Running head: INTERNAL ENVIRONMENT ANALYSIS
Strategic Part II: Internal Environment Analysis
Rashard A. Barkley
June 13, 2018
STR/581 Strategic Planning and Implantation
Dr. Richman Florence
1
INTERNAL ENVIRONMENT ANALYSIS
Strategic Part II: Internal Environment Analysis
In business, internal environmental assessment is an imperative strategic management
process that involves the evaluation of various organizational internal aspects in alignment with
the tactical goals and objectives. The internal environment comprises of elements such as the
employees, corporate culture the management and the organizational behavior that enhances the
capacity of an enterprise achieving the strategic objectives (Bennett & Chorley, 2015). Notably,
the internal environmental evaluation enhances the ability of a company to attain required
strength and competencies, identify the company weaknesses, threats and competitive viability.
Internal environmental evaluation fosters the ability of an organization to realize competitive
advantage through enhanced internal competencies aligned to the business strategic goals and
objectives.
Verizon Internal Environment
The company is influenced by several internal environmental factors, such as the value
system. Values system of a company refers to the ethical beliefs guiding the firm in attaining its
objective and mission. Besides, the value system also aids in determining a company behavior
towards its customers, employees, and the community at large. The company value system is
embedded on its core values, which are integrity and respect, accountability, performance
excellence, and customers (Claudiu, Andrei, & Gabriela). Verizon is dedicated to delivering
superior client experience through their services, products, and actions. Integrity and respect are
vital aspects of Verizon business operation resulting from the company committed to doing the
right thing as well as following sound business practices while dealing with its clients. The
organization mission statement is to “delivers the promise of the digital world by enhancing the
ability of humans, businesses, and society to do more new and do more good,” (Verizon, 2018).
2
INTERNAL ENVIRONMENT ANALYSIS
3
A company mission statement defines its overall reason and purpose of its existence and thus,
guiding and influencing its economic and business activities. Accordingly, organizational
structure refers to aspects, such as the board of directors, shareholding pattern, and professional
management. The company organizational structure is operational-focused divisional
organizational structure. The corporate organizational structure facilitates its business expansion
and growth. Corporate culture is a vital internal environment of a business that reflects a firm’s
business operation in relation to its employees and the community at large. Verizon corporate
culture establishes a set of principles, norms, beliefs and values which influences the staffs’
behavior. In this respect, Verizon corporate culture aims on attaining high quality via staffs
decision-making and behavior. Thus, the management encourages staffs to consider options that
would aid in maximizing the quality of their output in regards to addressing clients’ complaints
and questions. Therefore, the company culture is guided by features, such as reliability and
quality, customer-centric, teamwork, excellence, and value-driven culture. The company culture
helps Verizon in gaining competitive advantage in the market by providing quality services and
products, which is attributable to its positive staffs’ behavior.
The quality of human resource is another internal environment that aids Verizon in
gaining a competitive edge in the market. The success of an enterprise relies on a significant
extent on capabilities, skills, competence, and commitment, and attitudes of its workforce.
Verizon human resource is comprised of diversified employees, and thus, entails a team of the
qualified, talented, and skilled labor force. This succors in ensuring that the company provides
quality and exemplary services and products to its customers and prospects.
INTERNAL ENVIRONMENT ANALYSIS
4
Value
system
Organizational
culture
Human
resource
Internal
Environment
factors
Organizational
structure
Mission
Figure 1: Factors of an internal Organizational Environment
Organizations Strengths and Weaknesses
Verizon Wireless has major strengths which support its stability and growth in the
telecommunication industry. Verizon is among the leading players in the telecommunication
industry, and thus, the organization can utilize its marketing position to support its strategic
business growth. For instance, the organization capitalizes on its leading and popularity in the
United States to develop new services. Some of the company strong strengths include strong
brand, which empowers the firm to compete effectively in the telecommunication industry. The
company strength is based on its ability to provide quality products against its competing
companies, such as AT&T. Additionally, the organization benefits from high economies of
scales, hence, enabling the firm to optimize its proficiency leading to increased profits.
Importantly, the company provides high quality and exemplary products to its customers, and
thus serving as a selling point for the organization products. Quality services and products attract
more customers leading to augmented sales and competitive edge.
INTERNAL ENVIRONMENT ANALYSIS
5
Weaknesses limits an organization ability to remain competitive and succeed.
Organizational weaknesses make it hard for a company to expand and grow. In this relation,
Verizon Wireless is faced with several weaknesses such as low diversification resulting from the
company representing one of the largest revenues streaming, which increases the risks. Another
weakness emanates from the high cost of organization infrastructure in regards to maintenance
and development. Resulting from the high cost of infrastructure, Verizon is unable to compete
basing price with competitors like AT&T and Sprint.
Table 1 Summary of Verizon Strengths and Weaknesses
Strengths
Weaknesses
•
Strong brand image
•
The high cost of its infrastructure
•
High-quality products and services
•
Low level of diversification
•
High economies of scale
•
High price due to the high cost of
infrastructure
Assessment of Verizon Resources
The company has adequate resource ranging from human resources to financial
capabilities. Over the years, the firm has been recording high revenues, for instance, in 2018, the
company had 128 billion dollars which the organization utilizes as a financial resource to build
its corporate brand as well as corresponding promotions of its product portfolio in the
international market. Additionally, utilizing the vast revenues produced, Verizon manages to
invest in infrastructure which is sophisticated as well as having the capacity to intensify its
effectiveness in its overall operations. The human resource also forms another vital resource that
aids the company to remain competitive in the market. Better staffs’ engagement, motivation,
INTERNAL ENVIRONMENT ANALYSIS
6
autonomy, and empowerment have played a fundamental role in ensuring the company has the
highly skilled workforce and increased retention; thus, saving costs incurred in rehiring as well
as enabling the firm to concentrate on its business operations.
