SESSION 1- PART 1             Strategic ManagementSTRATEGICMANAGEMENTINPUTS             Strategic Management             C...
What is strategy? Provisional definition:       “a coordinated series of actions which involve  the deployment of resourc...
The Strategic Management ProcessInvolves the full set of:Commitments                     Decisions    Actionswhich are req...
Strategic Competitiveness Achieved when a firm successfully formulates and implements a value-creating strategySustained C...
External                                                          The StrategicStrategic                     Environment  ...
Challenge of Strategic ManagementOnly 16 of the 100 largest U.S. companies at the start of the20th century are still ident...
Challenge of Strategic ManagementThe goals of achieving strategic competitiveness andearning above-average returns are cha...
21st Century Competitive LandscapeFundamental nature of                                     The pace of change iscompetiti...
21st Century Competitive LandscapeThe global economy is changing         Traditional sources of                           ...
21st Century Competitive LandscapeA country’s competitiveness is achieved through theaccumulation of individual firms’ str...
Alternative Models of Superior ReturnsIndustrial Organization         Resource-Based        Model                       Mo...
I/O Model of Superior Returns The Industrial Organization model suggests that above-average returns for any firm are large...
I/O Model of Superior ReturnsExternalEnvironment             Action required:                        Study the external Ge...
I/O Model of Superior ReturnsExternal                             Action required:Environment                          Loc...
I/O Model of Superior ReturnsExternal                                    Action required:Environment                      ...
I/O Model of Superior ReturnsExternal                                     Action required:Environment                     ...
I/O Model of Superior Returns                                                            Action required:External Environm...
I/O Model of Superior ReturnsExternal Environment                               Action required:                          ...
Resource-Based Model of Superior Returns   The Resource-Based model suggests that   above-average returns for any firm are...
Resource-Based Model of Superior Returns                        Action required:Resources               Identify firm reso...
Resource-      Resource-Based Model of Superior Returns                                     Action required:Resources     ...
Resource-  Resource-Based Model of Superior Returns                                            Action required:Resources  ...
Resource-       Resource-Based Model of Superior Returns                                             Action required:Resou...
Resource-   Resource-Based Model of Superior Returns                                                   Action required:Res...
Resource-Based Model of Superior Returns                                                 Action required:Resources        ...
Core Competencies When these four criteria are met, Resources and Capabilities become:Core Competencies are resources and ...
Stakeholders:                                Groups who are affected by a firm’s performance and                          ...
Stakeholder InvolvementEach of the key stakeholders wants a piece ofthe same pie        1     How do you divide the pie in...
External                     Environment                                                                                  ...
SESSION 1- PART 2             The External Environment:             Opportunities, Threats,             Industry Competiti...
FIGURE 1.1   The External Environment                                        31
General Environment Dimensions in the broader society that influence an  industry and the firms within it:    Demographi...
TABLE 1.1   The General Environment: Segments and Elements                                                             33
Industry Environment The set of factors directly influencing a firm and its  competitive actions and competitive response...
Competitor Analysis Gathering and interpreting  information about all of the  companies that the firm competes  against....
Analysis of the External Environments General environment   Focused on the future Industry environment   Focused on fa...
Opportunities and Threats Opportunity   A condition in the general    environment that, if exploited,    helps a company...
Industry Environment Analysis Industry Defined    A group of firms producing products that are close substitutes      • ...
FIGURE 1.2   The Five Forces of Competition Model                                                    39
Threat of New Entrants: Barriers to Entry   Economies of scale   Product differentiation   Capital requirements   Swit...
Barriers to Entry Economies of Scale    Marginal improvements in efficiency that a firm     experiences as it incrementa...
Barriers to Entry (cont’d) Product differentiation               Switching Costs     Unique products                   ...
Barriers to Entry (cont’d) Cost Disadvantages               Expected retaliation  Independent of Scale                R...
Bargaining Power of Suppliers Supplier power increases when:    Suppliers are large and few in number.    Suitable subs...
Bargaining Power of Buyers Buyer power increases when:    Buyers are large and few in number.    Buyers purchase a larg...
Threat of Substitute Products The threat of substitute products increases when:    Buyers face few switching costs.    ...
Intensity of Rivalry Among Competitors Industry rivalry increases when:    There are numerous or equally balanced compet...
