Strategy and Profitability: A Report on Recession-Era Businesses

This report examines the concept of strategy and its application in business, particularly during economic downturns. It references the article "What is Strategy and how do you know you have one" to define strategy and its building blocks, emphasizing the importance of considering various parameters such as target markets, product offerings, and necessary activities. The report also delves into the financial crisis of 2008 and the subsequent recession, identifying industries and organizations that managed to profit during this period. It highlights that some financial institutions and executives benefited from the crisis due to questionable tactics and practices, while investors bore the brunt of the losses. The report concludes by summarizing the key elements of strategy and the factors that contributed to the profitability of certain businesses during the recession.

PROFESSIONAL
MANAGEMENT
NAME OF THE STUDENT
NAME OF THE UNIVERSITY

INTRODUCTION
 The following report is based on the determination of
what strategy is and strategy in one’s personal life.
 The report has discussed the importance of strategy
through the discussion of one’s personal views about
strategy.
 Apart from this the report has also discussed about the
great recession and has discussed about the firms and
the business organizations that have been successful in
their business ventures.

STRATEGY AND PERSONAL
THINKING ON STRATEGY
 Strategy is a very complex element within the business and the
following element creates an utter confusion based on the
decisions taken in a business as a part of the strategies.
 The article “What is Strategy and how do you know you have
one” has been excellent in providing a detailed view on the term
Business Strategy and its elements (london.edu, 2019).
 According to, Chang (2016) the first basic thing about strategy
which is believed to be common to each and every of the
organization while deciding on their strategies is the fact that
strategies are made up of building blocks.

STRATEGY AND PERSONAL
THINKING ON STRATEGY
 The building blocks are the main constituents of the
strategy. Secondly the strategies are generally based
on a number of different parameters.
 The modern competitive world makes it a tough job for
the management of the organizations to ensure the
strategies after the consideration of the different kinds
of parameters (Ogura, 2018).

STRATEGY AND PERSONAL
THINKING ON STRATEGY
The main parameters that have to be considered by the management
of the organization are namely;
 Target market and the market that is not to be targeted
 Products and services that is to be offered and the products and
services not to be offered
 What kind of activities is needed to be performed and what
activities are not needed to be performed?
 Decisions to be made and what decisions not to be made?

STRATEGY AND PERSONAL
THINKING ON STRATEGY
 This kind of parameters is the main elements for the business activities.
 It is important for an organization to provide the freedom to the
employees to decide on different kinds of strategies.
 However in most of the cases rather in majority of the cases, the final
decision to choose and decide on the strategies is mainly selected by
the management of the business organization (Chang, 2016).
 The crafting of the innovative strategies must be a necessity for the
organizations.
 The better the management of the organizations are able to craft the
innovations in the strategic decisions they make, the better will be their
chances to generate as many as strategic ideas as possible so that the
management has the luxury to choose independently (Pilbeam, 2018).
 Therefore the following article has been instrumental in the
determination of strategy and the possible ways of achieving strategy in
a proper and effective manner.

INDUSTRIES THAT MADE
PROFIT DURING RECESSION
 The financial crisis of the year 2008 which was
followed by a major recession is one of the most
discussed and significant happenings of the last 100
years.
 The crisis period of 2008 was so devastating that it
devastated the existence and sustainability of a large
number of industries.
 The crisis had cost a lot of people a large amount of
money.
 However, there were few industries which suffered least
or not a single damage as a result of the crisis period
(Bryson, 2018).

INDUSTRIES THAT MADE
PROFIT DURING RECESSION
 There were a few people who even made money during
such a tough time.
 The research on the financial crisis showed that the
people who made money were the ones who had taken
up pro-active roles to start the crisis globally.
 The major players who got the globe into this crisis
period were mainly the people who were the executives
of the large banks like the Federal Reserve and other
kinds of financial institutions.

INDUSTRIES THAT MADE
PROFIT DURING RECESSION
 The implementation of wrong tactics and wrong
practices that were often questionable were the main
frontrunners that led the people to this particular
crisis.
 While the banking institutions themselves lost heavily
as a result of the financial crisis it was the investors
who were left holding the bag.
 The executives who actually ran the companies
received very large salaries and bonuses for turning in
huge profits in the days leading up to the crisis.

REASONS THE INDUSTRIES
MADE PROFIT
 The reason that the industries made the profit was
because the bank and the Wall Street executives are
still earning a healthy sum of money.
 According to, Wheelen et al., (2017)The banking
industry suffered less as they were the lenders of huge
sums of money to other institutions who were affected
as a result of the financial crisis.

CONCLUSION
 The following report has been instrumental in the
discussion of the term “Strategy” and also the different
elements and parameters of strategy.
 Apart from this the presentation has highlighted the
firms and the organizations which made profit during
the recession period and what were the reasons behind
making such profits.

REFERENCES
 Bryson, J. M. (2018). Strategic planning for public and nonprofit
organizations: A guide to strengthening and sustaining
organizational achievement. John Wiley & Sons.
 Chang, J. F. (2016). Business process management systems: strategy
and implementation. Auerbach Publications.
 https://www.london.edu/-/media/files/publications/bsr/busr307.pdf.
(2019).
 Ogura, Y. (2018). The objective function of government-controlled
banks in a financial crisis. Journal of Banking & Finance, 89, 78-93.
 Pilbeam, K. (2018). Finance & financial markets. Macmillan
International Higher Education.
 Wheelen, T. L., Hunger, J. D., Hoffman, A. N., & Bamford, C. E.
(2017). Strategic management and business policy (p. 55). Boston:
pearson.