Strategicmanagement Essay Example | Topics and Well Written Essays - 1000 words

Strategicmanagement - Essay Example Its overall performance has been consistently very good and it is moving in the right direction by seeking advice as regards specific strategies and long term objectives in the current market scenario. Nonetheless, in spite of its stellar performance and status, CGC must steadily adapt to the current business practice of path-breaking forays that among things include globalization, mergers and acquisitions, joint ventures, and excursions into unexplored regions notably the Middle East, South Asia and South-East Asia. The economical growth and social progress in these regions, despite their vicissitudes, uncertainties and filibustering elements provide the right environment and prospects for games like golf. Also, CGC must widen its range of product. Big players like Nike and Adidas have entered the golf market. It is time CGC made forays into some products manufactured and marketed by Nike, Adidas, etc, that are not currently in the list of products covered by CGC. Golf has fairly good presence in countries like China, Korea, and India. The game has attracted enough attention at elite business and social levels for formation of golf clubs which include acquisition of large tracts of land even in cities like Mumbai (Bombay) where real estate prices are among the highest in the world. GGC has encountered piracy problems in China, and undoubtedly the p... n at elite business and social levels for formation of golf clubs which include acquisition of large tracts of land even in cities like Mumbai (Bombay) where real estate prices are among the highest in the world. GGC has encountered piracy problems in China, and undoubtedly the problem does not exist in China alone. Apart from taking legal steps, there is the need to address the problem more pragmatically by entering the market through the front door in these regions. China and India have opened up to foreign investments like never before. The best way to begin operations is by getting hold of big names like Kapil Dev to endorse CGC products. Kapil Dev is a former cricketer and has tremendous fan following in India. Apart from Kapil Dev, there are other players, both current and retired, who play golf. Cost of Endorsements Getting big names like Kapil Dev to endorse is expensive. Conservatively, the price could be around US$ 10 million for five years. This is a rough estimate. Other Costs Other costs include sponsorship of golf events and players. It is difficult to provide precise figures. However, CWC could mark their presence with a budget of another US 6 million dollars for 3 years. It will be necessary to appoint an official representative who is conversant with golf to act on behalf of CGC. The annual cost for such a representative will be US$ 250,000 annually to cover salary, house rent and travel. Annual Budget Thus, the total annual budget will be as follows: 1) Endorsement by a big player US$ 2,000,000 2) Sponsorship of events and players US$ 2,000,000 3) Official Representative's salary, rent, travel US$ 250,000 4) Other promotional costs US$ 250,000 Total Cost US$ 4,500,000 Agenda for Return on Investments (ROI) It is not