Interpreting Industry Analyses   Low entry barriersSuppliers and buyershave strong positions                             U...
Interpreting Industry Analyses (cont’d)  High entry barriers Suppliers and buyers have weak positions                     ...
Strategic Groups  Strategic Group Defined     A set of firms emphasizing similar strategic dimensions and       using si...
Strategic Groups Strategic Dimensions    Extent of technological leadership    Product quality    Pricing Policies   ...
Competitor Analysis Competitor Intelligence    The ethical gathering of needed information and data that     provides in...
FIGURE 1.2CompetitorAnalysisComponents         53
Complementors Complementors    The network of companies that sell complementary products or     services or are compatib...
Ethical Considerations Practices considered both legal and ethical:     Obtaining publicly available information     At...
What Are the Key Factors for Competitive    Success?   KSFs are competitive elements that most affect every industry    m...
Identifying IndustryKey Success Factors   Answers to three questions pinpoint KSFs       On what basis do customers choo...
KSFs for Beer Industry   Utilization of brewing capacity -- to keep    manufacturing costs low   Strong network of whole...
KSFs for Apparel Manufacturing Industry            Fashion design -- to create                     buyer appeal          ...
Example: KSFs for Tin and Aluminum CanIndustry   Locating plants close to end-use customers -- to keep    costs of shippi...
Strategic Management PrincipleA sound strategy incorporates efforts to    be competent on all industry key success factors...
SESSION 2             The Internal Environment:             Resources, Capabilities,             and Core CompetenciesSTRA...
Competitive Advantage Firms achieve strategic competitiveness and earn  above-average returns when their core competencie...
Competitive Advantage (cont’d) Sustainability of a competitive advantage is a  function of:    The rate of core competen...
External Analyses’ Outcomes                                                Opportunities                                  ...
Internal Analyses’ Outcomes                          Unique resources,                          capabilities, and         ...
The Context of Internal Analysis Global Economy    Traditional sources of advantages can be overcome by     competitors’...
FIGURE 2.1   Components of Internal Analysis Leading to Competitive             Advantage and Strategic Competitiveness   ...
Creating Value By exploiting their core competencies or competitive  advantages, firms create value. Value is measured b...
Creating Competitive Advantage Core competencies, in combination with  product-market positions, are the firm’s most  imp...
The Challenge of Internal Analysis Strategic decisions in terms of the firm’s  resources, capabilities, and core  compete...
The Challenge of Internal Analysis (cont’d) To develop and use core competencies,  managers must have:   Courage   Self...
FIGURE 2.2                              Conditions Affecting Managerial Decisions about Resources,                        ...
Resources, Capabilities and Core Competencies                    ResourcesDiscovering Core      Are the source of a firm...
Resources                                Types of Resources Resources                                   Tangible resour...
TABLE      2.1                      Tangible Resources     Financial Resources      • The firm’s borrowing capacity       ...
TABLE 2.2                             Intangible ResourcesHuman Resources                                               • ...
Resources, Capabilities and Core Competencies                     CapabilitiesDiscovering Core        Represent the capa...
Resources, Capabilities and Core Competencies                     Capabilities (cont’d)Discovering Core        The found...
TABLE 2.3             Examples of Firms’ CapabilitiesFunctional Areas          CapabilitiesDistribution              Effec...
Resources, Capabilities and Core Competencies                       Four criteria for determiningDiscovering Core Compete...
Resources, Capabilities and Core Competencies                   Core CompetenciesDiscovering Core Competencies           ...
Resources, Capabilities and Core Competencies                   Core CompetenciesDiscovering Core Competencies        Ac...
Building Core Competencies                          Four Criteria of    Discovering Core     Competencies          Sustai...
TABLE 2.4         The Four Criteria of Sustainable Competitive Advantage  Valuable Capabilities                • Help a fi...
Building Sustainable Competitive Advantage    Discovering Core     Competencies         Valuable capabilities            ...
Building Sustainable Competitive Advantage                         Costly-to-Imitate Capabilities    Discovering Core    ...
Building Sustainable Competitive Advantage                          Nonsubstitutable Capabilities    Discovering Core    ...
Outcomes from Combinations       of the Four Criteria                         Competitive           Performance           ...
Table 2.5   Outcomes from Combinations of the Criteria for            Sustainable Competitive Advantage                   ...
