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A Report on Business Culture and StrategyPrepared by Zhang ChenPrepared for Tang YanStudent Number : 135139793Date: May 11, 2013Content1.0 Introduction2.0 Findings2.1 Four Forces and PEST Analysis2.2 SWOT Analysis2.3 Guidelines for SWOT Analysis2.4 Organization Culture2.5 Handy's Four Cultural Types2.6 Deal and Kennedy's Culture Quadrants2.7 the Relationship between Organization Culture and Behavior3.0 Conclusion4.0 Reference1.0 IntroductionAlphabet Games is software games development company which is based in Scotland and formed in 2001 by three friends. In this case, we can find that Business Culture and Strategy of Alphabet Games.2.0 Findings2.1 Four Forces and PEST AnalysisPolitical FactorIt's basically to what degree the government intervenes in the economy and includes tax policy, labor law, environmental law, trade restrictions, tariffs, political stability and goods and services which the government wants to provide or be provided. Some countries are prohibited to import too many outlandish games products at home. And there are many policies which is aimed to avoid teenager being addicted to games. In the UK, there is taxation, employment and safety law, cooperate tax decrease of 2%. So there are both opportunities and challenges among political factors.Economic FactorIt includes interest rates, exchange rates, economic growth, and the inflation rate. For the world video gaming industry, this is predicted to record 9% yearly growth through 2013, mobile and online gaming formats will capture the market because customers can make the most of wider, faster and more mobile network connections. Because of the financial crisis, the unemployment rates are heading up. And consumers' expenditure ability is falling due to the disposable income; people may not have enough money to afford the cost of play games so it is a bad sign for Alphabet Games' progress. Social FactorIt includes the cultural aspects, health consciousness, population growth rate, age distribution, career attitudes and emphasis on safety. Most teenagers are fond of games in UK. What's more, with the change of English teenagers lifestyle, it also may have impact in games market. The reason is that many people chose play games use their spare times. It will influence in Alphabet Games' market choose.Technological FactorIt includes technological aspects such as R&D activity, automation, technology incentives and the rate of technological change. The technology of video games in marketing is changed abruptly and the technology costs have risen most sharply.2.2 SWOT AnalysisSWOT analysis is to evaluate the strengths, weaknesses, opportunities and threats involved in a project or in a business venture. Setting the objective should be done after the SWOT analysis has been performed. This would allow achievable goals or objectives to be set for the organization. Strengths and weaknesses are internal factors for the business and opportunities and threats are external factors.InternalStrengthsWeaknesses1. enough enthusiasm to develop software.2. leading the way in content creating.3. sufficient experience to develop the software4. owing the world reputation for the excellent , quality and innovative software5. coming up with solution of design and customize software to meet market challenges and individual needs.6. being able to identify and capture behavioral and physical elements.1. the major corporation with players caused the loading of costs 2. The technological costs have risen most sharply in relation to graphics as HD gaming requires large scale investment in staff and equipment. AG in not belong to a big enterprise, so it is difficult for it to bear this large cost. 3. Too many companies are in the industry, AG has no superiority to competitors. So it will be easy fall behind to others if is doesnt develop rapidly.ExternalOpportunitiesThreats1. Inflation 2. Growth in flash games demand3. viral marketing of internet.4. more connections between Alphabet Game development with movie production5. EGDF created more market opportunities for the aggressive and creative companies and developments.6. the next-generation games consoles established in households.1. the demand of cutting edge flash games.2. consumer expectations of appearance, movement and behavior have risen.3. the developers should struggle with controlling spiraling costs and economic conditions.4. a booming market for pirated copies and imitations of game.5. staying in the market for the longer term and reap the potential benefits.2.3 Guidelines for SWOT AnalysisSWOT analysis is essential to a company, the senior managers of AG must make decides based on the result of SWOT analysis. There are some rules for successful SWOT analysis. Analysis should distinguish between where your organization is today, and where it could be in the future. Only understand the distance and differences between the present condition and future, the company can improve the defect compared with the future and seek solution to improve it. With the changes of the market environment and the industry, the manager must predict the companys future and set a goal, encourage all the staff work hard to approach this goal step by step from today.Be realistic about the strengths and weaknesses of the organization. Only the manager understand the companys strengths and weakness, and be realistic, the result of the SWOT analysis can be useful for the decide-making. Be specific, avoid grey areas. Many factors influent the development of AG, regardless it is important or unimportant, the analysis must be specific. Every factor is very important, so the analysis should be comprehensive, and understanding it thoroughly. And all the factors should be considered, dont leave out one factor. Keep your SWOT short and simple. Avoid complexity and over-analysis. Even though the result of SWOT analysis need be specific, it doesnt mean over-detailed and long report. The result of SWOT analysis will be seen by many managers and employees, they need the information be short and simple, they dont need the process of the analysis, but just the final result. Whats more, complex analysis result will take much time to understand it and low the working efficiency. So keep it simple and easy to understanding. As a senior manager of Alphabet Games, he should set the goal that maximize strengths and minimize weaknesses in order to seize opportunities and move threats. And there are some simple rules for managers to get successful SWOT analysis.First, analysts must be realistic about the strengths and weaknesses of Alphabet Games. Then, it is significant to know about the present situation of Alphabet Games and what it could become in the future. Thirdly, analysts have to be intelligent about professional knowledge so it would avoid making mistakes. Then, it is also significant to know myself as well as enemy, so manager should always need to compared with other competitors and know what are their strengths and weaknesses. Last but not least, SWOT should be short, simple and logical. 