Determinants of a good business strategy

by smartamarketing

Dr. Brian Monger

Competitive business advantage grows out of the difference in the cost of creating the value offering and what buyers are willing to pay for it. Value represents what buyers are prepared to pay. Superior value comes from offering superior value for prices lower or equal to competitive offerings.

Many, factors need to be considered in formulating strategy.   Six broad determinants usually dominate the design of strategy:

1.         Market opportunity, industry attractiveness, and competitive forces.

2.         The social, political, regulatory, ethical, and economic aspects of the external environment in which the enterprise operates.

3.         What an organisations skills, capabilities, and resources allow it to do best.

4.         Emerging threats to the organisation’s performance.

5.         The organisation’s culture, core beliefs, and business philosophy.

6.         The personal values, aspirations, and vision of managers, especially the most senior executive(s).

Dr Brian Monger is Executive Director of MAANZ International and an internationally known consultant with over 45 years of experience assisting both large and small companies with their projects.  He is also a highly effective and experienced trainer and educator

Did you find this article useful?  Please let us know

These articles are usually taken from notes from a MAANZ course.  If you are interested in obtaining the full set of notes (and a PowerPoint presentation) please contact us – info@marketing.org.au

Also check out other articles on http://smartamarketing.wordpress.com

MAANZ International website http://www.marketing.org.au

Smartamarketing Slideshare (http://www.slideshare.net/bmonger)

About these ads