strategic management module

WORLD CITI COLLEGES
COLLEGE OF BUSINESS ADMINISTRATION
STRATEGIC MANAGEMENT FM3

13
STRATEGIC MANAGEMENT
VISION
WCC commits itself to the improvement of lives and advancement of society by developing
exemplary globally competitive professionals and leaders through comprehensive outcomes –
based quality education, innovative learning design with experiential approach, stakeholder
collaboration, and a culture upholding Christian values. These we do by God’s grace to honor and
glorify Him.
MISSION
We are one of the Asia’s best multi – disciplinary colleges of choice and a recognized leader
in producing highly competent, industry – relevant, and value – laden graduates who contribute to
nation – building and global progress.
VISION AND MISSION OF THE COLLEGE OF BUSINESS ADMINISTRATION
VISION
We are the business arm of the institution which provides quality and accessible
education that will empower graduate students into effective business professionals to
prepare them for the opportunities and challenges of a globally competitive environment
MISSION
The College of Business incorporates best educational business practice and current
academic theories that will provide collaborative learning environment that will support the
development of our instructors as well as promote meaningful education of our student that
will address the need of our business communities
WCC’s CORE VALUES:
The Graduates must manifest the following core values of WCC:

1. Christ – centered
2. Servant – leader
3. Excellence
4. Diligence
5. Integrity
Course Title : STRATEGIC MANAGEMENT

Course Code : CBMC 2
Pre-requisite : MARKMAN, BA 202
Credit : 3 units
Instructor : Macky C. Herezo, PHD. BA.
Contact Info : 0997-243-3133
Course Description:
This course provides a comprehensive exploration of the principles, theories, and practices of
strategic management. Students will delve into the intricacies of formulating, implementing, and
evaluating strategies to achieve organizational objectives. The course covers strategic analysis of the
external environment, internal resources, and the integration of corporate, business, and functional –
level strategies.
COURSE LEARNING OUTCOMES:
Students at the end of the course are expected to:
1. Develop thorough understanding of the key, concepts, theories, and frameworks in strategic
management.
Prepared by: Mr. Macky C. Herezo, PHD. BA. Page 1 of 36

WORLD CITI COLLEGES

13
2. Utilize various strategic environment analysis tools and techniques such as SWOT and VRIO
analysis.
3. Interpret results, drawing conclusions, and formulating strategic recommendations that align
with organizational goals and objectives.
4. Understand the business – level strategies, focusing on how organizations can achieve a
sustainable competitive advantage within a specific market or industry.
Course Content:
No. of Module Topic Sub Topic

Meetings
 WCC Vision / Mission / Core Values
Week 1 PART 1.  WCC CBA Vision and Mission
ORIENTATION  Class rules and grading system
One (1) Face
to Face
meeting
Week 2-3 
Nature of Strategic Management

Definition of Strategic Management
Two (2) Face 
Stages of Strategic Management
to Face UNDERSTANDING 
Evolutionary Phases of Strategic
meetings MODULE 1 STRATEGIC Management
MANAGEMENT  Importance of Strategic Management
 Purposes of Strategic Management
 Benefits of Strategic Management
 Strategic Management Model
Week 4 – 5  The External environment
MODULE 2 ENVIRONMENT  External environment analysis process
Two (2) Face ANALYSIS  The Physical environment
to Face  Conducting physical environment
meetings analysis
 The Societal environment
 Conducting a societal environment
analysis
 The industry environment
 Conducting industry environment
analysis
 The Internal environment
 Conducting internal environment
analysis
WEEK 6. PRELIMINARY PERIOD
Week 7 – 8 STRATEGIC  Strategic Management Tools Used to
MODULE 3 ENVIRONMENTAL Analyze the: a. Physical environment, b.
Two (2) Face ANALYSIS TOOLS Societal environment, c. Industry
to Face AND TECHNIQUES environment and d. Internal
meetings environment
 SWOT analysis model
 VRIO framework
 Value chain analysis model
 BCG Growth – Share Matrix Model
 Concept and Nature of Strategy
Week 9 - 10 MODULE 4  Corporate Strategy
 Growth Strategy
Two (2) Face CORPORATE  Stability Strategy
to Face LEVEL STRATEGY  Retrenchment Strategy
meetings  Crafting a Corporate Level Strategy
Week 11 MODULE 5 BUSINESS LEVEL  Business Strategy

One (1) Face STRATEGY  Competitive Strategy
to Face  Cooperative Strategy
meetings  Factors influencing the Selection of a
Business Level Strategy

WORLD CITI COLLEGES

13

Required skills and resources

Issues to resolve in business level
strategy formulation
 Crafting a business level strategy
WEEK 12. MIDTERM PERIOD
Week 13 - 14  Marketing strategy
Two (2) Face  Financial strategy
to Face  Human resource strategy
meeting FUNCTIONAL  Production and operation strategy
MODULE 6
LEVEL STRATEGY  Research and development (R&D)
strategy
 Technology strategy
 Crafting a functional level strategy
 Understanding a business organization
Week 15-16 MODULE 7  Strategy implementation at the
Two (2) Face STRATEGY Corporate Level
to Face IMPLEMENTATION:
 The Hierarchy and Consistency of the
meetings CORPORATE,
Vision, Mission, Goals and Objectives
BUSINESS AND
 Concept and nature of business
FUNCTIONAL
LEVELS  Programs or projects
 Budgets
 Procedures
WEEK 17 MODULE 8 STRATEGY  Nature of Strategy Evaluation
Two (2) Face EVALUATION AND  The Strategy Evaluation Process
to Face CONTROL:  Approaches to Corporate Level
meetings CORPORATE, Performance Evaluation
BUSINESS AND  Business Level Strategy Evaluation
FUNCTIONAL  Functional Level Strategy Evaluation
LEVELS
WEEK 18. FINAL PERIOD
PUNCTUALITY AND ATTENDANCE
WCC believes that the growth in learning and personal development of its students depend largely
on class attendance. Thus, regular attendance in all classes is one of the most important obligations
of the student.
A student is only allowed to incur unexcused absences equivalent to twenty percent (20%) of the
total number of class hours in a semester. When a student accumulates absences that are beyond
20% of the required number of hours for a certain subject, he automatically obtains a grade of “5.0”.
If the student comes to class one (1) minute after the start of class, the student is marked LATE for
tardiness. A student is only allowed to be late for maximum of fifteen (15) minutes. If the student
comes more than 15 minutes after the class has begun, he is marked ABSENT. However, the
student may still attend the remaining time of his/her class.
Below are examples of absences:

 Excused absences – sickness with valid medical certificate, death of
immediate family members, and participation in approved academic and extra-
curricular activities.
 Unexcused absences – all other activities not stated under excused absences.
EVALUATION OF GRADES
Here is how the grade is computed:
1. The grading system of the college is averaging, using numerical or percentage

system which ranges from 50% (lowest mark) to 100%.
2. The passing grade for all subjects is 75% or 3.0.
3. The computation of grades is as follows:

WORLD CITI COLLEGES

13
Preliminary Grade = Average of quizzes + Class Standing + Prelim Exam
3
Midterm Grade = Average of quizzes + Class Standing + Prelim Exam

3
Final Grade = Average of quizzes + Class Standing + Prelim Exam

3
Over-all Grade = Preliminary Grade + Midterm Grade + Final Grade

3
Take note that for subjects with lecture and laboratory components, the same rule applies. For the over-all
grade, the composition will be as follows: lecture (60%), laboratory (40%).
COMPONENTS OF CLASS STANDING
Class standing for both lecture and laboratory subjects includes the following: recitation, oral
report, assignment, seatwork, and research paper.
GENERAL WEIGHTED AVERAGE
To compute the General Weighted Average (GWA), the formula below is used:
Numerical Grades X Units = General Weighted Average
Total Units
Example:
Courses Units Grade Grade X No. of Units

USELF 3 1.25 3.75
Chem 16 5 1.75 8.75
Bio 1 5 1.50 7.50
MMW 3 2.25 6.75
PCOM 3 1.00 3.00
TOTAL 19 29.75
29.75 = General Weighted Average

19
1.565 or = General Weighted Average
1.57
Note: PE and NSTP grades are included in the computation of the GWA. A copy of official grades will
be sent to your parents/guardians by mail.
TRANSMUTATION
HOUSE RULES
1.00 =DURING THE %
98-100 ONLINE CLASS MEETINGS
Excellent
1.25 = 95-97 % Above Average
1. Be prepared
1.50 = 92-94 % Above Average
 Check your internet connection, your audio and video 30 minutes before the start of the class.
 Run the zoom test: https://zoom.us/test Average
1.75 = 89-91 % to check that your system is set up adequately for
2.00 = 88-86
participating in the event. % Average
 Have2.25 =
your course 83-85 and
design % module andAverage
other related materials for the class within your reach.
 Check your =
2.50 area in 80-82
a room%almost similar Fair
to a class- room, with enough ventilation and light, free
from 2.75
any form
= of disturbance
77-79 % during the entireFair class session.
 Wear3.00 decent= tops (like when
75-76 % you go to school.
PassedIf you used to go to school in uniform- then wear
your uniform with your ID. Remember this is a class meeting
5.00 = Below 75 % Failed
 Have proper lighting so that your face is recognizable and can be seen clearly.
INC
 Microphones = must be
Incomplete
turned on during the entire class.
 There should be noDropped
DRP = profanity or anything of the sort displayed in the background.
ASSESSMENT TOOLS/RUBRICS
Essays 2 - Approaching
% 3-At Standard 4- Exceeds Standard 1-Below Standard
Standard

WORLD CITI COLLEGES

13
 Some knowledge of
 Limited knowledge of
 Knowledgeable; substantive, the subject;
the subject; minimal
thorough development of the adequate range of
substance, analysis
essay, including appropriate analysis and
and synthesis;
 Knowledge of the subject; examples; literary devices synthesis;
 Poor thematic
 Adequate range of analysis and noted and analyzed;  Limited thematic
development, use of
synthesis;  Good use of comparison development and
Content, Coherence examples and critical
50%  Appropriate thematic and contrast, critical inquiry use of examples;
and Rationality interpretation of the
development and use of and interpretation.  Mostly relevant to
material;
examples relevant to the topic.  Follows logically from the the topic, but lacks
 Inadequate use of
 Interpretation shows originality. analysis presented, logical detail in critical
quotations.
and cohesive sequencing interpretation of the
 Interpretation is
both between and within material;
predictable and/or
paragraphs.  Interpretation shows
unfocused.
some originality.
 Main ideas clear  Ideas are not well

but loosely connected;
 Clear statement of ideas; organized or
 Title too general;
clear organization connected;
 Main ideas clear and organized  Poor organization
(beginning, middle, and end)  Title pertinent to the
or connected; and transitions;
Organization and and smooth transitions; essay;
Format
30%  Title pertinent to the essay;
 Introduction leads reader  Sequencing logical  Lacks logical
 Sequencing logical and but incomplete;
into topic; sequencing and
complete.
 conclusion effectively  Bibliographical development;
summarizes main findings; material and  Formatting
formatting
adequate. inadequate.
 Low fluency;
 Fluent expression; accurate  Tolerable fluency;  Significant mistakes
 Adequate fluency; use of relatively complex
 some problems in in the use of complex
 Simple constructions used structures;
Grammar, use of complex constructions;
Vocabulary and 20%
effectively;  Complex range of constructions;  Frequent grammar
Fluency  Minimal problems in use of vocabulary;
 Some grammar and spelling errors,
complex constructions; no accurate word/idiom choice;
and spelling lack of accuracy
grammar and spelling errors. mastery of word forms and
errors. interferes with
expressions; appropriate
meaning.
level of usage.
2 – Approaching
%
Case Analysis 3 – At Standard 4 – Exceeds Standard Standard 1 – Below Standard
Presents information
Existing Synthesizes in depth information Presents information from
Presents in depth information from from relevant sources
knowledge, from relevant sources irrelevant sources
30% relevant sources representing various representing limited
research, and/ or representing various points of representing limited points
points of view/approaches. points of
views view/approaches. of view/approaches.
view/approaches.
Organizes evidence but
Organizes and synthesizes the organization Lists evidence but it is not
Organizes evidence to reveal
evidence to reveal insightful is not effective in organized
Analysis 40% important patterns, differences, or
patterns, differences, or revealing important and/or is unrelated to
similarities related to focus.
similarities related to focus. patterns, differences or focus.
similarities.
States a conclusion focused solely on States a general
States an ambiguous,
the States a conclusion that is a conclusion that, because
illogical or
inquiry findings. The conclusion logical it is so general,
Conclusions 20% unsupportable conclusion
arises extrapolation from the inquiry also applies beyond the
from inquiry
specifically from and responds findings. scope
findings.
specifically to the inquiry findings. of the inquiry findings.
Presents limitations and
Insightfully discusses in detail Presents relevant and
implications,
Limitations and Discusses relevant and supported relevant supported
10% but they are possibly
implications limitations and implications and supported limitations and limitations and
irrelevant and
implications implications
unsupported
OPERATIONAL %
PLAN FOR 2 – Approaching
BANKS 3 – At Standard 4 – Exceeds Standard Standard 1 – Below Standard
Provides a description of
An outstanding assessment that
the target market and its
clearly identifies the target
characteristics and Little or no detail provided
Target Audience/ Assessment clearly identifies the market, its characteristics and
10% needs, but is limited in on target market and its
Segment target market. needs, and utilizes secondary
depth and use of characteristics and needs.
sources to support this
secondary data to
assessment.
support the assessment.
Operational Plan 30% Recommendations on improving Recommendations on improving Recommendations on Recommendations on
for Banking bank operations are appropriately bank operations are improving bank improving bank operations
Institutions identified and clearly address the appropriately identified and the operations are identified are missing, or, if
issues which were acquired through suggestions provided are but not described in identified, is weak in
data gathering. innovative which can clearly enough detail to convey detail.
address the issues of bank a strong and clear
operations. solution to the problems

WORLD CITI COLLEGES

13
seen based on the data
gathered.
Some information on Information not provided
Control operations are proactive
Implementation, Information on implementation and implementation and on implementation and
and evaluation methods have a
Evaluation & 30% evaluation thoroughly and clearly evaluation identified, but evaluation of marketing
clear criterion which thoroughly
Control identified limited in scope and plan or very little detail
and clearly identified.
detail provided.
These issues fit with the analysis
A clear statement of the
Correctly identifies the key issues, that the learner has performed Identifies key issues,
key issues, problems,
problems, and/or challenges facing (i.e,, they do not stand apart from problems, and/or
Key Issues 30% and/or challenges facing
the firm before offering a the rest of the paper, the key challenges facing the
the firm is lacking
recommendation issues emerge from the student’s firm
own analysis)
Inaccurate assessment
MODULE 1. PART I. ORIENTATION
This part discusses the vision, mission and the core values of World City Colleges.
A. Vision
WCC commits itself to the improvement of lives and advancement of society by

developing exemplary globally competitive professionals and leaders through
comprehensive outcomes – based quality education, innovative learning design with
experiential approach, stakeholder collaboration, and a culture upholding Christian
values. These we do by God’s grace to honor and glorify Him.
B. Mission
We are one of the Asia’s best multi – disciplinary colleges of choice and a recognized leader in
producing highly competent, industry – relevant, and value – laden graduates who contribute to
nation – building and global progress.
C. WCC’s core values

The Graduates must manifest the following core values of WCC:
1. Christ – centered
2. Servant – leader
3. Excellence
4. Diligence
5. Integrity
VISION AND MISSION OF THE COLLEGE OF BUSINESS ADMINISTRATION
VISION
We are the business arm of the institution which provides quality and accessible
education that will empower graduate students into effective business professionals to
prepare them for the opportunities and challenges of a globally competitive environment
MISSION
The College of Business incorporates best educational business practice and current
academic theories that will provide collaborative learning environment that will support the
development of our instructors as well as promote meaningful education of our student that
will address the need of our business communities

WORLD CITI COLLEGES

13
MODULE 1: PART II. UNDERSTANDING STRATEGIC MANAGEMENT
INTRODUCTION
Understanding strategic management is a pivotal aspect of modern organizational leadership, involving

the systematic planning, execution, and evaluation of initiatives aimed at achieving long – term goals and
gaining a competitive edge. This dynamic process entails thorough analyses of internal capabilities and
external market conditions, leading to the formulation of well – informed strategies. Emphasizing adaptability,
strategic management requires continuous monitoring and adjustment to ensure alignment with organizational
objectives and responsiveness to evolving business landscapes. Effectively navigating strategic management
principles empowers leaders to make informed decisions, allocate resources judiciously, and position their
organizations for sustained success in an ever – evolving global marketplace.
1. Analyze complex business environments, identifying opportunities and threats, and formulating effective
strategies that align with organizational goals.
2. Develop strategic plans and translating them into actionable initiatives.
INTENDED LEARNING OUTCOMES

At the end of the module, the learners are expected to:
1. Develop thorough understanding of the key, concepts, theories, and frameworks in strategic
management.
2. Cultivate the ability to critically evaluate business situations and make informed strategic decisions.
3. Acquire practical skills in formulating, implementing, and adapting strategic plans.
Essential learning questions:

1. What are the key components of the strategic management process, and how do they contribute to
the formulation, implementation, and evaluation of organizational strategies?
2. How can organizations conduct a comprehensive analysis of their internal strengths, weaknesses, as
well as external opportunities and threats, to inform strategic decision – making and enhance
competitive advantage?
3. In what ways do strategic leaders effectively align resources, capabilities, and activities with
organizational goals, and how do they navigate the complexities of adapting strategies in response to
changes in the business environment to ensure long – term success?
LEARNING ACTIVITY:
1. Develop a strategic management model for your chosen organization. Provide a narrative explanation
for your strategic management model. (min. of 300 words).
COURSE CONTENT
NATURE OF STRATEGIC MANAGEMENT
Strategic management is considered the capstone course of all management and business subjects.
The bedrock of strategic management is made up of various business courses such as the principles of
management, managerial economics, human behavior in an organization, strategic marketing, organizational
management, strategic human resource management, managerial accounting, financial management, and
quantitative management.