Most important Internal Environmental Factors for Verizon Company and Influence of
External Environment
According to Petrovska (2017), internal environment factors aids in promoting an
enterprise growth as a global brand. Organization mission and vision are critical internal
environment factors for Verizon by playing a critical role in contributing to the ability of the
company to identify new opportunities as well as establishing its threats. For example, the
attribute of Verizon mission statement involves delivering the promise of the digital world by
intensifying the capability of humans, businesses, and community to do more new and do more
good. This aids in promoting the development of Verizon as a brand as well as enhancing its
reputation leading to a competitive edge in the telecommunication industry. as a result, this aids
in opening more opportunities for the firm, which is one of the organization external
environment. Moreover, the organization vision is to inspire the creators of tomorrow to utilize
technology to build brighter future for their families, community, themselves, and the world at
large. The vision statement propels the company to hire a skilled workforce that would aid in
delivering the company promise to its customers and the world. This, in turn, aids in building the
company brand as well promoting its reputation through the delivery of quality products.
Verizon Wireless Competitor Analysis
Competitor evaluation is a pivotal aspect in the process of running an enterprise that
entails the process of identifying the major competitors in the industry as well as conducting a
thorough assessment on the techniques adopted by the competitors (Daellenbach, 2014). This
INTERNAL ENVIRONMENT ANALYSIS
7
includes the rivals’ strengths and weakness relative to company products or services forming an
imperative part of informing an enterprise marketing plan. Verizon wireless competitor
assessment will entail four primary parts, the identification of the core competitor, the competitor
future objectives, the current strategies, and the capabilities of the competitor.
Verizon Wireless Primary Competitors
Operating in the telecommunication industry, Verizon wireless faces intense competition
from the AT&T communication, T-Mobile and Cox communication enterprises. However, based
on various attributes such as the revenue and market share, AT&T is the biggest competitor of
Verizon Wireless.
AT&T Future Objectives
AT&T one of the biggest competitors of Verizon wireless has an objective of improving
the company’s sustainability to boost a sustainable future by enabling the customers to lead more
sustainable life by expanding technological access as well as integrating the sustainable solution
into the products.
AT&T Current Strategies
The company current techniques are embedded in the organization’s vision and the
missions. AT&T vision involves the creation and design of new global network, service platform
and processes aimed at maximizing automation, as well as the reallocation of human resources
complex and productive work. Besides, as described in the mission statement, another strategic
objective of AT&T is to exploit technical innovation for the benefit of the company and the
consumer by discharging the next-generation technologies and the network advancement in the
organization operates and services.
INTERNAL ENVIRONMENT ANALYSIS
8
AT&T Capabilities
The AT&T capabilities involve the company strengths and weaknesses that determine the
competitiveness of the organizations. The table below depicts AT&T strengths and weaknesses.
Strengths
Weaknesses
o Brand recognition
o Dropped calls (wireless network)
o Largest wireless carrier
o The focus on iPhone
o High revenues and customers
o Customer services
o Largest broadband provider in the
o The decline in landline consumers
USA
o Product diversification
Comparison with the Competitor
Based on the strengths and weakness tables above, AT&T Inc. strengths make the
company the biggest competitor of the Verizon Inc. in respect with the revenues and market
share. Although AT&T reveals a stronger competitor in the market with significantly higher
revenues, Verizon depicts unique high-quality products with a capacity to attract and retain
clients.
Influences of Verizon Organizational Structure to its Performance
The company is operations are guided by operation focused divisional organizational
structure which helps in determining the employees’ interactions and teamwork based on system,
design, as well as organization composition. The corporate structure at Verizon is directed by the
nature of its business operations, for instance, Verizon Oath and Wireless are distinct divisions
which characterize the structural business system. In the bid of gaining competitive edge and
INTERNAL ENVIRONMENT ANALYSIS
9
becoming competitive in the market, Verizon organization structure enables the firm to
implement new business operations easily by taking advantages of the existing opportunities in
the communication and information technology industry. Thus, Verizon organization structure is
characterized by three features which all influences its performance. For example, the company
operation based divisions helps the management in expanding and realizing new opportunities
such as customer and product operation division which helps in focusing on client’s needs
leading to increased profitability. Network and technology operation division aids in developing
the organization networks; hence, enabling the company to deliver up-to-date and reliable
networks. This contributes to the organizational performance through augmented competitive
gain leading to increased market share. The corporate hierarchy is another feature of its
organizational structure that plays a fundamental role in influencing the work units and staffs’
interactions. This allows the company manage its operations through its organizational structure,
for instance, one executive is in charge of marketing while another is responsible for information
architecture. As a result, this feature aids in heightening the company communication leading to
open and effective flow of information culminating to effective running of the company. Also,
the organizational structure promotes the need to seamlessly grow, manage, and expand the
company leading to increased market share and profits.
Verizon Competitive Position and Possibilities
Competitive position involves the definition of how a company would differentiate their
offered product and create value for the intended market (Wagner III & Hollenbeck, 2014).
Competitive position enhances the capacity of a company in surviving external forces that
influence the business. Verizon wireless competitive position is built on the provision of highquality services to the consumers, an aspect that has the boosted the brand image of the
INTERNAL ENVIRONMENT ANALYSIS
10
company. Besides, another competitive position of Verizon wireless is differentiation of
products, which has built a competitive position based on the uniqueness of the products.
Differentiation has enhanced the company market penetration driven by the company intensive
techniques aimed at maximizing the business growth. As a result, emphasis on the market
uniqueness and focus on quality at the selling point to attract and retain consumers’ forms the
competitive position for Verizon wireless communication. Market penetration, market
development, product development and the diversification illustrates Verizon wireless
competitive position. This attributes provides the Verizon possibilities in term of realizing a huge
market share, increased corporate revenues, and sustainable business.
In brief, the company internal environment analysis plays a fundamental role in the
process of identifying enterprise strengths and weaknesses. Irrefutably, organization strengths
and weaknesses promote the development of a company strategic plans. Too often, management
focuses on building on the realized strengths while working towards overcoming the identified
weaknesses. In this perspective, Verizon has built the organization based on its internal
environment, that is a mission, human resource, corporate culture, organizational structure, and
value systems. In regards to competitive analysis, Verizon is competitive, hence, having a larger
market share.
INTERNAL ENVIRONMENT ANALYSIS
11
Reference List
Bennett, R. J., & Chorley, R. J. (2015). Environmental systems: philosophy, analysis, and
control. Princeton University Press.
Claudiu, C. S., Andrei, P., & Gabriela, P. M. (2011). Internal Environment Analysis Techniques.
Annals Of The University Of Oradea, Economic Science Series, 20(2), 731-736.
Daellenbach, U. (2014). Competitor Analysis. Wiley Encyclopedia of Management.
