國際商務戰略管理dissertation寫作需求,Managing Business in Europe
Lecture 2: Essentials of strategic management Dr Jenny Fairbrass
What is strategic management?
Sustainable decisionsWhat to do?Processes to deliver strategy How to do it?Competitive advantageWhy do it?Exploitation of links between the organisation and its environmentWhere, why, and how?VisionWhat and why?
Sustainable Competitive Advantage
Advantages over rival that cannot be imitatedSourcesDifferentiationLow costsNiche marketingHigh performance technologySuperior qualityVertical integrationSynergyCulture, leadership, style of organisation
Theory: Prescriptive v Emergent
Prescriptive approachBasic conceptObjectives defined in advance and other main elements developed before strategy commencesFoundationsHas parallels with military strategyBorrows from economic theory (Adam Smith) - idea of rational planningEmergent approachBasic conceptFinal objective unclearStrategy develops over timeHumans not rational/logicalStrategy emerges by trial and errorFoundationsCyert and March (1930s) + Simon (1960s)Research found managers NOT logical
The Prescriptive Strategy Process
Strategic analysis: PESTEL
Politicale.g. change of political party in powerSociale.g. demographic changesEconomice.g. increased inflationTechnologicale.g. technological advancesEnvironmental e.g. ‘green’ consumerism Legale.g. product outlawed
Strategic analysis: Porter’s Five Forces
Power of Supplierse.g. number of suppliers, availability of substitutes etc.Power of Buyerse.g. number and concentration of buyers, degree of product differentiation etc.Threat of New entrantse.g. Barriers to entry, economies of scale , product differentiation, capital requirements, switching costs for customers, government policy etc.Threat of Substitutese.g. Obsolescence, switching costs etc.Degree of rivalrye.g. Size of rivals, ambitions of rivals and market share, market growth rate, ease/cost of exit etc.
Resource Based View (RBV) of strategic management
Resource-based view (RBV) focuses on the individual resources of the organisation, rather than strategies common to all in an industryBasic argumentimportant to understand the competitive forces in an industry but each organisation should seek their own solutions within the industry contextCompetitive advantagederives from the exploitation of relevant resources of the individual organisation when compared to others in an industry
SWOT
Internal dimensions Strengths e.g. Economies of scale, Sound Finances, Skilled staffWeaknessese.g. Poor reputation, Poor locationExternal dimensionsThreats:New legislation, Demographic changes, New rivalsOpportunitiesNew legislation, Demographic changes, New technology#p#分頁標題#e#
Developing Strategic Options: Porter’s Generic Options
Cost leadershipBe lowest cost producerDifferentiationSignificantly different product/serviceFocusTarget small market segment using either:Cost focusDifferentiation focusProblem of being stuck in the middle
Porter’s Generic StrategiesExample: European Ice Cream MarketEvaluating Options:Criteria?
Consistency with mission/objectivesSuitabilityi.e. fits with environmentValidityOf data used in projectionsFeasibilityInternal and external constraintsRiskAttitude to riskAttractiveness to stakeholders
Managing Business in Europe
Lecture 2: Essentials of strategic management Dr Jenny Fairbrass