Business Strategy Formulation Research Articles

Financial Services Industry Business Strategy Formulation Public Appraisal Service Office Toto Suharto and Partners

KJPP Toto Suharto and Partners is one of the companies engaged in the financial industry that provides appraisal services. The purpose of this study is to analyze the company's internal and external conditions and formulate a business strategy in the face of intense competition. The research method used is qualitative research. Data collection techniques using interviews, surveys and questionnaires conducted on related parties within the company's internal and external. The data that has been obtained were analyzed using IFE, EFE, CPM, SWOT, IE, Grand Strategy and QSPM Matrix. The results of the IFE Matrix are 3.31 and the EFE Matrix are 2.61. The results of the SWOT, IE, Grand Strategy analysis show that the alternatives that can be applied by the company are horizontal integration strategies, market penetration strategies and product development strategies. The final result of this study concludes that the recommendation or proposal for the right business strategy for the company is obtained based on the results of data processing through the QSPM Matrix is a penetration strategy.

Customers’ continuance usage of mobile payment during the COVID-19 pandemic

Purpose The COVID-19 pandemic has significantly affected how consumers make payment choices. This study aims to develop a comprehensive model explaining customers’ continuance usage of mobile payment during the COVID-19 pandemic by investigating both the pull (positive) factors of mobile payment and the push (negative) factors of cash payment. Design/methodology/approach A survey was conducted on 508 mobile payment users. A quota sampling method was applied to collect the data. Then, the data were analyzed using structural equation modeling. This study employed SPSS and LISREL software. Findings This study reveals that four antecedent factors: favorable attitude toward mobile payment, social influence, facilitating conditions and unfavorable attitude toward cash payment, positively affect the continuance intention to use mobile payment during the COVID-19 pandemic. The finding also corroborates the effect of continuance intention on the actual use of mobile payment. Practical implications This research provides valuable insights for formulating business strategies. The results indicate that mobile payment providers should not only consider the positive aspects of mobile payments but also the negative aspects of cash payment when encouraging the continuance usage of mobile payments to customers. Originality/value This study is among the first to empirically test the effect of unfavorable attitudes toward cash payment on the continuing use of mobile payment. Specifically, the research extends the unified theory of acceptance and use of technology by adding the push–pull-mooring model to enhance the explanatory power.

Strategi Bisnis UMKM Berbasis E-Commerce Pada Online Shop Adiva Shakila

Digital transformation is an urgency for micro, small and medium enterprises (MSMEs) in facing global challenges. The benefits of digital transformation through the application of e-commerce include entering the global market, increasing productivity and efficiency. Adiva Shakila Perlengkapan Bhayangkari dan Organisasi (ASPBO) is an e-commerce-based MSME that experienced a decline in profits throughout 2020 and 2021. The purpose of this study is to analyze the factors that affect the decline in APSBO performance, formulate business strategies that are in accordance with the external and internal environment ASPBO, and determine priority strategies that can be implemented by ASPBO. The selection of respondents was carried out using the purposive sampling method with the assumption that the respondent's knowledge of the object of study. The analytical tools used in this research are internal factor evaluation, external factor evaluation, strength weakness opportunity threat, and quantitative strategic planning matrix. The results of this study indicated that social restrictions are the main threat, the unemployment rate in the textile and textile product industry is the main opportunity, a good reputation is the main strength, and the disruption of product supply is the main weakness. The results also showed that there are four strategy formulations with the first priority, namely empowering the surrounding community who have expertise in the garment sector as an alternative supplier, the second priority is the evaluation and efficiency of business activities, the third priority is sales promotion through the provision of discounts and online advertising, and the fourth priority. namely increasing consumer loyalty. Keywords: e-commerce, MSMEs, QSPM, strategy formulation, SWOT

Business Strategy for Oil Refinery Company in Facing Challenges in The Crude Oil Refining Industry

