Alluring Comeback of Strategic Management - Essay Example

The corporate world only had little idea that the efficiency approach was only giving them a less competitive advantage (Byrne par. 4). They were so focused on directly creating revenues and profits and there was little understanding of how to generate competitive advantage in particular.

In years when competition is becoming fierce in global business, competitive advantage is a must. A company should aim to be a cut above the other. It is for this reason that strategic planning is necessary. Corporate strategies are needed. Amid tough competition, companies could not afford to drop their chances to move in the right direction. Thus, businesses can grasp once again the importance of strategic management. They are once again trying to sort out their business by cows, dogs, stars, and question marks. However, this seems to be classical. Strategic management comes back with substantial interaction with customers and suppliers. In other words, the saturated focus on the production approach just to be able to achieve higher revenues and profits was gone. This is replaced once again with strategies that are highly in line with how to create needs for certain services and product offerings since everyone seems to be busy trying to achieve a high level of competitive advantage. Thus, competitive strategies need to be tapped.

White-space opportunity

 Some markets are not served and have the potential for the company’s high growth. In other words, companies may obtain great opportunities in serving these markets with potential. Other companies may be busy serving a certain market segment, but there are other segments out there with corresponding opportunities once they are catered to. These markets are called white space. Thus, catering to them is called a white-space opportunity.

 Value migration

Customer value is very important in every business that tries to become a cut above the others. In other words, it is important to come up with business models that could sufficiently provide the best offerings of great value for the customer. Thus, there are needed transitions in the process to obtain this goal. The very process of this transition can be therefore considered as value migration because there is a need to adapt to new, efficient, or effective business models for instance.

 Business Ecosystem

The business ecosystem is an organization’s network which primarily includes the components of the value chain such as suppliers, distributors, customers, competitors, and the list goes on.

Leadership in innovation

Today, due to the tough and adverse environment for business competition, each organization tries to become the leader in innovation. For instance, Apple Incorporated is much known for its innovative strategies. The innovation it incorporated to reach its competitive advantage has something to do with its goal to become the market leader for its line of products.

Had the article been written in 2009 instead of 1996, leadership in innovation would have been one of the issues written in it. This has to be integrated with the issues of competitive advantage in which the bottom line is how to create needs for certain offerings.