INDIVIDUALSTRATEGIC IMPLEMENTATION OF YELP COMPANY
YelpCompany is a multinational corporation specialized in marketing,developing and hosting yelp mobile app and yelp.com. It publishesreviews that entail local businesses, food delivery service andonline reservation service. The company is also involved in trainingand sensitizing small businesses to host social activities forreviewers, respond to reviews and offers key information aboutbusinesses. The American based company was started in 2004 by formeremployees of PayPal with its headquarters in San Francisco,California. During its initial stages the company unsuccessfuloperated as the email-based referral service but in 2005 it wasremodeled based on online unsolicited reviews. Since then the companygrew rapidly generating high amount of revenue from advertisement. Asfrom last year the company had $377.5 million in revenues and morethan 2700 employees.
Yelpcompany corporate social responsibility strategies and policies
Thecompany has put in place up to date ethical framework that providesan enabling environment to offer better and quality services to theconsumers. The core objective of the company is the provision ofquality and comprehensive reviews concerning local businesses,efficient food delivery service and online reservation service. Itis able to achieve this goal through preservation, creation,transmission, utilization of knowledge and integration (Hill &Jones, 2012). Yelp company involves its employees in the decisionmaking process, this inclusiveness ensures the company produce aremunerated work force that are committed to address issues and comeup with new innovative ways.
Inorder to meet the expectation of its customers, the company focuseson addressing their complaints appropriately thereby act as animportant partner to the local businesses. There practices which areonline based make it easier for the company to receive complaintsfrom the clients and provide feedbacks that are timely for thebenefit of consumers (Hill & Jones, 2012). The company not onlyleaves their employees address the arising cases of clients’reservation but also the top management is committed fully on mattersaffecting the company. This strategy has enabled the company meet itsset objectives and goals.
Thecompany operate on a number of strategic objective, this includecustomer, operational, learning, and financial strategic objectives.Customer policies entail the company meeting the expectations of thecustomers in order to maintain the market, and also it focuses toincrease the sales of products to the existing market. To achievefurther improvement in its sales the company reaches out to newmarkets by creating new branches in various continents such as Asiaand Europe. This has enhanced the reputation of the company overseasand thus widened its customer base. The company history of offeringquality services has enabled it to be accepted easily in the globalmarket. Financial strategic practices of the company focus on ways toincrease its revenues while minimizing its expenditure therebyincreasing their net profit annually (Hill & Jones, 2012). Onoperational strategic policies, the company put into considerationthe increase and improvement of internal communication, physicalfacilities and ensuring its products meet the expectation ofExcellence guidelines. The learning strategic objectives of thecompany, concentrate on employing specialists having what it takes todevelop appropriate programmes that meet the expectation ofcustomers. In addition, they develop leadership features andstandards for various teams of the company in order to adopt andlearn up to date best practices.
Thesestrategies align with the good and accepted corporate socialresponsibility practices. Being an internet based company andoffering food delivery services, the company is able to remaincompetitive in the market. In these online businesses mostcompetitors employ unethical tactics such as employing marredsoftware to outcompete rival companies (Hill & Jones, 2012). Atthe initial stages, the customers will not be able to detect suchpractices but later it will derail its operation upon customers andclients discovery. This is against the CSR practices, but YelpCompany has not been involved in such practices which has enable itremain successful in its ventures. Yelp Company instead has survivedsuch competition by providing quality products that enable thecustomers trust the company.
TheYelp Company pricing strategy factor the pricing of rival companiesthat offers its products and services at considerable low cost. Thecompany management comes up with proper prices which ensure it is notgoing below the production cost thereby cushion against any possiblelosses. As such the company always ensures it consistently supplyquality services and products to the customers at acceptable prices(Cole, 1997). However, this challenge of pricing strategy can bedisadvantageous to the company in that it may lower it prices and ineffect reduce it expected net profits.
Thecompany expansion to colonize new markets in foreign countries hasbeen in conformity with the existing international laws. But it hasremained a challenge for the company to keep abreast with changingforeign countries regulations. In the event the company does not takeinto account the changes, it may find its operations contrary to thenew regulations and hence liable to penalties. In order to avertthese challenges the company has been up to date with the changes.
Organizationalstructure and design strategic analysis
FollowingYelp increased revenue generation it has been able to support itsbusiness operations through acquisition of resources. The physicalresources are the material assets that form part of the company. Based on the nature of Yelp operation, it is specialized in buildingonline stores to facilitate creation of markets and hosts. Inaddition to its online reservations and food delivery services thecompany requires websites to connect with the clients (Crocker atal., 2011). Consequently, the company mainly focuses on websitedevelopment rather than building physical stores. This onlineplatform, offers the needed value to the customers.
Forthe food delivery services, the company ensures it receives the bestsupplies, from immediate and consistent customers. From thisorganizational structure, it ensures the company remains competent inproviding services that favorably compete in the market. The physicalresources of the company are of value and usually assessed byanalyzing the cash flow for capital expenditures (Drury, 2007) Forinstance, the first quarter of 2015 capital expenditure was $14.4million. These material resources are used by the company to competefavorably with its rivals.
Technologicalresources form major components of operations in Yelp’s company. The company uses these resources on a daily basis to conduct itsoperations. For example the websites and online social network offersthe core distribution avenues for the company. Besides these thecompany uses mobile apps to provide another distribution channel toreach many potential customers in the market (Drury, 2007).