Petrovska, D. V. (2017). Strategic Risk Management. Economic Archive / Narodnostopanski
Arhiv, (3), 60-76.
Verizon (2018). We honor the core values written in our credo. Retrieved from
https://www.verizon.com/about/our-company/code-conduct
Wagner III, J. A., & Hollenbeck, J. R. (2014). Organizational behavior: Securing competitive
advantage. Routledge.
Running head: VERIZON STRATEGIC EVALUATION
Part 3: Verizon Strategic Evaluation
Rashard A. Barkley
June 20, 2018
Dr. Florence Richman
STR/581 Strategic Planning and Implementation
1
VERIZON STRATEGIC EVALUATION
2
Part 3: Verizon Strategic Evaluation
The rapidly escalating competition in the business world has compelled companies, such
as Verizon to strategize its business operations with the effort of having a competitive gain as
well as augmenting its market share in the local, regional, and global markets (Porter, 2008). For
an institution to reap maximal advantage and meet customers’ needs, expectations, requirements,
and wants it is indispensable to strategize its business, corporate, as well as global level
strategies.
Potential Business Level Strategy
The business-level strategy aims at how companies can achieve and satisfy clients,
provide products and services, which meet customers’ wants, as well as augment operating
profits. To attain this, Verizon Wireless aims at positioning itself against its rivals, such as
AT&T and stays updated on technology changes and market trends. There are four major generic
business-level strategies, which emanate from two competitive aspects of an organization
competitive edge and scope of its operations. These business-level strategies include
differentiation, cost leadership, focused differentiation, and focused cost leadership (Davcik &
Sharma, 2015). Verizon Wireless business-level strategy is differentiation. Differentiation in
Verizon plays a vital role in building competitive benefit based on product distinction.
Development of product uniqueness in Verizon is through quality, which enables the company to
stand out from the competing firms. Verizon emphasizes quality in its marketing and sales, for
instance, adverts for Verizon Wireless highlight quality of the company wireless services
particularly connectivity superiority grounded on infrastructure quality. Additionally, to attain
differentiation at Verizon, the company has the strategic objective of developing competitive
gain through investment in its infrastructure. Thus, to maintain high-quality services, Verizon
VERIZON STRATEGIC EVALUATION
3
Wireless implements advanced information and communication strategies, such as AOL, which
offers online video services to its customers. Another strategy utilized by Verizon differentiation
strategy is through features, image management, high client services, and rapid technological and
product innovation. Customer services are a pivotal factor, particularly because of rampant client
service complaints and issues experienced in the telecommunication sector. The high level of
customer service at Verizon allows the company to have a competitive benefit in the market
leading to increased market share and operating profits.
Potential Corporate-Level Strategy
Businesses require targeted corporate-level strategies for positioning their organizations
for success. Corporate-level approaches define a plan to hit a particular target required to attain
business objectives. The corporate level strategies tend to be long-lasting, but permits for
dynamic adjustments, basing on uncertainty and transforming market conditions (De Wit, &
Meyer, 2010). In the process of remaining competitive in the market, Verizon Wireless
implements different corporate-level strategies, such as market penetration, market development,
product development, and diversification.
Diversification in Verizon plays an indispensable role in supporting the company growth
in the ICT and service market. This strategy entails offering new products and services in the
market, thereby, having a competitive benefit. To attain this, the company practices horizontal
integration, which is the acquisition of competitors’ while elevating production of services and
products at the same time adding the value of the supply chain. Therefore, acquisition, new
business development, and joint ventures are approaches utilized by Verizon to enhance its
growth. For instance, upon acquiring Social Radar and AOL, the organization joined the web
mapping, thereby, expanding its product mix. The purpose of diversification is to continue
VERIZON STRATEGIC EVALUATION
4
acquiring business ventures as a way of augmenting its growth, strengthening the company’s
market positioning, and penetrating a new market. This approach offers the company a
competitive edge over the competing companies, such as AT&T and thus, increasing its market
share.
Market development refers to where a company changes its market tactic to provide its
existing products to new markets through the opening of new stores. Market development is a
supportive corporate strategy that enhances the company growth. The approach aims at attaining
growth based on entry to new markets or targeting new market segments. As a way of
developing its market, Verizon offers wireless telecommunication services across the United
States. Besides, to enhance its market growth, the company integrates differentiation to support
its development through the provision of high-quality products and services that lure clients into
the new market segment or new markets.
Product development is another corporate strategy utilized by Verizon to support its
growth strategy. Product development requires high innovation and intensive research and
development. Verizon develops high-quality services including unlimited data packages and
prepaid plans. Such services offer a competitive advantage for the company, thereby, enabling
Verizon to retain its customers.
Market penetration is the most vital intensive corporate level strategy used by Verizon to
enhance its growth. The objective of market penetration is to grow an organization by
augmenting revenues via a larger market share. Verizon attains market penetration by venturing
into new market segments within the United States culminating in increased market share. The
company offers quality services and products in its targeted markets as well as increasing usage
by its existing customers. For example, Verizon advertising strategy on quality of its products,
VERIZON STRATEGIC EVALUATION
5
thereby, persuading customers to continue using the company products. As a result, the
aggressive marketing campaigns enable the company to attract more customers both existing and
prospect towards Verizon Wireless.
Table 1: Summary of Corporate-Level Strategy
Existing Product
Existing Market
New Market
Market penetration
New Product to the Market
Product development
Venturing into new markets within
Differentiating its products
the United States
High-quality and innovative
Aggressive marketing campaigns
products
Market development
Diversification
Identification of new markets
Quality services and products
locally, regionally, and globally
Horizontal integration through
Integrating differentiation through
acquisition, such as AOL and
the provision of quality services and
Social Radar
products
Potential Global-Level Strategies
Verizon operates in various parts of the globe with the aim of expanding its market as
well as increasing its market share. The organization utilizes the direct investment approach as
its global level strategy to enter international markets. Resulting from the nature of the company
products and services, it requires the company’s local infrastructure to be in place prior to the
business operating in the international market. Hence, when Verizon Wireless seeks to sell its
services and products to clients outside the U.S, the company invests directly. Another globallevel strategy utilized by the company includes acquiring global firms. This aids the company to
VERIZON STRATEGIC EVALUATION
6
gain a competitive advantage in the new market quickly. In this regards, the company has
acquired international companies, such as CloudSwitch and Terremark Worldwide Inc., which
has aided Verizon in delivering a portfolio of highly scalable demand and secure solutions to
government and business clients internationally.
