Page 11 - CIMA MCS Workbook November 2018 - Day 1 Suggested Solutions

SUGGESTED SOLUTIONS

 Potential H&S issues
 Potential liquidity issues
 Lack of evidence of non‐financial performance indicators (NFPIs)
 No obvious change management function
 No obvious risk management function

OPPORTUNITIES

 Development of big data analysis
 Brand extension
 Sustainable packaging
 Diversification into new markets
 Development of existing markets – e.g. airlines
 New product development
 Expansion options – geographic expansion
 Consolidation options e.g. acquisition of competitor(s)
 Exploit new technology – e.g. automation, horseshoe layouts
 Athletics Wold Cup
 Improvements in performance measurement
 Improvements in risk management
 Improvements in change management
 Improvements in decision making techniques
 Improvements in cost control
 Improvements in budgeting
 Outsourcing non value added activities

THREATS

 Increasing competitive marketplace
 Environmental pressures
 Health concerns – e.g. health lobbyists
 Ethical issue – e.g. advertising of high sugar content drinks
 Political pressure re regulation
 Unpredictable future customer demand
 Supply chain e.g. water and fruit
 Quality errors and effect on reputation and brand
 Increasing threat from future technological developments
 Economic risk – e.g. foreign exchange; fuel price fluctuation
 Social risk – e.g. change in consumer tastes
 Health and safety risk – e.g. incorrect cleaning products
 Legal of infected drinks – e.g. litigation
 Cultural threat via expansion plans
 Slow recovery of world economy

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