CHAPTER 2: STRATEGIC PURPOSE

I. Strategic management process

• Step 1: Identifying strategic goals & objectives
• Step 2: Conducting internal & external analysis
• Step 3: Strategic choice
• Step 4: Implementing strategic choice
• Step 5: Controlling, evaluating, adjusting
1. Identifying goals and objectives
- Vision – evokes powerful and compelling mental images of a shared future
+ Concern a firm’s future business path
Example: Our vision is to be the world’s best quick service restaurant (McDonald’s)
 Unilever vision:
• To grow our business, whilst decoupling our environmental footprint from our growth and
increasing our positive social impact
• Vision in Vietnam
• The most admired company in Vietnam, committed to make Vietnamese lives better
- Mission: Focus on CURRENT business activities
+ Who we are, what we do
+ A mission statement provide employees and stakeholders with clarity about the overriding
purpose of the organisation
+ Should be customer-oriented, not product-oriented
Example: IBM stills survive now compared to other company which also produced typewriter
at that time because IBM’s mission is provide customers a means for information process an
storage, rather than supplying mechanical tabulating equipments and typewriters.
 Along with the development of technology, IBM still develops new products in many fields
and become a large corporation.
* Case: