Importance of Strategic Management for Microblogging and Social Network Industry

PROJECT (Strategic
management)

Contents
INTRODUCTION.....................................................................................................................................3
MAIN BODY.............................................................................................................................................3
CONCLUSION........................................................................................................................................14
REFERENCES........................................................................................................................................15

INTRODUCTION
The term strategic management can be defined as use of various kinds of resources in
order to achieve overall goals and objectives. It needs consideration of the process of an
organization as well as external factors which can affect functionality of a business (Schilling
and Shankar, 2019). The project report is based on a case study of twitter company. The report
consists detailed information about current theories, approaches and concepts which are used in
the company. The project report is categorized in three parts in which first one is about
formulation approaches used in Twitter. Analysis of competitor environment that is faced by
Twitter is included in second part. In the last part of report information about current and future
strategies is mentioned.
MAIN BODY
1 (a) The precepts of the deliberate and emergent strategies formulation approaches are two most
crucial strategic management techniques employed by multiple organizations (Teece, 2019). The
key distinction between the both strategies is that the deliberate strategy approach is like top-
down approach in strategic planning which emphasizes the accomplishment of the planned
business goal, while an emergent strategy is a process of discovering unintended outcomes
through execution of effective strategy and then exploring how to integrate these unexpected
results into potential organizational plans by implementing a bottom-up strategical framework.
Here following are several key differences in said both formulation strategies are discussed
below:
Deliberate strategy-formulation approach Emergent strategy-formulation approach
Deliberate strategy implies to strategy-
formulation approach that emphasizes the
achievement of the expected business goal.
Emergent strategy corresponds to approach of
discovering unintended results
from implementation of a strategy and then
understanding how to integrate these
unpredictable results into future-coming

business plans.
Michael Porter has formulated idea and main
concept of the deliberate approach.
Henry Mintzberg developed the structure for
business's emergent strategy as an alternate
solution against deliberate approach.
This approach applies top-down approach to
business management
Emergent approach applies bottom-up
approach to business management.
This approach takes a static method to
leadership, and is thus generally perceived to
be much less flexible.
Owing to its higher versatility, this technique is
preferred by most business practitioners.
Limitations of deliberate and emergent strategy formulation approach:
Following is a comprehensive discussion about the major limitation involved in
deliberate and emergent strategy-formulation approaches in context of Twitter, as follows:
Emergent Strategy:
The biggest limitation to an emergent approach is that this is not reliable and thus cannot
be prepared. In simple words, emergent approach is component of ongoing organizational
operation. As a consequence, this does not provide a credible alternative to more conventional
deliberate approach, particularly for new enterprises working on tiny margins. Corporations like
Twitter cannot, however, drop deliberate strategy and depend on emergent approach to improve
it. Emergent strategy is ideally suited to support and function as a remedial step for the
deliberative strategy. Another limitation to emergent approach is the potential for wasteful
distribution to capital. Inefficiency happens when previous allocation reasoning no longer
produces performance. Prior resource allocation approaches typically quit functioning during
periods of major transition in business.
Deliberate Strategy: Rigidity in plans stresses that businesses will continue to follow the
anticipated (deliberate) policy irrespective of environmental changes (Simandan, 2019).
Nevertheless, political shifts, technical advances and several other variables have had an impact