Business Strategies of Porter
Added on - 28 May 2020
Showing pages 1 to 3 of 8 pages
Running Head: Business Strategy1Business Strategy
Business Strategy2Article 1Murray, AI 1988, 'A Contingency View of Porter's "Generic Strategies"', Academy ofManagement Review, vol. 13, no. 3, pp. 390-400. Available from:10.5465/AMR.1988.4306951.In this article Murray mainly focus on the application of contingency approach to the genericstrategies of Porter, and this article defines the importance of the generic strategies in context ofresearchers of business policy as it separates the strategic implementation of the companieswhich perform well from the companies operated at small level in the same industry. Accordingto this article, different generic strategies are defined by the porter in context of those companieswhich perform well in their industry, and these strategies includes the cost leadership, productiondifferentiation, etc,.In this paper, Murray addresses the question whether it was possible to implement thesestrategies in concurrent manner on all the companies. Murray states the facts through whichgeneric strategies of Porter were related with the external requirements. As stated by porter, boththe strategies that were product differentiation and cost leadership can be implementedconcurrently only under the situations which were exceptional in nature. However, article doesnot state any way through which these strategies were implemented by the organization. Afteranalyzing the various strategies of porter, Murray stated that strategies stated by porter were notexclusive in nature, and each and every strategy can be connected with the diversified strategicmeans. Organization can use these strategies for the purpose of attaining the productdifferentiation.By analyzing this article critically, it can be said that concept of generic strategies wereunsatisfactory and confusing, because it fails in defining the process through which thesestrategies can be implemented by the organization. In this article, Murray made suggestions thatorganization can use the contingency approach for the purpose of removing the weakness andsolving the issues in context of generic concept implementation. Approach used by Murray inthis article states that there was no particular reason because of which organization restrictthemselves to the generic strategies only. Number of studies were developed which describe thedifferent aspects of the generic strategies and conclusion of one study was completely different
Business Strategy3from another study because different approaches were used by these studies for implementingthe strategies.Article 2Christensen, CM 1997, 'Making Strategy: Learning by Doing', Harvard Business Review, vol.75, no. 6, pp. 141-156.Study directed by Christensen in 1997 named as“'Making Strategy: Learning by Doing” statesthat number of reasons were present because of which organizations face difficulties whilealtering their strategies. The biggest reason behind this issue was, there were number oforganizations in which manager does not possess the competence of strategic thinking.Organization hire outsiders for framing the effective strategy for the organization and managersonly have option to implement those strategies and not alter it. In many organizations,management level does not possess the competence to frame strategies for their organization.Even, management was not enough competent to make necessary alterations in the strategies ofthe organization. In this article Christensen stated that there were number of organizations thatopted for outsourcing in context of strategic planning because they want to increase theproductivity in the organization and decrease the higher cost of the productivity (Christensen,1997). For this purpose, organization clearly depends on the consultancy agencies whichexpertise in the strategic planning and had potential to advice the company related to strategicplanning.Additionally, this article stated that organizations can employ human resources who possessedcompetency in strategic planning so that they can frame and implement rational and innovativestrategies in the organization. Generally, these executives evaluate the strategic position of thecompany and make necessary changes in the current strategy of the company by connected theirdecisions in strategic planning with the trends of the market and other external and internalconditions. Further, this article states the challenges faced by the organization whileimplementing the process of strategy planning and also provide guidance to the readers of thearticle by evaluate the case of manufacturing firm named as Butterfield Fabrics.