WORLD CITI COLLEGES

13
A manager performs several functions such as planning, organizing, staffing, directing, and controlling
with equal importance. However, strategic management gives preferential attention to planning. Strategic
managers spend more time and effort on planning as compared to other managerial functions.
A managerial position can be at the top, middle or lower levels. These three levels entail performing all
managerial functions and making economic decisions of varying degrees of importance to a company. The
concern, however, of strategic management is to address the roles and needs of a top – level manager with
substantial input and participation of managers at the middle and lower levels.
Planning starts and ends at the top level. The top – level management sets and defines the overall
direction of a company. The leadership styles and practices of managers at this level show how strategic
management is applied in business. In similar manner, the middle and lower – level managers define their
plans and directions according to the overall directions of the top – level management.
DEFINITION OF STRATEGIC MANAGEMENT
Strategic management is the management of an organization’s resources to achieve its goals and objectives.
Strategic management involves setting objectives, analyzing the competitive environment, analyzing the
internal organization, evaluating strategies, and ensuring that management rolls out the strategies across the
organization.
Strategic management is divided into several schools of thought. A prescriptive approach to strategic
management outlines how strategies should be developed, while a descriptive approach focuses on how
strategies should be put into practice. These schools differ on whether strategies are developed through an
analytic process, in which all threats and opportunities are accounted for, or are more like general guiding
principles to be applied.
Business culture, the skills and competencies of employees, and organizational structure are all important
factors that influence how an organization can achieve its stated objectives. Inflexible companies may find it
difficult to succeed in a changing business environment. Creating a barrier between the development of
strategies and their implementation can make it difficult for managers to determine whether objectives have
been efficiently met.
While an organization’s upper management is ultimately responsible for its strategy, the strategies are often
sparked by actions and ideas from lower-level managers and employees. An organization may have several
employees devoted to strategy, rather than relying solely on the chief executive officer (CEO) for guidance.
Because of this reality, organizational leaders focus on learning from past strategies and examining the
environment at large. The collective knowledge is then used to develop future strategies and to guide the
behavior of employees to ensure that the entire organization is moving forward. For these reasons, effective
strategic management requires both an inward and outward perspective.
STAGES OF STRATEGIC MANAGEMENT
Strategic management involves managing an organization's resources, analyzing internal and external forces,
and developing strategies to realize goals and objectives. There are five key phases that can help businesses
execute their strategies.
1. An organization must first establish clear, realistic goals. Its goals should answer what the company
wants to achieve and why. Once set, the company can then identify the objectives, or how the goals
will be reached. During this phase, the company can articulate its vision and long and short-term
goals.
2. Organizations must then be able to examine, understand, and codify what internal and external forces
affect their business and goals, as well as what it needs to remain competitive. Analytical tools, such
as SWOT analysis, are helpful during this phase.
3. Based on the results of the analysis, the company can then develop its strategy, outlining how the
company will achieve its goals and how. In this phase, the company will identify the needed people,
technology, and other resources; how these resources will be allocated to fulfill tasks, and what
performance metrics are needed to measure success. It is also critical to gain buy-in from
stakeholders and business leaders.
4. Once the strategies are defined, it is time for execution. The strategy is taken from planning to
implementation. During this phase, the allocated resources are placed into action based on their roles
and responsibilities.
5. The final stage of strategic management is to evaluate the effectiveness of implemented strategies
using defined metrics. The company will also visit whether ineffective strategies should be replaced
with more viable ones. The company should continue to monitor the business landscape and internal
operations, as well as maintain strategies that have proven effective.

WORLD CITI COLLEGES

13
FOUR PHASES OF STRATEGIC MANAGEMENT
Formulating a Plan
Formulation is the process of choosing the most profitable course of action for success. This is the phase for
setting objectives and identifying the ways and means of achieving them. An analysis of corporate strengths,
weaknesses, opportunities and threats reveals critical areas surrounding the products and services that need
attention.
Take, for example, a company's objective to expand sales into the internet market. If research shows that
competitors in that market are not seeing a return on their investment, company decision-makers may
explore other alternatives. By contrast, if competitors are seeing increased sales, the business may decide to
launch its online store and start a social media marketing campaign to drive traffic to the website.
Implementation of Strategies
Implementation is the execution of the necessary strategies to meet the objectives that have been set. To
ensure success, all employees should understand their roles and responsibilities. Appropriate activity
measures provide necessary feedback with facts that identify positive impacts and areas for change.
In this phase, companies pay attention to details and monitor processes to implement quick changes as
required. For example, if a common customer complaint is that products take too long to arrive, an analysis
of the shipping process may reveal ways to expedite delivery, such as using pre-printed shipping levels to
streamline packaging and carrier pickup of shipments at the store.
Evaluating the Strategy's Results
Evaluating strategies used in the implementation phase serve as performance feedback. Some companies
use a gap analysis to compare how the company performed to set goals. Analyzing present state compared
to desired future state identifies the need for new products or additions to existing products. One example is
a company comparing its anticipated consumer purchase response with the actual number of sales or
comparing old shipping times to the delivery timeframe after new procedures were implemented.
Modification and Amplification
The modification phase is essential in correcting any weaknesses or failures found during evaluation.
Strengths identified can lead to implementation in other areas. One example is a strategy to sell a selected
number of products on the internet and sales data shows a significant profit. A decision to add more products
and refine the process can result in a new lucrative endeavor. An amplified marketing plan including search
engine ads may also be examined in an effort to draw additional customers to the website.
WHY IS STRATEGIC MANAGEMENT IMPORTANT?
Strategic management is important from a financial and non-financial perspective for organizations of any size.
Specifically, strategic management is important in organizations because:
 strategic management helps an organization move past short-term thinking and strategies the future of
the company
 strategic management helps an organization fulfil its responsibilities (especially if it’s a listed company),
including regulatory and reporting obligations
 strategic management helps an organization to establish and monitor its progress against long-term
plans (as opposed to strategic planning, which is generally thought of as a one-time plan), resulting in
greater operational efficiency and profitability
BENEFITS OF STRATEGIC MANAGEMENT
1. Improved decision-making: Strategic management provides a framework for better decision-

making by allowing leadership to assess the potential impact of their decisions on the overall
strategic objectives of the organization.
2. Enhanced collaboration: Strategy management encourages collaboration between
departments and functions ensuring that everyone is working toward the same goals and
objectives.
3. Better organizational performance: Strategy management also helps organizations to focus on
the areas that need improvement, identify the best ways to achieve their goals and objectives,
and measure progress.

WORLD CITI COLLEGES

13
4. Effective resource allocation: Strategic management encourages organizations to utilize their
resources more efficiently by ensuring that resources are allocated to the most important areas.
5. Increased customer satisfaction: Strategy management helps organizations to better
understand their customers and develop strategies to meet their needs.
STRATEGIC MANAGEMENT MODEL
REFERENCES
- STRATEGIC MANAGEMENT: A Procedural Approach with Cases – Nick L. Aduana (2021)

- STRATEGIC MANAGEMENT – Text and Cases (Eleventh Edition) – Dess et al. (2024)
- https://www.investopedia.com/terms/s/strategic-management.asp
- https://smallbusiness.chron.com/four-phases-strategic-management-70617.html
- https://online.vu.edu.au/blog/why-strategic-management-important
- https://www.coursera.org/articles/strategic-management
VIDEO REFERENCES
https://www.youtube.com/watch?v=5xD2JLleGqk
https://www.youtube.com/watch?v=CMMUwNeBxyA
https://www.youtube.com/watch?v=4L4MvDjOu3k
MODULE 2: ENVIRONMENTAL ANALYSIS
INTRODUCTION
Environmental analysis in strategic management involves assessing the external factors that
could impact an organization’s operations, decision – making, and performance. It encompasses
examining the political, economic, social, technological, ecological, and legal factors that influences
the business environment. By conducting thorough environmental analysis, companies can identify
opportunities and threats, anticipate changes in the market, and adjust their strategies accordingly.
This proactive approach helps organizations stay competitive, navigate uncertainties, and make
informed strategic decisions aligned with their goals and values.
1. Develop strategic plans and translating them into actionable initiatives.


WORLD CITI COLLEGES

13
1. Acquire the ability to conduct thorough environmental scans, demonstrating proficiency in identifying
and interpreting key internal and external factors affecting an organization.
2. Enhance the skills in collecting and interpreting relevant data for environmental analysis.
3. Develop a heightened awareness of the external and internal factors impacting organizations.
1. What are the key external factors that influence environmental analysis in strategic management?
2. How can environmental analysis help organizations identify opportunities and threats in the market?
3. What strategies can businesses implement to adapt to changes identified through environmental
analysis and maintain their competitive advantage?
LEARNING ACTIVITY:
1. Differentiate the following factors that affect business operations. Also state how do these factors affect
a certain business. Provide at least one real life scenario to prove your claims. Use the following
format:
HOW DOES THIS

AFFECT THE REAL – LIFE
NO. ENVIRONMENT FACTORS BUSINESS EXAMPLES
OPERATIONS?
1 EXTERNAL ENVIRONMENT
2 INTERNAL ENVIRONMENT
COURSE CONTENT
THE EXTERNAL ENVIRONMENT
All businesses are impacted by their external environment. Sometimes a business has to act upon and react to
what happens outside of the scope of its operations. These external influences are known as external factors.
Multiple different factors can influence a business’s external environment. These factors are often
unpredictable and can change suddenly.
The external environment plays a huge role in the types of strategies and actions a business decides to
implement. The external environment can affect competitiveness, budgeting, decision – making, and the
marketing mix. The main external factor that influences business most is competition.
EXTERNAL ENVIRONMENT FACTORS
1. Economic factors
2. Demographic factors
3. Environmental and social factors
EXTERNAL ENVIRONMENT ANALYSIS PROCESS

WORLD CITI COLLEGES

13
THE PHYSICAL ENVIRONMENT
The physical environment is an essential component of the business environment in which you intend
to operate or in which you already run your business, irrespective of whether it’s conventional or online, small
or big. It refers to the availability of resources that you need to run your business efficiently. These resources
may generally include, among others, inputs like materials, services, land, climate, water, physical plants and
facilities. Every business needs these resources to get started or have its work done efficiently and effectively.
Your physical environment comprises both natural and artificial resources. Features like land, water,
climate, wildlife, and vegetation are natural components of the physical environment where we live and operate
our businesses. On the other hand, dams, roads, premises, and many others are unnatural resources that
affect your business.
The physical environment also refers to the physical location, space, and anything else that physically
impacts you and your business. For instance, light, temperature and distractions in your office can affect your

WORLD CITI COLLEGES

13
performance. If you are working in an office with little light, it can make you get stressed. If it is too hot in your
workplace, it can make you get so tired that you find it difficult to work comfortably and effectively.
IMPORTANCE TO UNDERSTAND THE PHYSICAL ENVIRONMENT
1. GOOD FOR PLANNING PURPOSES

