Global Business and the Advertising Industry-Samples for Students

Question: Discuss bout the Global Business and the Advertising Industry. Answer: In this growing era of competitive business, the strategic management is something, where the processes of various management levels set this strategies and goals within an organization, as it equips the organization with overall direction of various functional areas of different departments of a company such as accounting, finance, production or marketing, which gives management the opportunity to comprehend each of the operation levels concepts in the entire organization (Hill, Jones Schilling, 2014). Hence, it is the duty of the managers to make sure that they bring out the best of each of the levels of operation in order to achieve the strength and weaknesses in the business environment. With the modern condition of affairs, the advertising industry needs to have a relook into their models of strategic management to make sure that the strategies that are applied are relevant as well as are capable enough to create a value for both the industry and the clients (Rath Bharadwaj, 2017). Hence, the industry players need to function more as the integrated entities and bringing up together the operations of the other industry units I order to contribute to the success of the organization. The environmental analysis of the business is a strategic tool, which is used to identify the internal and the external aspects that have an influence on the overall performance of the respective organization (Bryson, 2018). It includes the assessment of the level of threats and opportunities. It helps the organization to strategize its growth and increase its market share by targeting new customers or by increasing the range of products and services that it offers or by geographical expansion. The advertising industry, with regard to this case, is very challenging. This is due to the technological developments, the increase in customer spending in the developing economies, as well as the compensations based on the results (Tukker Tishchner, 2017). However, some of the key tools that are being used in the in the environmental analysis of a business includes SWOT, PESTLE and Porters Five Forces that analyses both the external as well as internal business environments (Rothaermel, 2015). The level of competition in the advertising industry is generally the highest. A good advertising company will have its units widely spread across the compasses. However, not every organization is seen to have limited capability in effective functioning. According to (), it would be very helpful of the advertising industries share information across the offices for creating synergies in between the units in order to enhance the success of the competitive advantage regarding the economies of scale and the efficiency. By making the use of Porters five Forces for determining the competitive behavior, the advertising industry can access the requirements for handling the competitions from the internal environment (Yunna Yisheng, 2014). There is no legislative barrier for entering into the advertising industry. The growth in the environmentally-friendly awareness for the advertising companies has the potential for a better delivery of the environment friendly marketing and the advertising. It decreases the threat of new entrants by increasing the loyalty of clients. Moreover, the advertising industry has the bargaining power on the media planning and buying, as they have an established infrastructure and are well-equipped with tons of talents. With the growth in social media, the advertising or marketing companies too need to advance themselves in order to grow and develop with the changing world. Advertising companies suppliers such as the Facebook and Google are providing a large range of services like marketing, technology design and strategy services through their channels to the potential customers. These online agencies are continuously tapping on the increasing use of internet by the current generations to bypass the former advertising agencies and sell their services directly to the consumers. However, the advertising industry is a greatly differentiated service providing industry and low differentiation is not a matter of concern for the advertising industry. From the present condition of the industry, the autonomy grants independence of the medium to low high companies, the opportunities to contribute to innovative as well as creative strategies. The reputation of the conventional advertising industry has expanded up for the other stakeholders in order to deduce in its potential, both financially as well as non-financially. References: Bryson, J. M. (2018).Strategic planning for public and nonprofit organizations: A guide to strengthening and sustaining organizational achievement. John Wiley Sons. Hill, C. W., Jones, G. R., Schilling, M. A. (2014).Strategic management: theory: an integrated approach. Cengage Learning. Rath, P., Bharadwaj, A. (2017).Communication Strategies for Corporate Leaders: Implications for the Global Market. Taylor Francis. Rothaermel, F. T. (2015).Strategic management. McGraw-Hill Education. Tukker, A., Tischner, U. (Eds.). (2017).New business for old Europe: product-service development, competitiveness and sustainability. Routledge. Yunna, W., Yisheng, Y. (2014). The competition situation analysis of shale gas industry in China: Applying Porters five forces and scenario model.Renewable and Sustainable Energy Reviews,40, 798-805