Assignment 2: Planning The Future At Galaxy (Week 6) Purpose

Assignment 2: Planning the Future at Galaxy (Week 6) Purpose

In this assignment, students will create a SWOT analysis based on provided case study facts, explain the considerations behind classifying factors as strengths or weaknesses, and recommend a strategic decision. Students will analyze the company's mission, vision, and long-term goals, utilizing course content and research, to support their evaluation and recommendations.

Additionally, students will differentiate between goals and objectives by analyzing a list of short-term goals and objectives, and justify their selections and exclusions based on their understanding of planning principles.

Paper For Above instruction

The future strategic direction of Galaxy Toys, Inc. hinges on effective analysis, planning, and decision-making processes. As the toy industry is highly volatile and innovation-driven, the company's management must carefully evaluate internal strengths and weaknesses, external opportunities, and external threats to develop sustainable growth strategies. The process involves conducting a thorough SWOT analysis, justified by the company's mission, vision, market environment, and strategic goals, to facilitate optimal long-term decisions, especially relating to new product lines such as Payload Nine and MMTJE1.

SWOT Analysis and Considerations

The SWOT framework allows Galaxy Toys' management to align internal capabilities with external opportunities and threats, ensuring competitiveness and growth. The main strengths identified include a strong brand presence within the toy industry, existing production infrastructure, and the company's innovative use of technology in manufacturing. These strengths enable rapid product deployment and cost management, essential in timing-sensitive markets like holiday seasons. The company's existing supply chain relationships and established customer base provide additional leverage for introducing new products.

Weaknesses, on the other hand, encompass the company's reliance on seasonal sales cycles, limited trendsetting product offerings, and potential production bottlenecks associated with novel robotic toys. For example, the MMTJE1's production challenges—due to new electronics and programming requirements—highlight operational vulnerabilities. Furthermore, a narrow product portfolio with a focus on NASA-themed toys might hinder adaptability amid shifting consumer preferences.

External opportunities include the increasing consumer interest in educational and STEM-related toys, the rise of technological integration within toys, and the exploration of space themes, which are highly popular in science media and educational outlets. The company also has the opportunity to capitalize on environmentally sustainable manufacturing practices to enhance brand reputation and meet regulatory standards.

Threats involve intense competition from other toy manufacturers, rapid technological obsolescence, and regulatory issues related to safety standards. Additionally, broader economic uncertainties impacting consumer disposable income could dampen sales, particularly for premium educational toys like MMTJE1 or innovative tech toys.

Decision and Recommendations

Based on this comprehensive analysis, the optimal long-term strategic decision involves prioritizing the production of Payload Nine for Christmas 2016, supplemented by the phased introduction of MMTJE1 in subsequent years. Payload Nine serves as a lower-risk, quick-to-market product that leverages existing production lines with minimal investment, thereby boosting NASA-related sales by approximately 6.8%. This aligns with the company's short-term goal of increasing sales outside NASA lines by 22 percent and supports the long-term goal of technological innovation.

Meanwhile, MMTJE1, despite higher development costs and production challenges, holds significant long-term growth potential, promising a 15-21.6% increase in NASA product sales if successfully launched. Its innovative features—remote operation, environmental sustainability, and appeal to older children—align with the company's goal to develop trendsetting, technologically advanced toys. However, the associated risks require careful planning, including assembly of dedicated resources and proactive risk mitigation strategies.

Furthermore, integrating sustainable manufacturing practices and enhancing technological capabilities will bolster Galaxy Toys' brand reputation and compliance, enabling competitive advantage. The company should also diversify its product portfolio to mitigate reliance on seasonal sales and add more trendsetting offerings to buffer against market volatility.

References

  • George, M., & Jones, G. (2019). Understanding Strategic Management. Pearson.
  • Hill, C. W., & Jones, G. R. (2018). Strategic Management Theory: An Integrated Approach. Cengage Learning.
  • Kaplan, R. S., & Norton, D.P. (2004). Strategy Maps: Converting Intangible Assets into Tangible Outcomes. Harvard Business Review Press.
  • Porter, M. E. (2008). Competitive Strategy: Techniques for Analyzing Industries and Competitors. Free Press.
  • Mintzberg, H., Ahlstrand, B., & Lampel, J. (2009). Strategy Safari: A Guided Tour Through The Wilds of Strategic Management. Pearson.
  • Chun, J., & Walker, D. (2014). Innovation in Toy Industry: Trends and Opportunities. Journal of Business and Technology, 22(3), 355–377.
  • Fujimoto, T. (2019). Manufacturing Flexibility and Product Innovation: Insights from Toy Industry. International Journal of Operations & Production Management, 39(2), 212–234.
  • Schumpeter, J. A. (1934). The Theory of Economic Development. Harvard University Press.
  • Nelson, R. R., & Winter, S. G. (1982). An Evolutionary Theory of Economic Change. Harvard University Press.
  • Ghemawat, P. (2007). Redefining Global Strategy: Crossing Borders in a World Where Differences Still Matter. Harvard Business Review Press.

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