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01.To clearly understand what Kapruka fail. Explain 03 point on the mistake they did.

Answer

1) Wrong leadership Objective


2) Wrong Pricing strategy
3) Lack of Cooperate social responsibility.

Wrong leadership Objective

Leadership objective should be long term and sustainable towards company growth rather than
going behind short term goals, that will create more negative impact for reputation of the
organization.

Kapruka encouraged use this pandemic situation unnecessarily to full fill their short term goals
by the leadership.

Wrong Pricing strategy

Price should be very straight forward and generalized method. It should reflect as genuine.

Complicated price strategy, quoted in USD difficult to understand.

Lack of Corporate social responsibility.

Organization should work social and legally acceptable manner. All approach should be with the
ethical frame.

Under this pandemic situation Rating higher price for FMCG products are not socially
acceptable and it’s not in the ethical frame.
2. Because of three points what did organization go though afterwards?
 Organization loss reputation and integrity.
 Less loyalty and satisfaction of customer
 Descries market share and profit
 Less motivation of the staff.

3.Using Mintzberg Emergent strategy model explain how contemporary strategies are look in
to apply this frame work

Contemporary thinking

 Kapruka could merge with all the super market available in the
country such as cargills , Arpico , keells ,and undertake the
delivery part on behalf of them .
 So rather than been a competitor for FMCG products KAPUKA can
be a Business Partner.
 KAPRUKA can develop trust and loyalty through these partners.

Intended VS Emergent Strategy


 Organization loss reputation and integrity.
 Less loyalty and satisfaction of customer
 Descries market share and profit
 Less motivation of the staff.

Intended strategy Emergent Strategy


Organization loss reputation and integrity. Providing solution for delivery service problem for
reputed brands like Keells , Cargills, Arpico, etc
Kapruka will able to regain the reputation as an
exclusive delivery service provider for FMCG
products.

Less loyalty and satisfaction of customer No quality issue and complains and straight
forward price. Less impact form consumer
authority and develop trust and customer
satisfaction.
Descries market share and profit Developing the exclusivity for delivery service
providing sector you will higher market share
rather than been competitive.
Less motivation of the staff. With this emergent strategy we can create winning
habit in the market and it will leads to develop
motivation of the staff.

Roshan Buddhagamage.
23rd August 2021

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