Strategy : A View from the Top

by De Kluyver, Cornelis A; Pearce, John A.

• ISBN13: 9780136041405
• ISBN10: 013604140X
• Edition: 3rd
• Format: Paperback
• Copyright: 2009-01-01
• Publisher: Prentice Hall

Summary

This book is designed to be a practical guide for executives, MBA and Executive MBA students, and serve as background reading in a wide variety of strategy courses. As the previous editions, the third edition is brief, practical in focus, highly readable, and maintains a top-management perspective throughout. Book jacket.

Author Biography

Cornelis A. de Kluyver, Masatoshi Ito Professor of Management, Peter F. Drucker and Masatoshi Ito Graduate School of Management, Claremont Graduate University John A. Pearce II, VSB Endowed Chair in Strategic Management and Entrepreneurship and Professor of Management, Villanova School of Business, Villanova University

Table of Contents

Preface	p. xiii
What Is Strategy?	p. 1
Introduction	p. 1
Strategy Defined	p. 2
Strategic Thinking Continues to Evolve	p. 2
Strategy Versus Tactics	p. 5
Strategy Forces Trade-offs	p. 6
Strategy Should Focus on Value Creation	p. 7
Strategy Is About Creating Options	p. 10
Strategy: An Ecosystem Perspective	p. 11
Strategy as Alignment	p. 12
Is All Strategy Planned?	p. 13
Multiple Levels of Strategy	p. 13
The Role of Stakeholders	p. 13
Vision and Mission	p. 14
Strategic Intent and Stretch	p. 16
Strategy and the Nonprofit Sector	p. 17
The Strategy Formulation Process	p. 19
Steps	p. 19
Strategy and Planning	p. 21
Evaluating Strategic Options	p. 22
Criteria	p. 22
Shareholder Value	p. 23
Strategy and Performance	p. 26
Introduction	p. 26
From Good to Great-About Hedgehogs and Flywheels	p. 28
The 4+2 Formula for Sustained Business Success	p. 31
Excelling at Four Primary Practices	p. 32
Embracing Two of Four Secondary Practices	p. 34
Strategy and Performance: A Conceptual Framework	p. 36
Strategy, Purpose, and Leadership	p. 38
Strategy and Organizational Change	p. 39
The Balanced Scorecard	p. 44
Performance and Control	p. 47
The Role of the Board	p. 48
Analyzing the External Strategic Environment	p. 53
Introduction	p. 53
Globalization	p. 54
Understanding Globalization	p. 55
Regionalism: A Stepping Stone on the Path Toward a Global Economy?	p. 56
New Powerhouses: India and China	p. 56
Global Tectonics and Their Strategic Implications	p. 58
Global Tectonics	p. 59
12 Global Trends	p. 59
A Global Knowledge Economy-Strategic Implications	p. 68
Risk and Uncertainty	p. 69
Scenario Analysis	p. 70
Global Futures: The Global Scenario Group	p. 71
A New Compact Between Business and Society?	p. 73
Analyzing an Industry	p. 77
Introduction	p. 77
What Is an Industry?	p. 78
Industry Structure and Porter's Five Forces Model	p. 78
Industry Evolution	p. 82
Four Trajectories of Change	p. 83
Industry Structure, Concentration, and Product Differentiation	p. 84
Product Life Cycle Analysis	p. 85
New Patterns	p. 88
Methods for Analyzing an Industry	p. 89
Segmentation	p. 89
Competitor Analysis	p. 90
Strategic Groups	p. 92
Analyzing Product/Market Scope	p. 93
Market Analysis	p. 93
Growth Vector Analysis	p. 94
Gap Analysis	p. 95
Profit Pool Analysis	p. 96
Analyzing an Organization's Strategic Resource Base	p. 97
Introduction	p. 97
Strategic Resources	p. 98
Physical Assets	p. 99
Analyzing a Company's Financial Resource Base	p. 99
Human Capital: A Company's Most Valuable Strategic Resource	p. 105
Organizational Strategic Resources	p. 106
The Importance of Brands	p. 108
Core Competencies	p. 109
Forces for Change	p. 111
Internal Forces for Change	p. 111
Company Life Cycle Forces for Change	p. 111