Conclusion and Recommendations
In brief, the choice of a proper business, corporate, and global level strategies
relies on factors such as product development, market penetration, market development, product
differentiation, and product diversification. Therefore, Verizon has adopted various level
strategies, such as differentiation to remain competitive as well as augment its market share. The
organization acknowledges that the key to acquiring a competitive gain over its competing
telecommunication companies is offering distinct, differentiated, and quality products.
Recommendations
o The company can adopt both diversification and differentiation strategy to increase its
market share globally. To boost the value of its products and services, Verizon can
increase its marker base by providing differentiated and inimitable products and services.
o Additionally, the company can continue using acquisition as a global strategy to expand
its market share. To increase the company markets share, the company can combine both
acquisition and differentiation strategy by offering quality services and products.
o The organization can also strengthen its competitive benefit by maximizing the quality of
its services and products as well as continue highlighting high quality by conducting
aggressive marketing tactics.
VERIZON STRATEGIC EVALUATION
Reference List
Davcik, N. S., & Sharma, P. (2015). Impact of product differentiation, marketing investments
and brand equity on pricing strategies: A brand level investigation. European Journal of
Marketing, 49(5/6), 760-781.
De Wit, B., & Meyer, R. (2010). Strategy: process, content, context. Cengage Learning EMEA
Porter, M. E. (2008). The five competitive forces that shape strategy. Harvard business review,
86(1), 25-40.
7
Running head: VALUES AND STRATEGY: VERIZON WIRELESS
Values and Strategy: Verizon Wireless
Rashard A. Barkley
May 30, 2018
STR/581 Strategic Planning
Dr. Florence Richman
1
VALUES AND STRATEGY: VERIZON WIRELESS
2
Values and Strategy: Verizon Wireless
William (2009) defines the word value as conventional standards that rule the actions of
people within an institution. Without corporate values, staffs tend to follow behaviors, which
bring into line with their private value system culminating to conducts that an organization does
not seek to encourage. This compels corporations to establish values that specify the collective
anticipations and the preferred mode behavior among employees. Enterprise values direct the
established conduct and resolute action by incorporating both values and strategies into a
company’s tactic of business operation, such as policies, procedures, appraisal practices, and
benefits practices. A firm’s strategy refers to the general actions an institution intends to pursue
to attain the long-term objectives. The strategy and value must emanate from the corporate vision
and mission statements, hence, playing a primary role in the strategic direction, vision and
mission attainment. Operational enterprise values and strategies help in adding company value as
well as obliging as a principal guide in developing both the short and long-term objectives.
The Major Components of the Strategic Management Process
Strategic management process connotes to the procedure whereby executes make a
strategic choice focused on helping a company to realize better performance. That is, strategic
management procedure is an ongoing process of managing a company deliberately by involving
established managerial decision and actions culminating in the establishment and execution
strategies, which decide both the enterprise success and performance. The major components of
a strategic management procedure are the goal setting, assessment, strategy devising, strategy
execution, and strategy valuation and control.
VALUES AND STRATEGY: VERIZON WIRELESS
3
Goal setting
✓
✓
Evaluation and control
Performance
measurement
✓ Evaluating the progress
alongside the plan
✓
Components of
Strategy
Management
Process
Strategy implementation
✓
describes the firm’s
vision
explains short and longterm goals
Incorporating the resources,
communicating the plan and
administering the strategy
✓
✓
Analysis
Gathering of data needed to
attain the vision
Assessing internal and external
influences that may thwart
vision attainment
Strategy formulation
✓
✓
Analyzing the garnered
information
Assessing the existing
resources
Figure 1: Components of the Strategic management process
How These Components Collaborate in Creating Value for Verizon Wireless
Strategic management procedure offers an enterprise with a direction by stipulating the
goals, forming the company policies, as well as planning on how to realize the long and shortterm goals. Thus, a firm is able to assign its functions and apply a strategy that will provide a
competitive gain and amplify the level of organizational sustainability and growth. In the process
of developing its value, Verizon Wireless utilizes the strategic management process by outlining
clear mission; hence, providing customers with the capability to do more by providing the
promise of the digital world to its clientele. Verizon’s vision statement focuses on inspiring the
tomorrow’s clients to utilize technology to form a better future for, the universe and themselves.
The company employs its vision and mission statement to develop value by presenting the
VALUES AND STRATEGY: VERIZON WIRELESS
4
importance of its inspiring role in helping the lives around the world. In the firm’s vision and
mission statement, the company creates value in the target market by stating its purpose. The
enterprise determines its output that it provides to the customers, which in its case, wireless
telecommunication products. Verizon mission and vision statement succor in creating value by
stating what the company delivers, for example, developing its telecommunications services;
thus, permitting its regulars to communicate and access data proficiently with one another.
Analysis performs a central role in Verizon Wireless because it emphasizes on acquiring
information from both workers and clients. Gathering relevant data helps the company to design
superior products that gratify its customer’s hopes and expectancies. Verizon Wireless ascertains
that it pays attention, predicts, and acts upon its clients’ necessities as well as ensuring that the
firm production procedure is effectual and free of faults. Verizon comprehends that excellence
and having exceptional ethical standards offers a competitive gain in the market. Upon this
apprehension, the enterprise is highly liable, follows through its patrons’ needs, and reviews with
urgency. The company recognizes that the current technological progression has subjected
people to be dependent on the internet; thus, via market analysis, the firm is able to advance its
network by offering its customers with an upgraded 5G wireless technology and as well as Fios
TV.
A successful business venture requires a reliable and effectual strategic formulation.
Verizon Wireless has enough resources such as finance and staffs who contribute enormously to
the company’s success. Verizon staffs’ teamwork aids in delivering superior products and
services to its clientele. Additionally, Verizon Wireless labor force is directed by the company
values such as reliability, which plays an essential role in developing customer relationship. The
company utilizes the technological innovation by making sure that it is updated with the latest
VALUES AND STRATEGY: VERIZON WIRELESS
5
technology; thus able to offer latest products such as Fios TV and 5G internet (Verizon: what we
do, n.d). Communication is a functional part of Verizon Wireless strategic implementation where
the management ascertains that every individual including the vendors and staffs are on board
with the proposed plan. Additionally, as part of the tactical implementation, the firm has teams
comprising of diversified people with differing capabilities. Diversity and inclusion at Verizon
help in bringing people with unlimited ideas to work together to deliver superior products.
