Business Strategy

Business Strategy
(Understanding the process of strategic
planning)
Task 1

Table of Content
• Introduction
• Mission vision
• Goals & Objective
• Core competencies
• Factors affecting business
• Techniques for strategy evaluation
• References

Introduction
Strategic planning is a process of define direction and
strategy of an organisation and make decisions to allocate
resources of firm to utilise it at an optimum level. This is
one of the important part of strategic management.

Mission, vision
Vision: Vision is knows as final outcome of the firm for which
an organisation is form or build. That desire state which company
want to capture by execute its commercial activities is known as
vision.
Mission: Final objective of company for which firm execute
number of commercial activities is knows as mission

Goals & Objectives
Goals: Goal of company is to use an effective or standard
process to make environment friendly vehicles for its clients.
Objectives: Main objective of company is to get the position of a
global leader in retail sector in automobile industry.

Core competencies
Core competencies: Unique qualities and strengths of a firm
which help it in effective execution of its business activities
and provide it advantage over its competitors is known as core
competency.

Factors to be considered while formulating
strategic plan
Internal factors:
 Skills and capabilities of workers
 Value system
 Stakeholders
External factors:
 Political factors
 Economic factors
 Social factors

Effectiveness of Techniques
This is one of the effective and popular technique use by
firms to identify and calculate the profit generated by
each product.

Cont..
This is divided into four categories which are stated as
follows:
• Star
• Question mark
• Cash Cow
• Dogs

Porter's five force analysis
This is another techniques which
can be used by the manages of
Johnson for formulate effective
plans for business.

Cont..
This technique includes the following:
 Bargaining powers of suppliers
 Bargaining powers of customers
 Threat of substitutes
 Threat of new entrants
 Industry rivalry

References
Hsieh, Y. H. and Chen, H. M., 2011. Strategic fit among
business competitive strategy, human resource strategy,
and reward system. Academy of Strategic Management
Journal. 10(2). p.11.
Liedtka, J., 2010. Business Strategy and Design: Can this
Marriage Be Saved?. Design Management Review.
21(2). pp.6-11.

THANK YOU