Faculty of Business, Economics & Accounting

Department of Business Studies

HELP Bachelor of Business (Hons)

SUBJECT OUTLINE & ASSIGNMENT

University Finance Marketing

February 2017 Semester

Subject: MGT303
Corporate Policy & Strategy

Subject Lecturer: Mr Ravi Varmman Kanniappan

Email ravivk@help.edu.my

19 Pages including the Cover Page

 Subject Outline MGT303 Corporate Policy & Strategy February 2017 Semester

PRE-REQUISITE(S)

MGT101, MKT101, ACC101, ACC103, ECO101, ECO102 & completed THREE (3) of
the Year 2 management related subjects from FIN202, HRM201, MKT201 or MGT201
and any TWO (2) of the Year 2 subjects.

Do NOT take this course if the classes clash with other subjects.

SUBJECT LECTURER

Ravi Varmman is a senior lecturer with HELP University in the Business Studies
Department. He lectures in Strategic Marketing Management, New Product Management
and International Marketing. He is one of the facilitators for the Charles Sturt University,
MBA programme, lecturing on International Business, Marketing Management,
Marketing and Organizational Research and Business and Professional Ethics.

SYNOPSIS

The aim of this subject is to develop in students an awareness of strategic issues

confronting all organizations and to equip them with a set of technical tools that will
enable them to systematically prepare professional business plans in the future.

OBJECTIVES

Upon completion of this subject, students should be able to:

appreciate the techniques and processes involved in business policies;

apply the techniques in practical situations;

critically evaluate the techniques used; and

use the knowledge and competencies gained in prior subjects in an integrated fashion
to develop a Business Plan for an organization.

PRESCRIBED TEXT

Thompson, A. A., Strickland III, A. J. and Gamble, J. E. (2013). Crafting & Executing
Strategy: The Quest for Competitive Advantage, Concepts and Readings (19th ed.). NY:
McGraw-Hill Irwin.

RECOMMENDED REFERENCES

Beamish, P.W. (2000), Asia-Pacific cases in strategic management, Irwin McGraw-

Hill, Boston.

Birnik, A., & Moat, R. (2008). Developing actionable strategy, Business Strategy

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 Subject Outline MGT303 Corporate Policy & Strategy February 2017 Semester

Review, 19 (1), pp28-33.

Connolly, J. (2006). High performance cultures. Business Strategy Review, 17(2),

pp19-22.

David, Fred R. (2013), Strategic Management: A Competitive Advantage Approach,

Concepts and Cases, 14th Edition. Pearson

Hill, Charles W.L. and Jones, Gareth R. (2007), "Strategic Management: An Integrated
Approach", 7th Edition, Houghton Mifflin Company.

Hubbard, G. (2008). Strategic management: Thinking, analysis and action (3rd ed.).
Frenchs Forest, NSW: Prentice Hall.

Johnson, Gerry, Scholes, Kevan & Whittington, Richard (2008), Exploring Corporate
Strategy, Prentice Hall.

Miller, Alex (1998), Strategic Management, 3rd edition, McGraw Hill international
edition.

Mintzberg, Henry, Lampell, Josepth, Quinn, James Brian & Ghosal Sumantra (2002),
The Strategy Process: Concepts, Contexts, Cases, 4th edition, Prentice Hall.

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 Subject Outline MGT303 Corporate Policy & Strategy February 2017 Semester

Viljoen, J. & Dann, S. (2003), Strategic Management: Planning and implementing

successful corporate strategies, Longman, Frenches Forest, N.S.W.

Subject Outline / Teaching Plan

Department : Business Studies Subject Code : MGT 303

Lecturer : Ravi Varmman K. Subject Title : Corporate Policy & Strategy

TEXTBOOK
WEEK LECTURE TOPIC
Chapter

1 The Nature and Scope of Business Strategy 1

The Process of business strategy formulation and
2 2
implementation
Assessing the external environment 3
3

Assessing the internal environment

4 4

Business Strategy options

5 5

Matching strategy to an organizations situation

6 6

7 Mid Term Break

Strategies in diversified companies
8 7

Strategy, Ethics and Social Responsibility

9 8

Strategy Implementation: Building resource strengths

10 and organizational capabilities 9

Strategy implementation: Managing internal options

11 10

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 Subject Outline MGT303 Corporate Policy & Strategy February 2017 Semester

Strategy Implementation: The rle of corporate 11

12
culture and leadership.
13 Review
14 Revision
15-16 Examination Period

ASSESSMENT

There are 4 assessment items for this subject.