Lastly, the company uses strategic management procedure to add value by ensuring
measurement and control of the plan. To attain this, Verizon uses measuring metrics, for
instance, the number of sales that are often in comparison with actual alongside the strategized
plan. The measuring parameters allow the enterprise to trail its sales relative to the targeted
objective. Therefore, the strategic management procedure helps Verizon to not only deliver
quality products but also become the vast wireless telecommunication contributors in the whole
U.S.
Company Mission, Vision, Motivation, Innovation, and People’s Statement
A mission statement is critical in relaying an enterprise direction as put forward by Ekpe,
Eneh, and Inyang (2015). Verizon Wireless’s mission statement stresses on offering the promise
of the digital world to its clientele by enabling businesses and persons to communicate
proficiently with the updated technology and a consistent network. The firm’s mission statement
succors the company communicating its output to its clients, which are offering wireless
telecommunication products as well as empowering its clients to enjoy groundbreaking lifestyles
via the excellent products and services delivered by Verizon. According to Kirkpatrick (2016), a
vision statement is a shared and idealistic view that communicates a firm’s long-term plan. The
company vision statement is dedicated at stimulating its customers to desire to be tomorrow’s
VALUES AND STRATEGY: VERIZON WIRELESS
6
developers of utilizing technology for promoting their future as well as delivering its clients with
superior wireless products culminating to customer satisfaction and elevated market share.
Motivation statement focuses on developing a working environment that inspires harmony.
Verizon Wireless inspirational statement is ‘best is our strength’, and hence, the firm is able to
work harmoniously to transform a disaster into an opportunity. Every person in the enterprise put
effort takes actions, and act accountable to get activities done. Verizon inventive statement
originates from their definition that is, being problem-solvers, engineers, skills, and inventors.
That company uses the latest technology to create inventions in the Internet of Things, media,
and interactive entertainment to provide the digital promises globally. Verizon people’s
statement incorporates focusing externally on their clientele by making it simpler for the
customers to interact and do business with Verizon (Verizon, 2017). Thus, the management
anticipates, acts upon, and responds to the clients. Additionally, the staffs make sure they know
the products such as Fios phone and TV and explain with simplicity to the products to the
customers.
Ethics and Corporate Social Responsibility
Corporate social responsibility and ethics are critical and central aspects of the
establishment of a firm’s strategic planning. Strategic management entails planning to achieve
the set goals while at the same time incorporating ethics to ascertain that the employees stand by
the stated Code of Ethics. The strategic planning of a firm can influence a significant mass of
people globally, and hence, the necessity to make decisions, which will influence people
positively. Verizon Code of Conduct depicts the firm’s transforming business environment, and
so, directs workers’ behavior, the client-staffs relationship, as well as competitors and vendors
alike (Verizon, 2017). Verizon’s corporate responsibility entails diversity and inclusion, as well
VALUES AND STRATEGY: VERIZON WIRELESS
7
as equal staffs’ opportunities. The enterprise realizes the benefit of maintaining its staff happy;
through rewarding them and ascertaining their satisfaction leading to increased productivity. The
company participates in social responsibility by providing the young people in the community
with tools, and resources needed to participate in opportunities of the digital times. The company
focuses on reducing its carbon emissions and helps its customers to alleviate theirs too. This
helps in ascertaining the people that Verizon is not just focused on making profits but aims at
making its customers happy.
In conclusion, Verizon’s mission and vision statement align with mine since, although I
may fail to be in the technological world, I seek to provide what I have assured as well as helping
people attain their goals. The firm’s values include integrity, reliability, performance superiority,
and reverence. The four stated values are my central principals since like Verizon whose effort is
taking accountability for its actions; I too take the responsibility for my deeds. Besides, I believe
that reverence is the key to living in harmony with everyone, thus, striving at embracing
individuality and listening keenly when other people speak.
VALUES AND STRATEGY: VERIZON WIRELESS
8
Reference List
Ekpe, E. O., Eneh, S. I., & Inyang, B. J. (2015). Leveraging Organizational Performance through
Effective Mission Statement. International Business Research, 8(9), 135.
Kirkpatrick, S. A. (2016). Build a better vision statement: Extending research with practical
advice. Rowman & Littlefield.
Verizon. (2017). Our Code of Conduct. Retrieved from
https://www.verizon.com/about/sites/default/files/Verizon-Code-of-Conduct.pdf
Verizon. (n.d).What we do. Retrieved from https://www.verizon.com/about/our-company/whatwe-do
Verizon. (n.d).Who we are. Retrieved from https://www.verizon.com/about/our-company/whowe-are
Williams, K. (2009). Strategic Management. New York, N.Y: DK.
Running head: ENVIRONMENTAL SCANNING
Environmental Scanning: Verizon Wireless
Rashard A. Barkley
June 6, 2018
STR/581 Strategic Planning and Implementation
Dr. Florence Richman
1
ENVIRONMENTAL SCANNING
2
Environmental Scanning: Verizon Wireless
In the business environment that is highly dynamic due to the rise and growth of
globalization, which has increased the business competition, it is imperative for an enterprise to
carry out an environmental scanning. Moutinho and Vargas-Sanchez define environmental
scanning as a strategic business administration process that involves the analysis or relevant
enterprise information in a bid to identify various organizational external threats and
opportunities (2018). Besides, the scanning assists in the development of techniques aimed at
gaining a competitive advantage over the rival enterprises selling alternative products in the
same market either domestically or globally. For instance, Verizon Wireless a technological
enterprise could utilize environmental analysis process in the process of developing policies that
would assist the company in realizing the strategic goals. Enterprise environmental scanning
assists in attaining the business objectives through a thorough evaluation of the potential threats
as well as opportunities that enables the management in formulating effective policies geared
towards achieving the enterprise tactical goals.
