Business Case Study: Drucker's Management

Question:
You will look at the marketplace within your expertise and identify a business opportunity. Apply various concepts covered in the course thus far such as strategic competitive advantage. Provide a simple business case for the new innovation; consider all aspects of costs (labour, materials, etc.) and possible sources of revenues and applications.

Answer:
The answer is based on the concept of Drucker’s management By Objectives (MBO), Ansoff’s work on corporate strategy and Porter’s Five Forces of competitive analyses. Drucker’s MBO concept provides guidance for participative goal setting and effective monitoring to help achieve organizational goals. Drucker’s concept creates the environment where every member or segment is involved …show more content…
Other 0 0 0 0 0 0 0 0 0 0 0 0 0 0
Total Receipts 1,000,000 44,750 15,225 22,118 32,312 47,432 69,903 103,362 153,251 227,727 339,010 505,420 754,414 3,314,923.38 Payments
Cash purchases 13,500 4,050 6,075 9,113 13,669 20,503 30,755 46,132 69,198 103,797 155,696 233,543 706,030.22
Payments to creditors 12,150 3,645 5,468 8,201 12,302 18,453 27,679 41,519 62,278 93,417 140,126 210,189 635,427.20
Salaries and wages 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000 60,000
Employee benefits 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 12,000
Payroll taxes 525 525 525 525 525 525 525 525 525 525 525 525 6,300
Rent 700,000 1,600 1,600 1,600 1,600 1,600 1,600 1,600 1,600 1,600 1,600 1,600 1,600 719,200
Utilities 300 450 450 450 450 450 450 450 450 450 450 450 450 5,700
Repairs and maintenance 320 320 320 320 320 320 320 320 320 320 320 320 3,840
Insurance 500 120 120 120 120 120 120 120 120 120 120 120 120 1,940
Travel 400 525 525 525 525 525 525 525 525 525 525 525 525