Ranchi University 2010 M.B.A Corporate Evolution & strategic management U-CP(401) - Question Paper

Full marks :70 Time :3 Hours

The figures in the margin indicate full marks for the ques.

ans any 4 ques. from part -A and Part - B is compulsory

Candidates are needed to provide their answers in their own word as far as practicable

PART - A
1. explain the concept of strategy and strategic management with their distinguishing features. 12

2. 'Strategic Intent' Is the leveraging of a firm's internal resources, capabilities and core competencies to accomplish the firm's vision, mission and objectives in a competitive environment.
discuss the statement. 12

3. How does strategy affect structure? discuss the different structural mechanisms needed to implement strategy. 12

4. discuss the nature and objectives of a turnaround strategy. What type of steps should be undertaken by the top management to implement the same? 12

5. Why is leadership an important element in managing strategic change? Using an example, State how a CEO has implemented innovative strategies in a unique way. 12

6. "Mergers involve a complex set of decisions to be made." discuss the statement offering suitable guidelines for effective mergers. 12

PART - B CASE STUDY
Building a car in less than 2 hours and churning the giant of Indian automobile industry. Maruti claims to be leader in the market, with a car model for practically every need of the Indian consumer. A study was conducted in the year 2000, when the car makers were struggling to remain in the market due to the emission norms issue, the EURO II and EURO III specifications. In April 1999, Maruti were unable to sell cars in the national capital region (NCR) comprising of Delhi and its surrounding areas, within a radius of 120 km. NCR accounts for 127 percent of Maruti's sales. Maruti took fast action for implementing the EURO technology and, in the mean while, sold the cars meant for the NCR elsewhere, Where the Euro norms were not application at that time.
It was important for Maruti to change with the times. They realized that while competitors like Hyundai had the Euro technology, and were small producers as compared to Maruti, they could come out with emission norms-complaint cars quickly. Maruti plans for introducing the MPFI technology (multi-point fuel injection) got delayed because of issues with locating vendors for the needed components and the gestation period that was necessary for launching commercial production for Euro-complaint cars for the market. This delay helped the competitors in the themed car segment, as Santro overtook Zen in sales for a few months. Historically, Maruti has been bringing out new models and they introduced Wagon R as a part of that process, Not as retaliation against its competitor. Maruti did not lose out on the business as they too came out with the Euro norms of emission. They also introduced Alto model car in the Maruti 800 segment as the reliable low-cost car. The ZEN model was subsequently reshaped. As a result, its competitors are attempting to increase the size of the automobile market in India without entering into cut-throat competition with the highlights of Maruti's success are as follows:
. Economies of scale
. Proactive strategy to keep introducing models as per market demand
. Catching up with recent Euro technology
. Maruti created its identity in the market as a reliable low-cost car
. Kaizen, the proper and judicious use of man, machine and materials quality at quite reasonable cost provides good margin for the company

ques. :
1. Write the critical success factor of Maruti. 12
2. How did the company maintain its competitive advantage in the market? 10

Earning:   Approval pending.