1. IeMBA Strategy - Strategy 1.0
JC Spender

2. strategizing getting to CDG
taxi
airport bus
Metro
RER
Strategizing - thinking through a practical campaign to achieve one’s objective.
Cost or time - or certainty of getting there? Risk. How to deal with what you don’t know.
you don’t know what’s best
4 Oct 2012
STMT 621 Strat 1.0

3. business strategy 1.0 firm environment measure run the numbers ‘fit’
4 Oct 2012
STMT 621 Strat 1.0

4. business strategy 1.0 - the firm
presuming ‘the firm’- ?
neo-classical economic model
machine model
components - core competencies, KSFs
measurement, analysis, benchmarking
task = resource allocation
but what is the firm ?
4 Oct 2012
STMT 621 Strat 1.0

5. business strategy 1.0 - the environment
market for product / services ?
market segments, market share, penetration
competitors
suppliers
labor market
regulation
surprises
the environment ?
4 Oct 2012
STMT 621 Strat 1.0

6. business strategy 2.0 ‘map’ firm and environment
decide what can be left out
understand what is ‘hidden’ in the map
4 Oct 2012
STMT 621 Strat 1.0

7. SWOT strengths weaknesses opportunities threats 4 Oct 2012
STMT 621 Strat 1.0

8. BCG matrix cash cow star dog ?? market share & profitabilityhi
market share
& profitability
dog $$ ?? hi
growth potential
dispose
4 Oct 2012
STMT 621 Strat 1.0

9. Ansoff business unit risk
danger – boring
current products
current markets
new markets
new products
strategic
choices
danger – high risk
4 Oct 2012
STMT 621 Strat 1.0

10. firm  environment SWOT Chandler & fit industry nation
context-measures
firm
4 Oct 2012
STMT 621 Strat 1.0

11. GE / McKinsey business portfolio
industry
attractiveness Hi
BUILD
HOLD Lo
HARVEST
measurement, unit independence, static environment, cash orientation, position in industry Lo Hi
business unit competitive advantage
4 Oct 2012
STMT 621 Strat 1.0

12. Bartlett & Ghoshal’s matrix
multinational
transnational
local
responsiveness
international
global
global integration
4 Oct 2012
STMT 621 Strat 1.0

13. but is this real-world strategizing ?
pick a model of the firm & its environment
the strategist’s contribution
anticipate the outcome
simple, eh? (as Canadians say)
4 Oct 2012
STMT 621 Strat 1.0