Measuring market orientation of Muscle Pharm Corp. (MSLP:US) British American Tobacco South Africa | Page 6

British American Tobacco South Africa: Evaluating the role and substance of its strategy in achieving sustainable competitive advantage

2.

Enterprise Strategy - Business Strategy Analysis

This chapter describes and analyses how BATSA is positioned and aims to create value, from which
source is owns its competitive advantage, from where its market power of the company comes from,
how the company makes money, including the definition of its customers and how it addresses them.
Vision and Mission
The Vision of BATSA is to achieve leadership of the tobacco industry by being the best at meeting the
consumer’s needs. BATSA is convinced that the consumers are the core of everything and that its
success depends on how well it addresses their emerging concerns, wants and behaviors. Secondly,
tobacco and beyond – seriously identify and addresses the arising possibilities in next-generation
products. BATSA intends to be the first choice and leading tobacco producer through sustainable
competitive advantages in an effective and efficient corporation (BATSA, 2014).
Strategy
Using the strength of the people and brands - BAT global is running a transnational strategy which
means to build a strong international reputation for high quality tobacco products to meet the
consumer’s needs that vary from location to location and aims to achieve location economies of scale
and exploit know-how learing curve effects. To make the vision become true, its strategy consists of four
pillars as follows (BATSA, 2014):

Growth

Provide high quality, relevant tobacco and nicotine-based products that meet consumer
needs. This is achieved by focusing on brands that can bring superior, differentiated
offers to the market

Effectively deploying the resources with the aim to increase profits, improving of the
operating margins and generating free cash flow to invest in the ongoing business and
Productivity
future prospects supporting to grow market share and finally achieving higher returns for
shareholders.
Building an outstanding reputation as a leading business that will support in achieving
Winning
first choice in an increasingly competitive employment market. BATSA welcomes high
Organisation
diversity in terms of employees to encourage excellent enterprising behaviour.
Creating shared value is top priority for BATSA. This is achieved by acting with integrity
Responsibility throughout the supply chain and wherever the products are sold, as well as through
ongoing investments to decrease harm output.
Figure 1 : Strategy outline – (BATSA, 2014)