Assessment Items Value Due Date

1. Assignment 1: Essay (Pair) 20% Week 6

2,500words

2. Assignment 2: Case Study (Group) 20% Week 13

3,500words

3. Classroom Contribution 10% Ongoing

4. Final Examination (Closed Book) 50%

REQUIREMENTS

To gain a pass in this subject, students MUST:

Achieve a passing grade in the final examination i.e. score a minimum of 25 marks
out of 50 marks if there is an examination for this subject.

Attempt ALL areas of assessment; and achieve a total result of 50% or better
overall.

** - Please check on the notice board and My Acel for the actual date. HELP
University reserves the right to make any changes to the above where appropriate.

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 Subject Outline MGT303 Corporate Policy & Strategy February 2017 Semester

ASSESMENT DETAILS

In your assignments be sure to include your name (short or preferred name in

brackets), Student ID# and e-mail address on the Title Page.

Please also include a Table of Contents with page numbers.

An Introduction and a Conclusion are required.

Photographs, Diagrams etc. should be used to illuminate the text.

Avoid using low credibility references such as Wikipedia, Internet sources or popular
newspapers or magazines as these will LOSE you marks.

Item 1: Assignment 1: Report (20%)

Assignment rationale

This assignment is designed for you to:

demonstrate an understanding on the concept of strategic alliances;
develop your skills in presenting a balanced and critical argument to the reader; and
undertake in-depth research on some aspect of international business.

Assessment Task

You are required to write a case study on the topic of Joint Venture. Review the
text, supplemented by the general reading list, and not forgetting journal articles for topic
areas. This should be a 'real-life' critical case analysis. You are encouraged to choose a
business or company where you have access to individuals for specific interviews, and/or
access to necessary information.

Your written case study should include:

1. Carry out a literature review on the concept of Joint Venture. Determine best
practices
2. The background of the companies that were involved in the joint venture exercise.
3. Analysis on the factors that influenced the said joint venture: ie Proactive vs
Reactive
4. Review the objectives/type determined for the said joint venture.
5. Evaluate the extent of the achievement of the stated objective.
6. Carry out a due diligence exercise for the said joint venture. The due diligence
among others should include financial, operations and corporate cultural
compatibility and fit.
7. Discuss potential problems/issues/challenges faced by the said joint venture.
8. Provide recommendation how you think the said joint venture can be improved
to ensure its sustainability.

Marking Criteria:

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 Subject Outline MGT303 Corporate Policy & Strategy February 2017 Semester

The two questions will be assessed according to the following criteria:

Coverage of the relevant topics;
Explanation of relevant theoretical concepts;
Ability to apply theories learnt to the related discussions throughout the essay;
Logical development of the argument;
Originality in the selection and/or use of examples;
General standard of presentation, including layout, length, ability to create relevant
tables and diagrams, etc.

Notes:
This assignment must be completed in pairs.
Assignment must be written in a report format applying all academic formalities.
When there is evidence that a student has plagiarised sources or there are other forms
of cheating, zero marks will be awarded to the student for that particular assignment.

Item 2: Assignment 2: Strategic Plan (20%)

Assessment Task (Group Project)

1. This assignment focuses on TATA Steel: A Century of Corporate Social

Responsibility case. (Case study is provided). Your team is to act as an external
consultant to Tata Steel to bring the company out of the current crisis.
2. Pay careful attention to issues like the milestones that reflects its strategic plan, and
its stance on recovery and sustainability. Your strategic plan should not exceed
3,000 words. Harvard or APA referencing should be used. The marking criteria are
shown below, which can be used as a framework of for the business plan.

