Application of the six forces model by Porter on a non-profit industry, Rahma International: A Case Study (original) (raw)
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The apex of environmental scanning with regard to competition can only be found in Porter's Five Forces model. This is a long side External environment scanning tools such as Strengths, Weaknesses, Opportunities and Threats (SWOT) analysis and Political, Economic, Social, Technological, Environmental and Legal (PESTEL) analysis and calculate its coping with competition, how to retain or increase a company's market share among others. This requires accurate competitive analysis in the face of these complexities. This may adversely affect the application and continued use of the five forces in Kenya. This study was an assessment of the application of Porter's Five forces model of competitive analysis amidst the rapidly changing environment in the Kenyan Banking industry. The problem in this study was that the failure to use and under-utilisation of the five forces by banks has led to poor performance. The purpose of the study was to assess the application of the five forces model in terms of its benefits and limitations, and how it can be modified to cope with the Kenyan banking industry. This study would be of great significance in enriching the body of knowledge on Porter's five forces model and providing a meaningful and contextual evaluation of the Kenyan banking industry consequently coming up with useful insights. A descriptive survey design was used and a triangulation of both quantitative and qualitative methods. A sample of 62 respondents was randomly selected from the stratified target population of top, middle and operational level managers in Cooperative Bank of Kenya and given questionnaires. The data was analyzed both qualitatively and quantitatively and processed through computer (SPSS) with special emphasis on the facts and emerging themes that addressed the research questions and the resulting correlation and regression analyses results presented, discussed and interpreted. This was a mixed methodology of descriptive and inferential statistics to establish the existing relationships between the independent and dependent variables. Based on the findings, this study concludes that there is a strong positive relationship shown by R value of 0.8 between Porter's Five Forces model and the performance of Cooperative Bank of Kenya. It also concludes that the strength and effects of substitutes should not be ignored; competitors are significant in benchmarking, keeping the management on toes and increasing efficiency and effectiveness thus aiding in success and achievement of competitive edge through innovation; the Bargaining power of buyers within the banking industry is critical in terms of understanding the bank's buyers and successfully meeting their demands as a way of retaining them and achieving high customer satisfaction for repeat sales; the Bargaining power of sellers apply to the banking industry was a factor to watch as increase in the cost of their services leads to an increase in the cost of services offered by Cooperative Bank and the quality of their services also such as assured security and clean working environment determines employee motivation and satisfaction. Threat of new entrants was found to apply to the banking industry and needed mitigation measures as stated in the recommendations of the study.
2012
"The monograph focuses attention on the description and analysis of new phenomena and processes for commercial and non-commercial organizations. Valid conditions are pointed out for the functioning of both commercial and non-commercial organizations and an attempt is made to explain their impact on these organizations. The analysis also examines the strategies used by organizations in the face of fierce competition and increasing consumer demands in their effort to gain and maintain a competitive edge. This case study below is segmented into four areas of interest: • commercial and non-commercial organizations as an object of research, • commercial and non-commercial organizations in a market economy, • modern tools for managing commercial and non-commercial organizations • commercial and non-commercial organizations - global and regional aspects The first section contains a discussion of management science as a starting point for this study as well as contemporary issues: the use of a gender ratio index in the implementation of an equal opportunities policy in the enterprises as well as prosumer behavior in creating brand image. Also research problems have been addressed connected with multiparty negotiations. The chapter ends with a discussion of socially responsible innovation from the perspective of the theory of transaction costs and factors accounting for customer satisfaction with services. Part two begins with an article on product innovativeness in processes of a mature non-profit organization selected as a case study from local government. It is demonstrated how commercial and non-commercial organizations are managing in a market economy. Hence the article concerns