3.1 and its market is growing. . Over

Management: Hill (2011) defines Strategic management as a continuous process
used  by organizations that start with
setting goals and objectives and it involves analysis of  the strategy, implementation of the strategy
and evaluation , in order to achieve the organization goals and its competitive
advantages.(Hill, 2011).

3.2 SWOT analysis:

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Hill (2011) discussed that The SWOT analysis
is a very important and helpful tool that help business managers to manage and
understand their business.


Life Pharmacy SWOT analysis is listed below.


1. Location:
Prime location in a very busy area in El Cajon.

2. Price.
Prime Life Pharmacy will offer low price.

3. Great
customer service.

4.  Bilingual English/Arabic pharmacist and
Native Arabic speaker.


1. No brand for the pharmacy products.

2. Unable to invest more than the pharmacy

3. Products and services may be similar to
other pharmacies (specially the prescription drugs).


• Acquisitions can be good opportunity to
expand small business such as Prime Life Pharmacy.

• Strategic alliance with neighborhood health
care clinics in El Cajon and surrounding areas.

• Prescription drugs is expanding and its
market is growing.

. Over the
counter products is a good opportunity to expand the pharmacy.


1. Super
markets can offer discounted price and have large sales on over the counter

2. Online
Retailers is growing.

Insufficient capacity and financial resources.

Competition is high in pharmacy business and its increasing. 5.  Big supermarkets have large sales and

Rules and Regulations on the prescriptions drugs is changing.

7. Privacy of patient information is very
important and any shared information may lead to lose the Prime Life Pharmacy

Strengthen the threats:

program and give rewards to customers so they become loyal to Prime Life

Differentiate Prime Life Pharmacy. For example giving
patients reasons why they should switch to Prime Life Pharmacy, and offering
the patients free consultations. Salesforce program is great program to help
the pharmacist remember the patient history, patients will always appreciate
that the pharmacist remember their medical history.

 Decrease the expenses of the pharmacy by
Lowering overhead and operating costs.




3.3 Porter’s Five Forces Analysis: 

Mohapatra 2012)
explained that the Five Forces model is a simple model but on the other hand
its very effective and influential model.

 Mohapatra,( 2012) explained that it is very
important  to mention that the Five
Forces have more than one degrees of impact in certain industries and they are
not always the same(Mohapatra, 2012).

Mohapatra (2012)
listed the five forces, he   mentioned
that Existing
competitive rivalry between suppliers is the first force.

Threat of new
market entrants is the second force, while Bargaining power of buyers  the third force, followed by ,Power of suppliers and last but not
least the threat of substitute products (Mohapatra,2012).

Benefits of Applying the Five Force model for
Evaluating Market

 Grundy (2006) explains that The Five Forces
framework are attractive for marketing managers because it has a lot of benefits.
According to Grundy (2006) the Five Forces frameworks help managers understand
more there external environment and that show that the five forces frameworks
different from SWOT analysis.

 Porter (2008) also discussed the importance of
The Five Forces frameworks, he explained that five forces frameworks help
managers better understand their external and internal environment plus they
can understand their competitors as well.

Strengthen New
Entrants and Threat:

 When I need to strength the threats of new
entrants I can take several steps that may help in discouraging someone new
from competing in the market.

Some of
these steps are:

Limit the Price:  When price is very low a lot of other rivals will think that
is not worth it open a new business and take the risk since other competitors
have very low price that they may not be able to compete with them.

Non-profit Pricing:  Mankiw ( 2012) discussed that this is  One form of strategic deterrence it can be
done be a company at some points that that may sell some products without
making any profit just be gain more market share, just to decrease the chance
of new business owners to enter the market. This may sound like a very
aggressive and  losing strategy in the
short term but for long term this may help in driving competitors out of the

Signaling: If information regarding an existing competitors is not
widely available, then I should send some signals or any sign for potential new
entrants that will decrease the chance of having them in the market.

3.4 Organizational Structure :


Each employee in the organization should have specific
task and responsibilities in order to have organized work. According to
(Lineback, 2011), organization is a big system that send specific task and these
tasks and responsibilities are changeable and influenced by the surrounding

 Reliable (2012) explained that organizational
structures is a system in the organization that let every employee to know her
or his exact function and specific job, and it will divide the employees base
on the function that they will provide.

Prime Life Pharmacy will have functional
organizational structure, it will be led by pharmacist Ayoub Nueirat the owner of
the pharmacy with experience working with a major drug manufacturer.
Pharmacist Ayoub have master in business administration, with a background
in pharmaceutical Science.