3. Students will be assigned to Groups early in the Semester to maximise learning. The
groups will (as far as possible) comprise a mix of gender, work experience,
nationality etc. Each group should have between 5 6 members only.

4. All the theories used must be referenced appropriately. When there is evidence that
a student has plagiarised sources or there are other forms of cheating, zero marks
will be awarded to the student for that particular assignment.

5. A case analysis methodology is also provided to give you a head start in helping you
to prepare this project.

Rationale

The aims of this assignment are:

To provide you with an opportunity to apply and explain concepts addressed.
To develop cognitive and practical skills by applying theoretical concepts to
practical, organisational situations.
To develop analytical skills by analysing situations and actions that management
might take in response to a given situations.
To develop research skills through in-depth research on this particular topic.
Marking Criteria:
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 Subject Outline MGT303 Corporate Policy & Strategy February 2017 Semester

Criteria Marks
Executive Summary 4
Introduction (Aims and Objectives) 3
Mission and Vision Statements 4
Current Issues / Situation Analysis 4
External Assessment (e.g.: PEST, industry/5-Forces/competition, etc.) 20
Internal Assessment (e.g.: Value Chain, Financial, present growth strategies, etc.) 20
Strategy Formulation (e.g.: SWOT/TOWS, Strategic Options, etc.) 15
Strategy Selection / Recommendations (Corporate, Business and Functional level 20
strategies)
Presentation (format, literacy, grammatical style, references, inclusion of appendices, 10
and appropriate use of tables, diagrams/headings etc.)
Total 100

Item 3: Classroom Contribution/Presentation (10%)

This item will be assessed based upon your contribution to discussions in the class and
active participation. Students would be given mini cases or journal materials to be
reviewed and to be presented in class. A total of 10 presentations would be expected from
students throughout the semester. The task can be individual or group oriented. 10%
may not seem very much but it can make a difference between a Fail and a Pass and a
Credit or a Distinction. Students would be awarded 1% for each presentation. However
if students do not participate/present/contribute to the work on the stipulated week then
they would be awarded any marks for that week. All presentation must be done in power
point and a soft copy must be submitted to the lecturer one day before the presentation
date. Failure to do so would also result in non-awarding of marks.

CLASS MONITOR

I would like to request a volunteer for the position of Class Monitor. The duties are not
too onerous and merely relate to being my first point of contact in the event of last minute
timetable changes and/or dissemination of soft copy learning materials.

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 Subject Outline MGT303 Corporate Policy & Strategy February 2017 Semester

Assignment No.: __

Assignment Cover Sheet

Student Information (For group assignment, please state names of
Grade/Marks
all members)
Name ID

Office
Module/Subject Information
Acknowledgement
Module/Subject Code

Module/Subject Name
Lecturer/Tutor/Facilitator

Due Date

Assignment Title/Topic
Intake (where applicable)
Word Count Date/Time

Declaration

. I/We have read and understood the Programme Handbook that explains on plagiarism, and I/we testify
that, unless otherwise acknowledged, the work submitted herein is entirely my/our own.
. I/We declare that no part of this assignment has been written for me/us by any other person(s) except
where such collaboration has been authorized by the lecturer concerned.
. I/We authorize the University to test any work submitted by me/us, using text comparison software, for
instances of plagiarism. I/We understand this will involve the University or its contractors copying my/our
work and storing it on a database to be used in future to test work submitted by others.

Note:1) The attachment of this statement on any electronically submitted assignments will be deemed
to have the same authority as a signed statement.
2) The Group Leader signs the declaration on behalf of all members.

Signature: Date:
mail:
Feedback/Comments*

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 Subject Outline MGT303 Corporate Policy & Strategy February 2017 Semester

Main Strengths

Main Weaknesses

Suggestions for improvement

Student acknowledge feedback/comments

Graders signature Students signature:

Date: Date:
Note:
1)A soft and hard copy of the assignment shall be submitted.
2)The signed copy of the assignment cover sheet shall be retained by the marker.
3)If the Turnitin report is required, students have to submit it with the assignment. However, departments may allow
students up to THREE (3) working days after submission of the assignment to submit the Turnitin report. The
assignment shall only be marked upon the submission of the Turnitin report.
*Use additional sheets if required.