Theuse of technology forms an integral basis, with which a companyconnects easily with the clients and serves them better. To remainrelevant in the market the company keeps a breast with newtechnological changes to enhance its service delivery. For example,it has embraced social media to receive referrals of employees, achange that to a great extent has revolutionized its performance inthe market. In as much as this technological platform is beneficialon the contrary the rival companies may have sophisticated and betterperforming software at its disposal that may outcompete that of Yelp.
Humanresource is another component of Yelp organization structure. Thismakes it possible for the organization to operate normally. Itcomprises the organization employees hired who implements the setobjectives and goals. Though the machines and physical resources canreplace human labor, on the other hand these machines requires thehuman input in order to operate. The company trains its humanresource and ensures they possess necessary skills so as tofacilitate efficiency of operation (Mathis & Jackson, 2012)
Thehuman resource personnel in the company are more than 2700 in numberand play an essential role to steer the company forward. They arehighly experienced employees that coordinate different Yelp resourcesand makes its operations run successfully. Yelp company right fromthe onset, scrutinize new employee applicants. Usually the companysource its human resource recruits, who are qualified and meet thecompany desired job description, from Jobvite. After recruitment,the company, in a bid to have highly trained personnel for aparticular operation, further undertakes training and mentorship toemployees on specific areas. Therefore, the highly trained andskilled human resources at Yelp Company have made it possible tocompete favorably with its competitors (Piskorski, 2014).
Managementof internal operations strategic analysis
Properadministration of an organization activities ensure that allundertakings are functioning and working in a healthy manner. YelpCompany ensures that its departments are functioning well. Thisefficient coordination is administered by the top management, whoseresponsibility is to monitor every unit of operation. It is achievedby use of an effective means of communication. The emerging issuesamid all the different departments are solved faster througheffective communication. Problems within the departments arecommunicated faster and the company is able to address these problemsbefore it gets out of hand. This effective flow of information ismade possible by proper organizational structure within the company(Simonson, & Rosen, 2014). The company is also focused byensuring that there is proper coordination between the management andthe employees. Failure of such coordination may result to ineffectiveperformance of operations but on the other hand, efficientcoordination makes the employees perform their duties as expectedwith much vigor. To command such a healthy relationship between themanagement and the employees the company has made it their policy toengage its workers in decision making process.
Themanagement is part and parcel of ensuring that there is an improvedworking condition of its employees, recognizing the fact that theyare the implementation vehicle of the company’s policies andpractices. The company management offers better remuneration packagesas part of employee incentives to motivate them fully commit toimplementation of different programs. It recognizes that themanagement of human resources is essential practice to achieve higherperformance and organizational success. Yelp Company understands thatwhen the welfare of employees is managed well, then theirproductivity improves significantly (Sadler & Craig, 2003). Theirmorale is boosted and thus reciprocates by dedicating more toservice. In addition the management ensures its employees arehealthy, through improving their working conditions and regularlyinspecting them to ascertain their fitness.
Ofutmost importance, the Yelp management has gone further to regularlyreview the employee compensation and reward system. These have formpart of the best motivation strategies for Yelp employees who havebecome productive in attaining the company’s objective and goals.Due to existence of several resources within the company, theorganization management offers the much needed ability to combinethese resources effectively to enhance the performance of thecompany. It is a crucial requirement that the management organizeproperly these resources to maximize its use and thus achieve itssuccess (Thompson & Martin, 2010).
YelpCompany according to the above analysis indicates that it is at anadvantageous position to achieve greater success. It has implementeddifferent strategies that set it on the right track to soar togreater heights. Its strategic leadership which largely conforms tocorporate social responsibility has offered an effective ethicalframework to supply customers with products and services at anaffordable cost. Though it still faces a stiff competition from rivalcompanies offering the same services at lower prices, the company hasbeen able to thrive under such environment by maintaining itscustomer base. The company has achieve this by consistently offeringquality products and services which has made the customers satisfiedand hence always going for the same services.
Thecompany positively has ensured the complaints from the clients areamicably and timely addressed. This has become an important strategyto keep the clients satisfied which in effect helps maintain thereputation of the company. In order to bring on board diverse ideasthe company has been able to involve its employee in the decisionmaking process. This has gone a long way in ensuring the companybecomes innovative in its service delivery, thus has maintain itscompetitive edge in the market. By increasing its branches thecompany has enable its customers to easily access its products andservices. But the company management capacity has increased whichrequires that the company in turn must improve its administrative andleadership strategies.
Thecompany has put into consideration the need to maintain a goodrelationship between the management and its employees this furtherhas proven an essential requirement to cement a highly effectivecommunication that leaves no information unutilized and any problemunaddressed. The company thus has been able to implement new and upto date programmes in line with the prevailing trend in the market.Yelp company a host of marketers that ensures the market isthoroughly researched, therefore, understand the variousrequirements. The management then sanctions the development ofspecific services and products to meet the different needs dictatedby each market.
YelpCompany in order to maintain its performance has to invest inresearch to understand the market and implement the strategic changesappropriately. It should always maintain an up to date organizationstructure and design while also managing its human resources.Therefore, this will ensure Yelp Company remains productive andcompetitive in the market.
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