The development of the energy industry in a developing country in Asia is undergoing a transition process from oil and gas energy to electrical energy and renewable energy. Based on Government data, the share of oil and gas will decrease from the current 32% to 20% in 2050, this is in line with the increase in penetration of electrification and other energy diversification. However, the demand for oil and gas will continue to increase significantly due to the increase in population. PTM, an energy company in a developing country, one of its refineries supplied 26% of domestic fuel demand by the end of 2021. The company is facing several challenges that affect its business, especially in one of its domestic oil refineries. Domestic crude production (upstream) is predicted to decline by up to 40% in the next 10 years so to meet the need for crude as raw material for refineries, it must be met through imports. Most of the imported crude is sour crude (high Sulfur), while the existing refinery is designed to process sweet crude (low Sulfur) which is more expensive than sour crude, so it will reduce the company's profit in the future. The demand for fuel and petrochemical products in the country is currently still high, where the country still imports 40% of fuel products and 40% of petrochemical products. Besides, the company is faced with the fact that Most refineries use old technology, Lower complexity than international competitors, and Lower conversion rate results in low profit. Therefore, the company requires a business strategy to face the above business challenges in order to generate better profits and become more competitive in the future. This study aims to find the appropriate business strategy for the company. This study uses VRIO Analysis and Business Model Canvas to determine the company's internal business environment, using PESTLE and Porter's Five Forces to determine the company's external business environment. Then summarized through SWOT Analysis and using a business strategy formulation through 3 stages: Stage 1 (Input) consisting of Internal Factor Evaluation (IFE) Matrix and External Factor Evaluation (EFE) matrix, stage 2 (Matching) consisting of SWOT Matrix and Internal-External (IE), Stage 3 (Decision) using Quantitative Strategic Planning Matrix (QSPM). Finally, the result of The Quantitative Strategic Planning Matrix (QSPM) is Market Development. Market Development is the appropriate strategy for the company and was chosen as the first priority strategy, namely increase crude processing capacity & flexibility, and upgrade refinery technology. With these strategies, the company is expected to be more competitive and generate better profits in the future.

Determinants of intentions to use foodpanda mobile applications in Bangladesh: the role of attitude and fear of COVID-19

PurposeThis study investigates the determinants influencing customers’ intentions of using the foodpanda mobile app during COVID-19 pandemic.Design/methodology/approachThis study is based on review of the literatures and 388 usable data collection from respondents having prior experiences in online food delivery (OFD) services in Dhaka city in Bangladesh. The subsequent data is analyzed through Structural Equation Modeling using Smart PLS 3.3.3.FindingsThe findings show that perceived usefulness (PU), ease of use, convenience, attitude and fear of COVID-19 significantly impact intentions to use foodpanda mobile app (ITUFPMA) and attitude. Further, attitude partially mediates between PU, ease of use, convenience and ITUFPMA. Moreover, fear of COVID-19 moderates the strength of association between attitude and ITUFPMA.Practical implicationsThe findings of the study may be useful to OFD services operators in formulating business strategies for improving customers’ foodpanda mobile app use intentions and coping with competitive business environment of sharing economy sector.Originality/valueThe study presents a unique case highlighting what are influencing customer intentions toward OFD services during COVID-19 context. The current study provides important insights for industry operators by integrating PU, ease of use, convenience, attitude and fear of COVID-19 in examining ITUFPMA during COVID-19 situation.

Afforestation intentions for mitigating carbon emissions in the post-COVID-19 perspective: the case of green hotel visitors in Bangladesh

PurposeThis study aims to explore green hotel visitors’ afforestation intentions by extending the theory of planned behavior, including post-COVID-19 personal norms (PCPN) and post-COVID-19 environmental concerns (PCECs). Moreover, this study examines the mediating effect of PCECs from the post-COVID-19 perspective.Design/methodology/approachThis study is based on existing literatures and collection of 384 usable responses using the convenience sampling technique. The partial least square structural equation modeling is used to analyze data using Smart PLS3.3.3.FindingsThe findings reveal that post-COVID-19 afforestation attitudes, subjective norms (SN), perceived behavioral control (PBC) and PCPN significantly influence post-COVID-19 afforestation intentions (PCAI) and PCECs. Further, PCEC partially mediates the between post-COVID-19 afforestation attitudes, SN, PBC and PCPN and PCAI.Practical implicationsThe findings of this study may be useful to green hotel operators in formulating business strategies enhancing visitors’ positive perceptions toward green hotels and afforestation intentions coping with new normal environment and hospitality industry.Originality/valueThis research presents a distinguished case highlighting how the green hotel guests’ perceptions toward afforestation for mitigating carbon emissions are changing because of COVID-19 pandemic. This study provides crucial insights for green hotel practitioners by integrating post-COVID-19 afforestation attitudes, SN, PBC, PCPN and PCEC of green hotel visitors in examining PCAI.