 Lineback (2011) discussed that a functional
organization structure is people at work are divided into different groups and
each group have specific job or specific field. And each group will have a
supervisor or manager and the group members, will not be in touch with other
supervisors or managers. According to Lineback(2011) having specific different
groups will let each group member to be very specific and more effective which
will them performing better.. (Lineback, 2011).

Advantages of the Functional
Organization Structure

explained that  functional
organizational  help the organization to
achieve higher performance, because each group of employees have different
knowledge and skills, and when have different groups of employees with specific
responsibilities that will help the employees to perform  better and focus more on their specific
tasks, and that will help in achieve higher performance (Lineback ,2011).

(2011) also explained that functional organizational structure have less
communication channels, because in each section each employee has functional
supervisor and they don’t have to deal with different managers because each
specific function and each employee has specific task and responsibilities so
employees don’t have to duplicate other departments work (Lineback,2011)

and communication are excellent within each department (Lineback, 2001).


Prime Life Pharmacy will have the following

 Two Pharmacy technicians.
 One Pharmacist (Ayoub)
 Two Cashiers/ sales agents
 One Order filler.



From the literature that I have reviewed I have
decide that the type my organizational structure will be functional
organizational structure. Osmel (2010), supported my statement about
functional organizational structure which I have mentioned that it is a system
identify the organization, he said that functional organizational; structure
identifies each job, its function and where it reports to within the organization.
. Osmel (2010) have also states that the functional organization structure helps small
business make more profit without having complicate business, because this type
of structure suits small business managers that do not have a lot of employees.
At a functional organizational structure, employees feel less stressed, try
have higher performance, and the managers or business owners often doesn’t have
any specific role in the functional organization, and even if it exists, the
role is usually limited (Osmel, 2010)

3.5 Power:

Power is a critical concept for those
interested in organizational analysis. Reliable (2012) suggests that the
concept of organization might not exist if it were not for relations of power;
indeed that social life in general always features unequal power. Reliable
(2012) define Power as the ability to influence the behavior of others with or
without resistance by using a variety of tactics to push or prompt action.
Power is one of those things, like gravity and electricity, which makes its
existence apparent to us through its effects, and hence it has always been
found much easier to describe its consequences than to identify its nature and
its basis (Reliable, 2012).

3.6 Leadership styles:

Every business manager needs to find the
leadership style that works best for them and their business. As a business
owner and business manager at the same time, I to understand the different
leadership styles and how they are different and which one is best for the
success of my business  and for being a
great leader.

 Leadership styles:

There are different leadership styles that
are used by business leaders each leadership styles is different and all have
strength and weakness.

1.    Participative

This is democratic style of leadership style.
I like this style and I believe it would be the best leadership style for my
pharmacy. I like this type of leadership because it gives all employees the
opportunity to participate and gives their opinion (Beamish,2011),  but in the end, the person who is deciding
the final decision is the business manager or owner.  For example if prime life pharmacy needs to
make a change, the participative leadership style let all employees involved in
the changes easily and gives their opinion about the new changes. I like this
style because employees feel more appreciated and more valued when they
involved in decision making process.

2.    Autocratic Leadership

This style of leadership
style is all about the mangers or the business owners decisions and other
employees are not involved in the decision making process (Raible, 2013). This
style may results in higher productivity or more profit for the business, but
it is not democratic style of leadership and employees may feel less valued
when the business manager use this type of leadership. While some pharmacy
owners are prefer this style of leadership, I personally I don’t prefer this
type because it may lead to more stress between the employees and they may feel
less appreciated.

3.    Laissez-Faire Leadership (Delegative Leadership)

 Raible (2013) explained that this is a type of
leadership that business managers or owners are not involved the decision
making process and another group or employees are more involved in making the
decision. Raible (2013) also mentioned that offer more stress free, fun, less
strict work environment, but it may lead to less productivity and profitability
of the business. Personally I don’t prefer this style because it may lead to
lower production and profit to my pharmacy.


 From the literature that I have reviewed I have
decide that the type of leadership that I will be use is participative
leadership and the findings from Kiplangat
(2017), study support my statement, 
because the results shows a positive relationship between participative
leadership style and job satisfaction.

 Indeed, working under management
with participative leadership style gave the highest job satisfaction because
the following reasons; improved morale and employees feel more appreciated,  more team work, employees are involved in  achieving goal objectives and that
increase  opportunity for creativity.