2. TO KNOW THE RESOURCES, YOU NEED FOR YOUR BUSINESS
THE SOCIETAL ENVIRONMENT
The societal environment of a company consists of political or legal, economic, sociocultural, and
technological factors. These areas, which are composed of several variables, influence the growth of the
industry in which a company belongs. Their effects can be felt directly by a specific industry and sometimes
indirectly by a business. Table below shows the different segments of the societal environment and some
variables under them:
POLITICAL OR LEGAL ECONOMIC SOCIOCULTURAL TECHNOLOGICAL

- Tax laws - Interest rates - Level of - Internet availability
- Government - GDP trends education - Spending on
system - Inflation rates - Population research
- Foreign trade - Unemployment growth rate development
relations levels - Lifestyle - Telecommunication
- Anti-trust - Currency market - Population age infrastructure
regulators - Consumer price distribution - Wireless
- Immigration index - Birth rates and communication
laws - Money supply life - Patent protection
- Provision on - Disposable expectancies - Computerized
special income - Pension plans operation
incentives and health care
- Government - Concern for the
programs and environment
priorities
CONDUCTING A SOCIETAL ENVIRONMENT ANALYSIS
The commonly used strategic management tool to conduct a societal environment analysis is the
STEEP or PESTEL analysis. STEEP stands for sociocultural, technological, economic, environmental, and
political forces. On the other hand, PESTEL stands for political, economic, sociocultural, technological,
environmental, and legal forces. This tool is intended to determine the trends happening in the industry to
which a company belongs.
THE INTERNAL ENVIRONMENT
An organization’s internal environment is composed of the elements within the organization, including
current employees, management, and especially corporate culture, which defines employee behavior. Although
some elements affect the organization as a whole, others affect only the manager. A manager’s philosophical
or leadership style directly impacts employees. Traditional managers give explicit to make many of their own
decisions. Changes in philosophy and / or leadership style are under the control of the manager. The following
sections describe some of the elements that make - up the internal environment.
An organization's mission statement describes what the organization stands for and why it exists. It
explains the overall purpose of the organization and includes the attributes that distinguish it from other
organizations of its type.
A mission statement should be more than words on a piece of paper; it should reveal a company's
philosophy, as well as its purpose. This declaration should be a living, breathing document that provides
information and inspiration for the members of the organization. A mission statement should answer the
questions, “What are our values?” and “What do we stand for?” This statement provides focus for an
organization by rallying its members to work together to achieve its common goals.
But not all mission statements are effective in America's businesses. Effective mission statements lead
to effective efforts. In today's quality‐conscious and highly competitive environments, an effective mission
statement's purpose is centered on serving the needs of customers. A good mission statement is precise in
identifying the following intents of a company:

WORLD CITI COLLEGES

13
Customers — who will be served
Products/services — what will be produced
Location — where the products/services will be produced
Philosophy — what ideology will be followed
Company policies are guidelines that govern how certain organizational situations are addressed.
Just as colleges maintain policies about admittance, grade appeals, prerequisites, and waivers, companies
establish policies to provide guidance to managers who must make decisions about circumstances that occur
frequently within their organization. Company policies are an indication of an organization's personality and
should coincide with its mission statement.
The formal structure of an organization is the hierarchical arrangement of tasks and people. This
structure determines how information flows within the organization, which departments are responsible for
which activities, and where the decision‐making power rests.
Some organizations use a chart to simplify the breakdown of its formal structure. This organizational
chart is a pictorial display of the official lines of authority and communication within an organization.
The organizational culture is an organization's personality. Just as each person has a distinct
personality, so does each organization. The culture of an organization distinguishes it from others and shapes
the actions of its members.
Four main components make up an organization's culture:
Values
Heroes
Rites and rituals
Social network
Values are the basic beliefs that define employees' successes in an organization. For example, many
universities place high values on professors being published. If a faculty member is published in a professional
journal, for example, his or her chances of receiving tenure may be enhanced. The university wants to ensure
that a published professor stays with the university for the duration of his or her academic career — and this
professor's ability to write for publications is a value.
The second component is heroes. A hero is an exemplary person who reflects the image, attitudes, or
values of the organization and serves as a role model to other employees. A hero is sometimes the founder of
the organization (think Sam Walton of Wal‐Mart). However, the hero of a company doesn't have to be the
founder; it can be an everyday worker, such as hard‐working paralegal Erin Brockovich, who had a tremendous
impact on the organization.
Rites and rituals, the third component, are routines or ceremonies that the company uses to recognize
high‐performing employees. Awards banquets, company gatherings, and quarterly meetings can acknowledge
distinguished employees for outstanding service. The honorees are meant to exemplify and inspire all
employees of the company during the rest of the year.
The final component, the social network, is the informal means of communication within an
organization. This network, sometimes referred to as the company grapevine, carries the stories of both heroes
and those who have failed. It is through this network that employees really learn about the organization's
culture and values.
A byproduct of the company's culture is the organizational climate. The overall tone of the workplace
and the morale of its workers are elements of daily climate. Worker attitudes dictate the positive or negative
“atmosphere” of the workplace. The daily relationships and interactions of employees are indicative of an
organization's climate.
Resources are the people, information, facilities, infrastructure, machinery, equipment, supplies, and
finances at an organization's disposal. People are the paramount resource of all organizations. Information,
facilities, machinery equipment, materials, supplies, and finances are supporting, nonhuman resources that
complement workers in their quests to accomplish the organization's mission statement. The availability of
resources and the way that managers value the human and nonhuman resources impact the organization's
environment.

WORLD CITI COLLEGES

13
Philosophy of management is the manager's set of personal beliefs and values about people and
work and as such, is something that the manager can control. McGregor emphasized that a manager's
philosophy creates a self‐fulfilling prophecy. Theory X managers treat employees almost as children who need
constant direction, while Theory Y managers treat employees as competent adults capable of participating in
work‐related decisions. These managerial philosophies then have a subsequent effect on employee behavior,
leading to the self‐fulfilling prophecy. As a result, organizational philosophies and managerial philosophies
need to be in harmony.
The number of coworkers involved within a problem‐solving or decision‐making process reflects the
manager's leadership style. Empowerment means delegating to subordinates decision‐making authority,
freedom, knowledge, autonomy, and skills. Fortunately, most organizations and managers are making the
move toward the active participation and teamwork that empowerment entails.
When guided properly, an empowered workforce may lead to heightened productivity and quality,
reduced costs, more innovation, improved customer service, and greater commitment from the employees of
the organization. In addition, response time may improve, because information and decisions need not be
passed up and down the hierarchy. Empowering employees makes good sense because employees closest to
the actual problem to be solved or the customer to be served can make the necessary decisions more easily
than a supervisor or manager removed from the scene.
CONDUCTING INTERNAL ENVIRONMENT ANALYSIS
Internal environment analysis or internal analysis is the process of assessing of internal resources and
capabilities of an organization to know its strengths and weaknesses. The organizational internal factors such
as goals, policies, resources, structure, culture, etc. are the source of strengths and weaknesses that resides in
different functional units such as HR, marketing, finance, production, accounting and R & D.
Internal strength and weakness together with potential opportunities and threats and a clear mission
statement provide a base for a sound objective and strategy formulation. The internal environment analysis
seeks to give to give the answers to the following questions:
a. How well the current strategy is working?

b. What is our current situation?
c. What are our strengths and weaknesses?
d. How many resources are available?
A number of various value chains are examined through internal analysis. It makes ensuring that the
business’s resources and competencies align with the external environment. It makes an effort to evaluate the

WORLD CITI COLLEGES

13
intrinsic strength of the resource base, the quantity, type, and degree of uniqueness of the resources that are
available.
The internal analysis then establishes the organization’s strategic capability, which is the degree to
which an organization’s resources and abilities are sufficient and appropriate to ensure its survival and
success.
REFERENCES

- https://www.studysmarter.co.uk/explanations/business-studies/nature-of-business/external-
environment/
- https://www.golaserengraving.com/blog/physical-environment-operate-business/
- https://www.studocu.com/ph/document/university-of-batangas/fundamentals-of-business-management-
1/chapter-3-5-sba/50682767
- https://www.cliffsnotes.com/study-guides/principles-of-management/managerial-environments/the-
internal-environment
VIDEO REFERENCES
https://www.youtube.com/watch?v=FySlTBIkGdg
MODULE 3: STRATEGIC ENVIRONMENT ANALYSIS TOOLS AND TECHNIQUES
INTRODUCTION
Strategic environment analysis tools and techniques are essential for organizations to
understand and navigate the complexities of their external environment. These tools and techniques
help in assessing factors such as market trends, competitive landscape, regulatory changes, and
technological advancements. By gaining insights into these aspects, organizations can make
informed decisions and develop effective strategies to capitalize on opportunities and mitigate risks.
Some common tools and techniques include PESTLE analysis (examining Political, Economic,
Social, Technological, Legal, and Environmental factors), SWOT analysis (evaluating Strengths,
Weaknesses, Opportunities, and Threats), scenario planning, competitive intelligence gathering, and
Porter's Five Forces analysis (assessing the industry's competitive forces). Through the application
of these tools and techniques, organizations can enhance their strategic planning processes and
adapt to dynamic business environments effectively.
analysis.

analysis.
2. Evaluate the strengths and limitations of different strategic analysis tools and techniques.

