A strategic management paper for Adtukart, Inc / Michael Angelo B. Alto. 6

Thesis (M.A.)-- Pamantasan ng Lungsod ng Maynila, 2019.;A strategic management paper presented to the faculty of Graduate School of Business College of Business and Government Management in partial fulfillment of the requirements for the degree Master in Business Administration. 56

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EXECUTIVE SUMMARY: Adtukart, Inc. is an e-commerce enabler and e-distributor that provides end-to-end commerce solutions for brands in the Philippines and across Southeast Asian Region. The company was founded in 2013 with its headquater located in Bangkok, Thailand. As an e-commerce enabler company, it provides services such as webstore development, marketing, store operations, order fulfillment and customer service solutions. At the end of 2017, Adtukart, Inc. was able to cater to almost 60 brands across the country. The ecommerce enabler industry is challenging to go into because the industry is capital extensive and there is a really need for a good understanding on how ecommerce works before entering the business. Although there are many suppliers in the market, supplier power is strengthened due to advanced technology of other player that made them stand out from others. These factors make potential entry of new competitors and bargaining power of suppliers. Competition in the industry is likewise low as players are not that high in number and the market leader is clear. Industry is rapidly growing as well. These factors make rivalry of competition low. The critical success factor that have found to be important are: Market Share, Financial Position, Service Offerings, Global Expansion and Management and it shows that Adtukart Inc. is lagging behind in terms of Financial Position for it is not yet profitable as of 2017. The company has obtained an above average score of 3.4 in the CPM. There are many opportunities and threats to e-commerce industry that must be considered to successfully create strategies and respond to these forces. The increasing smartphone penetration, increasing internet penetration, and increasing social media usage are the top 3 opportunities. On the other hand, the top 3 threats are: low bank and credit card penetration, sale of fake goods online and inflation rate. Given these external factors, Adtukart, Inc. obtained an EFE rating of 3.05. In evaluating the internal strength and weaknesses of Adtukart, Inc., it needs to address its financial health especially with regard to profitability, centralized management, lack of standard procedures and career development plan. However, the factors that made Adtukart, Inc. stand out from its competitors are being the market leader, continuously growing, and has a clearly defined objective. With this, Adtukart, Inc. obtained and IFE rating of 2.62. In evaluating both external and internal factors, Adtukart, Inc. should see product/market development with market penetration to achieve its vision of being the leading provider of e-commerce in Southeast Asia. These strategies will be implemented through strengthening its relation to existing clients by improving their after sales report, tapping other market segments, intensifying telemarketing and marketing channels, and improving products and service offerings. On the other hand, its financial objective is to attain growth in revenue, which is projected to be Php 804M in 2009, Php 900M in 2020, Php 1,035M in 2021, Php 1,191M in 2022 and Php 1,369M in 2023.

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