Academic journal article Journal of Business Economics and Management

Creating Strategies from TOWS Matrix for Strategic Sustainable Development of Kipas Group/ Darnaus Vystymosi Kipas Grupeje Strategiju Kurimas Remiantis GGSS Matrica

Academic journal article Journal of Business Economics and Management

Creating Strategies from TOWS Matrix for Strategic Sustainable Development of Kipas Group/ Darnaus Vystymosi Kipas Grupeje Strategiju Kurimas Remiantis GGSS Matrica

Article excerpt

1. Introduction

Regulations in world trade enhance the competitiveness of the Global Market, and nationwide companies have been threatened by this wild competition, whereas international companies have opportunities to access unexplored markets (Snieska 2008). These conditions oblige the nationwide companies to develop new strategies for their sustainability in the market. However, companies must be aware of their internal and external environments to identify their pros and cons in order to develop strategies. Self assessment a structured internal process to identify strengths and weakness for improvement in changing environments has been used by companies for years (Higgins, Vincze 2001). World Trade regulations oblige nationwide companies to develop new strategies for their sustainability in the market. Self-assessment, which is a structured internal process to identify strengths and weakness for improvement, has been used by companies for years (Higgins, Vincze 2001). Strategies for sustainable development are used to initiate change by learning and continuous adaption rather than by challenging the existent institutions. Such approaches have been named as step-by-step procedures. Interaction among culture--structure--technology, optimization--improvement--renewal and the parties involved are three relevant dimensions of sustainable development (Jansen 2003).

Deep changes occur in this era with unexpected results (Diskien? et al. 2008). The change is unavoidable to keep competitiveness in today's global market. It is important to use correct methods to collect data against resistance and misunderstandings while doing changes (McLean 2006). The reorganization is driven by changes in the competitive environment on the global market. With the reorganization of a company, it will react to the growing changes more quickly (Albach, Wiedemann 1986). The prerequisite condition for any effective change is that somebody in strategic position really feels the need for change. "Ready state" for needed changes means that the top management or average of people in the middle of the hierarchy think that the change is necessary. The reasons for strategic change are mostly found in abrupt and predominantly extrinsic influences such as technological changes, economical changes. For large scale strategic change, the organization's goals, the environment and the organization should be consistent with each other (Sminia, Van Nistelrooij 2006).

The effects of removal of quotas to Turkish textile were assessed with the premature indicators of Turkey's total export and import. Companies, which have benefited from incentives of Turkish textile and apparel sector, have been growing very rapidly within 27 years.

In this paper Kipas Group's situation, which faced the removal of quotas and increasing Chinese effects to world textile is presented. This company had raising conflicts among stakeholders of two families due to the management system of the company. Moreover, Kipas Group companies are suppliers for each other and growing distance among them was another problem. Therefore this group needed changes for sustainable development. Through the reorganization of the group companies since 2005, Kipas Group has been formalized by including numerous subsidiary companies. Taking into account enormity of the group and economical situation, it was proposed them to establish a holding.

The research subject of this paper is TOWS matrix for strategic sustainable development of Kipas Group. The purpose of this paper is to analyze theoretical and practical aspects of creating strategies from TOWS matrix for strategic sustainable development and to present organizational structure of Kipas Group developed on this analysis. Research methods presented in this paper are SWOT and TOWS analysis based on interviews, observations and surveys.

The paper is divided into three main parts. Theoretical background of strategies' creation in organizations is given in the beginning; reorganization of Kipas Group is introduced in the next part and finally, conclusions are presented at the end of the paper. …

Search by... Author
Show... All Results Primary Sources Peer-reviewed

Oops!

An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.