Creating Value and Sustainable Competitive Advantage
Operating in a highly competitive telecommunication industry, Verizon Wireless would
utilize environmental scanning in creating value and developing a sustainable competitive
advantage over the rival companies such as the AT&T Inc. Epstein and Buhovac postulate that
environmental scanning especially the external analysis boost the ability of a company in
identifying, developing and adopting business techniques aimed at creating value and developing
a sustainable competitive advantage over the rival enterprises (2014). In creating of value,
Verizon Wireless would utilize the environmental scanning strategy in evaluating and
understanding the driver for customers’ value in a bid to capitalize on what the customers’ values
ENVIRONMENTAL SCANNING
3
for the telecommunication products. Secondly, the environmental analysis would assist in
identifying the customers as well as the segments where Verizon Wireless would create more
value relative to the competitors. Often, consumers depict varying perceptions of a company
value in comparison with the competitors often based on proximity; thus, through environmental
scanning, Verizon would identify and implement strategies in the segments aimed at creating
value for the customers relative to the competitors.
On the other hand, Verizon wireless would as well embrace environmental scanning the
course of creating a sustainable competitive advantage. For instance, the environmental
evaluation would enhance the capability of developing a win-win price for their
telecommunication products relative to the competitors’ prices. Win-win prices ensure customers
receive value while the company maximizes on the offered prices for the products leading to
customer satisfaction and building consumer loyalty, an aspect that would heighten the
development of Verizon Wireless sustainable competitive advantage. Besides, the analysis of the
business environment would as well intensify the capacity of the Verizon wireless Inc. in
engaging product differentiation aimed at developing unique products that meet the client needs
building a sustainable competitive advantage. Likewise, the company would utilize the
environmental scanning technique to focus on the advantage by building a specific market niche
aimed at offering tailored items in a bid to earn a sustainable competitive advantage.
Verizon Wireless External Environment
External environment in business operation comprises outsides elements that influence
the operation of an organization (Grant, 2016). In tactical administration, evaluation of the
external environment fosters the capacity of an enterprise in realizing a competitive advantage by
optimizing the available internal resources through the alleviation of external threats while
ENVIRONMENTAL SCANNING
4
capturing external opportunities. Therefore, the external environmental analysis would assist
Verizon wireless in identifying the company’s threat and opportunities, which are an imperative
aspect in creating value and sustainable competitive advantage over the rival companies. Verizon
wireless depicts various opportunities as part of the company strategic elements that support the
growth of the company as well as the improvement of the enterprise in the external environment.
One of the opportunities of the Verizon Wireless is the engagement of the company
management in the global expansion and growth for the enterprise products, which has enhanced
the long-term sustainability of the telecommunication company amid intense competition in the
global market. Secondly, Verizon Inc. has embraced enterprises diversification where the
company has entered in different industries to minimize the enterprise overreliance on a single
market. This would boost the capacity of the company in building customer value as well as
increasing the market share as an opportunity for the company to maintain enhanced
sustainability and business growth.
Nonetheless, Verizon wireless faces a number of threats in the external business
environment that requires addressing to boost the company long-term growth and sustainability.
For instance, Verizon faces intense competition in the market from other leading
telecommunication companies such as the AT&T Inc. posing a threat to Verizon’s growth and
sustainability. Another threat that Verizon faces is the security threat on the information
technologies, a threat that could bring down a company if unauthorized entities access vital
corporate information.
Verizon General Environment
Political - Verizon Wireless business operations are influenced by government actions and
policies creating its opportunities for expansions in the Marco environment. For example, the
ENVIRONMENTAL SCANNING
5
government moves to open new markets and support free Wi-Fi to the public are opportunities
for the company. The government action to open markets to globalization proves as a political
opportunity as well as a threat since the same opportunity is opened for other companies leading
to intense competition.
Economic- the general environment for telecommunication industry relies on the situation of a
country’s economy. Therefore, Verizon is required to account strategically for elevated
disposable incomes in progressing nations, which is an opportunity as well as reduced
information asymmetry, which is a threat to the company. The augmented disposable income in
progressing nation is an opportunity that the company can exploit by establishing its operations
in these nations. On the other hand, reduced information asymmetry emanates from the ability of
customers comparing products based on the availability of information particularly online, which
empowers clients. This is a threat that elevates bargaining power of clients against services
providers such as Verizon.
Social- the social and cultural trends significantly influence the company employees and
customers. For example, increase in adoption of mobile services is a threat and an opportunity to
the company because it allows an organization to grow due to increased demand as well as a
threat due to increased competition.
Technological- this deliberates the impact of technology on organization capabilities to deliver
up-to-date products. Thus, the widespread development of communication and information
networks is a technological factor offering Verizon an opportunity to invest in new markets.
However, the increased security issue is a threat that weakens the stability and integrity of
company networks and information.
ENVIRONMENTAL SCANNING
6
Environmental- Verizon Wireless operating a business is subject to environmental challenges
such as natural disaster, which could destroy its infrastructure. Moreover, the increased
availability of a renewable source of energy is an opportunity ecological factor that could help
Verizon CSR to participate in corporate social programs, and thus, heightening its sustainability.
Verizon Wireless Operating Environment
It is vital for a corporation to analyze its competitive structure in relation to its
operational capabilities; hence, maintaining a competitive edge at the local, regional, and global
levels. Using the Porter Five Forces will help Verizon Wireless to establish a competitive benefit
in the telecommunication industry as posited by (Porter, 2008).
Companies from the
industry bringing
substitute products
Competitive pressure emanating substitutes to win
clients to their services and commodities
Suppliers
who deliver
parts, and
resource
output
Competitive
pressure
emanating
from
participative
and
bargaining
Rivalry among
sellers
Competitive tension
to gain a better
market edge and
marketing positions
Competitive
pressure
emanating
from
participative
and
bargaining
Competitive pressure originating from new entrants
to win buyers to patronize their items and services
Potential of new
entrants
Figure 1: Porter’s Five Competitive Forces Analysis (Rice, 2010)
Buyers
ENVIRONMENTAL SCANNING
7
Table 1: Verizon Wireless Operating Environment based on Porter Five Forces
Forces
Competitive Status
Tactics to address the competitive status
Threats of new
Low Threat
Innovating new products that are inimitable
market entrants
This is due to high capital
and unique only to Verizon Wireless
intensive required to venture in
Investing continually in Research and
telecommunication industry as
Development to bring new improved
well as building networks, which
products; thus, discouraging new entrants
can compete with low-budget
carrier
Supplier’s
Low bargaining power, which
Verizon can intensify its supply chain with
bargaining power
depicts insignificant threat to
numerous vendors
Verizon
Have loyal vendors
In telecommunication industry,
Verizon has a huge number of
suppliers to choose its raw
materials from and by contrast,
the number of organizations as
deep-pocketed and bi as Verizon
that vendors have a chance to
conduct business with is minimal.
