questionnaires This graph below showed how often the customers get their window clean.

  2. Marketing plan for Trung Nguyen coffee company.

    Now, with the five day work week, Koreans have more time to go out. Besides, more Koreans traveled and studied abroad, and became exposed to coffeehouse culture. In addition, the younger generation is also more westernized. They prefer better quality coffee, a comfortable place for social time with friends and having taste choices.

  1. Business plan. The business that I am going to produce is a personalised logo ...

    A business plan is a good communication tool through which your business can communicate the marketing, sales and oporation plans to the investors of the business. A business plan needs to be monitored regularly so which direction your business is going in.

  2. NHS change management

    But on the other hand we should remember that the organizations are subjective realities or social systems. Organizations are nothing but individuals, groups and their relationships and networks. In aspect of strategic planning also it's possible to say if managers don't pay attention to the factors of the people within

  1. The Theory of Scientific Management.

    The cover staff may reduce the efficiency of the customer service as they may not be used to working in certain areas. Method of motivation: * To receive social perks such as extra holidays but only for certain staff, for example people who have been working for the company for

  2. Unit 9: Marketing Strategy

    whether other variables are affecting profits such as word of mouth and brand loyalty. A This target is attainable as the suggested means of advertising are relatively simple to achieve as they are local and do not cost a great deal.

  1. Business plan for international restaurant on campus

    This can help to maximise profits in an organisation. In addition, data/information can be used to evaluate an organisation's status, through analysing if the business is meeting the desired service of the customers with the actual service of the business.

  2. Nokia Company Profile and SWOT analysis.

    1992 Nokia launches its first GSM handset, the Nokia 1011. 1994 Nokia launches the 2100, the first phone to feature the Nokia Tune. The world's first satellite call is made, using a Nokia GSM handset. 1999 Nokia launches the world's first WAP handset, the Nokia 7110.

  • Over 160,000 pieces
    of student written work
  • Annotated by
    experienced teachers
  • Ideas and feedback to
    improve your own work