Internal consistent External consistent Feasibility Strategic advantage

(ABL strategic goal, operational and (Industry growth/profitability) (ABL capabilities) creation or maintenance
functional capabilities)
market  Consistent. ABL would grow  Consistent. The total industry  Yes. ABL's big size company  Yes. If it results in the
penetration market share from the second growth is increased. Per captia with large economic of scale, achievement of a low
(existing product largest to the largest competitor in consumption trends is following US which enable the further cost generic strategy by
into existing NAB industry. This option may consumption patterns, and now development. (experiences improved economies of
market) increase the economies of scale, just 63% of the US consumption on acquisition). scale that other industry
then reduce the cost and enhance level, so there is still opportunity to  Yes. ABL has strong participants are unable to
the profit therefore hold the more expanse the output. innovation culture, either in emulate, then this would
market share.  Consistent. With the Increasing product development or in be of strategic
 Consistent. Further market Australian population and global packaging designs. It would advantage. The option is
penetration enable ABL collect warming more output needed. add more values on the maintain the strategic
more market information therefore  Inconsistent. Industry consolidation existing products, therefore advantage.
it would reshuffle its manufacturing has occurred. Few big companies increases the consumption.  Yes. This option would
requirements for changing in hold the relatively high market  Yes. The major strength the distribution
demand. shares, which bring the difficult for manufacturing plant could relationships thereby
 Consistent. ABL would extend key further consolidation. process over one billion increase the speed to
customer relationship capabilities  Inconsistent. The proportion of drinks per year, which market, which may bring
and grow product availability. This CSDs within all NAB categories will provide the strong the advantage over its
goal will be achieved through be decline with people’s more manufacturing capability for competitors and provide
effective placement of refrigerated conscious on health and wellbeing. further expanded production. a solid base for its
drink equipment. Due to ABL’s revenue is still relied  Yes. ABL has strong continuing expansion.
 Consistent. ABL would maintain on CSDs to penetrate with existing distribution and warehousing
world best practices throughout the product is not consistent with system to ensure reduction
company’s operations to deliver industry future growth trend. of ‘time-to-market’, and get
cost discipline, low cost leadership  Consistent. The proportion of the market information on
and timely responsiveness to CSDs within all NAB categories will time, which enable the timely
changing market demand. be decline with people’s more responsiveness to changing
 conscious on health and wellbeing. market demand.
With expanded non-CSDs  No. The restriction of
manufacturing ABL would change competition by regulatory will
its product portfolios to match limited the further
industry growth trend. consolidation.
Product  Consistent. This option is align with  Consistent. The total industry  Yes. ABL have a strong  Yes. New products could
development ABL's intention to be a major growth is increased. Per captia product development team strengthen the advantage
(new product into competitor in all categories of the consumption trends is following to monitor the customers' on differentiation of
existing mkt) NAB market. It would like to US consumption patterns, and tastes both on Australian product range and the
New products achieve this goal by offering wide now just 63% of the US and US market, which distribution relationships
would understand range of products and expanding consumption level, so there is ensure its product with retailers. So this is
new product into new non-CSD beverage still opportunity to broad the development at the forefront strategic advantage
category or categories. product range. of global trends. maintenance
existing products  Consistent. ABL would like to  Consistent. With the health  Yes. Has strong innovation  No. Due to economies of
with new extend key customer relationship conscious and lifestyle changed culture. scope is not the strategic
functions. capabilities. To develop and people would like to drink health  Yes. The major capability of ABL it can't
manufacture new products would drink or functional drink instead manufacturing plant could reach the strategy
strength its distribution advantage, of CSDs. New product process over one billion advantage if the new
and then attracts more retailers. developed or acquired from other drinks per year, which product is not strong
 Consistent. ABL expects to companies would adjust the provide the strong enough to hold the
leverage its market power in soft product portfolios to match the manufacturing capability for market share. (such as
drinks to sales of related products. industry's growth trend. further expanded production. bw) on this condition the
 Consistent. ABL would grow  Consistent. Strong customer  No. The restriction of option is not strategic
market share from the second acceptance of new products will competition by regulatory will advantage.
largest to the largest competitor in help the consumption. limited the further  Yes. The strategy could
NAB industry. This option may  Consistent. With the more consolidation. also maintain its
increase the economies of scale, conscious on the quality of tap customer service by
then reduce the cost and enhance water the consumption of bottled using current system for
the profit therefore hold the more water increase. analyzing customers’
 market share. pattern in order to take
advantage of
responsiveness and
flexibility. e.g.: speed to
market generated,
tailoring customers’
needs.