Thus, this places leverage on
Verizon making it able to
negotiate from a position of
power and can switch from one
ENVIRONMENTAL SCANNING
8
vendor to another without any
issue
Buyer’s
High
Verizon should expand its market share
bargaining power
This is due to elevated demand
globally and offer quality and exemplary
for quality products and
products and services as well as continue
availability of Verizon’s
offering lower rates on texts and calls
competitors offering similar
products; hence, allowing
customers to switch to other
carriers within hours
Threats of
High
Verizon Wireless should elevate its customer
substitute
This attributable to augmented
understanding of their needs and
commodities and
telecommunication firms offering
expectations
services
similar products and at affordable
Verizon should also focus also on services
prices
provided to clients, such as lowering its
service costs to compete with its competitors
such as T-Mobile and AT&T
Rivalry among
High
Verizon should consider opening more
the existing
This is attributable to increased
specialties in various countries
competitors
innovation in the wireless
industry making competition
from its rivals such as AT&T stiff
and intense
ENVIRONMENTAL SCANNING
9
Reference List
Moutinho, L., & Vargas-Sanchez, A. (Eds.). (2018). Strategic Management in Tourism, CABI
Tourism Texts. Cabi.
Epstein, M. J., & Buhovac, A. R. (2014). Making sustainability work: Best practices in managing
and measuring corporate social, environmental, and economic impacts. Berrett-Koehler
Publishers.
Grant, R. M. (2016). Contemporary strategy analysis: Text and cases edition. John Wiley &
Sons.
Porter, M. E. (2008). The five competitive forces that shape strategy. Harvard business review,
86(1), 25-40.
Rice, J. F. (2010). Adaptation of Porter's five forces model to risk management. Defense
Acquisition Univ Ft Belvoir Va.
Running head: VERIZON WIRELESS: STRATEGIC PLAN IMPLEMENTATION
Verizon Wireless: Strategic Plan Implementation
Rashard A. Barkley
June 27, 2018
Dr. Florence Richman
1
VERIZON WIRELESS: STRATEGIC PLAN IMPLEMENTATION
2
Strategic Plan Implementation
Verizon Wireless is considered among the leading companies in the telecommunication
industry competing with other giant firms, such as AT&T. The company provides a variety of
ICT services, such as the Internet, and other telecommunication solutions. Internet and mobile
technology usage have rapidly progressed in today’s world, and Verizon is ensuring that the
global society attains the technology through the provision of exemplary ICT services and
solutions. Verizon executes strategies for conducting its business as well as guaranteeing a
positive outcome in attaining success and meeting its goals. Thus, strategic controls are pivotal
for ascertaining that the company implementation plan is launched successfully. To productively
implement its strategic plan, it is vital for Verizon to aim on the organization objectives,
functional tactics, action items, resource allocation, and risk contingency plan.
Verizon Wireless Strategic Plan Execution
Strategic Objective
Objectives encompass the measurable aspects which a firm aspires to attain. They include
mission, benchmarks, as well as strategies which an enterprise has established. The objectives of
Verizon Wireless objective is to deliver the promise of the digitalization world to the global
community by creating and providing ICT solutions that would aid in making a better tomorrow.
To attain its objective, the company should focus on promoting quality network provision,
improving its data transmission via creative technology, and focusing on client satisfaction.
VERIZON WIRELESS: STRATEGIC PLAN IMPLEMENTATION
3
Functional Tactic
Functional tactics encompass findings of every division in an enterprise, such as finance,
Human Resource, and sales and marketing, which are associated with a proficient utilization of
resources to accomplish the objectives. They include
Branding image.
A brand aids in attaining various cultural meaning ranging from staffs, CEO, and the
advertising strategies as put forward by Altuntaş, Semerciöz, Mert, and Pehlivan (2014).
Branding in Verizon will help in ensuring that clients are consistent with the organization quality
products, thus, distinguishing its services and offerings from its competitors. Moreover, branding
will help in the establishment of customer loyalty and permit the company to command quality
over its rivals.
Human resource.
Altuntaş, Semerciöz, Mert, and Pehlivan (2014) further argues that human resource
succor in supporting a corporate to achieve its competitive goals by employing, coaching, and
retaining workers that possess the motivation and skills to accomplish the organization set
objectives. Therefore, to make sure that Verizon remains competitive in the market, the company
should develop its human resource by providing training as well as recruiting skilled experts that
will help in developing a quality product, thereby, enabling the company to meet its vision and
mission.
Information technology.
Information technology refers to the transforming way in which a firm operates. It
impacts the whole process by which the company creates and delivers its services and products.
Thus, to ensure that Verizon remains competitive in the market, the management should ensure
VERIZON WIRELESS: STRATEGIC PLAN IMPLEMENTATION
4
that research and development departments updates with recent trends in IT, thereby, delivering
up-to-date ICT solutions to the market.
Marketing strategy.
In the effort of attracting and reaching a wider customer base, Verizon should strategize
its marketing approaches by comprehending its customer psychographic and demographic profile
as well as capitalizing on its prospects. Therefore, to retain its clients, Verizon could provide
loyal customers with occasional discounts, such as rewards.
Action Items
The action items refer to the things an organization should put into consideration (Smith, 2013).
Some of Verizon action items will include
o Identifying clients for its new markets
o Establishing a relationship and connection with its customers with the aim of retaining its
brand
o Establishing a solid relationship with its vendors, which will help in negotiating the best
competitive price for its products
o Ensure that its employees have knowledge of the company brand and that their service
delivery aligns with the company mission and vision
o Continual promotion of data technology
o Retaining contracts of establishing wireless networks
Strategic Control
Verizon will employ the balanced scorecard as the strategic control approach, thereby,
allowing the company to view improvements as well as well as receive feedback from various
perspectives. The company will, therefore, be in a position to view its progress from a business
VERIZON WIRELESS: STRATEGIC PLAN IMPLEMENTATION
5
process viewpoint, learning and growth point of view, as well as both financial and customer
perspective.
