Space, Grand, and QSP Matrices Analysis
Using the work you completed for Parts, I, II, and III with your CLC group to inform your analysis for the following in a paper (500–750-words). Analyze the significance of these three matrices regarding their relevance for strategic planning. Include a description of the key information for each of the three matrices.
Discuss how the information from your analysis will influence your recommendations for strategy selection, planning, and implementation.
In preparation for the final submission of the assignment, without prematurely determining and formalizing strategic goals and objectives, begin thinking about possible strategies to capitalize and add value to the organization based on the analysis of this information.
Deliverables
Submit a Word document to the digital classroom. All analysis in the paper should be substantiated with a minimum of five relevant and credible sources in support of your content. Credible sources need to be relevant to the assessment and can include corporate websites and peer-reviewed sources, or those provided in the topic Resources. Please use references from documents. The grand matrix is in part one. If you have any questions please contact me. Please use sources from documents provided.
Strategic Analysis
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Strategic Analysis
Strategic managers should be able to synthesize complex internal and external analysis of their organizations into strategic decision that can facilitate an organization’s ability to make strategic decisions. The SPACE matrix, Grand Matrix, and QSP matrix are three concise frameworks that one can effectively use to gain valuable insights following an internal or external analysis.
SPACE Matrix (Strategic Position and Action Evaluation) is a stage 2 matching tool that indicates the most appropriate strategy for a given organization among aggressive, conservative, defensive, and competitive strategies (Elezaj & Morina, 2017). The appropriateness of the suggested strategy is based on a consideration of the organization’s financial position, competitive position, industry position, and stable position. A SPACE matrix analysis of PetMeds shows that the company should implement competitive and aggressive strategies given that the company has managed to achieve stability. The SPACE matrix reveals that the company has a comfortable financial position relative to its size, but also indicates the need for the company to expand its reach.
The Grand matrix is another stage 2 tool that positions an organization based on its competitive position and the market growth of the company. To this end, a firm can fall into one of the four quadrants specified by the tool. Organizations that are positioned in Quadrant 1 are advised to focus on market penetration and product development as they have established competitive advantages (David & David, 2017). Firms in Quadrant 2 should pursue an intensive strategy as they are limited in their competitiveness, while those in Quadrant 3 have a weak competitive position and should focus on making changes that would minimize their decline. The firms that fall in Quadrant IV are in a strong competitive position but operate in a slow-growth industry, thus could benefit from diversification into a high-growth industry (Christensen, Berg, & Salter, 1976). The Grand Matrix analysis of PetMed indicates that the company’s operates in a rapid market growth and has managed to gain a competitive advantage as it pertains to the company’s ability to attract repeat customers and achieve autoship sales. However, the company’s ability to attract new customer sales lies in Quadrant II indicating that the company should pursue an intensive program that would remedy its ability to attract new customers. Thus, it is evident that PetMed should pursue strategies that maximizes its ability to attract new sales.