1. Formulate the following environmental analysis tools to your chosen organization:
a. SWOT analysis
b. VRIO framework
c. Value chain analysis model
d. BCG growth share matrix model

WORLD CITI COLLEGES

13
e. PESTEL analysis
LEARNING ACTIVITY:
1. What are the key strategic environment analysis tools and techniques used to assess the
competitive landscape of a business?
2. How do SWOT analysis, PESTLE analysis, Vrio Framework, Value chain analysis model, and
BCG growth – share matrix model contribute to understanding the strategic environment?
3. In what ways do organizations apply strategic environment analysis tools and techniques to
inform decision – making and gain competitive advantage?
COURSE CONTENT
HOW TO ANALYZE PHYSICAL, SOCIETAL, INDUSTRY AND INTERNAL ENVIRONMENT?
Entrepreneurial ideas arise from the changes that happen in the external environment with
entrepreneurial implications. The term external environment in this lesson refers to the physical
environment, societal environment, and the industry environment where the business operates.
A. PHYSICAL ENVIRONMENT
- Climate
- Natural resources
- Wildlife
- Other artificial or man – made objects and infrastructures
B. SOCIETAL ENVIRONMENT
- Economic forces
- Sociocultural Forces
- Political Forces
- Technological environment
C. INDUSTRY ENVIRONMENT
- Government
- Competitors
- Suppliers
- Customers
- Creditors
- Employees
SWOT ANALYSIS MODEL
SWOT (strengths, weaknesses, opportunities, and threats) analysis is a framework used to

evaluate a company's competitive position and to develop strategic planning. SWOT analysis
assesses internal and external factors, as well as current and future potential.
A SWOT analysis is designed to facilitate a realistic, fact-based, data-driven look at the

strengths and weaknesses of an organization, initiatives, or within its industry. The organization
needs to keep the analysis accurate by avoiding pre-conceived beliefs or gray areas and instead
focusing on real-life contexts. Companies should use it as a guide and not necessarily as a
prescription.
SWOT analysis is a technique for assessing the performance, competition, risk, and
potential of a business, as well as part of a business such as a product line or division, an industry,
or other entity.
Using internal and external data, the technique can guide businesses toward strategies more
likely to be successful, and away from those in which they have been, or are likely to be, less
successful. Independent SWOT analysts, investors, or competitors can also guide them on whether
a company, product line, or industry might be strong or weak and why.

WORLD CITI COLLEGES

13
COMPONENTS OF SWOT ANALYSIS
Every SWOT analysis will include the following four categories. Though the elements and
discoveries within these categories will vary from company to company, a SWOT analysis is not
complete without each of these elements:
Strengths
Strengths describe what an organization excels at and what separates it from the competition: a
strong brand, loyal customer base, a strong balance sheet, unique technology, and so on. For
example, a hedge fund may have developed a proprietary trading strategy that returns market-
beating results. It must then decide how to use those results to attract new investors.
Weaknesses
Weaknesses stop an organization from performing at its optimum level. They are areas where the
business needs to improve to remain competitive: a weak brand, higher-than-average turnover, high
levels of debt, an inadequate supply chain, or lack of capital.
Opportunities
Opportunities refer to favorable external factors that could give an organization a competitive
advantage. For example, if a country cuts tariffs, a car manufacturer can export its cars into a new
market, increasing sales and market share.
Threats
Threats refer to factors that have the potential to harm an organization. For example, a drought is a
threat to a wheat-producing company, as it may destroy or reduce the crop yield. Other common
threats include things like rising costs for materials, increasing competition, tight labor supply. and
so on.
SWOT Table
Analysts present a SWOT analysis as a square segmented into four quadrants, each dedicated to
an element of SWOT. This visual arrangement provides a quick overview of the company’s position.
Although all the points under a particular heading may not be of equal importance, they all should
represent key insights into the balance of opportunities and threats, advantages and disadvantages,
and so forth.
The SWOT table is often laid out with the internal factors on the top row and the external factors on
the bottom row. In addition, the items on the left side of the table are more positive/favorable
aspects, while the items on the right are more concerning/negative elements.
How to Do a SWOT Analysis
A SWOT analysis can be broken into several steps with actionable items before and after analyzing
the four components. In general, a SWOT analysis will involve the following steps.
Step 1: Determine Your Objective

A SWOT analysis can be broad, though more value will likely be generated if the analysis is pointed
directly at an objective. For example, the objective of a SWOT analysis may focused only on
whether or not to perform a new product rollout. With an objective in mind, a company will have
guidance on what they hope to achieve at the end of the process. In this example, the SWOT
analysis should help determine whether or not the product should be introduced.
Step 2: Gather Resources

Every SWOT analysis will vary, and a company may need different data sets to support pulling
together different SWOT analysis tables. A company should begin by understanding what
information it has access to, what data limitations it faces, and how reliable its external data sources
are.
In addition to data, a company should understand the right combination of personnel to have
involved in the analysis. Some staff may be more connected with external forces, while various staff

WORLD CITI COLLEGES

13
within the manufacturing or sales departments may have a better grasp of what is going on
internally. Having a broad set of perspectives is also more likely to yield diverse, value-adding
contributions.
Step 3: Compile Ideas

For each of the four components of the SWOT analysis, the group of people assigned to performing
the analysis should begin listing ideas within each category. Examples of questions to ask or
consider for each group are in the table below.
Internal Factors
What occurs within the company serves as a great source of information for the strengths and
weaknesses categories of the SWOT analysis. Examples of internal factors include financial
and human resources, tangible and intangible (brand name) assets, and operational efficiencies.
Potential questions to list internal factors are:
 (Strength) What are we doing well?

 (Strength) What is our strongest asset?
 (Weakness) What are our detractors?
 (Weakness) What are our lowest-performing product lines?
External Factors
What happens outside of the company is equally as important to the success of a company as
internal factors. External influences, such as monetary policies, market changes, and access to
suppliers, are categories to pull from to create a list of opportunities and weaknesses.1
Potential questions to list external factors are:
 (Opportunity) What trends are evident in the marketplace?

 (Opportunity) What demographics are we not targeting?
 (Threat) How many competitors exist, and what is their market share?
 (Threat) Are there new regulations that potentially could harm our operations or products?
Companies may consider performing this step as a "white-boarding" or "sticky note" session. The
idea is there is no right or wrong answer; all participants should be encouraged to share whatever
thoughts they have. These ideas can later be discarded; in the meantime, the goal should be to
come up with as many items as possible to invoke creativity and inspiration in others.
Step 4: Refine Findings

With the list of ideas within each category, it is now time to clean-up the ideas. By refining the
thoughts that everyone had, a company can focus on only the best ideas or largest risks to the
company. This stage may require substantial debate among analysis participants, including bringing
in upper management to help rank priorities.
Step 5: Develop the Strategy

Armed with the ranked list of strengths, weaknesses, opportunities, and threats, it is time to convert
the SWOT analysis into a strategic plan. Members of the analysis team take the bulleted list of
items within each category and create a synthesized plan that provides guidance on the original
objective.

WORLD CITI COLLEGES

13
For example, the company debating whether to release a new product may have identified that it is
the market leader for its existing product and there is the opportunity to expand to new markets.
However, increased material costs, strained distribution lines, the need for additional staff, and
unpredictable product demand may outweigh the strengths and opportunities. The analysis team
develops the strategy to revisit the decision in six months in hopes of costs declining and market
demand becoming more transparent.
Benefits of SWOT Analysis
A SWOT analysis won't solve every major question a company has. However, there's a number of
benefits to a SWOT analysis that make strategic decision-making easier.
 A SWOT analysis makes complex problems more manageable. There may be an

overwhelming amount of data to analyze and relevant points to consider when making a
complex decision. In general, a SWOT analysis that has been prepared by paring down all
ideas and ranking bullets by importance will aggregate a large, potentially overwhelming
problem into a more digestible report.
 A SWOT analysis requires external consider. Too often, a company may be tempted to
only consider internal factors when making decisions. However, there are often items out of
the company's control that may influence the outcome of a business decision. A SWOT
analysis covers both the internal factors a company can manage and the external factors
that may be more difficult to control.
 A SWOT analysis can be applied to almost every business question. The analysis can
relate to an organization, team, or individual. It can also analyze a full product line, changes
to brand, geographical expansion, or an acquisition. The SWOT analysis is a versatile tool
that has many applications.
 A SWOT analysis leverages different data sources. A company will likely use internal
information for strengths and weaknesses. The company will also need to gather external
information relating to broad markets, competitors, or macroeconomic forces for
opportunities and threats. Instead of relying on a single, potentially biased source, a good
SWOT analysis compiles various angles.
 A SWOT analysis may not be overly costly to prepare. Some SWOT reports do not need
to be overly technical; therefore, many different staff members can contribute to its
preparation without training or external consulting.
VRIO FRAMEWORK
VRIO framework is the tool used to analyze a firm’s internal resources and capabilities to find
out if they can be a source of sustained competitive advantage. The term VRIO comes from the
words; VALUE, RARITY, IMITABILITY, AND ORGANIZATION.
In order to understand the sources of competitive advantage, firms are using many tools to
analyze their external (Porter’s 5 Forces, PEST analysis) and internal (Value Chain analysis, BCG
Matrix) environments.
One such tool that analyzes a firm’s internal resources is VRIO analysis. The tool was
originally developed by Barney, J. B. (1991) in his work ‘Firm Resources and Sustained Competitive
Advantage’, where the author identified four attributes that a firm’s resources must possess in order
to become a source of sustained competitive advantage.
According to him, the resources must be valuable, rare, imperfectly imitable and non-
substitutable. His original framework was called VRIN. In 1995, in his later work ‘Looking Inside for
Competitive Advantage’ Barney introduced the VRIO framework, which was the improvement of the
VRIN model.
VRIO analysis stands for four questions that ask if a resource is: valuable? rare? costly to
imitate? And is a firm organized to capture the value of the resources? A resource or capability that
meets all four requirements can bring sustained competitive advantage for the company.

