Solution
Dr Raghunandan G answered on
May 28 2022
1
It is important to have a solid IT strategy that outlines how the company's overall strategy will be enhanced by new technology. For example, synchronisation of business projects and the needs of workers, customers, and other stakeholders is a necessary aspect of an organization's planning process (known as business synchronisation). For a firm, strategy is a blueprint for how it plans to accomplish its goals and objectives. Organizations can use a business plan to determine how they will recruit new employees and allocate their resources, according to Yolande E. Chan (2022). To ensure that the company's overall goal is met, all departments must work together in a corporate structure.
An investment of organisational units was established by the Boston Consulting Group's growth–share matrix, developed around 1970, with each unit's share (a benchmark of its marketable closeness to its colleagues) and growth in the market depicted graphically (a indicator of market attractiveness). 45 percent of Fortune 500 companies employed some form of the matrix in their strategy planning by 1979, according to a recent poll. To help firms decide where their resources should be invested and which businesses should be exited (i.e high-margin, elevated enterprises), this method was used (i.e., low market share, low growth businesses.)
After liberalisation and a less competitive environment in the 1980s, several conglomerates
oke up, believing that portfolios of functional units in different areas were more valuable than numerous individual enterprises. While the popularity of portfolio theory has fluctuated, the fundamental characteristics explored (competitiveness and competitive position) have remained relevant to management.
1. Portfolio theory is a method that focuses on acquiring assets to diversify one's portfolio. The corporation reallocates funds among some of the units and keeps track of each business unit's and its executives' performance. Every unit is normally self-contained, with little intervention from the company offices as long as objectives are accomplished.
2. Reorganizing: The corporate office buys a company and then actively intervenes in it if it sees potential, usually by altering managers and introducing a new strategic plan.
3. Transfe
ing knowledge: Important management and organizational talents are effectively dispersed among several companies. To get a competitive advantage, the talents must be required.
4. Integrating tasks: The combined corporation's ability to reduce expenses by leveraging specialized operations like marketing, accounting, and so on.
Characteristics of business strategies:
More items can be cross-sold:Some companies aim to provide the same customer with a greater variety of products. Whether it's an office supply store, a bank or an online retailer, cross-selling is beneficial.
Good or service that is most creative:Several businesses, especially those in the electronics or transportation sectors, differentiate themselves by developing cutting-edge goods.
Increase sales with new items:As a result, some companies prefer to invest in research and development in order to stay ahead of their competitors.
2.
As Mintzberg put it in 1994, "connecting the dots" (synthesising) trumped "investigating" (i.e., "finding the dots"). In the end, it was all about "collecting what the executive understands from all resources (soft insights from personal experiences and those of people throughout the company, as well as hard facts from marketing...