Value Chain Analysis Allows the firm to understand the parts of its  operations that create value and those that do  not....
Value Chain Analysis (cont’d) Primary activities involved with:   A product’s physical creation   A product’s sale and ...
Value Chain Analysis (cont’d) Value Chain   Shows how a product moves from the raw-    material stage to the final custo...
FIGURE 2.3The Basic Value Chain                        33
Table 2.6                       Examining the Value-Creating Potential of Primary Activities    Inbound Logistics    Activ...
Table 2.7                        Examining the Value-Creating Potential of Support Activities Procurement Activities compl...
The Value-Creating Potential of Primary Activities Inbound Logistics   Activities used to receive, store, and disseminat...
The Value-Creating Potential of Primary Activities (cont’d) Marketing and Sales    Activities completed to provide the m...
The Value-Creating Potential of Primary Activities:    Support Procurement   Activities completed to purchase the inputs...
The Value-Creating Potential of Primary Activities:      Support (cont’d) Firm Infrastructure    Activities that support...
Figure 2.4 Prominent Applications of the Internet in the Value ChainSource: Reprinted by permissionof Harvard Business Rev...
Outsourcing The purchase of a value-creating activity from  an external supplier   Few organizations possess the resourc...
Outsourcing DecisionsA firm may outsource all or onlypart of one or more primaryand/or support activities.                ...
Strategic Rationales for Outsourcing Improving business focus   Helps a company focus on broader business    issues by h...
Strategic Rationales for Outsourcing (cont’d) Accelerating re-engineering benefits    Achieves re-engineering benefits m...
Outsourcing Issues Seeking greatest value   Outsource only to firms possessing a core    competence in terms of performi...
Outsourcing Issues (cont’d) Nonstrategic team resources   Do not outsource capabilities critical to the   firm’s success...
Cautions and Reminders Never take for granted that core competencies will  continue to provide a source of competitive  a...
What Are the Firm’s Strengths, Weaknesses,    Opportunities and Threats   S W O T represents the first letter in      S ...
SWOT ANALYSIS STRENGTH – INTERNAL WEAKNESS – INTERNAL OPPORTUNITIES –EXTERNAL THREATS -EXTERNAL                       ...
Identifying Resource Strengths          and Competitive Capabilities   A strength is something a firm does well or a    c...
Identifying Resource Weaknesses        and Competitive Deficiencies   A weakness is something a firm    lacks, does poorl...
Identifying External Threats   Emergence of cheaper/better technologies   Introduction of better products by rivals   I...
Role of SWOT Analysis in         Crafting a Better Strategy   Developing a clear understanding of a company’s       Reso...
SWOT Analysis -- What to Look For Potential Resource         Potential Resource        Potential Company           Potenti...
Buổi 1- Phần 1               QUẢN TRỊ CHIẾN LƯỢCSTRATEGICMANAGEMENTINPUTS             Quản trị chiến lược:             Cạn...
Chiến lược là gì?• Định nghĩa:     “một loạt các hành động phức hợp nhằm huy  động nguồn lực một tổ chức có thể có để đạt ...
Quy trình quản trị chiến lượcBao gồm:                    Quyết             Hành Cam kết                    định           ...
Lợi thế cạnh tranh chiến lược Là lợi thế một công ty có được khi xây dựng và thực thi một chiến lược đem lại giá trị cho c...
Đầu vaòa                    Môi trường                    bên trong                                                  Ý địn...
Những khó khăn     của việc quản trị chiến lượcNgày nay chỉ còn 16/100 các công ty lớn nhấtcủa Mỹ kể từ đầu thế kỷ 20 là c...
Những khó khăn của việc quản trị chiến lược  Mục tiêu đạt được lợi thế chiến lược cạnh tranh và đạt  lợi nhuận trên mức tr...
Xu hướng cạnh tranh của thế kỷ 21Bản chất của cạnh                                  Tốc độ thay đổitranh đang thay đổi    ...
Xu hướng cạnh tranh của thế kỷ 21Nền kinh tế toàn cầu đang          Những lợi thế cạnh tranh                              ...
Xu hướng cạnh tranh của thế kỷ 21 Lợi thế cạnh tranh của một quốc gia chỉ có thể đạt được bằng quá trình tích hợp lợi thế ...
