Strategic Analysis and Choice Essay Example | Topics and Well Written Essays - 2250 words

Strategic Analysis and Choice - bear witness ExampleThus, the withdraw arises to sire a blue print that tells how to go about it Companies need to diverse, differentiate, ruffle backward or forwards, and manage trading portfolio balanced. And hence they need to plan - develop a vision, even up the mission, develop long term plans and further break them into objectives to achieve the desired goal. But it is important that the dodging is to be consistent with the organizational goals and policies, it should be flexible enough to respond to the faster changing surround in which it is operating, and it should add value to the organization and become a source of advantage over its competitors, and lastly, it should be feasible and practical enough to get through.Strategic solicitude can be defined as the art and science of inventulating, implementing, ad evaluating cross-functional decisions that enable an organization to achieve its objectives (David F.R., Strategic Management). The process of strategic management involves three stages, viz. formulation of a strategy, implementing a strategy and lastly, evaluating the strategy. Since, organizations have limited resources thus they need to choose from amongst the alternatives available. Setting a strategy starts with developing a strategic vision so as to provide long term direction, and provide a purpose to the organization. The strategic vision is then converted into specific performance objectives for the company to achieve. And then forming strategies to achieve the desired outcomes that have been developed in the form of objectives. This all was the planning portion of the process no strategy is useful until it is implemented and executed in effect and efficiently. In the end, evaluation stage begins which requires comparing actual i.e. the reality with the planned.But as companies prosper and prepare they need to diversify into hot areas. Companies have to balance their portfolios well enough with c ash cows, stars, dogs and question label so that cash needs growth needs all are being fulfilled by the company. Strategy analysis requires companies to understand their markets, their cost structure, and also the capabilities underlying the firm i.e. any of the core competencies or the distinctive competencies that the company possesses. Companies need creativity and new ideas to identify any potential gaps in the strategy, the markets and so on which will lead them to make and implement a solid strategic plan to serve the new and existing markets. Source http//www.netmba.com/strategy/matrix/bcg/Huge callinges are normally divided into the strategic business units. These strategic business units are the individual planning units contained within one large and diversified business serving either the external or the internal market. They make independent decisions for themselves and have a avow over their own destiny. They have competitors and are profit centers for the company b ut still independent. Companies already have so many products and services have many other growth initiatives because of the factors such as globalization, services, grapheme and the emerging e-businesses. Globalization is not only letting companies to enhance their revenue