WORLD CITI COLLEGES

13
Valuable
The first question of the framework asks if a resource adds value by enabling a firm to exploit
opportunities or defend against threats. If the answer is yes, then a resource is considered valuable.
Resources are also valuable if they help organizations to increase the perceived customer value.
This is done by increasing differentiation or/and decreasing the price of the product. The resources
that cannot meet this condition, lead to competitive disadvantage. It is important to continually review
the value of the resources because constantly changing internal or external conditions can make
them less valuable or completely useless.
Rare
Resources that can only be acquired by one or very few companies are considered rare. Rare and
valuable resources grant a temporary competitive advantage. On the other hand, the situation when
more than a few companies have the same resources or use the same capability in a similar way
leads to competitive parity. This is because firms can use identical resources to implement the same
strategies and no organization can achieve superior performance.
Even though competitive parity is not the desired position, a firm should not neglect the resources
that are valuable but common. Losing valuable resources and capabilities would hurt an organization
because they are essential for staying in the market.
Costly to Imitate
A resource is costly to imitate if other organizations that don’t have it can’t imitate, buy or substitute it
at a reasonable price. Imitation can occur in two ways: by directly imitating (duplicating) the resource
or providing a comparable product/service (substituting).
A firm that has valuable, rare and costly to imitate resources can (but not necessarily will) achieve
sustained competitive advantage. Barney has identified three reasons why resources can be hard to
imitate:

WORLD CITI COLLEGES

13
 Historical conditions. Resources that were developed due to historical events or over
a long period usually are costly to imitate.
 Causal ambiguity. Companies can’t identify the particular resources that are the cause
of competitive advantage.
 Social Complexity. The resources and capabilities that are based on the company’s
culture or interpersonal relationships.
Organized to Capture Value
The resources themselves do not confer any advantage for a company if it’s not organized to capture
the value from them. A firm must organize its management systems, processes, policies,
organizational structure and culture to be able to fully realize the potential of its valuable, rare and
costly to imitate resources and capabilities. Only then the companies can achieve sustained
competitive advantage.
STEPS IN USING VRIO ANALYSIS
Step 1. Identify valuable, rare and costly to imitate resources
There are two types of resources: tangible and intangible. Tangible assets are physical things like
land, buildings and machinery. Companies can easily buy them in the market, so tangible assets are
rarely the source of competitive advantage.
On the other hand, intangible assets, such as brand reputation, trademarks, intellectual property,
unique training system or unique way of performing tasks, can’t be acquired so easily and offer the
benefits of sustained competitive advantage. Therefore, to find valuable, rare and costly to imitate
resources, you should first look at the company’s intangible assets.
Finding valuable resources:
An easy way to identify such resources is to look at the value chain and SWOT analyses. Value
chain analysis identifies the most valuable activities, which are the source of cost or differentiation
advantage. By looking into the analysis, you can easily find valuable resources or capabilities. In
addition, SWOT analysis recognizes the strengths of the company that are used to exploit
opportunities or defend against threats (which is exactly what a valuable resource does). If you still
struggle finding valuable resources, you can identify them by asking the following questions:
 Which activities lower the cost of production without decreasing perceived customer
value?
 Which activities increase product or service differentiation and perceived customer
value?
 Has your company won an award or been recognized as the best in something? (most
innovative, best employer, highest customer retention or best exporter)
 Do you have access to scarce raw materials or hard-to-get in distribution channels?
 Do you have a special relationship with your suppliers? Such as a tightly integrated
order and distribution system powered by unique software?
 Do you have employees with unique skills and capabilities?
 Do you have a brand reputation for quality, innovation, and customer service?
 Do you perform any tasks better than your competitors do? (Benchmarking is useful
here)
 Does your company hold any other strengths compared to rivals?
Finding rare resources:
 How many other companies own a resource or can perform capability in the same
way in your industry?
 Can a resource be easily bought in the market by rivals?
 Can competitors obtain the resource or capability in the near future?
Finding costly to imitate resources:
 Do other companies can easily duplicate a resource?

 Can competitors easily develop a substitute resource?

WORLD CITI COLLEGES

13
 Do patents protect it?
 Is a resource or capability socially complex?
 Is it hard to identify the particular processes, tasks, or other factors that form the
resource?
Step 2. Find out if your company is organized to exploit these resources
The following questions might be helpful:
 Does your company have an effective strategic management process in the

organization?
 Are there effective motivation and reward systems in place?
 Does your company’s culture reward innovative ideas?
 Is an organizational structure designed to use a resource?
 Are there excellent management and control systems?
Step 3. Protect the resources
When you identify a resource or capability that has all 4 VRIO attributes, you should protect it using
all possible means. After all, it is the source of your sustained competitive advantage.
The first thing you should do is to make the top management aware of such resources and suggest
how it can be used to lower the costs or to differentiate the products and services. Then, you should
think of ideas on how to make it more costly to imitate. If other companies aren’t be able to imitate a
resource at reasonable prices, it will stay rare for much longer.
Step 4. Constantly review VRIO resources and capabilities
The value of the resources changes over time and they must be reviewed constantly to find out if
they are as valuable as they once were. Competitors are also keen to achieve the same competitive
advantages so they’ll be keen to replicate the resources, which means that they will no longer be
rare. Often, new VRIO resources or capabilities are developed inside an organization, and by
identifying them, you can protect your sources of competitive advantage more easily.
VALUE CHAIN ANALYSIS MODEL
VALUE CHAIN
A value chain is a series of consecutive steps that go into the creation of a finished product, from its
initial design to its arrival at a customer's door. The chain identifies each step in the process at
which value is added, including the sourcing, manufacturing, and marketing stages of its production.
A company conducts a value-chain analysis by evaluating the detailed procedures involved in each
step of its business. The purpose of a value-chain analysis is to increase production efficiency so
that a company can deliver maximum value for the least possible cost.

WORLD CITI COLLEGES

13
What Is Value Chain Analysis?
Michael E. Porter, a Harvard Business School professor, is credited with introducing the concept of
a value chain in his 1985 book The Competitive Advantage: Creating and Sustaining Superior
Performance.
"The value chain disaggregates a firm into its strategically relevant activities in order to understand
the behavior of costs and the existing and potential sources of differentiation," he wrote. "A firm
gains competitive advantage by performing these strategically important activities more cheaply or
better than its competitors."
Value chain analysis is the process of identifying each of these activities, determining their costs
and the value they deliver, and then looking for ways to optimize them in keeping with the
company's overall strategy.
As the Harvard Business School puts it, this process "forces managers to consider and see each
activity not just as a cost, but as a step that has to add some increment of value to the finished
product or service."
An Example of Value Chain Activities
Consider an asset management firm. Its value chain might consist of the following kinds of activities:
Primary activities
 Investing: The investment team (portfolio managers, analysts) is tasked with making the
investment decisions.
 Operations and trading: The operations and trading teams are tasked with ensuring the
investments are in line with the clients' goals and the trades are made at the best
execution price.
 Marketing and sales: Responsible for procuring additional clients for the firm.
 Service (client relationship management): Responsible for providing all the touch points
to current clients.
Secondary (or support) activities
 Technology: To make the operation run smoothly,

 Human resources: To find and retain talent for the firm.

WORLD CITI COLLEGES

13
 Other infrastructure: This includes the lawyers and risk managers who ensure that the firm
is operating within the regulations established by the SEC.
That may be only a partial list. In Porter's words, "Everything a firm does should be captured in a
primary or support activity."
How to Use Value Chain Analysis
In examining its value chain, a business needs to consider its value proposition, or what sets it apart
from its competitors. Value chain analysis may be conducted with the goal of improving profits by
creating a product or service that is so superior that customers are willing to pay more for it, or one
that undercuts the competition by delivering a product or service of respectable quality at a lower
price.
Improving a value chain simply for the sake of improvement should not be the end goal. Instead, a
company should decide why it wants to improve its value chain in the context of its desired
competitive advantage.
Two common competitive advantage strategies include low-cost provider and

specialization/differentiation of product or service.
 Low-cost provider. Here the value chain analysis will focus largely on costs and how a
company can reduce those costs to give itself a competitive advantage in the marketplace.
 Specialization/differentiation. In this strategy, the analysis will focus on the activities that
create a unique product or differentiation in service, which may, in turn, allow it to charge a
higher price.
Let's go back to our asset management example. If the firm wants to pursue a strategy of
differentiation by delivering steady, top quartile returns on clients' investments, it will focus on the
investment team, operations, and traders, along with the related support activities. If its goal is to
differentiate itself through stellar service, it will focus its efforts on client relationship management.
The Bottom Line
Value chain analysis can help companies identify ways to create and deliver products and services
that, by virtue of their superior quality or lower cost, provide a competitive advantage in the
marketplace. Conducting a value chain analysis can focus management on which activities add the
most value, in keeping with the company's overall competitive strategy, and help drive future
products and services. Another benefit is that the analysis can draw attention to support activities,
which are sometimes overlooked in adding value.
VALUE CHAIN MODEL

WORLD CITI COLLEGES

13
BCG GROWTH – SHARE MATRIX MODEL
What Is a BCG Growth-Share Matrix?
The Boston Consulting Group (BCG) growth-share matrix is a planning tool that uses graphical
representations of a company’s products and services in an effort to help the company decide what
it should keep, sell, or invest more in.
The matrix plots a company’s offerings in a four-square matrix, with the y-axis representing the rate
of market growth and the x-axis representing market share. It was introduced by the Boston
Consulting Group in 1970.
What Are the 4 Quadrants of the BCG Matrix?
The BCG Growth-Share Matrix uses a 2x2 grid with growth on one axis and market share on the
other. Each of the four quadrants represents a specific combination of relative market share and
growth:
1. Low Growth, High Share: Companies should milk these cash cows for cash to reinvest
elsewhere.
2. High Growth, High Share: Companies should significantly invest in these stars as they
have high future potential.
3. High Growth, Low Share: Companies should invest in or discard these question marks,
depending on their chances of becoming stars.
4. Low Share, Low Growth: Companies should liquidate, divest, or reposition these pets.
How Does the BCG Matrix Work?
The BCG Growth-Share Matrix considers a company's growth prospects and available market share
via a 2x2 grid. By assigning each business to one of these four categories, executives can then
decide where to focus their resources and capital to generate the most value, as well as where to
cut their losses.
PESTEL ANALYSIS