Strategic Forces for Change	p. 113
Stakeholder Analysis	p. 114
Formulating Business Unit Strategy	p. 116
Introduction	p. 116
Foundations	p. 117
Strategic Logic at the Business Unit Level	p. 117
How Much Does Industry Matter?	p. 117
Relative Position	p. 118
The Importance of Market Share	p. 118
The PIMS Project	p. 119
Formulating a Competitive Strategy	p. 120
Key Challenges	p. 120
What Is Competitive Advantage?	p. 121
Value Chain Analysis	p. 122
Porter's Generic Business Unit Strategies	p. 125
Differentiation or Low Cost?	p. 125
Requirements for Success	p. 127
Risks	p. 129
The Saga of Dell	p. 129
Critique of Porter's Generic Strategies	p. 130
Value Disciplines	p. 132
Product Leadership	p. 132
Operational Excellence	p. 133
Customer Intimacy	p. 134
Designing a Profitable Business Model	p. 136
Business Unit Strategy: Contexts and Special Dimensions	p. 140
Introduction	p. 140
Emerging, Growth, Mature, and Declining Industries	p. 141
Strategy in Emerging Industries	p. 141
Strategy in Growth Industries	p. 142
Strategy in Mature and Declining Industries	p. 143
Industry Evolution and Functional Priorities	p. 144
Fragmented, Deregulating, and Hypercompetitive Industries	p. 147
Strategy in Fragmented Industries	p. 147
Strategy in a Deregulating Industries	p. 148
Strategy in Hypercompetitive Industries	p. 152
Competitive Reactions Under Extreme Competition	p. 154
Business Unit Strategy: Special Dimensions	p. 156
Speed	p. 156
Pressures to Speed	p. 157
Requirements of Speed	p. 159
Methods to Speed	p. 160
Creating Value Through Innovation	p. 161
Global Strategy Formulation	p. 172
Introduction	p. 172
Globalization and Industrial Clustering	p. 173
Porter's National Diamond	p. 175
Industry Globalization Drivers	p. 177
Global Strategy Formulation	p. 181
Global Strategy Dimensions	p. 182
Entry Strategies	p. 189
Region/Country Analysis	p. 191
How Wal-Mart Went Global	p. 192
Global Strategy and Risk	p. 198
Types of Risk	p. 198
Global Strategy-Exploiting Similarities and Differences	p. 200
Corporate Strategy: Shaping the Portfolio	p. 203
Introduction	p. 203
The Economics of Scale and Scope	p. 204
Economies of Scale	p. 205
Economies of Scope	p. 205
What Is "Core"?	p. 207
Growth Strategies	p. 208
Concentrated Growth Strategies	p. 210
Vertical and Horizontal Integration	p. 211
Diversification Strategies	p. 214
Growth and Strategic Risk	p. 226
Disinvestments: Sell-offs, Spin-offs, and Liquidations	p. 229
Pitfalls	p. 229
Corporate Strategy: Managing the Portfolio	p. 232
Introduction	p. 232
Managing a Portfolio of Businesses	p. 233
Early Perspectives: Management as "Structure Follows Strategy"	p. 233
The BCG Approach to Portfolio Management	p. 234
General Electric Business Screen	p. 237
MACS: McKinsey's Market-Activated Corporate Strategy Framework	p. 237
Life Cycle Matrix	p. 241
Limitations of Portfolio Analysis Techniques	p. 242
The Value-Based Approach to Portfolio Management	p. 243
The Resource-Based Approach to Portfolio Management	p. 245
Using a Portfolio Approach for Managing Alliances	p. 246
The Role of the Corporate Office	p. 247
Corporate Strategic Planning	p. 249
From Strategic Planning to Strategic Management	p. 250
Corporate Strategic Planning as a Process	p. 252
Limitations of Strategic Planning	p. 254
Horizontal Strategies for Managing a Portfolio	p. 254
Resource Sharing	p. 255
Learning and Transferring Critical Skills	p. 255
Creating a Learning Organization	p. 256
The Boundaryless Organization	p. 257
Knowledge Management	p. 258
Evaluating Strategy Options at the Corporate Level	p. 259
Index	p. 263
Table of Contents provided by Ingram. All Rights Reserved.