the new model of competition and the impact of social media on the effectiveness of measures undertaken by interactive television, an analysis of the absorption capacity of schools, the level of unemployment and the structure of higher education in Poland. Subsequently the third part contains articles on the topic of modern tools utilized in the management of organizations. From here the chapter goes to an analysis of trust management of an intraorganizational dimension, the concept of knowledge management and the system of utilizing experience in a military organization for example, as well as results obtained from the use of European Intellectual Capital Statement tool to evaluate the intellectual capital of companies operating in the made-to-measure industry. Also shown are several new findings in the field of planning marketing strategies in non-profit organizations, and concepts of employee share options.Subsequently the third part contains articles on the topic of modern tools utilized in the management of organizations. From here the chapter goes to an analysis of trust management of an intraorganizational dimension, the concept of knowledge management and the system of utilizing experience in a military organization for example, as well as results obtained from the use of European Intellectual Capital Statement tool to evaluate the intellectual capital of companies operating in the made-to-measure industry. Also shown are several new findings in the field of planning marketing strategies in non-profit organizations, and concepts of employee share options. The last part is devoted to the global and regional aspects of an organization, which addresses the problems of local governments as regulators of water and sewage disposal services, fees for entrepreneurs for the commercial use of the environment, as well as image and social communication for national parks. Globally speaking all these aspects are connected with the modern crisis, how the banks are dealing with it and how the process of establishing fines for members of the cartel in the EU pans out. "
Journal of Economics
Strategic planning is fundamental in the process of deciding where an organization wants to find itself in the future and how it will get there. Strategic planning is a serious analysis of external factors that affect the success and failure of the organization and its activities and aims to solve the problems of the organization and strengthen internal factors. It contributes to the development of the capacity of the organization and to the efficiency in achieving the set goals and tasks. Porter five forces analysis is a framework that attempts to analyze the level of competition within an industry and business strategy development. It consists of those forces close to a company that affect its ability to serve its customers and make a profit. A change in any of the forces normally requires a business unit to reassess the marketplace given the overall change in industry information. The overall industry attractiveness does not imply that every firm in the industry will return the same profitability.
2017
This research aims in analyzing the capacity development of non-profit organizations in the growth stage through six internal components and four external components at Papuan Pesat Foundation. The approach used in the research is the action research based on the soft systems methodology that consists of two activities that had been done simultaneously, which are the research interest and the problem solving interest (McKay and Marshall, 2001). It fulfills criteria that are systematically desirable and culturally feasible (Flood an Jackson, 1991). Whilst the theory used is according to Brothers and Sherman (2012) that states that there are six internal components that should be strengthened in the growth stage, which are the leadership, the organization’s culture, the role of the board, programs’ extension, the management and infrastructure, the financial sustainable. Afterwards, according to De Vita, et. al. (2001) there are four organization’s external components that should be m...
International Marketing Review
Purpose The current challenges international charities face with regards to their deteriorating image, as a result of recent scandals (e.g. Oxfam, Save the Children), provide the impetus for this exploratory research, where the purpose of this paper is to examine the conceptualization and dimensionality of non-profit brand image across national cultures. Design/methodology/approach The study employs a quantitative research design, using multi-country samples from India, Bosnia and Herzegovina and the UK. The authors first examine the psychometric properties of the non-profit brand image scale via confirmatory factor analysis across countries, identifying the optimal model for invariance testing. Further, the authors use multi-group invariance analysis to evaluate whether non-profit brand image (using an 18-item scale and six factors) provides equivalent measurement across cultures. Findings The study shows that individuals in the three countries perceive non-profit brand image equal...
