Strategy Plan For Dvd Company Essay

5896 words - 24 pages

IntroductionIn the following document a detailed strategic plan for a DVD company will be presented. It will demonstrate the ways in which the company's performance could be improved. It will consider details on Technical, Financial, Sales, Marketing and Production aspects of the product and company.Why have a strategy? [1,2, 14, 15]It is vital that an organisation has a shared sense of direction, knowing what needs to be changed and also how those changes will be implemented. It will give assurance to managers, among other things, assisting in resource decisions and in their sense of purpose. There is however no correct strategy as such, due to the uncertainty and complexity of the future, but a sense of direction is better than no direction at all and it will aid with the day-to-day running of management activities, making sure they fit in with the long-term interests of the organisation.It is possible to avoid having a strategy by running the business on an ad hoc basis, where the company continues to do things relevant to the market, but there have been many major failures from adopting this approach. Thus it is now standard practice for organisations to have a strategic plan.As indicated above setting up a strategy is not a trivial task. Inherently it is based on an unknown future, where there are many alternative paths that the company could follow. The environment the firms operate in is competitive and of a dynamic nature, which also adds to the complexity.There are three main stages to producing a strategy:This means before a strategic plan can be drawn up an analysis of where the company currently stands needs to be carried out. This will be in relation to its customers, competitors and its skills and capabilities. This will be limited by the situation of the imaginary DVD company being unknown, however the areas will be discussed hypothetically.The first part of the analysis is to understand exactly what our product is so that competitors and customers can be identified accurately.What is DVD? [4, 10, 11, 12]DVD, the Digital Versatile Disc is a high capacity, multimedia, optical data storage medium, designed to accommodate a complete movie on a single disc, content rich multimedia or very high quality multi-channel audio. Capacities for the read-only disc range from 4.7GB to 17GB, allowing for a high video and audio quality.Its physical dimensions are identical to compact disc but comprises of two 0.6mm thick substrates, bonded together. This allows for the possibility of single/dual-layer and single/double sided options, leading to various storage capacities (4.7 GB read-only capacity per layer and 8.5 GB per side maximum). 1x DVD has the data-rate of 8-9X CD-ROM. DVD is also similar in principle to CD, being comprised of rings of tiny pits in the surface, the length of which are read with a laser.As can be seen in Figure 2 the density of pits if much higher with DVD than CDs, about 4 times as many in the same area in fact, hence the...

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