Strategic Management Class

Functional Strategy

Harrah's Entertainment, the Las Vegas based gaming company, is fanatical about customer service. Company research shows that customers who were satisfied with the service they received at Harrah's casino increased their gaming expenditures by 10%. Those who were extremely satisfied increased their gaming 24%. Harrah has made all employees aware of this information and their role in providing outstanding customer service. Now Harrah is taking it knowledge management to the next level by developing a pilot project in which the casino staff will forecast customer spending. What functional strategies is Harrah implementing? Discuss the ethical implications behind this strategy. Is this strategy ok or does it depend on the type of industry that uses it? Explain your answers.

Additional resources :

• Read Chapters 5 and 7 in your textbook (Coulter, M. Strategic Management in Action, 6th edition.)
• Listen to you tube video by Ken Blanchard:
  • "How a Business Can Survive in Tough Times" (https://www.youtube.com/watch?v=wHTOVOGEpTQ)
• Read the case study" McDonalds" (must buy in order to read)