Business Strategy Analysis: Good Strategy/Bad Strategy by Rumelt

This report analyzes business strategy, focusing on the concepts presented in Richard Rumelt's "Good Strategy/Bad Strategy." It highlights the importance of a well-defined strategy, differentiating between good and bad approaches. The report emphasizes the three key steps for a good strategy: diagnosis of challenges, defining ways to overcome these challenges, and implementing a clear vision. It contrasts the practical approach of Rumelt's book with more theoretical texts, stressing the importance of applying strategic concepts to real-world business scenarios. The report also references other relevant sources, such as Teece (2010), to provide a comprehensive understanding of business strategy.

Business Strategy 1
Business strategy
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Business Strategy 2
A business strategy is the decision or action which a company implements in order to
achieve its specific business objectives (Teece, 2010, pp. 172-194). This task is going to tackle
the online sources which describe the business strategy and what the resource reflects about
business strategy. Journal articles, books, management reports fit in the requirements of this task.
One example of an online source reflecting on business strategy is a textbook by name
“Good Strategy Bad Strategy” written by (Rumelt, 2012, p. 25). This book clearly differentiates
a good strategy from a bad one. According to Richard, most companies have forgotten about
good or bad strategy and therefore they lack a strategy in place. The book has helped companies
like Apple, Ford, IBM and others to build the best business strategy. One importance of studying
this book is that a leader needs only to strategize and ignore the buzzwords and slogans and
focus on moving the company forward.
What I have learned from the book “Good Strategy Bad Strategy” is that a good strategy
follows three key steps (Rumelt, 2012, p. 25). The first one is diagnosis which focuses on the
challenges a company is facing. The second is the ways to overcome the challenges and the last
one is coming up with a vision and taking an action to implement the same. The three steps must
be integrated well in order to realize the set goals of a project by any organization.
In conclusion, many business strategy textbooks only focus on theoretical ideas but the
Good Strategy Bad Strategy focuses on day to day practices and how the business people can
apply the ideas into their businesses. The Good Strategy Bad Strategy book doesn’t explain what
to do but one has to think and apply the ideas into the business.

Business Strategy 3
References
Rumelt, R., 2012. "Good Strategy/Bad Strategy:The difference and why it matters. Strategic
Direction , 28(8),p.25.
Teece, D., 2010. Business models,business strategy and innovation. Long range planning, 43(2-
3), pp. 172-194.