6. MATCHING - GENERATE ALTERNATIVE STRATEGIES 6.

1 Generic Competitive Strategy Choose best generic competitive strategy that will be used to achieve the General Objective 6.2 Complementary and Other Generic Strategies / Alternative Courses of Action (ACA1, ACA2) Sets of Strategies 6.2.1 Other Generic Strategies - (e.g. Intensive, Integration, Diversification, Product Development et al) to achieve objectives in 5.1-5.3 GENERAL OBJECTIVE (Philippine Tourism Industry) Construct a cohesive tourism campaign plan that can be sustainable for the economy of the Philippines, elaborating on different social economic, environmental, and technological projects that can be integrated for the development of tourism regions. Sub-Objectives - Improve the current tourism strategy the company is using - Identify the different areas of tourism that needs to be developed - Overlook all the advantages in tourism we have compared to other countries - Create a framework that will not only be for the benefit of tourism, but also for the whole economy of the country In order to aid the discussion of the generic competitive strategies, the paper will be using the grand strategy matrix in determining the generic strategies that the firm could adopt based on its current circumstances. The respective quadrants where the firm belongs as well as the appropriate generic strategies can be found in the figure below:

Based on the discussions of the current conditions of the company, they have a number of improvements to do. In doing so, its position in the Grand Strategy Matrix must first be determined. After running through its present conditions, the company is in the second quadrant or that which has a weak competitive position in a fast growing market. As a general marketing strategy that would help in the betterment of Active Travel and Tours Inc.s condition is through market development, market penetration, product development, horizontal integration, and divesture liquidation. In the given situation, the primary generic strategy that firms have to select is product development. Later on, once the companys product has been developed and established, they must now be equipped to penetrate the market they are in. More specifically, given the facts related to the company, there are three ways that they can be more competitive. First is to create its very own marketing arm. Second, the firm must establish their human resource department as well. Lastly, company must be able to increase its corporate accounts through social media. After determining the alternative courses of action, the advantages and disadvantages of these courses of action are discussed in order to help the firm have an objective assessment of their plan of action. Alternative 1: Create its own marketing arm Advantages Enhances the firms product features that would meet the needs and demands of their consumers Company gets their information and product at a faster pace with people investing and researching on the respective business needs Customization of the product is more accessible for consumers Disadvantages This could entail higher costs for the firm in creating its own arm and creating its own products There are geographic locations in creating ones own marketing arm. It must only be in chosen places that it serves the best. The accessibility of highly confidential information related to the firms researches or products are at high risk as its staffs have access on them. Maintenance is required

There will be a group of people through their staff who will be more knowledgeable of their products.

Alternative 2: Establish its own human resource development department Advantages Employees could now be more equipped with the proper training and development necessary for them to be competitive The firms employees would be more skilled and knowledgeable as there will be having a more rigid employment process given the new department focused in handling such. Firm can maintain compliance as its department could prevent them from Disadvantages This will entail additional costs to the company. It can be challenging to micromanage a firms employees especially when it is new including the learning curve required in the process. There is a higher risk that individuals will now have to make key decisions such as

breaking rules and regulations that could be more costly for the firms should there be fines in the event that there would be noncompliance. Internal relationships could be strengthened given the programs that the department could implement.

hiring, training, and other personal relations. Moreover, there is a bigger probability that these individuals will not fully adapt to the nuances of the business. Hiring, training and development could be time consuming. Instead of focusing on increasing its market share, employees time is divided in other activities.

Alternative 3: Increase its corporate accounts through social media Advantages Builds connection as most if not everybody uses it and word of mouth could be a result of this connection that would be beneficial for the firm. Builds credibility as consumers will be aware that you want to reach them in both personal and professional ways such that the firm would be accessible to them in any way. Disadvantages There are pieces of information about the company that would now be accessible to the public

There is higher risk for scams and harassment despite the security that this alternative may be offering. There may always be unforeseen events which might be harmful to the company as well This is a cheaper alternative for both personal This may be time consuming for the and business use as most of it are free. company knowing that there must be frequent updating of different sites at the fastest way possible Easily accessed by consumers Decreases worker productivity as the firms employees would be able to access different kinds of social media during work hours.

After discussing the advantages and disadvantages of the proposed alternative strategies, other generic strategies could be used in achieving the sub-objectives.