• 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 Another problem connected with lack of innovations and outdated production methods.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. Unit 9: Marketing Strategy

    now able to review the marketing mix which I outlined earlier on. As a reminder, here is what my original considerations were. "My Current Considerations in Relation to the Marketing Mix" Product The bakery will sell luxury individual cakes as well as day to day necessities such as bread loaves and buns.

  2. Business Plan window cleaning

    * Wright Cleaning Service - a sole trader business. * Clear Cleaning Window Service * Bob Ward Window Cleaning Business Aims: Our main aim is to provide a good quality cleaning for local house owners, at a reasonable price. Objectives: To meet our mains aim, we have to: > Gain

  1. Marketing plan for Trung Nguyen coffee company.

    * Social/ Culture: For the first time, Korean women are fully in the workforce. They enjoy meeting with friends and co-workers to socialize in trendy coffeehouses. There is also a gradual shift from a six-day to a five-day workweek in Korea.

  2. NHS change management

    People followed different pattern of behaviour at NHS. In earlier days they followed the behaviour of "I am Responsible". Because of the changing government policies, technology advancement, interpersonal working has become the norm, quality, customer service etc. "I" has become a problem and people started resisting (denial) the change (D Plamping, 1998).

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

    A sole trader is a independent business owned by one person only! The owner is personally responsible for every aspect of the business. I am starting off as a sole trader, as my business is only small, although I would like to form a partner ship in the near future, to gain a larger profit.

  2. The Theory of Scientific Management.

    Theorist: Elton Mayo Theory name: The Human Relation Approach Mayo believed that workers are not just concerned with money but could be better motivated by having their social needs met whilst at work. This was something that Taylor ignored. His theory focused on managers taking more of an interest in

  1. I am going to carry out an investigation into S Parton Construction Ltd. I ...

    Availability of skilled labour The availability of skilled people who can do all sorts of different jobs is an important factor. If there is not a lot of skilled labour around S Parton will find it difficult to find someone to do a job which he cannot do.

  2. John Lewis company anaylsis

    A flexible Management Development Programme is run in the Partnership. Within the department stores this development attracts people from all kinds of backgrounds, and with different personalities and ambitions. By this it is meant, those with proven experience in retail management; people wishing to switch from their current careers to

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