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Module Four Assignment

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Module Four Assignment

Definition

A business strategy provides a consistent framework within which employees can make

decisions. It specifies the goods and services a company plans to offer to fill a niche market.

Until senior managers have designed the strategy, middle managers are not included in the

process. Strategic planning is something in which middle-level managers can participate by

providing comments. Additionally, they facilitate the breakdown of overarching long-term

objectives into more manageable, near-term targets.

Formulation

A strategic management process is essential in formulating a business strategy. Below are the

steps involved in formulating a business strategy.

i. Define the organization by identifying its customers

ii. Define the organization’s strategic mission: A strong mission include the vision, special

abilities, and the nature of the business.

iii. Define the company's strategic objectives: The company should also identify

performance targets to help it meet its objectives.

iv. Develop a competitive strategy. An organization should identify how it will survive in a

competitive marketplace and the required resources.

v. Implement the strategy

vi. Evaluate the progress: a company should keep track of its progress
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Responsibilities

The Chief Executive Officer and the other members of the Executive Team are

responsible for laying the groundwork for the strategic plan. These responsibilities include

formulating guiding organizational principles, formulating long-term goals that serve to direct

the company, and determining strategic areas of focus. As a result, the responsibility for the

corporate strategy lies within the executive team. The primary benefactors of an effective

business plan are an organization's customers, employees, and even its founders or managers.

Corporate vs. Business Unit Strategy

A corporate strategy is a set of directives an organization follows to accomplish its long-

term objectives. In contrast, a business unit strategy comprises of a division, product line, and

other profits that can be planned independently from the strategies of other business units within

a company. In addition, top-level management is responsible for developing a corporate strategy,

while middle-level management is responsible for developing a business unit strategy.