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Strategic interdependence...........................................................................1
Path dependence.......................................................................................... 1
Organizational architecture..........................................................................1
Value today-----------------Ambi----------Expolartion.............................1
What is strategy?................................................................................................... 2
Value Net............................................................................................................ 3
Co-locating......................................................................................................... 3
Monopoly & competing against yourself................................................................3
An Overview of Strategy: The six forces: COORS...................................................4
COORS success factors_ Which are sustainable?................................................4
Cola Wars............................................................................................................... 4
2. Path dependence
3. Successful companies looks backwards and forwards
4. Organizational architecture
o Incentives and contracts are the devices used to reward
appropriate managerial behaviour
o Structure & processes are the manner in which decisions are
made and work is performed within the organization
o Culture & beliefs refers to the norms and value systems that are
shared among the employees of an organisation
o People are not just employees of the organization, but also the
strategy used to recruit, compensate and retain those individuals
and the type of people they are in terms of their skills, values and
orientation.
Value today-----------------Ambi----------Expolartion
Experience curve : S curve
What is strategy?
It is an art and a science and it is important to learn how to think strategically
which ensure creating value today and tomorrow. Doing nothing and exit are the
two extreme of strategy and rest of the options are in between these two.
The environment is seemingly change than ever before. Sharing economy for
instance, change the competitive landscape of businesses. Media, banking are
exemplified the re-designing of businesses due to appearance of google and
smart phones.
Human capital is important as a supply of labour which shows the value of Sachi
& Sachi depended on several key people than the inbuilt processes and the
systems of the company. A successful CEO is a person who does not need to the
company, if so, what would be the remuneration for CEO?
Strategic decisions are related with choices and it is irreversible, important and
have to commit significant commitment of resources. Ex: pricing is a tactical
decision not strategic.
Green washing
Hard to measure the impact
What is the role of the government?
CEOs duty is maximize value as higher value ensure the payments to
stakeholders which ensures higher returns for the residual owners.
(Common stock)
Ex:
(Value added statement)
Value Net
Example
Co-locating
-
Restaurants in the same street attract the customers but limit the
business for the moment.
Complementors make the market while competitor divide the market.
Cola Wars
What brings Coke to current situation?