Các Mô hình Siêu Lợi NhuậnMô hình tổ chức ngành     Mô hình dựa vào                            nguồn lực Môi trường bên ng...
Mô hình tổ chức ngành siêu lợi nhuận  Mô hình Tổ chức Ngành cho chúng ta thấy  rằng mức lợi nhuận trên trung bình cho bất ...
Mô hình tổ chức/ngành siêu lợi nhuậnMôi trường bên ngoài      Hành động cần thiết :                          Nghiên cứu mô...
Mô hình tổ chức/ngành siêu lợi nhuậnExternal                        Hành động cần thiết :Environment                     X...
Mô hình tổ chức ngành siêu lợi nhuậnExternal                                     Hành động cần thiết :Environment         ...
Mô hình tổ chức ngành siêu lợi nhuậnExternal                                    Hành động cần thiếtEnvironment            ...
Mô hình tổ chức ngành siêu lợi nhuận                                             Hành động:External                       ...
Mô hình tổ chức ngành siêu lợi nhuậnExternal                                    Hành động cần có:Environment              ...
Mô hình siêu lợi nhuận dựa trên nguồn lực     Mô hình siêu lợi nhuận cho thấy rằng     lợi nhuận trên trung bình mà các cô...
Mô hình siêu lợi nhuận dựa trên nguồn lực                         Hành động cần thiết:Nguồn lực                Xác định ng...
Mô hình siêu lợi nhuận dựa trên nguồn lực                                Hành động:Resources                       Xác địn...
Mô hình siêu lợi nhuận dựa trên nguồn lực                                              Hành độngResources                 ...
Mô hình siêu lợi nhuận dựa trên nguồn lực                                            Hành động cần làmResources           ...
Mô hình siêu lợi nhuận dựa trên nguồn lực                                          Hành động cần thiết:Resources          ...
Mô hình siêu lợi nhuận dựa trên nguồn lực                                              Hành động cần thiết:Resources      ...
Khi cả 4 tiêu chítrên đã được thỏamãn, Nguồn lực và     Năng lực cốt lõiNăng lực trởthành:Năng lực cốt lõi: là những nguồn...
Nhóm hậu             Những nhóm người chịu ảnh hưởng bởi                     hiệu quả hoạt động của một công ty vàthuẫn:  ...
Sự tham gia của Nhóm hậu thuẫn      Mỗi nhóm hậu thuẫn đều      muốn một miếng nhỏ của      cùng một chiếc bánh.          ...
Đầu vaòa                    Môi trường                    bên trong                                                  Ý địn...
Buổi 1- Phần 2              Môi trường bên ngoài: Thách              thức, Cơ hội, Cạnh tranh              ngành, và Phân ...
Hình 2.1                 Môi trường bên ngoài                                       Kinh tế                               ...
Môi trường chung• Là các phương diện trong xã hội rộng lớn có ảnh  hưởng đến một ngành và các công ty trong  ngành:   Nhâ...
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Strategy management

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Strategy management

  1. 1. SESSION 1- PART 1 Strategic ManagementSTRATEGICMANAGEMENTINPUTS Strategic Management Competitiveness and Globalization: Concepts and Cases
  2. 2. What is strategy? Provisional definition: “a coordinated series of actions which involve the deployment of resources to which one has access for the achievement of a given purpose.” 2
  3. 3. The Strategic Management ProcessInvolves the full set of:Commitments Decisions Actionswhich are required for firms to achieve: Strategic Competitiveness Sustained Competitive Advantage Above-Average Returns 3
  4. 4. Strategic Competitiveness Achieved when a firm successfully formulates and implements a value-creating strategySustained Competitive Advantage Occurs when a firm develops a strategy that competitors are not simultaneously implementing Provides benefits which current and potential competitors are unable to duplicateAbove-Average Returns Returns in excess of what an investor expects to earn from other investments with similar risk 4
  5. 5. External The StrategicStrategic Environment Management Inputs Strategic Intent Strategic Mission Internal Process Environment Strategy Formulation Strategy Implementation Business-Level Competitive Corporate-Level Corporate StructureStrategic Actions Strategy Dynamics Strategy Governance & Control Acquisitions & International Cooperative Strategic Entrepreneurship Restructuring Strategy Strategies Leadership & Innovation Outcomes Strategic Strategic Competitiveness Feedback Above Average Returns 5
  6. 6. Challenge of Strategic ManagementOnly 16 of the 100 largest U.S. companies at the start of the20th century are still identifiable today!In a recent year, 44,367 businesses filed for bankruptcy and manymore U.S. businesses failedCompetitive success is transient...unless care is taken topreserve competitive position 6
  7. 7. Challenge of Strategic ManagementThe goals of achieving strategic competitiveness andearning above-average returns are challenging The performance of some companies more than meets strategic managements challenge 7
