Global Strategy - Essay Example

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The strategy formation basically has three phases which are diagnosis, formulation and implementation. Strategy management is an ongoing process which is done to continuously improve…
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Global Strategy
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"Global Strategy"

Download file to see previous pages The formation of strategy has to be done very carefully keeping various factors in mind so that the strategy becomes successful and the company gets advantage from it in many ways.
In 1980, market guru Michel Porter formulated the five forces focused on the formation of strategy based on the internal and external factors which influences a huge role in the business operation. These five forces are been set up based on the competitors that the company has in the market and these has limited the effectiveness of the strategic management to a great extent. Teece in 2007 defined the strategy formulation as the strategy being the essence of strategy which involves the selection and developing of technologies and the business models that are been built to provide the competitive advantage to the company through by removing the difficulties and thereby providing a competitive edge over the other competitors. For implementing an effective strategy the company needs to follow 6 major steps. These steps are been listed below.
Define the organization- The company should know what the company is all about, who are its customers, how the company’s products can create value for the customers and also have a clear idea about the needs and wants of the customers.
Define the strategic mission- Based on the knowledge about the company, the customers the company needs to define the mission for the strategy which will include the specific objectives and the goals that the company needs to achieve.
Define the strategic objectives- Based on the mission statements the company needs to set up the clear objectives for the employees, these objectives will help them to focus and work towards a particular direction.
The strategies implemented by the company are made either deliberately or by the emergence of a strategy from a particular situation. For a particular strategy to be ...Download file to see next pagesRead More
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