Situational Analysis: Orica Ltd.

RMIT Graduate School of Business & Law

BUSM 1534: Marketing for Managers

Assessment 2a

Word Count: 1075

(Not inclusive of: Referencing, Table of Content, Figures & Tables

Marketing Situation Analysis

Organization: Orica Ltd.

Selected SBU: Explosive Manufacturing

Author: Penne Neoh (s3201848)

Table of Contents

Introduction: 3

Strategic Business Units (SBUs) observed: 3

Situation Analysis 5

1. Internal Environment: The Marketing Mix 5

Product: 5

Place: 5

Promotion: 6

Price: 6

2. External Environment 7

Target Markets 7

Economic 7

Demographic 7

Competitive 7

Social & Cultural 7

Political & Legal 8

Technological 8

3. SWOT Analysis & Critical Issues 8

References 9

Introduction:

Orica began in 1874 with explosive manufacturing in Deer Park, Victoria under name of Jones, Scott and Company (IBISWorld 2011). Today Orica is listed within the top 30 companies on the ASX based on market capitalization, employing over 14,000 employees and generated revenues of $6.3 billion in 2011 (Orica Ltd. 2012).

Orica’s business operations (Orica Ltd. 2012) are:

* Orica Mining Services (OMS) which deals in the provisioning of explosive products and services.

* Minova, which manufacturers and supplies chemical-based consumables.

* Orica Chemicals Group, which comprises of 6 businesses that manufactures, imports and distributes a range of chemicals for use predominately in mining.

* Other minor activities.

Strategic Business Units (SBUs) observed:

3 main SBUs identified within Orica’s business operations (Richardson 2011 & 2012) are:

* Explosive manufacturing (OMS)

* Titanium dioxide & other inorganic chemical manufacturing (Minova)

* Chemical wholesaling (Orica Chemicals Group)

These SBUs have their own specific market focus and separate product/service units within Orica. They do not compete with each other and have complete control over their own resources....