Organization:Compare and Contrast
Organization:Compare and Contrast
Disneyis a multinational corporation founded in California, in 1923 topursue mass media and entertainment business. The company operates anopen system where external players like broadcasters, cinemas, andother key stakeholders, affect the business directly. The companyoperates three levels of management – apex, secondary andmanagerial. Disney`s business strategy is based on developingsuccessful brands like ESPN, Walt Disney, and Touchstone Picturesamong others as diversification. Its competitive advantage is inensuring that its products remain as modern as possible (Magretta,2012). Aside from the entertainment value associated with Disney, ithas done a lot of Corporate Social Responsibility (CSR) activitiesthat focus on the environment, community, and labor standards. Theinternet has grown Disney by providing a new cheaper way to marketand also form of medium of releasing products to consumers.
RitzCarlton is an LLC founded in 1983 as the parent company of a luxuryhotel chain. Both Ritz-Carlton and Disney adopted their founders’names for business. Ritz-Carlton also operates as an open system withmultiple partners and outsources other hospitality related servicesthat are offered in their hotels. The company, like Disney, also usesa hierarchical management structure with a COO, three vice presidentsand a General Manager among others. Ritz operates strategy thatfocuses on selecting the best locations, offering highest productquality and having well-trained employees. The company’scompetitive advantage is on its employees being the best trained inAmerica thus the motto: ‘We are ladies and gentlemen that serveladies and gentlemen.` The company also conducts CSR activities inchild well-being hunger and poverty relief and environmentalresponsibility. The internet has increased the reach of the company’soutlets, which has grown its business or customers.
InternationalBusiness Machines Corporation (IBM) is an American multinationalestablished in 1911. Its main businesses include the manufacture andmarketing of computer hardware and software, web hosting andconsulting services including research and innovations in relatedfields. The company operates in an open system with partnerships,outsourcing, and other external business relationships. The companyhas several layers of management given its size. Its competitiveadvantage lies in the size and quality of its brands and productportfolio and also the 30years legacy system in the industry that isonly updated (Magretta,2012).Reducing or eliminating inequalities, to improving access to healthcare and education, to reducing pollution and our carbon footprintthrough data science forms IBM’s social impact.
Beinga technology company, the availability of ubiquitous internet hasgrown its business into previously unreachable markets. Dell is amultinational established in the US in 1983 to pursue a business-linesimilar to that of IBM. The company also has a hierarchicalorganizational structure but with fewer levels as compared to IBM’s.It also operates using an open system with partnerships, strategicalliances, and outsourcing among other business relationships beingevident. Dell`s direct sales business model and superior supply chainmanagement system have been its competitive edge over the years. Theeffect of technology on dell`s business has not been favorable as itscompetitors like HP benefited more. The company has socialresponsibility activities directed towards environmental protectionincluding recycling and collection of ocean plastics.
Wal-Martis the largest multination retail chain in America, operating a chainof hypermarkets discount department stores and grocery stores.Founded in 1902, Target Corporation is the second largest discountretailer in the USA. Both stores operate using open systems withsuppliers and other business relationships supporting theirstructure. Both Wal-Mart and Target have layered organizationstructures. However, Wal-Mart has fewer layers than Target (Magretta,2012). Wal-Mart’s competitive strategy is an all day low prices toretain its share of the market. Store designs and experiencesupported by the well trained and enthusiastic staff forms Target’scompetitive edge in the retail space.
Wal-Mart’sbiggest social impact has been through empowering women economicallyand supporting in hunger eradication. It also supports environmentalactivities like plastic bag waste management and energy conservation.Target competes socially by increasing healthy food stock andcompliance with diabetes HbA1c testing. Wal-Mart has utilized thetechnology as a new medium for marketing and e-commerce which hasgrown their business. Target’s online business has also grown usingthe ubiquitous internet.
FedExis an American multinational courier company established in1971.Universal Parcel Services or UPS is the largest package deliverymultinational based in the US established in 1907 and offers supplychain management solutions. Both companies employ an open system intheir business operations with several external stakeholderengagements. FedEx has a highly structured organization with severallayers. UPS also practices a similar organizational structure. However, the layers within UPS are fewer than those in FedEx’sorganization structure. Considering it is the largest deliverycompany, UPS`s competitive edge lies in its mature global supply anddistribution network (Magretta, 2012). FedEx, on the other hand, hastried to separate its express, freight, ground and services businessunits to allow for competition amongst them. This has attractedcustomers to use more than one of the established business units.
UPSemploys eco-friendly packaging material and also ensures it measuresthe level of carbon emission from its activities as part ofenvironmental protection. FedEx has a seventeen years partnershipwith a charity named Safe Kids Worldwide to provide pedestrian safetyservices in over ten countries globally. Both companies havebenefited from the upsurge in technology and ubiquitous internetaccess by coming up with online delivery services. This has broadenedtheir markets and increased the frequency of repeat clients.
Magretta,J. (2012). UnderstandingMichael Porter: The essential guide to competition and strategy.Boston, Mass: Harvard Business Review Press.