  8. 8. 21st Century Competitive LandscapeFundamental nature of The pace of change iscompetition is changing relentless.... and increasing • Rapid technological changes • Rapid technology diffusions Traditional industry • Dramatic changes in information boundaries are blurring, and communication technologies such as... • Computers • Increasing importance of • Telecommunications knowledge 8
  9. 9. 21st Century Competitive LandscapeThe global economy is changing Traditional sources of competitive advantage no longer guarantee success • People, goods, services and ideas move freely across geographic boundaries New keys to success • New opportunities emerge in include: multiple global markets • Markets and industries become • Flexibility more internationalized • Innovation • Speed • Integration 9
  10. 10. 21st Century Competitive LandscapeA country’s competitiveness is achieved through theaccumulation of individual firms’ strategic competitivenessin the global economyAchieving improved competitiveness allows a countryscitizens to have a higher standard of living 10
  11. 11. Alternative Models of Superior ReturnsIndustrial Organization Resource-Based Model ModelThe External Environment Resources An Attractive Industry Capability Strategy Formulation Competitive Advantage Assets and Skills An Attractive IndustryStrategy Implementation Strategy Implementation Superior Returns Superior Returns 11
  12. 12. I/O Model of Superior Returns The Industrial Organization model suggests that above-average returns for any firm are largely determined by characteristics outside the firm. This model largely focuses on industry structure or attractiveness of the external environment rather than internal characteristics of the firm. 12
  13. 13. I/O Model of Superior ReturnsExternalEnvironment Action required: Study the external General Environment environment, especially Industry Environment the industry environment. Competitive Environment 13
  14. 14. I/O Model of Superior ReturnsExternal Action required:Environment Locate an industry with An Attractive high potential for above- GeneralIndustry Environment average returns. Industry Environment An industry whose Competitive structural characteristics Environment above-average suggest returns are possible 14
  15. 15. I/O Model of Superior ReturnsExternal Action required:Environment Identify strategy called for Attractive by the industry to earn GeneralIndustry Environment above-average returns. Strategy Industry Environment An industry whose Competitive Formulation structural characteristics Environment above-average a strategy suggest Selection of returns are linked with above- possible average returns in a particular industry 15
  16. 16. I/O Model of Superior ReturnsExternal Action required:Environment Develop or acquire assets Attractive and skills needed to Industry General Environment implement the strategy. Industry Strategy An industry whose structural Formulation Environment Competitive Environment characteristics suggest a strategy Skills Assets and Selection of above-average returns above- linked with average returns in a skills are possible Assets and particular required to implement industry a chosen strategy 16
  17. 17. I/O Model of Superior Returns Action required:External Environment Use the firm’s strengths (its assets or Attractive Industry skills) to implement the strategy. General Environment Industry Environment Strategy Formulation An industry whose structural Competitive Environment characteristics suggest above- average returns are possible Assets and Skills Selection of a strategy linked with above-average returns in a Strategy Implementation particular industry and skills required to Assets implement a chosen strategy Selection of strategic actions linked with effective implementation of the chosen strategy 17
  18. 18. I/O Model of Superior ReturnsExternal Environment Action required: Maintain selected strategy in Attractive Industry order to outperform industry General Environment rivals. Industry EnvironmentStrategy An industry whose Competitive Formulation structural characteristics Environment above-averageof Assets and Skills suggest Selection a strategy linked with above-average returns are possible Strategy Implementation returns in a Assets and skills required particular industry to implement a chosen Superior Returns strategy Selection of strategic actions linked with effective Earning of above- implementation of the average returns chosen strategy 18
  19. 19. Resource-Based Model of Superior Returns The Resource-Based model suggests that above-average returns for any firm are largely determined by characteristics inside the firm. This model focuses on developing or obtaining valuable resources and capabilities which are difficult or impossible for rivals to imitate. 19
