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Lectures 1&2
The Motivation
Current global issue of increasing company performance in order to improve
how people will live and organization will work.
• Strategic planning
• Understanding competitive forces
• Internal resources & capabilities
• Strategies for competitive advantage
• Methods of strategic development
• Business process design
• Financial Analysis
• Strategies for value creation
5 Homeworks = 20%
B. Strategic choices:
C. Strategy proposal
Strategic planning
http://essentialsofbusiness.ufexec.ufl.edu/media/3844259/value-strategic-planning.jpg
Source: Wikipedia
• Commercial centre
Costin Ciora - Business Strategy & Analysis Source: ACCA – Paper P3 Business Analysis - Kaplan Publishing 24
Johnson, Scholes and Whittington
(JSW) - model of strategic planning
• Classroom discussion .
• Facebook
• Managing change
• Employees‘ fears and resistance
• Strategic position
• Competition, oil price forecast , passenger forecast,
availability of cheap landing rights, effect of the main
brand
• Strategic choices
• Which routes to launch, set up a new company or buy
an existing cheap airline, which planes to use
• Strategic implementation
• How autonomous should the new airline be?, recruit
and train staff, implementation the internal booking
system, acquisition of aircraft, obtaining the landing
slots
Costin Ciora - Business Strategy & Analysis 34
4.Alternative approaches (1/8)
(A1) Emergent strategy
• Mintzberg (1987) suggest that in real word the
strategies evolves over time (emerge) rather
than result from an in-depth analysis;
• Emergent strategy
• Example: a salesman visits a customer. The
product isn’t good and they put together some
changes. The salesman coming back to the
company and get it right after couple of rounds.
• Business strategy
• Analyze each strategic business unit (SBU)
• Which product should be developed
• Which market to enter
• Functional strategy
• Look at how different functions of the business support the
corporate and business strategy
• Example Gap
• Corporate strategy
• Should another range of shop to be established ? (Banana
Republic)
• Should the company raise the capital
• Business strategy
• What markets should the new range of shops open it
• How often should inventories be changed
• Functional strategy
• Look at how different functions of the business support the
corporate and business strategy
Strategy as design
Strategy as experience
Strategy as ideas
• No Strategy as ideas
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