You are on page 1of 2

STRATEGIC MANAGEMENT (MGT603)

ID: BC170403092

1. Based on the following table’s hypothetical values of IFE scores, EFE scores, and
revenue percentage, fill the IE matrix solution file (available in the Download section of LMS)
just like the one present on page # 3, Figure 2 of the provided study material “IE Matrix for
Assignment #1” (available in the Download section of LMS) and identify which product falls in
which quadrant of the IE matrix i.e., either I, II, III, IV, V, VI, VII, VIII, or IX.

Solution:

Products Percentage IFE Scores EFE Scores Quadrant


revenue
Ariel 2% 3.3 3.7 1st
Pampers 53% 3.9 2.5 4th
Head & 15% 2.2 2.7 5th
shoulders
Olay 1% 2.8 1.5 7th
Safeguard 8% 1.1 2.2 6th
2. Based on the quadrant position of the products which of the strategies from amongst
Growth & Build strategy, Hold & Maintain strategy, or Harvest/ Divest strategy will you suggest
to P&G for each product? Justify your answer in light of logical arguments.

Solution:

Product Quadrant Strategy Argument


Ariel 1st Build and grow EFE scores for the product is high which
indicate that the opportunities to grow the
product is high also the IFE indicates the
capability of organization to meet its strength
or weakness. in this case IFE points are strong
and it can capture the profits in the future
easily.
Pampers 4th Build and grow For this product the IFE score is strong and
EFE score are medium and it already capture
the handsome profit. We can use the forward,
backward, horizontal integration strategy.
And also, we can use market penetration,
market development, or product development
strategy to build and grow the product.
Head & 5th Maintain and hold IFE and EFE score of this product indicate
shoulders this item is like cash cow. Here we have to
use either market penetration or product
development strategy.
Olay 7th Maintain and hold IFE and EFE score of this product indicate
this item is like cash cow. Here we have to
use either market penetration or product
development strategy.
Safeguard 6th Divest or This product is not making enough profit and
harvesting cannot cover the costs. So that we have to
either harvest the product or liquidate the
business. For this we can use either
retrenchment or divestiture strategy.

You might also like