Chapter1: What is strategy and why is it important?
Key Points
The tasks of creating company strategies are one of the most important of winning in the marketplace. A company's strategy is the plan using to stake out a competitive advantage, which is superior performance relative to other competitors, conduct its operations, attract and please customers, compete successfully, and achieve organizational objectives.
Eliminating the competitive disadvantage is undertaking moves to build and strengthen the company's long-term competitive position and, ideally, gain a competitive advantage over rivals that then becomes a company's ticket to above-average profitability.
Strategic management is an integrative management field that combines analysis, formulation, and implementation in the quest for competitive advantage.
A winning strategy fits the circumstances of a company's external situation and its internal resource strengths and competitive capabilities, builds competitive advantage, and boosts company performance.
Crafting and executing strategy are core management functions. Whether a company wins or loses in the marketplace is directly attributable to the caliber of that company's strategy and the proficiency with which the strategy is executed.
Business model is how to put strategy into action, and how is the firm going to make money to continue operations.
The AFI strategy framework included
Analyze (A) = Getting Started; External & Internal Analysis
Formulate (F) = Business and Corporate Strategy
Implement (I) = Organizational Design & Corporate Governance
Champter2: The strategic management process.
Key point
Vision, Mission, and Values.
Vision – what to ultimately accomplish?
Outlines what the organization wants to be, or how it wants the world in which it operates to be.
Mission – what is the firm about?
Defines the fundamental purpose of an organization or an enterprise, describing how and why did it exist and...