DECISION PHASE

i. Proposed Generic Competitive Strategy

ii. Proposed Complementary Strategies
iii. Proposed Functional Objectives
iv. Proposed Functional Strategies
1. Supply Chain Management
2. Operations

PROPOSED GENERIC COMPETITIVE STRATEGY

To compete successfully, Philweb can use a broad differentiation strategy. With this kind of
strategy, it will pursue a competitive advantage that is connected to differentiation as opposed to
lower costs and will target a broad market rather than a narrow one. 1 The strategy will
differentiate the companys products and services from that of its competitors in ways that will
get the customers attention.2 It is important that the company provide innovative means to
enhance game features so that they will appeal to customers and will be regarded as worth
paying for. New games and high-speed Internet give hope for greater profits, so Philweb may
concentrate on developing new games that will attract customers.

PROPOSED COMPLEMENTARY STRATEGIES

Philweb can penetrate new markets to increase sales. It can also strengthen its competitive
advantage and outsource some of the functions in the business.

PROPOSED FUNCTIONAL OBJECTIVES

Innovation is very significant in the business of the company so it should be an objective that is
constantly achieved. With all the technological advancements occurring today, the company
should come up with new products and services or improve them with attributes that the
competitors products and services do not have. Another important objective is an increase in
sales so the company aims to successfully launch two new products in the next year. It also
aims to continue to make full use of the workforce, to be effective even with just a small number
of employees. Philweb aims to achieve increased brand awareness, to increase profits and to
improve customer satisfaction. Lastly, it aims to achieve a 90% level of repeat business.

PROPOSED FUNCTIONAL STRATEGIES

Supply Chain Management

The company does not have physical inventories because the nature of Philwebs business is
service. The focus of the companys supply chain management is on customer service and
technology so functions such as customer service performance monitoring and computer

1 John Gamble, Margaret Peteraf, and Arthur Thompson, Essentials of Strategic Management, 4th ed. (New York:
McGraw-Hill Education), 93.
2 Id.
systems are what could add value to its products and services. Philweb greatly relies on its
partnerships with other entities such as PAGCOR in its business. It must work closely with its
partners to ensure that customers will have excellent experiences. Also, Philweb should study
the needs of its customers and gear its customer service to fit those needs. It should always
look at the markets demands to be able to plan well.

Operations

Philweb relies heavily on the extensive use of telecommunications networks to sustain its
substantial service revenue and profit growths consistent with the anticipated growth of the total
gaming industry.3 The companys reliance on innovation can be improved through research and
development, to create new products and services for its target market. Since the Internet is
becoming more popular and more widely used, the research can enable the company to create
new channels for distributing its products and services. In addition, in-game advertising could be
beneficial in increasing profits as well as next generation products and services. Research and
development is very important for the company to have a competitive advantage.

BIBLIOGRAPHY

1. Gamble, John, Margaret Peteraf, and Arthur Thompson. Essentials of Strategic

Management. 4th ed. New York: McGraw-Hill Education.
2. Orcullo, N. Fundamentals of Strategic Management. Manila: Rex Bookstore, 2007.
Accessed August 16, 2014. http://books.google.com.ph/books?
id=xr64aks8wCEC&pg=PA256&lpg=PA256&dq=strategy+philweb&source=bl&ots=Vb8U
WShBHI&sig=8KMkpvnsC7Mv4OKuTG2baHfJON8&hl=en&sa=X&ei=K1HzU-j1C8-
PuAS9s4LgBg&ved=0CE8Q6AEwCQ#v=onepage&q=strategy%20philweb&f=false

3 N Orcullo, Fundamentals of Strategic Management (Manila: Rex Bookstore, 2007), 256, accessed August 16,
2014, http://books.google.com.ph/books?
id=xr64aks8wCEC&pg=PA256&lpg=PA256&dq=strategy+philweb&source=bl&ots=Vb8UWShBHI&sig=8KMkpvnsC7
Mv4OKuTG2baHfJON8&hl=en&sa=X&ei=K1HzU-j1C8-
PuAS9s4LgBg&ved=0CE8Q6AEwCQ#v=onepage&q=strategy%20philweb&f=false