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 Subject Outline MGT303 Corporate Policy & Strategy February 2017 Semester

Department of Business Studies

ACADEMIC INTEGRITY

Honesty and Responsibility

Academic integrity is an important tenet for HELP University. In pursuit of the highest
standards of academic integrity, the Department of Business Studies holds it students to
the highest ethical standards defined by the Rules and Regulations section of the
Academic Handbook. All students at the Department of Business Studies are subjected
to and are bound by the Student Academic Misconduct Rule to assure academic honesty.
Students are required to sign a pledge on the assignment cover sheet before submitting
your assignments to the Administration Office of the Faculty of Business, Economics &
Accounting.

What is Plagiarism?
Plagiarism is academic dishonesty or academic theft, and it is a serious academic offence.
Plagiarism includes, but is not limited to, the followings:
1. quote, paraphrase or summarize someone elses ideas, theories or data, in whole
or in part, without appropriate acknowledgement
2. borrow ideas, opinion or words, in whole or in part, from other sources without
properly crediting the author(s)
3. use any facts, statistics, diagrams or graphs, in whole or in part, without
acknowledging the source clearly
4. claim or imply original authorship of someone elses ideas, theories or data, in
whole or in part, as your own
5. employ or allow someone to help to revise, amend or write your work and pass
off as your own original work
6. collaborate with or allow other students to copy your work
7. draw on sources more than what you have acknowledged by citations

While a student is not discouraged to discuss an assignment with his/her friends or

classmates, the work he/she submits must be done by the student alone. If a student shares
his/her assignment with other students and they plagiarize it, the student is as guilty as
those students who plagiarized his/her assignment. All parties to plagiarism are
considered equally guilty. Under no circumstances should a student be involved in
collusion with other students unless he/she is permitted to work on an assignment jointly
by the lecturer/tutor. If a student is unsure what constitutes plagiarism, he/she is obliged
to consult the lecturer/tutor on the matter before submission of his/her assignment.

When and How to Reference?

Knowing when and how to cite is a students responsibility. If he/she is in doubt or need
more help on this matter, the student may consult the lecturer/tutor. The following list
comprises some of the sources a student will need to reference. The list is by no means
exhaustive, but simply consists of the most common sources used by students to complete
their work.
1. Books
2. Chapters in books

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 Subject Outline MGT303 Corporate Policy & Strategy February 2017 Semester

3. Journal articles
4. Conference papers
5. Newspaper articles
6. Magazines
7. Websites
8. Study guide

Students are advised to cite in the following cases [1]:

1. When he/she quotes two or more words verbatim, or even one word if it is used
in a way that is unique to the source
2. When he/she introduce facts that he/she have found in a source
3. When he/she paraphrase or summarize ideas, interpretations, or conclusions that
he/she find in a source
4. When he/she introduce information that is not common knowledge or that may
be considered common knowledge in your field, but the reader may not know it
5. When he/she borrow the plan or structure of a larger section of a sources
argument (for example, using a theory from a source and analyzing the same
three case studies that the source uses)
6. When he/she build on anothers method found either in a source or from
collaborative work in a lab
7. When he/she build on anothers program in writing computer code or on a not-
commonly-known algorithm
8. When he/she collaborate with others in producing knowledge

In general, a referencing system requires two parts:

1. In-text citations
This is information about a source within the text of an assignment.
2. List of references
This is a list of all sources a student has used to research his/her assignment. It is
alphabetically arranged by author surname and appears immediately after the last
page of an assignment.

Different faculties or departments may have different requirement on how referencing

for an assignment should be done. The various formats used for in-text citations and list
of references are available in the following websites:
1. Harvard System (http://www.adelaide.edu.au/library/guide/gen/harvard.html)
2. Chicago Style (http://www.chicagomanualofstyle.org/index.html)
3. American Psychological Association or APA Style (http://www.apastyle.org)
4. Modern Language Association of America or MLA Style (http://www.mla.org)

Once a student has selected a referencing style for his/her assignment, he/she must follow
the same style consistently throughout the assignment. We strongly suggest that the
student consults the lecturer/tutor about which method to use before submission of
his/her assignment.

