The following is the Vision Statement of ‘Company X’ which sells top quality computers

| August 14, 2017

1. The
following is the Vision Statement of ‘Company
X’ which sells top quality computers to the general public:

‘The
purpose of Company X is to earn money for its shareholders and increase the
value of their investment. We will do that through growing the company,
controlling assets and properly structuring the balance sheet, thereby
increasing EPS, cash flow, and return on invested capital.’

A) Critically
analyse the vision statement identifying the problem areas, and describe in
detail how it can be improved. (40
marks)
B) Why
is it important for an organisation to have a good vision statement? (10 marks).0pt;mso-list:l0 level1 lfo1″>2. Choose
2 organisations, the first organisation pursuing a strategy based on
differentiation, the second organisation pursuing a strategy based on cost
leadership. Making extensive use of
examples and the value chain concept compare and contrast the approaches of
these two companies in their pursuit of a source of competitive advantage (KFC,
McDonald, Hungry Jack, Red Roster, Domino Pizza or Subway in Australia).

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