WORLD CITI COLLEGES

13
A PESTEL analysis is a strategic framework commonly used to evaluate the business environment in
which a firm operates. Traditionally, the framework was referred to as a PEST analysis, which was
an acronym for Political, Economic, Social, and Technological; in more recent history, the framework
was extended to include Environmental and Legal factors as well.
REFERENCES

- https://www.studocu.com/ph/document/san-pedro-college/entrepreneurship/the-physical-societal-
industry-environment/16562208
- https://www.investopedia.com/terms/s/swot.asp
- https://strategicmanagementinsight.com/tools/vrio/
- https://www.investopedia.com/terms/v/valuechain.asp
- https://www.investopedia.com/terms/b/bcg.asp#:~:text=What%20Is%20a%20BCG%20Growth,sell%2C
%20or%20invest%20more%20in.
- https://corporatefinanceinstitute.com/resources/management/pestel-analysis/
VIDEO REFERENCES
https://www.youtube.com/watch?v=JXXHqM6RzZQ
https://www.youtube.com/watch?v=I-5gaT7AVUM
https://www.youtube.com/watch?v=9UGCsENl8rI
https://www.youtube.com/watch?v=daTr6_FLV-o
MODULE 4: CORPORATE LEVEL STRATEGY
INTRODUCTION
Corporate level strategy involves the overarching plans and decisions made by a company's
top management to define its scope and direction. It deals with the questions of what businesses a
company should be in and how it should manage its portfolio of businesses to achieve its overall
goals. This level of strategy typically addresses issues such as diversification, vertical integration,
mergers and acquisitions, strategic alliances, and portfolio management. Corporate level strategy is
crucial for guiding the overall direction of the organization and ensuring that it remains competitive
and aligned with its long-term objectives.

WORLD CITI COLLEGES

13
1. Interpret results, drawing conclusions, and formulating strategic

recommendations that align with organizational goals and objectives.

1. Understand the corporate – level strategy, including the various approaches such as
diversification, mergers and acquisitions, strategic alliances, and international expansion.
2. Evaluate and implement strategies that integrate and align multiple business units within a
corporation.
3. Develop practical skills in formulating, implementing and adapting corporate – level strategies.
1. How does corporate-level strategy contribute to enhancing a company's competitive advantage and
long-term sustainability?
2. What are the main approaches to diversification in corporate-level strategy, and how do companies
decide which approach to pursue?
3. How does corporate governance structure influence the effectiveness of corporate-level strategy
implementation and decision-making?
LEARNING ACTIVITY:
1. Formulate a corporate level strategy for a certain organization of your choice using
the following format:
a. Understand the business environment
b. Define clear goals and objectives
c. Conduct necessary analysis
d. Evaluate strategic options
- Strategic fit
- Feasibility
- Interdependencies
- Financial reward and risk
COURSE CONTENT
CONCEPT AND NATURE OF STRATEGY
The word "Strategy" is derived from the Greek word "Strategia", which means Generalship.
The term strategy entered the business world from military services where it was originally used.
Strategy tries to achieve synergy and balance between objective, resources and concept to
maximize the possibility of success and fruitful results. The purpose of formulating strategy is to bring
consistency and alignment in the activities of an organization, which can be accomplished by various
methods and resources. Strategy refers to determining the fundamental long-term organizational
goals and at the same time developing plans, acquiring. allocating and deploying resources in order
to achieve those goals.
Strategy helps an organization to minimize the strength of competitors by maximizing its own
strengths. Strategy work as a blueprint of an organization that define its vision, mission and also
helps in determining the future course of action. Strategy is formulated to achieve current goals of
enterprise by optimum allocation and utilization of internal resources and by collaborating different
organizational pursuits.
Strategy is not as simple as it seems to be. However, a logical understanding of its theory
helps to grasp it and work with more ease. Theories help in understanding various concepts relating
to strategy such as definition, term, assumptions and their explanation, proposition and related
hypothesis and the techniques used in the rest of modify them.
CORPORATE STRATEGY

WORLD CITI COLLEGES

13
Corporate Strategy takes a portfolio approach to strategic decision making by looking across
all of a firm’s businesses to determine how to create the most value. In order to develop a corporate
strategy, firms must look at how the various business they own fit together, how they impact each
other, and how the parent company is structured, in order to optimize human capital, processes, and
governance. Corporate Strategy builds on top of business strategy, which is concerned with the
strategic decision making for an individual business.
WHAT ARE THE FOUR COMPONENTS OF CORPORATE STRATEGY?
There are several important components of corporate strategy that leaders of organizations
focus on. The main tasks of corporate strategy are:
1. Allocation of resources – allocation of people assets and capital assets

2. Organizational design – centralized / decentralized and organizational
structure (chart)
3. Portfolio management – nature of business, diversification, new ventures,
and monitoring competitors
4. Strategic tradeoffs – managing risk, generating returns and incentives

WORLD CITI COLLEGES

13
GROWTH STRATEGY
A growth strategy is a detailed outline that lists the actions businesses plan to take to expand
operations, increase revenue and boost market reach. With a growth strategy, an organization
evaluates its financial, market and industry positions to establish clear objectives that help the
business develop over time. A strategy for growth can require different departments and teams to
work together to further the company's goals. As an action plan, your growth strategy can include the
following components:
a. Goals – define what the company hopes to achieve with a growth strategy
b. People – outline who is involved in the project
c. Product – consider whether the company has positioned a product to help achieve its
goal
d. Tactics – identify the steps the company can take to reach its goal
Examples of growth strategy goals include increasing market share and revenue, acquiring assets
and improving the organization's products or services. The growth strategy your employer
implements may include aspects such as:
a. Investing in new software

b. Conducting market research
c. Adding new locations
d. Hiring new employees
e. Lowering the cost of production
STABILITY STRATEGY
The stability strategy of an organization is an attempt to continue its business activities

without bringing any significant changes in its operation and direction. Through this strategy, firms try
to maintain their current market position, and if they change only incremental changes are made.
A stability strategy is one of the corporate-level strategies. Under this strategy, as firms seek
to maintain their current position in the marketplace, they do not bring any significant changes in their
product, market, plans, policies, and activities.
Sometimes this strategy is also called lack of strategy. It can be suitable for successful big
organizations and it also is for small-scale firms that are happy with their current sales and profit and
when the market environment seems stable.
This strategy may be very suitable for the short term as well as can be dangerous if followed
for too long.
TYPES OF STABILITY STRATEGY
1. NO CHANGE STRATEGY – no changes or everything remains constant

2. PROFIT STRATEGY – utilizing existing operations to increase profit, decrease
expenses or cost cutting
3. PAUSE STRATEGY – temporary halting operations or freezing the production of a
product
RETRENCHMENT STRATEGY
Retrenchment refers to a strategic approach that organizations adopt when they face financial
difficulties, operational inefficiencies, or a decline in their market position.
It involves a series of deliberate actions aimed at cutting costs, optimizing resources, and
repositioning the company for long-term sustainability.

WORLD CITI COLLEGES

13
The ultimate goal of retrenchment is to steer the organization away from the risks of further decline
and toward a path of stability and growth.
WHAT IS RETRENCHMENT STRATEGY?
Retrenchment strategies refer to a set of deliberate measures that organizations undertake

to reverse or prevent a decline in their financial position.
When a company faces negative cash flows, declining sales, or operational inefficiencies, it
may employ retrenchment strategies as a part of its corporate-level strategy.
These strategies aim not only to restore financial stability but also to position the company
for long-term success by realigning its business operations, cutting excesses, and optimizing
resources.
Their primary purpose is to guide a company back towards a cost-efficient and sustainable
path.
TYPES OF RETRENCHMENT STRATEGY
1. DOWNSIZING
2. DIVESTMENT
3. CLOSURE
REASONS FOR RETRENCHMENT STRATEGY
1. ECONOMIC DOWNTURNS
2. DECLINING MARKET DEMAND
3. INEFFICIENCIES OF OPERATIONS
4. RAPID TECHNOLOGICAL ADVANCEMENTS
BENEFITS OF RETRENCHMENT STRATEGY
1. COST REDUCTION
2. STRATEGIC FOCUS
3. IMPROVED FINANCIAL HEALTH
CRAFTING A CORPORATE LEVEL STRATEGY
1. Understand your business environment

2. Define clear goals and objectives
3. Conduct necessary analysis (SWOT, PESTEL, VRIO, BCG and the like)
4. Evaluate strategic options
a. Strategic fit – this determines if the option or the course of action is applicable
based on the current operations of the firm
b. Feasibility – ease of implementing an option or course of action. It determines
if it is an efficient and effective way to achieve the set goals and objectives of
the firm.
c. Interdependencies – determining if the strategy is independent or
interconnected.
- Mutual exclusions – arise when pursuing one strategic option
hinders or conflict with another

WORLD CITI COLLEGES

13
-Dependencies – occur when the implementation of one option
facilitates or enables the execution of another.
d. Financial reward and risk – cost and benefit analysis
REFERENCES

- https://www.toppers4u.com/2020/12/strategy-importance-nature-levels-of.html#google_vignette
- https://corporatefinanceinstitute.com/resources/management/corporate-strategy/
- https://www.indeed.com/career-advice/career-development/strategy-for-growth
- https://tyonote.com/stability_strategy/
- https://www.shiftbase.com/glossary/retrenchment-strategy
- https://www.profit.co/blog/okr-university/crafting-a-successful-corporate-strategy-key-factors/
VIDEO REFERENCES
- https://www.youtube.com/watch?v=HCZHTWkv_hk
- https://www.youtube.com/watch?v=kBjXOtNHc7c
- https://www.youtube.com/watch?v=isVsG6d9dmw
MODULE 5: BUSINESS LEVEL STRATEGY
INTRODUCTION
Business level strategy refers to the set of choices and actions a company undertakes to gain
a competitive advantage in a particular industry or market segment. It involves decisions regarding
how the company will position itself relative to competitors, what customer needs it will satisfy, and
how it will differentiate its products or services. Business level strategy typically focuses on a specific
business unit or product line within a larger organization and aims to maximize its performance and
profitability. Key components of business level strategy include identifying target customers,
designing value propositions, establishing competitive advantages, and implementing tactics to
achieve business goals. Effective business level strategy is essential for companies to achieve
sustainable growth and outperform competitors in the marketplace.