1
http://www.yale.edu/bass/writing/sources/plagiarism/warning.html, accessed May 18, 2008.

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 Subject Outline MGT303 Corporate Policy & Strategy February 2017 Semester

What are the Procedures and Penalties for Plagiarism?

When a lecturer/tutor encounters a possible case of plagiarism, the lecturer/tutor shall
report the matter to the Head of the Department, who then initiates an investigation on
the matter. The following procedures would be carried out:
1. The lecturer/tutor shall provide evidence that substantiates an academic offence
has occurred. The following documentations must be ready prior to reporting of
alleged plagiarism:
a. Copy of the alleged plagiarized assignment
b. Copy of the source material (e.g. articles, websites, newspaper, etc.)
c. Report of plagiarism
d. Any other information that would support the claim of plagiarism
2. If the evidence warrants an accusation of academic offence, the Head of
Department shall establish a Board of Inquiry comprising 3 academic staff. The
Department shall provide all necessary documentations, including report on prior
academic offences if applicable, to the Board of Inquiry.
3. The Board of Inquiry shall put the matter to the student in writing and give
him/her an opportunity to respond to the accusation within 3 working days.
4. The student will be required to attend a meeting with the Board of Inquiry. After
meeting the student, the Board of Inquiry shall decide whether or not the alleged
plagiarism has occurred. The following documentations shall be submitted to the
Head of Department at the end of the meeting:
a. Findings of the investigation
b. Recommended action(s) to be taken or imposed
5. The Head of Department shall review the Board of Inquirys report with
supporting evidence and shall decide on an appropriate action(s) based on the
recommendation of the Board of Inquiry.
6. The decision of the Head of Department shall be put in writing to the student.
Copies of all documentations will be retained in the Department.
7. If the student feels that he/she has been unfairly accused or treated, the student
may appeal to the Head of Department within 5 working days.
8. The Head of Department shall review the appeal and the final decision will be
communicated to the student in writing and a copy will be kept with the
Department. Once a determination of plagiarism and penalty has been made by
the Head of Department, the investigative process will be deemed to have ended
and the student will not be allowed to appeal.

Possible penalties for plagiarism range from mark reduction for the assignment to
expulsion from the University. The student will not be allowed to make up the
assignment. If plagiarism has been found to have occurred, the Department will take
action(s) as determined by the forms of plagiarism implicated:

1. Complete plagiarism
Verbatim copying another persons work without acknowledgement
1st offence : A grade of F in the subject and a warning letter will be
issued
2nd offence : Expulsion from the University at the discretion of the Head
of Department
2. Substantial plagiarism
Near-verbatim copying another persons work by simply altering the order of the
sentences or the format of presentation or by changing a few words or phrases
without acknowledgement.
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 Subject Outline MGT303 Corporate Policy & Strategy February 2017 Semester

1st offence : Zero mark on the assignment and a warning letter will be
issued
2 offence : A grade of F in the subject and a warning letter will be
nd

issued
3rd offence : Expulsion from the University at the discretion of the Head
of Department
3. Minimal plagiarism
Acknowledgement is made but paraphrasing by changing and/or eliminating
some words
1st offence : Deduction of 50% of available marks on the assignment and
a warning letter will be issued
2 offence : A grade of F in the subject and a warning letter will be
nd

issued
3rd offence : Expulsion from the University at the discretion of the Head
of Department
4. Unintentional plagiarism
Insufficient acknowledgement by not applying citation or quotation marks
correctly
1st offence : Deduction of up to 50% of available marks on the assignment
and a warning letter will be issued
2 offence : A grade of F in the subject and a warning letter will be
nd