2014
We are happy to present the next volume of this regularly published scientific monograph. The 13th volume brings an analysis of current phenomena and processes taking place in business and non-profit organizations. It points at new conditions in which organizations are established and then function. It also provides an attempt at explaining what determines the way organizations function in a dynamic market. The book also analyzes strategies applied by the surveyed organizations in order to achieve and maintain competitive advantage in the world of increased competition and growing customers’ demands. The book is divided into the following thematic sections which constitute the construction base of this monograph: business and non-profit organizations as the object of research, modern tools for business and non-profit organizations management, business and non-profit organizations – global and regional aspects, and finally financial aspects of organizational management. In the first section, the authors analyze the issue of communication of nonprofit organizations with their stakeholders. This part presents the addressees of promotional activities, forms of contacting various groups of interest as well as instruments and scope of marketing communication activities undertaken by organizations. They examine transformation and development of culture in the context of virtual organizations, social engagement undestood as a source — 8 — of innovativeness, or work quality in the context of a resource theory of an enterprise. The next part, devoted to tools used by organizations, proposes an interesting theory of the so-called competitiveness integrated model, and the current status of research of the company competitiveness barometer, definition and algorithms for estimating the determinant of enterprise competitiveness. Moreover, it brings an analysis of the implementation of the early warning system in an organization, stakeholders’ management and the implementation of the concept of new public management aimed at increasing social expectations as exemplified by the strategy of human resources management of the civil service and other internal documents. The third section brings considerations of global and regional aspects of organization’s functions. It analyzes, among other aspects, such issues as: the impact of Polish national parks on their respective communes’ own revenue, possibilities of using public relations instruments by a public organization, identification of the main trends related to the small services eneterprises or problems of tourism in terms of its relationship with the social as well as culturalenvironment. The final section of the monograph presents financial aspects related to organizational management. We would like to draw your attention to an article on the event study and its application in research on corporate debt market. The empirical part of this article brings an analysis of how prices of instruments quoted on Polish Catalyst market react to selected events concerning the economic situation of the issuing company. The reader should also find it interesting to read about the development of SMEs in Polish economy during the slow-down period. We would like to thank all the authors for very interesting articles and their contribution to this edition. We also thank the reviewers for their valuable and insightful comments. We hope that the texts included in this volume will arouse readers’, scientists’ and practitioners’ curiosity.
The Role of Branding in the Non-profit Organizations
2017
Non-profit organizations come in many shapes and forms, and haveas their purpose to provide non-commercial help in different areas of need and that is why there are many definitions of non-profit organizations. The aim of the article is identification of the determinants and ways of creating branding process by NPOs as well as to examine how the process of branding is perceived by the brand managers of these organizations on the Polish market, using the IDEA concept. As a practical implication, this insight will allow managers of volunteer organizations to have a more clear understanding of their and other organizations’ brand image, and to take a more strategic approach to branding process. The research article was based on literature studies and analysis of reports and authors’ own research.
Analysis of Implementation of Performance of Non Profit Organization with Five Perspectives
Proceedings of the 5th Annual International Conference on Management Research (AICMaR 2018), 2019
In this study discusses performance measurement using the balance scorecard of a non-profit organization engaged in education consulting in the Jakarta area. This organization is one of the partners of the United Nations International Childrens Emergency Fund (UNICEF) under the auspices of the United Nations where the organization obtains and accounts for funds from and to UNICEF. So far, the organization has not made balanced scorecard design in its activities, because it will create a balanced scorecard design for the organization to achieve maximum results compared to previous years. The research used the research method by obtaining research data including primary, according to data source that is internal data, according to nature of research is qualitative, according to data collection time is cross section / incidental, and according to data collection method is unstructured interview and non-participant observation. The results and findings obtained is to determine the company strategy by assessing from internal and external environment in the form of SWOT analysis. Then designed strategy map and balanced scorecard. Since the organization is socially-based, the organizations strategy is analyzed with five perspectives namely, financial, clients (built schools), internal processes, learning and growth, and donors (i.e. UNICEF and participant donors). The conclusions and implications are in making the organizations balanced scorecard based on the organizations grand strategy determined that the organization is committed to improving the quality of the trainer, guiding the students, improving the educational facilities, and become a model for other educational consultants throughout Indonesia.
2010
The current research on relationship management primarily focuses on enhancing customer relationships through image or reputation in organisations. The resource-based theory portrays image and reputation as important intangible resources that are derived from combinations of internal investments and external appraisals. With this in mind, the role of image and reputation in value creation needs to be carefully delineated. In non-profit settings, stronger image and reputation are likely associated with higher quality of goods and services, better delivery of those goods and services, improved management of donations and funds, and improved outcomes (e.g., higher capability to make a difference in societies). Following a critical analysis of current literature with relevant examples, this paper argues that image and reputation are the keystones of non-profit organisations’ differentiation strategy. The resource-based theory suggests that resource factors represent a stronger explanati...