A strong leadership must have a clear vision for its future, and well-defined objectives. This will set a clear direction for the company's future, and the management will move with a sharp focus to achieve the objectives. Maximum effort of the management needs to be devoted on this front.
The President of the company, Gaziano, is practically a one-man-army at the top, while the experienced founder and director of the company, Rev. Whipple has not involved himself at the corporate strategy level. The reverend is passionately engrossed in research and development, which is but one of the functions of business only.
Great companies are created from great business models. Prelude Corporation must understand that it is not in the lobsters business, but in the foods business. Its business model must be at par with or excel that of other food giants in the world. The company must evaluate its export opportunities, as the product can be packaged and preserved for a long time. As the local competition is intense and profit margins are low, the company needs to find niche markets for its product all over the world, in order to achieve better price realizations.
At the same time, the top management must be constantly engaged in the task of assessing and identifying new growth platforms that are consistent with the company's business model. Just by milking the existing cash cow, the company is limiting its future growth potential, and leaving the field open for other competitors to seize the initiative and competitive advantage over it.
Prelude Corporation is involved in a capital-intensive business. ...