issued
rd
3 offence : Expulsion from the University at the discretion of the Head
of Department
Pleading ignorance or unintentional plagiarism does not constitute valid reasons for
plagiarism and will not avoid the penalties from being imposed. Excuses for acts of
plagiarism such as the following, but not limited to, will not be entertained:
1. I dont have time to do the assignment
2. I have too many assignments due on the same day
3. I dont know, I really didnt do it
4. I am not aware
5. I dont understand what plagiarism means
6. I have no intention to plagiarize
7. I forgot to cite the reference
8. I forgot to include the bibliography
9. My English is not good
10. My lecturer/tutor did not explain to me
11. In my country, it is alright to copy someone elses work
12. My friend copied my assignment when I let him/her to look at my assignment
13. My friend copied my assignment when I allow him/her to use my laptop
14. I did my assignment in the computer lab, someone must have copied my work
15. I asked my friend to submit my assignment and he/she copied my work
16. I discussed my assignment with my friends, so our answers are the same/similar
17. Even though I do not have in-text citation but I have bibliography/reference list
Students should be reminded that it is their responsibilities to take due care throughout
their written work to effectively reference or cite when they use others ideas from any
source.

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 Subject Outline MGT303 Corporate Policy & Strategy February 2017 Semester

BACHELOR OF BUSINESS YEAR 3

SEMESTER X, 20XX

SAMPLE FINAL EXAMINATION

Subject Code : MGT303

Subject Name : CORPORATE POLICY & STRATEGY

This examination carries 50% of the total assessment for this subject.

Examiner Moderator(s)

Michael M Dent

Day :
Time :
Date :

Time allowed : Reading 10 MINUTES

Writing 3 HOURS

INSTRUCTION(S):

1. This examination consists of THREE (3) sections:

SECTION A consists of a CASE STUDY. Answer all (4) questions in the answer book provided.

SECTION B consists of a CASE STUDY. Answer all (3) questions in the answer book provided

SECTION C consists of FIVE (5) Essay Questions. Answer any TWO (2) questions in the answer book
provided.

2. Writing on the examination answer book is NOT permitted during reading time.

3. This is a CLOSED BOOK examination.

4. Students are NOT permitted to retain this examination paper.

5. Students MUST pass this examination in order to pass the subject. To pass the examination you must obtain
50% or greater of the allocated exam marks.

(This question paper consists of 3 sections in 7 printed pages, including the cover page)

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 Subject Outline MGT303 Corporate Policy & Strategy February 2017 Semester

SECTION A (30 Marks)

Answer ALL of the following case study questions.

Beware the Angry Birds

Case Study Questions:

You have been hired as a Strategic Consultant for a large corporation and the CEO has
asked you produce some firm recommendations based on the above discussion
document.

1 Complete a PEST analysis summarising the main relevant macro-environmental

changes. (10 Marks)
2 What do you consider to be the probability/impact of the CEO being forced to
resign due to a public relations issue in the next 12 months. Illustrate with a
diagram if possible. (5 Marks)
3 List 3 Key strategies you would launch (if not already in existence) to negate this
risk. (10 Marks).
4 The CEO him/herself is concerned that a current issue may develop into a major
threat. What specific advice would you give to the CEO? (5 Marks)
Source: The Economist, 11 Oct 2014.

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 Subject Outline MGT303 Corporate Policy & Strategy February 2017 Semester

SECTION B (30 Marks)

A giant leap for the flying kangaroo

Ask Australians to name the biggest transport icons in their country and most would
probably mention two: the Holden car and Qantas, the national airline. After 65 years of
production, the Holdens days were numbered in December when General Motors, its
parent company, announced that it would stop making cars in Australia in 2017. With an
even longer history dating from its founding in outback Queensland in 1920, Qantas now
faces an unsettled future, too, by a potential change in the rules to allow the airline,
known fondly as the flying kangaroo after its iconic tail-fin emblem, to be snapped up
by a foreign buyer.

The question arose when Tony Abbott, the prime minister, announced on March 3rd that
his conservative coalition government would scrap rules capping foreign ownership in
Qantas at 49% and a single foreign investment at 25%. Mr Abbott says Qantas will be
freer to compete if it is unshackled and un-propped up by government.

Qantas has been flying through turbulent times. Just four days before the governments
announcement, the airline reported an underlying loss of A$252m ($224m) for the half
year to December. Alan Joyce, Qantass Irish-born chief executive, called the result
unacceptable, a consequence of some of the toughest conditions Qantas has ever
seen. The airline has responded with equally brutal cuts.

