Neptune Gourment Seafood is a leading sea food producer in North America with a market value of $820 million. To ensure efficient and effective use of finances in strategy implementation, business audit is inevitable. It helps in monitoring as well as putting strategy implementation on course (Burnett, 2004). The organization’s new strategy is based on price cutting and generation of more product lines to serve the low end market. This strategy will reduce stock levels and affect its high end market positioning (Rydholm, 2000). This 50% price cut strategy is not sustainable (Miles, 2003). The organization’s customers are quality minded rather than price sensitive ones (Hamel, & Prahalad, 1990). NGS is positioned on quality (Evens, & Wurster, 1997). Never the less, it can invest in uncovered markets.
In the past, the organization’s strategy revolved around growth of distribution networks and maintenance of positioning on high quality. Strategic management enables organizations to scan the environment they operate in and develop mechanisms to succeed. Strategic planning will enable the organization to respond to threats such as competition and changes in legal concerns (Zaltman, 2003). By carrying out swot analyses on the organization, it will be able to develop a blue print to the future (Moncrieff, 2000). The organization short term strategy is mainly price cutting and product diversification. It is exploring chances of entering mass market successfully (Laermer, & Simmons, 2007).
Short term strategies help in responding to short term concerns through development of immediate action plans (Burkhart, & Reuss, 1993). As a long term strategy, Neptune Gourment Seafood employs technology in increasing quality and shelf life of its products as well as fishing in environment friendly manner (Kono, 1994).