Professional Documents
Culture Documents
Relevance
• Basic question-
– Why do some firms perform better than others?
• Related questions-
– What determines the scope (product-market) of the firm?
– How do firms behave (competition)?
– What determines the international success or failure of firms?
Core Guiding Theories
• Strategy as Plan
– “A set of concrete plans to help the organization accomplish its
goals” (Oster, 1994)
• Strategy as Action
– “A pattern in a stream of actions or decisions” (Mintzberg, 1978)
Strategy
Definition: The central, integrated,
externally oriented concept of how a firm
Vision and will achieve its objectives (superior perf
mission (SS4) as compared to others = CA)
Elements of Strategy: Implementation
• Fundamental • Arenas; Vehicles; Differentiators; levers and
organizational Staging; and Economic logic strategic
leadership
purpose Content: Business Level {How to 0 (PGP II, SM- II)
compete} (SS 11, 12)
• Organizational • Cost leadership; Differentiation; and Focus
values Content: Corporate Level {Which
product-market to be in} (SS 13-15)
• Diversification: Concentric/
Conglomerate; Internationalization (SS
16,17); Restructuring