Milestone and Deadlines
Verizon is making efforts in persuading consumers concerning its futuristic plans. For
instance, the company is intending to provide high internet speed to businesses and its clients’
homes without necessarily laying the optic fibers. The implementation plan will take two phases,
the market penetration and growth and the product development as well as diversification,
thereby, taking 2 years to complete.
Table 1: The Table Illustrates Verizon Wireless Strategic Implementation Plan (author,
2018)
Milestones
Market penetration and growth
Duration
The responsible department for the Action
10 months
1. Conducting a market research
3 months
Market research
2. Designing a business model plan
1 month
Market research and the management
3. Marketing commercialization
3 months
Sales and marketing
4. Plan implementation
1 month
Departmental leaders
5. Sale strategy development
1 month
Sales and marketing
6. Reviewing the success of the tactics
1 month
Organizational Administration
Product development
14 months
1. Identifying clients’ needs
5 months
Market research and product development
2. Developing the targets
2 months
Product development team
3. Generating concepts and knowledge
1 month
Product development and the management
4. Selecting the concepts
1 months
Product development
5. Refining the product specifications
2 months
Product development
6. Performing the economic analysis
2 month
Finance department and management
7. Reviewing the success of the tactical
1 month
Enterprise Management
execution plan
VERIZON WIRELESS: STRATEGIC PLAN IMPLEMENTATION
6
Task and Task Ownership
For the company to meet its deadline, various departments will be assigned disparate
tasks and complete within the stipulated time as shown in the above table. Task ownership plays
a vital role in staff motivation since it aids in ensuring employee accountability, thereby, making
the members responsible for completing their assigned tasks.
Resource Allocation
Verizon resources will be allotted on a need basis, thus, ascertaining that staffs are
equipped and empowered with necessary resources to carry out the implementation successfully.
Each department showed in the table above will have access to materials, manpower, money, and
technological resources needed to attain its objective. Additionally, the marketing department
will also be provided with the necessary resources to conduct aggressive marketing for the
product.
Organization Change Management Strategy that would enhance successful
Implementation
For an organization to implement a successful change, it is vital to administer a change
strategy that could enhance effective implementation plan. Thus, Verizon can utilize the Kotter’s
eight model for change, thereby, promoting a transformational change within the company. To
ascertain the Verizon makes an effective transformation, management should consider the eight
crucial success components.
o Creating a sense of urgency should be done by examining the opportunities that will be
tapped if the company implements the change
VERIZON WIRELESS: STRATEGIC PLAN IMPLEMENTATION
7
o To attain effective change, Verizon management should form a powerful coalition
including key stakeholders requesting their participating and involvement towards the
entire implementation process
o Developing strategy and vision by determining the core values as well as defining the
final vision and strategy for attaining the change is vital in ensuring successful change
implementation
o The management should communicate the vision with the staffs and stakeholders
o Verizon change management team should ensure that the company structure and
processes are aligned with and in place with the overall mission and vision. Also, it is
vital to remove obstacles by continuously checking for barriers or individuals resisting
the change.
o Developing short-term wins would also motivate stakeholders by rewarding individuals
that meet the targets
o The change management team should also attain continuous enhancement by analyzing
the individual success and improving their experiences
o The change should become an integral part of Verizon and strategies implemented to
ensure that the change is supported and successful.
Key Factors, Budget, Financial Forecast, and Break-Even Analysis
Key Factors
To attain a competitive gain in the telecommunication industry, Verizon should establish
key success factors, such as strategic focus, customer relationship management, human resource,
and resource availability.
VERIZON WIRELESS: STRATEGIC PLAN IMPLEMENTATION
8
Budget and Financial Forecast
Budgeting is critical in monitoring a company past and present progress, thereby,
allowing a company to adjust activities or execute new tasks to meet the profitability objectives.
Thus, to abate and control eventualities that revolve around an organization budgeting, Verizon
management could meet quarterly to discuss the company performance. Accordingly utilizing
financial forecasting will aid in estimating Verizon past, present, and projected financials.
Financial forecasting is vital in shaping an enterprise margin of safety based on revenue and
other related costs.
Table 2: The table illustrates Verizon forecasted budget for the product
Budget for Assembling 10000 Units of 5G LTE Router
Forecasted
Labour
$30,000.00
Material
$10,000.00
Product development
$80,000.00
Total
The forecasted budget of $120,000 US dollars.
$120,000.00
VERIZON WIRELESS: STRATEGIC PLAN IMPLEMENTATION
9
Break-Even Analysis
5G LTE Routers Break-Even Point
AMOUNT IN US DOLLARS
Total Cost
Total Sales
$150,000.00
$100,000.00
$50,000.00
$0.00
0
1000
2000
3000
4000
5000
NUMBER OF UNITS
Figure 1 depict the break-even point for the sale of the assembled 5 G LTE routers at Verizon
Corporation. Based on the figure, the break-even will be realized after selling 2000 units of the
routers at a cost of $ 25 dollars.
Risk Management Plan Including Contingency Plans for the Identified Risks
Risk management is another integral point in the process of administering a strategic plan
as purported by Turner (2014). The possible losses of a contingency plan would entail
identifying the uncertainties, prioritizing the expected losses, and impact assessment. Therefore
in the course of Verizon Wireless tactical plan execution, the company may face various risks,
such as loss of skilled employees, economic uncertainties, government regulation, and rapid
change in technology. Nonetheless, to countermeasure the anticipated risks, Verizon
management should lay down a contingency plan, for instance, allotting supplementary budget o
cater for additional costs. Additionally, the company should train its staffs as well as assign
enough resource for R&D department, thereby, enabling the department to conduct market
analysis to minimize the stiff competition.
VERIZON WIRELESS: STRATEGIC PLAN IMPLEMENTATION
10
Reference List
Altuntaş, G., Semerciöz, F., Mert, A., & Pehlivan, Ç. (2014). Industry Forces, Competitive and
Functional Strategies and Organizational Performance: Evidence from Restaurants in
Istanbul, Turkey. Procedia-Social and Behavioral Sciences, 150, 300-309.
Smith, R. D. (2013). Strategic planning for public relations. Routledge.
Turner, J. R. (2014). The handbook of project-based management (Vol. 92). New York, NY:
McGraw-hill.
Purchase answer to see full
attachment