A Concise Case Study Analysing Mouchel's Strategy

A Concise Case Study Analysing Mouchel's Strategy

  • Submitted By: kobby18
  • Date Submitted: 01/22/2011 3:30 AM
  • Category: Business
  • Words: 800
  • Page: 4
  • Views: 856

Mouchel is a merger of two well established engineering firms in England - Mouchel and Parkman. Both companies prior to the merger were the leading providers of expertise within the water, structures, highways and public health sector. As a testament to their individual successes, they were both listed on the London Stock exchange, prior to the merger in September,2003.
Mouchel tremendous growth over some few years has been both organically and by the acquisition of small companies such as Ewan, Hedra and HBS. Through the event of time, Mouchel have broaden its expertise into other areas such as rail, waste, etc. and have also made notable entries into the Irish and Middle East markets.

Mouchel’s External Environment:
The predominant forces that shape competition within the engineering industry in the UK are mainly;
Rivalry among existing competitors: Mouchel’s main competitors are Atkins and MWH. These companies have the approximately the same size and power as Mouchel. As a result of the similarities in services offered by these companies, competition within this sector is mainly based on prices, which subsequently has a negative effect on the profit margin of the companies.
Threat of substitute services: Due to the identical services provided within the industry, Mouchel’s main task is to ensure that it maintains a high customer satisfaction index and its prices are very competitive so as to maintain their traditional customers such as United Utilities, Yorkshire Water etc and also win new customers. Most contracts awarded by clients within the industry are usually on frameworks that run for at least five years, hence the very sustenance of the company albeit profitability lies in Mouchel’s ability to maintain its customer base and most importantly win these contracts.

SWOT Analysis:
Mouchel enjoys various internal strengths such as brand name reputation, in 2008 Mouchel was awarded the 'Top 20 Best Big Company to Work For' in...

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