‭Strategic Managemen‬‭t‬

‭1.‬ ‭Introduction to Strategic Management: concepts.‬

‭Strategic management is like making a big plan for a company to do well for a long time.‬

‭It's about:‬

‭ . Deciding what you want to achieve.‬

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‭2. Figuring out the best ways to achieve it.‬
‭3. Putting those plans into action.‬

‭It's all about using what you have and what's happening around you to stay ahead and reach your‬
‭goals.‬

‭1. Mission and Goals: Know what your organization wants to achieve.‬

‭2. Analysis: Understand what's going on outside and inside your organization.‬

‭3. Strategy: Decide how you're going to reach your goals.‬

‭4. Implementation: Put your plans into action.‬

‭5. Monitoring and Adaptation: Keep an eye on how things are going and adjust as needed.‬

‭These steps help organizations plan and work towards success.‬

‭2.‬‭Perspectives/Approaches Framework.‬

‭ he Perspectives/Approaches Framework in strategic management is like having‬

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‭different pairs of glasses to see strategy in different ways:‬

‭ he Perspectives/Approaches Framework in strategic management is like having different ways to‬

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‭look at strategy:‬

‭1. Classical Approach: Making plans with clear goals and steps.‬

‭2. Evolutionary Approach: Adapting and learning over time.‬

‭3. Processual Approach: Seeing strategy as a step-by-step journey.‬

‭4. Systemic Approach: Understanding how everything in the organization is connected.‬

‭5. Cultural Approach: Considering how the organization's culture shapes its strategy.‬

‭These different ways of thinking help organizations find the best strategies for success.‬
‭3.‬‭Evolution of strategic Management.‬

‭ he evolution of strategic management is like looking at how strategies have changed‬

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‭and improved over time.‬

‭1. Early Management: Companies started with basic planning and organization to grow.‬

‭ . Strategic Planning Era: They began using formal plans to set goals and make‬
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‭decisions.‬

‭ . Strategic Management Era: Strategy became more flexible, changing with the‬
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‭environment.‬

‭4. Resource-Based View Era: Companies focused on using their strengths to succeed.‬

‭ . Globalization Era: Businesses started thinking globally and forming international‬

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‭partnerships.‬

‭ . Digitalization Era: Technology changed how companies operate, making them more‬
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‭efficient and innovative.‬

‭ . Sustainability and Ethics Era: Recently, there's been a focus on doing business‬
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‭responsibly and considering social and environmental impacts.‬

‭ his shows how strategy has changed and improved over time to meet new challenges‬
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‭and opportunities.‬

‭4.‬ ‭Scanning the environment for Firm: PEST, SWOT Analysis.‬

‭PEST Analysis:‬

‭1. Political: Think about how government decisions and laws might affect your business.‬

‭ . Economic: Consider how the economy, like changes in prices or people's incomes,‬
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‭could impact your business.‬

‭ . Social: Look at society's preferences, behaviors, and demographics to see how they‬
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‭might affect what you offer.‬

‭ . Technological: Think about how new technologies or changes in existing ones might‬
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‭change how your business works.‬

‭SWOT Analysis:‬
 ‭ . Strengths: Identify what your business does well, like having a good reputation or‬
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‭skilled employees.‬

‭ . Weaknesses: Recognize areas where your business could improve, like lacking certain‬
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‭resources or skills.‬

‭ . Opportunities: Look for chances to grow or improve your business, like entering new‬
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‭markets or using new technologies.‬

‭ . Threats: Identify anything outside your control that could harm your business, like new‬
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‭competitors or economic downturns.‬

‭ y looking at these factors, you can better understand your business's environment and‬
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‭make smarter decisions.‬

‭5.‬ ‭Analysing External Environment: Industry Analysis, Porter‘s five forces model.‬

‭Industry analysis helps a firm understand the competitive landscape and dynamics of its‬
‭industry.‬

‭Industry Analysis:‬

‭ . Identify the Industry: Figure out what business you're in and who your customers are.‬
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‭2. Gather Industry Data: Collect info about the market size, growth, key players, and any rules or‬
‭laws that affect your industry.‬
‭3. Competitor Analysis: Look at who else is selling similar stuff and see how they're doing.‬
‭4. Customer Analysis: Understand what your customers want and how they behave.‬
‭5. Supplier Analysis: See who gives you what you need to run your business and how much‬
‭power they have over you.‬
‭6. Distribution Channels: Look at how you get your product to customers and if it's efficient and‬
‭cost-effective.‬

‭Porter's Five Forces Model:‬

‭1. Threat of New Entrants: Check if it's easy for new companies to come in and compete with‬
‭you.‬
‭2. Bargaining Power of Buyers: Understand how much power your customers have to ask for‬
‭lower prices or better deals.‬
‭3. Bargaining Power of Suppliers: See how much control your suppliers have over you, like if they‬
‭can raise their prices.‬
‭4. Threat of Substitute Products or Services: Look for other things customers might buy instead‬
‭of your product.‬
‭5. Intensity of Competitive Rivalry: Understand how tough the competition is in your industry and‬
‭how many other companies you're up against.‬

‭By looking at these factors, you can understand the environment your business operates in and‬
‭make better decisions to stay competitive.‬
‭6.‬ ‭Analysing External Environment: Competitive Analysis, Strategic groups.‬

‭ ompetitive Analysis:‬‭Competitive analysis helps a firm understand its direct competitors and‬
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‭their strategies.‬

‭ . Identify Competitors: Find out who your competitors are and what they're up to.‬
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‭2. Know Strengths and Weaknesses: Understand what your competitors are good at and where they‬
‭struggle.‬
‭3. Compare Performance: Measure how well you're doing compared to your competitors.‬
‭4. Find Your Edge: Discover what sets your business apart from the competition.‬

‭ trategic Groups:‬‭Strategic groups help categorize firms within an industry based on similarities‬
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‭in their strategies and competitive positions.‬

‭ . Group Competitors: Sort your competitors into groups based on similarities.‬

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‭2. Characterize Each Group: Describe what each group is known for and how they compete.‬
‭3. Assess Rivalry: See how much competition exists between different groups.‬
‭4. Map the Landscape: Create a visual map to see where each group fits in.‬

‭7.‬ ‭Analysis Resources and Capabilities: Resource based view.‬

‭Resource-Based View (RBV):‬

‭ he Resource-Based View (RBV) is a perspective that focuses on understanding the unique resources‬
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‭and capabilities of a firm.‬

‭ . Identify Resources: Figure out what your company has - like technology, brand reputation, or talented‬
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‭employees.‬

‭2. Value: Check if those resources are useful for beating the competition.‬

‭3. Rareness: See if your resources are unique and not easily found elsewhere.‬

‭4. Inimitability: Make sure competitors can't easily copy what you're doing.‬

‭5. Capabilities: Understand how well your company can use its resources to get things done effectively.‬

‭6. Exploitation: Take advantage of your unique strengths and the weaknesses of competitors.‬

‭7. Sustainability: Keep working on your resources and capabilities to stay ahead in the long run.‬

‭ y focusing on these aspects, companies can build a strong foundation for success and maintain their‬
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‭competitive edge over time.‬