Motorola, Inc

1018 Words Oct 18th, 2011 5 Pages
Motorola, Inc

Strayer University

Motorola, Inc.
Motorola, Inc has encountered significant financial loss over the past decade. Although, they have made several strategic changes during this time, they have not been able to restore the company to its previous financially stable operation. By doing a SWOT analysis, Motorola may be able to develop a strategy to boost the company’s performance. Regardless of what strategy is incorporated, it must be able to return the firm to profitability.
Motorola’s external environment has a large impact on its opportunities and threats. The threat that is impacting Motorola the most is new competitors based in different locations worldwide. These competitors, to include Nokia, Samsung, and Sony
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The disadvantage to cutting costs is the 3,000 jobs that will be eliminated.
The spinoff of the Mobile Devices segment that was postponed will be a huge advantage to the main corporation. However, the segment may not make it as an independent company, especially since it is already failing due to 2008’s economical downturn. If the company can divide and become two industry-leading companies, as Greg Brown stated, the advantages will include increased flexibility, more target investment opportunities, focused management and increased tailored capital structures (Hitt, Hoskisson, & Ireland, 2011).
Investing WiMax technology was a strategic investment for Motorola. If the wireless technology takes off, it may give Motorola the push that it needs to get ahead. Unfortunately, if the technology fails, Motorola may not recover from their losses. The advantages and disadvantages are complete opposites in this situation.
Strategic issues can be resolved by changing the design of the company’s organizational structure and strategies. Flawe3d strategies do not help the company with profitability. Motorola may be able to balance the company if they update everything from style of management to their research and development team. Another option would be to bring in a specialist to analyze the company’s structure and make recommendations. A cheaper alternative to a specialist would be to hire new people so that fresh new ideas are integrated into the company. Any changes
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