The impact of Google Trends index and encompassing tests on forecast combinations in tourism

El impacto de Google Trends en la previsión de viajes combinados y su evidencia relacionadaPropósitoDado que el uso de los datos de Google Trends es útil para mejorar la precisión de las predicciones, este estudio examina si el uso del índice de búsqueda web de Google Trends combinado con la agregación de relevancia puede mejorar la precisión del predictor.Diseño/metodología/enfoqueEl modelo predictivo gris genera predicciones bajo un único modelo, mientras que el modelomultivariado utiliza el indicador Google Trends como variable explicativa. Se generaron tresensamblajes generales, incluido el Modelo armónico único (CUGM), los ensamblajes de todos loscomponentes (CAGM) y la prueba de presencia de componentes con predicción (CSET). Laspredicciones individuales encada grupo luego se combinan utilizando métodos de correlación deuso común.RecomendacionesUtilizando el número de turistas en las cuatro ciudades más investigadas de Taiwán, los tresgrupos combinados se clasificaron según su precisión. Las pruebas incluidas muestran que losmodelos multivariados en escala de grises son importantes para la predicción. Además, losresultados de las pruebas muestran que el índice de Google Trends y las pruebas que incluyenmétodos de suma lineal son útiles porque los métodos combinados con CSET funcionan majorque los métodos combinados con CSET. CAGM y VCUG.Implicaciones practicesLa industria de viajes puede usar el índice de búsqueda web de Google Trends para desarrollarestrategias comerciales para atracciones basadas en un conjunto lineal de componentes.Autenticidad/valorCon el objetivo de mejorar la precisión de los pronósticos agregados, este estudio investiga larelación entre el índice de tendencias de Google y las expectativas generales de viaje junto con laevidencia global.Palabras claveDemanda de viajes, Experiencia global, Tendencias de Google, Predicción grisTipo de papelTrabajo de investigación

Formulation of Alternative and Priority Business Strategies For Footwear Artisans in Sooko Mojokerto

Formulation of Alternative and Priority Business Strategies For Footwear Artisans in Sooko Mojokerto

Business Development Strategy for Chocolate Rangginang Products at Kang Asrok’s Micro Small Business in Banjar City West Java Province

Kang Asrok is a small micro-business engaged in the food processing industry, namely rangicok, which uses rangginang as a basic ingredient that is innovated with various flavors to become today's food that maintains the existence of traditional food. This study aims to analyze internal and external environmental factors: weaknesses, strengths, threats, and opportunities, formulate strategic alternatives and formulate business strategy priorities that can be a recommendation for Kang Asrok. This study uses primary data from the questionnaire of 3 experts, observation and interview with the owner, and an online survey of 20 respondents. This study uses a three-stage analysis consisting of the input stage, the matching stage, and the decision stage. This study was conducted using analysis tools such as the SWOT matrix, IFE, and EFE matrix, IE matrix, and QSP matrix. The results showed that Kang Asrok was in quadrant IV, which means the right strategy is growth and build. Based on the QSP matrix, the right strategy to be applied is market penetration to create brand awareness of the community towards the product got a STAS score of 5,30. Keywords: processing industry, QSPM, traditional food, SWOT

Strategi Bisnis Restoran Vegetarian Bite N Chat Pada Kondisi Pandemi Covid 19 dalam Meningkatkan Pasar Konsumen

Public awareness of healthy living is growing in Indonesia. Being a vegetarian is one of the people's choices in implementing a healthy lifestyle. One of the vegetarian restaurants currently established is Bite n Chat which is in a competitive environment in the culinary field in North Jakarta. The Bite n Chat Restaurant experienced a 8.9 percent decrease of revenue during January to September 2020. The purpose of the study is to formulate business strategies by identifying the internal and external factors. To this end, this study employed IFE matrix, EFE matrix, IE matrix, SWOT matrix, and QSP matrix. In the IE matrix, Bite n Chat has a medium and strong external environmental condition so that it is in cell II, which is the position of growth and development. There are six alternative strategies produced by the SWOT matrix with strategic priorities, namely increasing more intensive online and offline promotional activities obtained from the results of the QSP matrix analysis.

Business Strategy Formulation Using the SWOT Method for Rona Coffee

This study aims to formulate a business strategy of a coffee shop business based on methods that are generally used in strategic management. Facing fairly tight competition in the business world, management is required to always evaluate its business conditions such as where the business is currently located. To determine the position of the business, it is necessary to analyze its internal conditions and external conditions. These two analyzes are known as SWOT analysis. The method used in this study is the interview and questionnaire method. The benefit of this analysis is that management needs to prepare improvements to its business strategy so that it can compete with its competitors. Internal Factors Analysis Summary and Exsternal Factors Analysis Summary methods are used to determine the business position of Rona Coffe Shops. While the SWOT method is used to formulate business strategies based on internal and external conditions. The results of the study showed that Rona Coffee Shops was in the business position of quadrant VII, namely Growth (growth strategy). So the right treatment is Hold and Maintenance (defense and maintenance), which is obtained from the IFE matrix of (3.20) and the EFE matrix of (1.77). Based on the business position, business strategies that can be planned by the company based on SWOT analysis can be generated four alternative business strategies, namely by expanding the distribution network, increasing promotions, increasing consumer and employee loyalty, and developing products to maintain the selling price of products.

Formulation of Business Strategies to Improve Business Performance by SWOT and SQSPM Approach in Era Pandemic: A Study on Culinary MSMEs

Formulation of Business Strategies to Improve Business Performance by SWOT and SQSPM Approach in Era Pandemic: A Study on Culinary MSMEs

TRANSFORMATIONAL BUSINESS MODEL FOR THE FORMATION AND IMPLEMENTATION OF THE BANK STRATEGY

Modern transformations of banks' business models are taking place under the influence of innovative technologies. That is why the most important tasks of the formation of business strategies of banks should be considered not only the achievement of internal benchmarks for the efficiency of business processes and compliance with regulatory requirements regarding the stability of operations but also for ensuring the bank's information security, its technological readiness for the challenges of the external environment, which collectively forms a business the bank's strategy. The article aims to research and summarize the theoretical and methodological foundations of the formation and implementation of the bank's strategy and the development a cyclical transformational business model for banks. The work determined that in conditions of high turbulence and uncertainty of the environment for the implementation of strategic management influences, the bank's business model should be flexible and adaptive, which may require the application of its transformation regime (implementation of the bank's transformational business model). Under the condition of effective strategic management of the bank, such a business model transformation is possible, which will ensure its viability and stability at each phase of the bank's life cycle, despite the adverse influence of exogenous and endogenous factors. The results of the study show that the application of the empirical model of the bank's life cycle, systemic, synergistic approaches and postulates of chaos theory allows for substantiation of the model of the cyclical transformative business model of the bank, which summarizes and formalizes the stages of its life cycle with the allocation of phases of development, intensive and extensive implementation, bifurcation, degradation and collapse of the bank's business model; takes into account the multivariate, alternative development of the bank at the bifurcation points when the processes become chaotic, and there is a transition to a new attractor. The application of the model of cyclical transformation of the business model of banks developed in work allows to form intra-bank measures for the introduction of a transformational business model and to adapt the bank's business strategy to the environment of implementation of strategic management influences on this basis.

Characterization and Evolution of a Digital Economy Ecosystem Based on an Interspecies Competition Model

This paper provides an in‐depth study and analysis of the characterization of the digital economy ecosystem and the mechanism of eye‐flowering through the method of interspecies competition. The evolutionary game model of symbiotic decision‐making in the entrepreneurial ecosystem is constructed, the evolutionary process of symbiotic decision‐making of subjects is analyzed through mathematical derivation, and the symbiotic decision‐making process of subjects is simulated through computer simulation to answer how the subjects of the entrepreneurial ecosystem make symbiotic decisions and explore the mechanism of symbiotic formation of the entrepreneurial ecosystem. Then, based on the ecological perspective, the symbiotic evolution model of entrepreneurial ecosystem subjects is constructed from the subject level, the equilibrium point of the evolution of entrepreneurial ecosystem subjects, the stability conditions, and the relationship between the equilibrium point and the symbiosis model are analyzed, and the symbiotic evolution paths of entrepreneurial ecosystem subjects under different symbiosis modes, initial population size, maximum size, and natural growth rate are presented with simulation experiments, respectively. The main characteristics and manifestations of the dynamic evolution of the platform ecosystem are analyzed, and the key competitive factors that determine the dynamic evolution of the platform ecosystem are depicted. Then, according to the inherent characteristic laws of the platform ecosystem, the complex network approach is applied to construct a dynamic evolution model with originality and wide applicability for the change of bilateral user scale. Based on the dynamic evolution process, the relationship between model parameters and business performance is explored, and the trajectory of bilateral user size change over time and the range of parameters are derived by numerical calculation. Finally, using Monte Carlo simulation methods, the dynamic evolution model is used to predict the future operating conditions of platform enterprises, providing a valuation basis for investors to make investment decisions and helping platform managers to formulate business strategies.

Institutional logic for sustainable purchasing and supply management: Concepts, illustrations, and implications for business strategy

AbstractAmidst the number of studies on sustainable purchasing and supply management (PSM), we have yet to learn how sustainability becomes a logic for organisations and their stakeholders. Thus, this paper offers an extended approach on the emergence of an institutional logic of sustainability (ILS). Our contribution includes the macro mechanisms supporting the robust and continuous adoption of an ILS for procurement. Three distinct trajectories of an ILS emerged from the literature, and their application to sustainable PSM is illustrated using real‐world examples. The trajectories rely upon the evolution of (1) institutional entrepreneurs or (2) PSM structures but also can happen through (3) the co‐evolution of both. By offering a conceptual model and a set of research propositions for future theory and empirical testing, this paper helps scholars and practitioners to advance their knowledge on managing purchasing departments according to sustainability values and making it a competitiveness factor. Lastly, this paper adds value to both implementation and formulation of sustainable business strategies as the application of our conceptual framework can lead to better strategic alignment of PSM practices.

Improving business motivation in the time of crisis

The COVID-19 pandemic has had a major impact on businesses. This condition is also experienced by many Minangkabau migrants, Micro and Medium Enterprises (MSMEs) in various cities in Indonesia. To increase the spirit of survival in the midst of a pandemic, the RANTAUNET community provides virtual business training for Minangkabau migrants in formulating business strategies in the midst of a pandemic. A Focus Group Discussion (FGD) was conducted with seven community administrators to prepare a training plan to be conducted. A total of 45 participants attended the virtual training. This virtual training program has provided motivation and knowledge inspiration for MSME actors in rearranging their business strategies.

Identifying priority areas for value creation in the Zimbabwean pork industry

Value creation is indispensable in enhancing agribusiness performance. However, there is a need to identify priority areas to unlock industry potential. The study sought to highlight particular areas within the Zimbabwean pork industry where value creation could offer the industry advantage. A survey of 24 pork butchers, 6 pork processors and 166 pig farmers from Mashonaland Central Province was utilised in the study. Descriptive statistics, correlation, ANOVA and multiple regression were used to analyse the data. The results highlighted that the industry regarded value creation through advantage in the acquisition of inputs, goods and services, production/processing, and logistics, which consequently makes those key target areas. Furthermore, the created value (profit/cost ratio) was influenced by the category of agribusiness, distance to markets, business practice and socio-economic dynamics of the business decision-makers. In conclusion, production and processing, as well as inbound logistics, were identified to be less effective in value creation. However, increasing transportation advantage will likely improve value. The study recommends that the pork industry leverage on production/processing, inbound logistics and transportation. Policy implications relate to the creation of a conducive environment in input procurement and transportation. The study adds insights for business strategy and policy formulation, aiding in enhancing turnover and strategic positioning

