Abstract
The following paper examines LensCrafters Company to determine ways that globalization and technology have affected the company success. The discussion also analyses the mission and vision statements of the company to determine their effects on the company’s success. In addition, the paper analyses ways that the company can be successful through the utilization of resource based model and industrial organization model and the role of organization stakeholder in the general success of the firm.
Introduction
Business environment is very unpredictable hence; managers must be well equipped to handle environmental challenges both internally and externally. The needs for skilled and competent managers have increased due business environmental dynamic. Managers have to constantly deal with new challenges to remain competitive in the market.
Two of the most challenging issues arising from modern business are technological changes and globalization. Technology is constantly changing hence requiring business managers, leaders, and other stakeholders to be flexible. The following paper examines LensCrafters Company to determine ways that technology and globalization have affected the organization operation.
Company Background
LensCrafters began its operations in 1983, in United States, with an aim of providing quality sunglasses’ prescriptions and selling prescription eyewear. Since the formulation of the company, the firm has been developing its products and market to reach to international markets. The company has designed its strategy to reach international market by opening over 850 stores across the world. LensCrafters have diversified there market by reaching to new markets in different geographical locations.
Globalization Effects
The company has developed a globalization strategy aimed at market penetration and diversification in different geographical areas in the world. Globalization strategy has been implemented by opening various company outlet across the world aimed at a specific target market. Most of the company stores are in urban areas hence, increasing the number of potential customers (Griffin & Moorhead, 2010). Globalization has affected the company both positively and negatively.
On the positive side of globalization strategy, the company has increased its market size hence, increasing its sales. In addition, the company’s experience on handling customers from different cultural background has improved therefore, creating customers’ satisfaction due to their detailed understanding on the clients’ needs and expectations (Harrison, 2010).
However, globalization has increased the level of competition in the company since it has ventured to new markets dominated by other companies in the same industry. Dealing with different cultural setting is also a major challenge for the firm since each culture has unique values and expectations. Language barrier has been a major problem for the company since communication between workers and management is difficult (Bontis, 2002).
Technological Change Effects
Technology advancement and changes have benefited the company in various ways. First, the firm has acquired sophisticated technology used in eyewear manufacturing. Improvement in technology has enabled the organization to improve its products quality hence improving the customers’ experience (Bontis, 2002).
Medical examination on clients’ eyes has been made easy by new medical equipments that enable easy identification of eyes problem. Development of information technology has enabled the company to market its product across the world through its website and other online platform.
However, technological advancement has posed several problems for the company since it has to keep updating its software and hardware to match the technological change (Griffin & Moorhead, 2010). Technological change also means that the company has to train its employees on the new technology hence increasing the operation cost. The company’s high returns can be attributed to the technological development, which has ensured that the company manufactures eyewear in a timely and cost effective manner.
Resource Based Model and Industrial Organization Model
LensCrafters Company can earn above-average returns and have a competitive advantage through the application of the following strategic model: first is the company should aim at utilizing available capital to exploit external opportunities (Harrison, 2010). Resource based model require an organization to examine its internal strength and weaknesses and ways it can use its strength to gain a competitive advantage while limiting the effects of its weaknesses (Griffin & Moorhead, 2010).
LensCrafters Company should utilize both its tangible and intangible resources to ensure that they have a wide market to increase its sales. This model will enable the company to be the market leader through products innovation and invention (Bontis, 2002).
Resource based model will ensure business growth and sustainability in the competitive global market. The company can also use industrial organization model to determine the best pricing policy. This model will enable the firm to analyze it competitors’ prices hence developing a pricing policy that is competitive and attractive to its target market (Harrison, 2010).
Mission and Vision Statement Influence
Mission and vision statements state the company’s goals that it intends to achieve and the means of achieving its objectives. The company mission statement acts as a marketing tool since in states the reasons for the business venture and its commitment to quality. Vision statements dictate what the company desires to achieve in a specific period (Bontis, 2002). In addition, it differentiates long and short-term goals of the firm and the period they should be achieved.
The company’s vision statement acts as a benchmark where the company compares its success to the intended achievement. Comparison allows the company management to determine areas that need improvement to enhance the profit levels. LensCrafters management has to make decision based on the vision statement to avoid conflicts. The company’s vision and mission statement has contributed positively to its success in the industry (Griffin & Moorhead, 2010).
Stakeholders’ Role in the Success of the Company
Various stakeholders of the company have positively contributed to the organizational success. The first of these stakeholders is employees. Workers have played a major role in ensuring that they follow their duties hence achieving quality products and high sales. The company hires qualified personnel who analyses doctor’s prescription and craft eyewear that are consistent with clients’ expectation (Griffin & Moorhead, 2010).
The second stakeholder is board of management. They ensure that they make sound organizational decision based on market research and forecast to determine what and where to invest. They also supervise the company’s operation to ensure that they conform to the set standards. The final stakeholder are the customer, they provide valuable information through comments and suggestion that enables the company to manufacture products that match their needs hence improving sales (Bontis, 2002).
In conclusion, LensCrafters’s vision and mission statement have positively contributed to the organization success. Technology developments have improved the company’s operations making it easy to manufacture products at lower cost. The company’s globalization strategy has ensured that it has diversified its market hence increasing it sales. Every stakeholder in the company has contributed positively to the organization success.
References
Bontis, N. (2002). The Strategic Management of Intellectual Capital and Organizational Knowledge: A Collection of Readings. NewYork: Oxford University Press.
Griffin, R. W. & Moorhead, G. (2010). Organizational Behavior: Managing People and Organizations. Australia: Cengage Learning.
Harrison, J. (2010). Foundations in Strategic Management. Ohio: South-Western Cengage Learning.