1. Understand the business – level strategies, focusing on how organizations can achieve a sustainable
competitive advantage within a specific market or industry.

WORLD CITI COLLEGES

13
2. Conduct market analysis and recognize opportunities for competitive advantage.
3. Execute business – level strategies and measure their performance.
1.
LEARNING ACTIVITY:
1.
COURSE CONTENT
WHAT IS BUSINESS STRATEGY?
Business level strategy is a sum of the strategic planning and implementation activities that set
and steer the direction of an individual business unit. These activities will generally include how
to gain a competitive advantage and create customer value in the specific market the business unit
operates in.
As a result, organizations with only one distinct business will often combine business strategy with
corporate strategy as a single strategy level.
BENEFITS OF A BUSINESS STRATEGY
Before we dive deeper into business strategy, let's quickly discuss why you should have it
regardless of your business model or company size. A well-defined business strategy:
 Provides a clear roadmap and purpose, guiding decision-making and resource allocation.
 Helps align the efforts of different departments and teams, fostering coordination and
synergy.
 Enhances competitive advantage by identifying unique value propositions and differentiation
opportunities.
 Aids in identifying and capitalizing on market opportunities while mitigating potential strategic
risks.
 Improves organizational efficiency, promotes innovation, and enables effective measurement
and performance evaluation.
Ultimately, a well-planned and executed business strategy can lead to sustainable growth,
profitability, and long-term success.
TYPES OF BUSINESS LEVEL STRATEGIES

WORLD CITI COLLEGES

13
1. COST LEADERSHIP – is all about offering products at a lower price than your
competitors
2. DIFFERENTIATION – development and marketing of products in a manner that provides

greater value to customers and focuses on unique features that warrant a higher price
point.
3. FOCUSED COST LEADERSHIP – concentrate their efforts by targeting a niche market or

even a subset of that niche to further reduce costs
4. FOCUSED DIFFERENTIATION – involves standing out from competitors while

concentrating efforts on a smaller subset of their customer base
5. INTEGRATED LOW – COST / DIFFERENTIATION – combining low cost strategy and

differentiation
COMPETITIVE STRATEGY
A competitive strategy is a set of policies and procedures that a business uses to gain a
competitive advantage in the market. It's the process of identifying and executing actions that allow a
business to improve its competitive position. Businesses may use various competitive strategies to
raise the value of their products and services for consumers, investors and employees. They also
implement these strategies to gain sustainable revenue streams.
FACTORS TO CONSIDER WHEN CHOOSING A COMPETITIVE STRATEGY
A. BUSINESS SIZE
B. RESOURCES A COMPANY HAS
C. EXISTING REPUTATION OF A COMPANY

WORLD CITI COLLEGES

13
COOPERATIVE STRATEGY
A cooperative strategy (or cooperation strategy) concerns an attempt by an organization to

cooperate with other firms in the achievement of its objectives. The cooperation may serve to reduce
costs, sure up supply chains, reduce competition, add resources/knowledge/skillsets, and create
other synergies. The cooperation can be between suppliers, buyers, unrelated businesses, or even
competitors - the antitrust law may be implicated. Generally, this cooperation is carried out in the
form of a strategic alliance.
COMMON STRUCTURE FOR STRATEGIC ALLIANCE
1. JOINT VENTURE – two or more companies come together for a specific purpose
for a specific period of time
2. EQUITY STRATEGIC ALLIANCE – an alliance which two companies invest
money in the other
3. NON – EQUITY STRATEGIC ALLIANCE – a contractual partnership whereby two
or more companies coordinate efforts and share resources
FACTORS INFLUENCING THE SELECTION OF A BUSINESS LEVEL STRATEGY
ISSUES TO RESOLVE IN BUSINESS LEVEL STRATEGY FORMULATION
CRAFTING A BUSINESS LEVEL STRATEGY
4. Analyze where you currently stand – analyze key information about your business’s
present state and performance
5. Prioritize focus areas – identify the key areas you’ll be focusing on when working
towards your vision
6. Define strategic objectives – what do you want to accomplish
7. Assign KPIs (Key Performance Indicators) – values that will help measure your
business or department’s progress
8. Create projects – what will you do or strategies to do to accomplish your objectives
REFERENCES

- https://www.indeed.com/career-advice/career-development/competitive-strategy
- https://www.cascade.app/blog/business-level-strategy
- https://thebusinessprofessor.com/en_US/business-management-amp-operations-strategy-
entrepreneurship-amp-innovation/cooperative-strategy
VIDEO REFERENCES
FINAL OUTPUT
TOPIC: ENVIRONMENTAL ANALYSIS OF CERTAIN ORGANIZATION

OUTPUT: STRATEGIC PLAN FOR A CERTAIN ORGANIZATION
INSTRUCTIONS:
1. Choose a specific organization in which belongs to the marketing industry or has a
marketing department in their organization.
2. Assess the current environment (external) in which affects the organization using the
following factors:

WORLD CITI COLLEGES

13
a. Political
b. Economic
c. Social
d. Technological
e. Environment (Internal and external)
f. Legal
- 20 respondents (employees and business owners)
Format:
ii. Introduction (brief history of the company)
iii. Products offered with description
iv. Organizational structure with organizational chart
v. Presentation of the data gathered (Tabular and textual presentation)
vi. Strategic plan to address the current and possible problems of the firm. Use the
following format:
FACTOR ITEM STATEMENT TARGET

NO. SPECIFIC STRATEGY TIME FRAME
ASSESSED ADDRESSED OUTPUT
1
2
3
4
5

strategic management module

Uploaded by

Document Information

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

strategic management module

Uploaded by

Copyright:

Available Formats

WORLD CITI COLLEGES

COLLEGE OF BUSINESS ADMINISTRATION

STRATEGIC MANAGEMENT FM3

VISION AND MISSION OF THE COLLEGE OF BUSINESS ADMINISTRATION

WCC’s CORE VALUES:

The Graduates must manifest the following core values of WCC:

Course Title : STRATEGIC MANAGEMENT

COURSE LEARNING OUTCOMES:

Students at the end of the course are expected to:

Prepared by: Mr. Macky C. Herezo, PHD. BA. Page 1 of 36

STRATEGIC MANAGEMENT FM3

No. of Module Topic Sub Topic

Week 11 MODULE 5 BUSINESS LEVEL  Business Strategy

Prepared by: Mr. Macky C. Herezo, PHD. BA. Page 2 of 36

STRATEGIC MANAGEMENT FM3

PUNCTUALITY AND ATTENDANCE

Below are examples of absences:

Here is how the grade is computed:

1. The grading system of the college is averaging, using numerical or percentage

Prepared by: Mr. Macky C. Herezo, PHD. BA. Page 3 of 36

STRATEGIC MANAGEMENT FM3

Midterm Grade = Average of quizzes + Class Standing + Prelim Exam

Final Grade = Average of quizzes + Class Standing + Prelim Exam

Over-all Grade = Preliminary Grade + Midterm Grade + Final Grade

COMPONENTS OF CLASS STANDING

GENERAL WEIGHTED AVERAGE

Courses Units Grade Grade X No. of Units

29.75 = General Weighted Average

Prepared by: Mr. Macky C. Herezo, PHD. BA. Page 4 of 36

STRATEGIC MANAGEMENT FM3

 Main ideas clear  Ideas are not well

Prepared by: Mr. Macky C. Herezo, PHD. BA. Page 5 of 36

STRATEGIC MANAGEMENT FM3

MODULE 1. PART I. ORIENTATION

WCC commits itself to the improvement of lives and advancement of society by

C. WCC’s core values

VISION AND MISSION OF THE COLLEGE OF BUSINESS ADMINISTRATION

Prepared by: Mr. Macky C. Herezo, PHD. BA. Page 6 of 36

STRATEGIC MANAGEMENT FM3

Understanding strategic management is a pivotal aspect of modern organizational leadership, involving

COURSE LEARNING OUTCOMES:

INTENDED LEARNING OUTCOMES

Essential learning questions:

NATURE OF STRATEGIC MANAGEMENT

Prepared by: Mr. Macky C. Herezo, PHD. BA. Page 7 of 36

STRATEGIC MANAGEMENT FM3

DEFINITION OF STRATEGIC MANAGEMENT

STAGES OF STRATEGIC MANAGEMENT

Prepared by: Mr. Macky C. Herezo, PHD. BA. Page 8 of 36

STRATEGIC MANAGEMENT FM3

Evaluating the Strategy's Results

Modification and Amplification

WHY IS STRATEGIC MANAGEMENT IMPORTANT?

Specifically, strategic management is important in organizations because:

BENEFITS OF STRATEGIC MANAGEMENT

1. Improved decision-making: Strategic management provides a framework for better decision-

Prepared by: Mr. Macky C. Herezo, PHD. BA. Page 9 of 36

STRATEGIC MANAGEMENT FM3

STRATEGIC MANAGEMENT MODEL

- STRATEGIC MANAGEMENT: A Procedural Approach with Cases – Nick L. Aduana (2021)

MODULE 2: ENVIRONMENTAL ANALYSIS

COURSE LEARNING OUTCOMES:

1. Develop strategic plans and translating them into actionable initiatives.

INTENDED LEARNING OUTCOMES