NEW BUSINESS STRATEGIES FORMATION OF ENTERPRISES AND OUTSOURCING DEVELOPMENT AS A CONDITION FOR INCREASING COMPETITIVENESS IN THE MARKETS OF EUROPE AND UKRAINE: COMPARATIVE ANALYSIS

The purpose of the article is to substantiate the need for the formation of new business strategies of enterprises and the development of outsourcing as a condition for increasing competitiveness in the markets of Europe and Ukraine. The subject of research is the process of forming new business strategies of enterprises and the development of outsourcing as a condition for increasing competitiveness in the markets of Europe and Ukraine. Methodology. Theoretical and methodological basis of the study is the theory of systems, the theory of economic development, scientific developments of foreign and domestic models on the business strategy formation of enterprises, economic development of European countries. General scientific and special methods were used to achieve a specific goal, in particular: the methods of economic and financial analysis; statistical and economic method, including comparison, as well as the graphical method. Conclusion. Thus, in the context of globalization, all countries and their businesses are looking for new forms of international cooperation, including outsourcing. The effectiveness of outsourcing business strategies is confirmed by global practice, which shows that currently more than half of European companies use outsourcing in their activities. There is a unique opportunity for Ukraine and its regions to take advantage of international outsourcing due to the possible positioning in today's market both as a provider of outsourcing services and as a customer. In the first case, this can be achieved through an attractive ratio of high skills and low wages, a satisfactory level of infrastructure development, and in the second case – by getting access to cheaper or rare resources, new technologies, best business practices, which forms the basis for the transition of Ukrainian enterprises to innovative development. Outsourcing is an effective way of doing business, given the benefits and opportunities that the customer company receives when using it. The business model of innovative outsourcing is an important direction of modern business development in the global marketplace. Nowadays, personnel outsourcing is an effective tool for improving the performance of any enterprise, taking into account the above-mentioned advantages and limitations that the customer receives in their application. However, outsourcing should not be considered a universal tool for solving issues and problems of enterprises, as there are tasks that can not be entrusted to independent professionals. Any business strategy of the enterprise must be consistent with the probable risks.

Attitudes of Young Consumers in Chiang Mai, Thailand toward YouTube Online Video and Audio Advertising

Abstract With the increased use of the Internet, online audio and video are becoming more and more popular. The operating income of those websites providing online audio and video services is mainly from advertising. Therefore, not only advertisers need to care about the importance of the user' attitude toward advertising, but also the providers of online audio-visual service websites should understand it. This study focused on the attitude toward advertising of young consumers in Chiang Mai, Thailand, when they watch online audio-visual videos on YouTube, and explored their buying behaviors. The study found that entertainment, informativeness and credibility had a strong positive correlation with the attitude toward YouTube advertising, while irritability had a negative correlation. Based on the results of the analysis, this study provided future research directions for the academic community and the industry, as well as references for formulating business strategies and future development. JEL classification numbers: M31, M37. Keywords: Online audio-visual services, Attitude toward advertising, Buying behavior.

Influence of Value Co-Creation on Virtual Community Brand Equity for Unichannel vs. Multichannel Users

Value co-creation by users in a virtual community is a key element to encouraging the community’s brand equity. This study analyzes the effect of the functional value provided by the virtual community on the two value-co-creation behaviors that occur within it: (1) self-value co-creation and (2) communal value co-creation. Through self-value co-creation, participants co-create value to their own benefit by becoming involved in co-designing their experience. By communal value co-creation, participants co-create value through evaluations, recommendations, and ideas that benefit others. This study also asks whether multichannelity—using various channels to access the virtual community (website and mobile app), as opposed to using a single channel (website or mobile app)—has a moderating effect on the relationships proposed between value co-creation and brand equity of the virtual community. The analysis is contrasted empirically for the virtual community Tripadvisor with data collected by a research institute via telephone interview. Confirmatory factor analysis and multi-group structural equation modeling techniques were used to assess the proposed model. The study enriches two significant lines of scholarly research, value co-creation and brand equity. It does so in multi-brand virtual contexts in which variety of service brands coexists with the brand of the virtual community, and with users who access the virtual community through one or various channels. The study also contributes to the formulation of business strategies oriented to increasing the brand equity of virtual communities.