STRATEGY CHANGE AND INNOVATION

Running head: STRATEGY CHANGE AND INNOVATION
STRATEGY CHANGE AND INNOVATION
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STRATEGY CHANGE AND INNOVATION1
Table of Contents
Introduction................................................................................................................................2
Discussion..................................................................................................................................2
Strategy......................................................................................................................................2
Traditional approach to strategy formulation:............................................................................3
Business model...........................................................................................................................5
Demand-Side Strategy and Business Model..............................................................................7
Recent Approaches to Strategy formulation using Business Model........................................10
Conclusion................................................................................................................................11
Reference..................................................................................................................................12

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Introduction
The field of Strategy has developed considerably in the previous two decades. Firms
have learned to investigate the environment, that is characterised by competition, position,
gaining advantage, and comprehending threats in the competitive environment to sustain and
analyse opportunities to gain an advantage. Various methodologies including mechanical
association, dynamic abilities, and game hypothesis have helped academicians and
professionals to understand the elements of competition and create suggestions on how a firm
must to portray their serious and corporate methodologies. Nevertheless, drivers, for instance,
globalization, deregulation, or innovative change, just to specify a few, are drastically
changing the serious game. Hence this report will focus on an in-depth investigation,
examining in detail the growth and importance of business model that has taken in the past
two decades due to traditional strategic approach.
Discussion
Strategy
A contingency plan as to which the business model is required to be used is known as
strategy. The word ‘contingency’ is a vital term, since it refers to the provisions contained in
the strategy regarding the action to be taken even if the contingency planned might end up not
taking place. Strategy seeks to relate the goals of the organisation to the means of attaining
them. It is a game plan management use to take market position, conduct its operations,
appeal and satisfy its customer and strive successfully. The term strategy is a long-term
blueprint of the organisation’s anticipated image, focus and destination of what it wants to be.
It is considered to be consciously and is designed flexibly so as to achieve effectiveness,
mobilise resources, handle events and problems and meet the challenges and threats
(Hickman and Michael 2018). The strategy formulation process is concerned with developing

STRATEGY CHANGE AND INNOVATION3
a corporate’s mission, vision, objectives and policies. The strategy of the management is
partly pro-active and partly reactive (Gregory 2015).
 Strategy is pro-active since it requires pro-active actions to be taken on the part of the
managers to enhance the company’s market and financial position
 Strategy is re-active since a reaction is almost certain to the strategy due to
unanticipated development and fresh market conditions.
Strategic management, on the other hand, is defined as a method of evaluating, planning
and implementing designs which will help in maintaining and improving competitive lead.
Strategic management provides an overall strategic management needs to be extended to all
the departments in the business
Traditional approach to strategy formulation:
The management strategy and practice generally acknowledge today that
organizations works in an increasingly unpredictable, dynamic, and surprising condition. This
circumstance expects administrators to develop better approach for thinking and acting. In
any case, numerous managers despite everything, follows the old methodology of strategic
positioning and planning.
The customary methodology process as portrayed right now advanced during the
twentieth century. Ideas like positioning, investigation, vital choices, portfolio, and more
were created as a reaction to the growing multi-layered nature of the developing post-war
economy. Rivalry expanded and worldwide interdependencies heightened. Right now,
required more refined strategy apparatuses than their antecedents, which were a lot littler and
all the more privately arranged.
The assumption of the traditional approach were as follows: