Post Holdings Inc STRATEGIC ANALYSIS

The case under review is the decision of Post Holdings a United States Company to buy the United Kingdom’s Weetabix Corporation in a move that is expected to guarantee enhanced profitability (Weetabix to be sold to US group Post Holdings for $1. bn, 2017). The paper will undertake an in depth review of the benefits likely to accrue from the acquisition together with the strategic position of the company before and after the buyout. An evaluation of the tactical situation of the company, stakeholder review, external and internal environment will go a long way to guide the understanding of the case parameters. Evaluation of the Relevant Levels of Strategy Sustainable businesses management in the wake of challenging business situations makes it essential for entities to device strategic models that seek to offer comparative advantage.

Post Holdings Inc. strategic ingenuities have been designed to ensure the business is competitive and manages to fulfil their market objectives to every stakeholder. Post Holdings has evolved over time to become a significant brand in the United States and other market segments primarily due to the way it has organized their business strategy to respond to changing market dynamics (Weetabix to be sold to US Company, 2017). The organization has attained competitiveness in the market through employing a differentiation strategy across their product portfolio to ensure they deliver uniqueness in the market that positively influences the consumer. The strategy utilizes the capacity to develop unique products that take a broader input on the operations of the company from their marketing strategy, labelling, product packaging shapes, and the mechanization used to grow the business is extensively exceptional compared to other global brands.

The acquisition will intricately destabilize the food industry market through offering Post Holdings some significant control of the industry to grow their brand further. The organization should seek to develop mechanisms that will allow them restructure the operations and ensure they continuously provide consumers with best in the market. The success of the strategies employed by the organization highly depend on how it will critically evaluate the key stakeholders to ensure they are on board when it comes to offering the best for all to win. Critical Evaluation of Key Stakeholders The strategic management initiatives of business entities should be based on a critical evaluation mechanism that seeks to compel key stakeholders towards supporting such growth oriented measures. Organizations are built by some key stakeholders support that makes it important to make decisions based on how an organization will factor in their interests in any strategic move they pursue in different market segments.

A critical evaluation of such an eventuality provides significant insight to the organization on how they should approach the strategic change to attain the objectives of their model to improve their market performance. The economic environment and competitive pressure make it challenging for a business to forge ahead profitably making it imperative for them to cure the problem using strategic organizational development tools. For instance, a hostile economic situation coupled with contraction of revenue streams requires organizations to restructure their operations through the application of austerity measures that will make the business sustainable in the long run. The acquisition of Weetabix will have created an increased workforce that would not be necessary after the integration if the business desires to growth their brand competitively (Weetabix to be sold to US group Post Holdings for $1.

bn, 2017). The evaluations of critical key stakeholders equally require going hand in hand with an external analysis to determine the ability of the strategic change to positively grow across different markets. External Analysis The ability to improve organizational growth prospects lies in the capacity to make decisions based on informed analysis on the status of business environments. Business environments play an integral role in determining the capacity of any business entity to successfully enhance their ability to grow and attain considerable progression across market segments. Businesses make decisions upon guidance from undertaking extensive research on market factors which informs the ability of better returns from such markets. An analysis of the business organizations in relation to environments on a global perspective makes it imperative to identify the opportunities and threats existing in a given segment for the creation of working solutions (Calipha, Tarba, and Brock, 2010, 16).

The economic and political stability support a significant portion of the prospects for growth since the countries develop sound legislation that is business enabling environment. The socio-cultural orientation of the two markets is extensively diversified with different sets of people that require a business to segment their products towards aligning to specific consumer tastes and preferences. The United Kingdom and the United States of America are technologically advanced to cater for employment of the latest technological techniques in production, marketing and distribution among other business processes. Moreover, the legal regime is elaborate to support fair trade and ensure that both the consumer and business rights are protected from abuse. The two markets are developed to a level that they support considerable growth initiatives since environmental conservation forms an important aspect of each organization’s corporate social responsibility.

The acquisition will provide some competitive advantage for Post Holdings in the United Kingdom due to the extensive networks and market niche established by Weetabix (Weetabix Corporate | Post Holdings Completes Acquisition of Weetabix, n. d. On the other end, Post Holdings stands to expand their capacity in serving the United States market since it will have enhanced their resource endowment and competence in serving such a market. The United Kingdom and United States market orientation was understood upon an evaluation of both the external business environment to align them with internal competencies as an undertaking to boost the strategic change. The competitive pressure in the industry would be eliminated by the enhanced capacity of Post Holdings as they expand into the United Kingdom market to improve the uptake of their business enterprise.

Post Holdings acquisition of Weetabix Corporation is a strategic move in the right direction that will considerable attain better returns depending on the systems put in place to support the new formation (Weetabix Corporate | Post Holdings Completes Acquisition of Weetabix, n. d. The benefits of the acquisition will only be realized upon the implementation of a strategic shift mechanism that recognizes external and industry orientation to better develop growth initiatives. The competitive pressure in the food industry requires the business to enhance their brand quality and marketing strategy that will present the product differently to the ultimate consumer. Acquisitions often create the prospect for better improvement perception among consumers that should be exploited by the organization to grow their yields across different market segments. Emerald Group Publishing Limited. Crane, A. and Matten, D.

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