 Yes. If it results in the
achievement of a low
cost generic strategy by
improved economies of
scale that other industry
participants are unable to
emulate, then this would
be of strategic
advantage. The option is
maintain the strategic
advantage.
Market  For the geographic market, ABL is  Consistent. Industry  No. ABL has no experiences  Yes. New market would
expansion currently focus on Australia market, consolidation has occurred. Few on export at all. attract new customer
(existing product so into oversea market is big companies hold the relatively  No. There is no strong groups, increased
into new market) inconsistent with its current strategic high market shares, which bring distribution channel for consumption would
New market goal. the difficult for further export. promote production,
would be  Inconsistent. ABL’s current consolidation. So expanse to  No. The lifestyle and cultural therefore may bring the
geographic capabilities may be not suitable in oversea market is external differences would bring risks advantage of
market, such as exploring new product into new consistent. when enter into new economies of scales.
oversea market; market  Consistent. The relatively strong countries.  No. There are many
or the local  For the never entered local market Australian dollar will not  No. ABL’s decentralization multi-national
market has never this option is consistent with ABL's sustainable and project to company structure and less companies hold the
entered (new strategic goal 'to extend key decline in the future. That is good support from head office main global market
customer customer relationship capabilities'. for export the product to oversea may not align with the share, like Butlers is
groups). ABL could use different way to market. multi-national company’s the global giant on its
expanse into other non-traditional  Inconsistent. The proportion of structure/management. selected products with
outlets, thereby to attractive more CSDs within all NAB categories  Yes. The product rich experiences, which
and new customer groups. Along will be decline with people’s development team monitors means it is very hard to
with the increase in the more conscious on health and US customer taste in order create the strategic
consumptions, the market share wellbeing. Due to ABL’s revenue to in line with the forefront of advantage in global
would expand as well. is still relied on CSDs to global trends, which makes market.
 Consistent. ABL would like to extend penetrate with existing product is easier to expanse the
key customer relationship capabilities not consistent with industry oversea market.
and grow product availability. With future growth trend.
effective placement of refrigerated
drink equipment and non-traditional
outlet expansion it would help to
establish a major presence in all
major NAB distribution channels.
Diversification  For the geographic market, ABL is  Inconsistent. Australian industry is  No. ABL has no experiences  Yes. New market would
(new product into currently focus on Australia market, in growth stage, it still has more on export at all. attract new customer
new market) so into oversea market is opportunities to grow before  No. There is no strong groups, increased
inconsistent with its current strategic considering to expanse to oversea. distribution channel for export. consumption would
goal.  Consistent. The quality of Australia  No. ABL’s decentralization promote production,
 Inconsistent. ABL’s current water is high, seems as ‘clean and company structure and less therefore may bring the
capabilities may be not suitable in natural’. support from head office may advantage of economies
exploring new product into new  Consistent. Industry not align with the multi-national of scales.
market consolidation has occurred. Few company’s  No. There are many
 For the never entered local market big companies hold the relatively structure/management. multi-national companies
this option is consistent with ABL's high market shares, which bring  Yes. The product development hold the main global
strategic goal 'to extend key the difficult for further team monitors US customer market share, like Butlers
 customer relationship capabilities'. consolidation. So expanse to taste in order to in line with the is the global giant on its
ABL could use different way to oversea market is external forefront of global trends, selected products with
expanse into other non-traditional consistent. which makes easier to rich experiences, which
outlets, thereby to attractive more  Consistent. The relatively strong expanse the oversea market. means it is very hard to
and new customer groups. Along Australian dollar will not create the strategic
with the increase in the sustainable and project to decline advantage in global
consumptions, the market share in the future. That is good for market.
would expand as well. export the product to oversea  No. The new capability
 Consistent. ABL would like to extend market. needs to be created as a
key customer relationship capabilities new entrant into new
and grow product availability. With market. Therefore, it is
effective placement of refrigerated very hard to create
drink equipment and non-traditional competitive advantages.
outlet expansion it would help to
establish a major presence in all
major NAB distribution channels.
 Inconsistent. No strategies regarding
new product into new market. The
option can create an increased
inherent risk for the business. They
may need new strategic capabilities
and skill sets as well as changes to
the existing functional strategies.
 Inconsistent. From the management
perspective, Tom does not have
experience in the overseas market