Strategic Management

1. Executive summary

This report is addressed to the Managing Director of Cameron Balloons and attempts to offer a long-term strategy for Cameron Balloons. In this report, we also attempt to define a new mission statement since Cameron Balloon doesn’t have a formal one at the moment. After that, we will try to analyse the external and internal environment of the company by doing a PEST and SWOT analysis in order to help us providing new strategies and solutions concerning the issues in the 5 departments of the company which are Production, Purchasing, Design, Marketing & Sales and Accounts. We consultant team found that some issues had existed in these departments although the firm operates generally well now. We will propose a long-term strategy for the company, which aims to enlarge its business size by increasing technique investment and seeking for corporation.

2. Introduction

Cameron Balloons is the leader of the world market’s hot air balloons. The company was funded in 1971 by Don Cameron. The latter was leader of the small team that in 1966 built the first modern hot-air balloon in Europe. The company is particularly famous for its special shapes they made as for example Disney Fantasia castle, space shuttle, a telephone, a dog, or Mickey Mouse.

They export 85% of their hot air Balloons all over the world. Indeed, in 1989 the company won the Queen's Award which shows that they are a major exporter of goods and services. The company employs more than 120 people and has an international sales network that covers 50 countries. The company is very efficient given that they build, on average, one balloon a day in the UK. Thanks to that, in 1996, the company turnover was around Ð'Ј7,000,000.

Finally, the small / medium sized of Cameron Balloons allows a very good communication between managers