is a unifying theme that gives coherence and direction to the actions and decisions of an individual
organization
Strategic decisions:
They are important ,Involve a significant commitment of resources, are not easily reversible.
Contingency theory:
There is no single best way of organizing or managing, the best way depends upon circumstances.
Strategic fit:
link between the firm and its external environment. Refers to the consistency of a firm´s strategy
with a firms external environment and its internal environment.
• analysis of the external environment of the firm:
Competitors, Customers, Suppliers
• analysis of the internal environment (the firm):
Goals and values, resources and capabilities, structure and systems.
Activity system
Create a consistent strategic position and direction
Military strategies
Common concepts:
Principles of business strategies and military strategies:
• Relative strengths of offensive and deffensive strategies
• Merits of outflanking over frontal assault
• Benefits of surprise
• Potencial for deception envelopment escalation and attriotion.
Objective:
Objet of war is to defeat the enemy.
Business strategies
To give direction and purpose, to deploy resources in the most effective manner and to coordinate
the decisions made by different individuals.
limit their competitive ambitions, seeking coexistence rather tan the destruction of
competitors.
How to maneuver into a position of advantage
• Ability to respond to events with flexibility and clarity of direction
• Formulated and effectively implemented strategy:
Lady Gaga / Queen Elizabeth
1. Clear consistent long-term goals
2. Profound understanding of the competitive environmental:
Objective appraisal of resources:
have been aware of the limits of those resources and drawn upon the resources of others.
define their roles and insightful appreciation of the external environments in which
they opérate.
Focusing on a single goal may lead to outstanding success but may
be matched by dismal failure in other áreas of life.
Corporate planning
set goals and objectives, forecasted key economics trends, established priorities for different
products and business áreas of the firm, and allocated capitak expenditures
Strategic management
market selection and positioning the Company relative to its competitors in order to maximize the
potetial for profit.