Strategic Solution for Next

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Task G (A1)

Strategic Solution for Next

Interest for Expansion

Next retailers of clothes, home and lifestyle products will be interested in expansion due to the huge success they are in the UK. Therefore they believe that they have the ability to cater for a larger market and will be able to establish themselves a recognised business which is successful and profitable, interesting shareholders to invest in their business which will help eliminate their competitors.

Due to Next being a successful business in the UK, they have the ability financially and unity to successfully expand in the UK and worldwide in to European countries.

Expansion will aid their business in becoming competitive, creating a better corporate image and increasing sales which will lead to higher profits. After all Next is an organisation which belongs to the private sector.

Importance of Change

Although Next is a great success due to the way it is trading here in the UK it will not have the same beneficial success in other countries in the European Union. In order for Next to be as successful in France and Germany like it is in the UK it is vital that the business undergoes adequate changes. This is because the consumers at which they are targeting their products and services are different in these countries than the consumers in the UK. This is due to cultural differences and the grouping of countries which I have explained in E7+C3. Therefore it is vital that Next make adequate adaption to their products and services as well as other areas such as staffing in order for the expansion in Germany and France to be successful. This will be achieved by creating a strategic solution which takes in to account operational changes.

Business Culture, Management Styles & Motivational Theories

Although Next employ democratic management style, which makes it logical for them to incorporate a task culture, adaption must be made in order to suit employees so that they are satisfies this will lead to motivated employees which are beneficial for Next. This is because employees in the UK have different needs and wants compared to employees in Germany and France. This is because they live in a different type of country where their interests are different due to their culture and the different behaviour. Due to the cultural differences, employees will live different lifestyles and therefore, will work in a different way to employees in the UK.

Currently, employees in the UK's Next are satisfied with the democratic management style that enables them to delegate authority to other employees and are happy to take advice from other employees who specialise in a certain area and therefore are experts. This may not be the case in Germany and France because they feel they are being lectured and feel that Next is undermining and makes them feel like they are unable to complete their work properly. Therefore it is likely that employees in Germany and France will be satisfied with Laissez Faire management style because it enables them to make decisions by themselves as Management give employees full responsibility because they feel they are capable of completing their work correctly and efficiently. Employees are therefore motivated by this management style because they are trusted and do not feel they are being watched over constantly.

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Due to Next incorporating a Laissez Faire Management style it is logical they utilise a role culture. This is because employees are given a defined job and are given power. Therefore this business's culture is suitable.

Next utilise motivational theories such as Abraham Maslow and Douglas McGregor in the UK. This is because these theories apply and are suitable for employees in the UK, which therefore motivates them. This is because of the cultural differences between Germany, France and the UK is likely that employees are motivated by different motivational theories compared to the UK as they are ...

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