Over the next three years it will shed 5,000 jobs, more than a sixth of its workforce. It
will cut costs by A$2 billion, sell and delay the purchase of more than 50 aircraft and
slow the expansion in Asia of Jetstar, its budget-airline offshoot. Even Mr Joyce will
sacrifice 36% of his take-home salary this fiscal year.

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 Subject Outline MGT303 Corporate Policy & Strategy February 2017 Semester

Qantas has suffered most on its international routes, with the rise of cashed-up, often
state-owned, airlines from Asia and the Middle East that offer Australians cheaper fares
and more varied destinations. Over the past four years those competitors have increased
their capacity into Australia by 46%. Leigh Clifford, Qantass chairman, calls it a deluge
of capacity. Two years ago Qantas formed an alliance with Emirates in a bid to cut costs
on some international routes. But high jet-fuel bills and a prolonged period of a highly
valued Australian currency, which deterred overseas visitors from flying to Australia,
compounded its problems.

Qantas fares better in Australias domestic market. However, Mr Joyce complains that
the market is distorted since the foreign-airline shareholders in Virgin Australia, its main
rival at home, have poured big money into challenging Qantas. Virgin Australia's big
shareholders are Singapore Airlines, Air New Zealand and Etihad. Some of Qantass
problems here are clearly of its own making. The airline has responded to Virgin by
flooding the market with even more flights, some of which must lose money. Your
correspondent recently flew on a Saturday afternoon from Brisbane to Sydney on a half
empty Qantas flight.

It is unclear how the Abbott governments proposed abolition of foreign investment

restrictions would solve Qantass problems. Mr Abbott suggested it would leave Qantas
free to split its operations between a foreign-owned domestic division and an Australian-
controlled international one. But why would the airline want to sacrifice its most
profitable routes on the home front to foreign buyers? In any case, Qantas has reacted
coolly. It reportedly had been seeking a federal government guarantee on further debt-
raising. Joe Hockey, the Treasurer, had signalled his support, but Mr Abbott slapped the
idea down after a two-hour cabinet meeting to discuss Qantass future. We do not
believe in government by chequebook, he said.

The opposition Labor Party, the Australian Greens and some independents are opposed
to his plan; Mr Abbott seems keen for a political fight. It could be a test of how strongly
Australians value the flying kangaroo staying Australian.

Source: The Economist, Schumpeter, March 4th 2014

Case Study Questions:

5 Suggest reasons why a merged international airline comprising both

Quantas and Malaysian Airlines might be a good idea. Identify any potential
weaknesses to this plan. (10 Marks)
6 Complete Porters 5 Forces for the new airline after the merger. How would
the Industry Dynamics change? (10 Marks)
7 Describe and justify which Grand Strategy you would follow and which
Generic Strategy you would select for the new company. (10 Marks)

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 Subject Outline MGT303 Corporate Policy & Strategy February 2017 Semester

SECTION C (40 Marks)

Answer ANY TWO (2) of the following essay questions. All questions carry equal
marks.

QUESTION 8

Discuss what you believe to be the main components of a good Strategic Plan and why
they are important. (20marks)

QUESTION 9

Explain how the theories of Coopetition and Blue Ocean strategy might be applied to a
Company in the Rubber or Palm Oil sectors in Malaysia. Give examples.
(20 marks)

QUESTION 10

If you were selling Jeans in 53 different countries would a Multi-domestic, Global or

Transnational Strategy be more logical? (20 marks)

QUESTION 11

You have just finished writing your Companies Strategic Plan. You operate in a turbulent
market and a number of sudden and unexpected changes have left you very exposed to
Competition. Discuss what you would do next. What (if anything) should you have done
to mitigate the impact of these changes? (20marks)

QUESTION 12

The Fiduciary duty of the Company is to generate profits for its Shareholders If this is
true how is it possible that expenditure on Corporate Social Responsibility can still be
seen as supporting this objective? Discuss. (20 marks)

*** END OF EXAMINATION PAPER ***

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