Chapter 9 - Managing Strategy - Coggle Diagram
Chapter 9 - Managing Strategy
"do customers value the service?"
"will the company make money in the process?"
Why is strategic management important?
Higher levels of stragey = Higher levels of performance
Adaptability helps cope with uncertainty.
Organizations naturally become unorganized.
The Process of Strategic Management:
Identification of mission, goals, and strategies
External Analysis (Opportunities, Threats)
Internal Analysis (Strengths, Weaknesses)
Components of a Mission Statement:
Concern for business progress
Concern for public image
Products / Services
Concern for employees
An organization strategy for how an organization will compete in it's business(es).
Stars: High market share / High anticipated growth rate
Cash Cows: High market share / Low anticipated growth rate
Question Marks: Low market share / High anticipated growth rate
Dogs: Low market share / Low anticipated growth rate
Advantages / Disadvantages of "First Mover" business model
Reputation for Innovation
Benefits of learning
Control over scarce resources
Head-start on the foundation of customer base.
Risk of imitation
Financial and strategic risks
High development costs