2.4 Organization CultureOrganization culture is a system of shared meaning between members of an organization or the way we do things here. Culture is a symbol of organization which discriminated from another. The organization culture would have significantly effect on the company.Espoused value is a belief that points the members problem then to solve it. It is a system that offers the direction of members and strives and principle of daily work. Technology and consumer needs decide future of the company. Ensuring the innovation, quality, the excellence of goods and service are the basis on growth of the business. In Alphabet Game, staff should share the common value that encourage the innovation, increase the quality and strive for the excellences about the software games. So the company will win the great reputation and brand.Basis underlying assumption is invisible, it is an unwritten or unspoken rule but every member in the organization have common subconscious to ensure them keep consistency. When company recruits some new staff, they need be enthusiastic and high-grade. This is an underlying principles that always been a minimum requirement among staff. Members all use it screen candidates. Through the screening, Alphabet Game would have some high-grade staff then they can ensure the technical of company work well and develop well.The main difference between shared value and basic assumption is that the shared value is delivered by managers and can be described and written down. While basic assumptions is automatically appear and cant be described clearly and only can be felt.2.5 Handy's Four Cultural TypesTask culture is most suitable for Alphabet Game. This culture is job-or project-oriented type. In this culture, every staff is the experts in his area and come together for task, and each one has own specific responsibility. Alphabet Game could offer booking system then it could be tread as a task. When customers have some custom-made software, the staff will arrange some specialized people to help the customer solve the software problem. It is very suitable to need staff to be enthusiastic, high-grade, enthusiastic and responsible to their task of quality and excellence for Alphabet task culture. Alphabet Game could divide staff into some groups; each group would have them specialized skills aiming to help different customers seek their suitable and capable group service. This method could help the staff exercise the capacity, innovation and technology. 2.6 Deal and Kennedy's Culture QuadrantsThe change of environment will result in the change of the organization culture. In Deal and Kennedy's culture quadrants, work hard/ play hard culture is most suitable for Alphabet Games. This culture encourage the staff completed the low risk task and has rapid feedback. As a software company, Alphabet Game need immediately feedback, high speed action often leads to high speed recreation activities. Managers encourage the staff to solve the customized software problem. As high-quality customer service organization, the staffs also have some stress that comes from the amount of work. This culture will attract staff to create the most of sale and increase the company profit. Due to the reward or entertainment of staff, they have most passion to work. When company develop into this culture, the manager will most focus on motive staff to succeed by meeting target, and it need have some reward to encourage them.2.7 the Relationship between Organization Culture and BehaviorOrganization culture is consistent with organization behavior, in other words, what organization culture the company selected determined the organization behavior. Organizational culture can guide the behaviors while the behavior can influence the organizational culture. Culture and behavior are consistently and inseparable. Due to Alphabet Game select the work hard / play hard culture so they need staff to be enthusiastic and high-grade. Organization culture could help promote the business target achieve. Work hard/ play hard culture also would help the company ensure the pursuit of innovation, quality and excellence and the staff would develop their skill, innovation to meet the each customer's needs, and help them solve the software problem. This enables the business to grow and succeed through challenging.The organizational culture and the organizational behavior are used to serve the development of the organization; they are management tool for enterprises. Organizational culture influent the organizational behavior, organizational culture can be seen the guidance for organizational behavior. These are only a few of the factors of organizational culture that affect organizational behavior and vice versa. The two influence each other, and often times the culture will help to dictate the behavior, and the behavior will come back around to reinforce the organizational culture. The relationship between culture and organizational behavior is undeniable.3.0 ConclusionIf a company wants to develop successful, it not only need to pay attention to the external economic environment and competitors, but also need to analysis the companys advantages and disadvantages, and realize the importance of the organizational culture.4.0 ReferenceStrati, A. (1999) Organization and Aesthetics London (UK): SageFredric M. Jablin, Linda Putnam (2000). The new handbook of organizationhttp:/en.wikipedia.org/wiki/Organizational_behavior