  20. 20. Resource-Based Model of Superior Returns Action required:Resources Identify firm resources. Study strengths and weak-Inputs to a firm’s nesses relative to rivals.production process. 20
  21. 21. Resource- Resource-Based Model of Superior Returns Action required:Resources Determine what firm capabilities allow it to doInputs to a firm’s better than rivals. Capabilityproduction process. Capacity for an integrated set of resources to perform a task or activity. 21
  22. 22. Resource- Resource-Based Model of Superior Returns Action required:Resources Determine how firm’s Capability resources and capabilitiesInputs to a firm’s may create competitive Capacity forCompetitiveproduction process. an integrated advantage. Advantage set of resources to integratively perform a task or activity. of a firm to Ability outperform its rivals 22
  23. 23. Resource- Resource-Based Model of Superior Returns Action required:Resources Locate an attractive Capability industry.Inputs to a firm’s Competitiveproduction process. an integrated Capacity for Advantage set of resources to integratively perform a Attractive An task or activity. of aIndustry Ability firm to outperform its rivals Location of an industry with opportunities that can be exploited by the firm’s resources and capabilities 23
  24. 24. Resource- Resource-Based Model of Superior Returns Action required:Resources Select strategy that best Capability exploits resources andInputs to a firm’s capabilities relative toproduction process. Competitive set Capacity for an integrated opportunities in environs. of resources Advantage to integratively perform a task or activity. Attractive An Industry Ability of a firm to outperform its rivals Strategy Formulation Location of an industry and Implementation with opportunities that can be exploited by the firm’s resources and Strategic actions taken to capabilities earn above-average returns 24
  25. 25. Resource-Based Model of Superior Returns Action required:Resources Maintain selected strategy in Capability order to outperform industryInputs to a firm’s rivals.production process. Competitive Capacity for an integrated Advantage set of resources to integratively perform aAn Attractive Ability of a Industry task or activity. firm to outperform its rivals Strategy Location of an industry with opportunities that and Formulation Superior Returns Implementation can be exploited by the firm’s resources and Strategic actions taken above- capabilities Earning of to earn above-average returns average returns 25
  26. 26. Core Competencies When these four criteria are met, Resources and Capabilities become:Core Competencies are resources and capabilities that can serve as asource of Competitive Advantage.The Resource-Based model argues that Core Competencies are the basisfor a firm’s Competitive Advantage, Strategic Competitiveness and Abilityto Earn Above-average Returns. 26
  27. 27. Stakeholders: Groups who are affected by a firm’s performance and who have claims on its wealthThe firm must maintain performance at an adequatelevel in order to maintain the participation of key Capital Marketstakeholders Firm Stock market/Investors Debt suppliers/Banks Product Market Organizational Primary Customers Suppliers Employees Managers Non-Managers 27
  28. 28. Stakeholder InvolvementEach of the key stakeholders wants a piece ofthe same pie 1 How do you divide the pie in order to keep all of the stakeholders involved? 2 How do you increase the size of the pie so that there is more to go around? 28
  29. 29. External Environment The Strategic Strategic Management Inputs Strategic Intent Strategic Mission Internal Environment Process Strategy Formulation Strategy Implementation Business-Level Competitive Corporate-Level Corporate StructureStrategic Actions Strategy Dynamics Strategy Governance & Control Acquisitions & International Cooperative Strategic Entrepreneurship Restructuring Strategy Strategies Leadership & Innovation Strategic Outcomes Strategic Competitiveness Above Average Feedback Returns 29
  30. 30. SESSION 1- PART 2 The External Environment: Opportunities, Threats, Industry Competition, and Competitor AnalysisSTRATEGICMANAGEMENTINPUTS Strategic Management Competitiveness and Globalization: Concepts and Cases
  31. 31. FIGURE 1.1 The External Environment 31
  32. 32. General Environment Dimensions in the broader society that influence an industry and the firms within it:  Demographic  Economic  Political/legal  Sociocultural  Technological  Global 32
  33. 33. TABLE 1.1 The General Environment: Segments and Elements 33
  34. 34. Industry Environment The set of factors directly influencing a firm and its competitive actions and competitive responses  Threat of new entrants  Power of suppliers  Power of buyers  Threat of product substitutes  Intensity of rivalry among competitors 34
  35. 35. Competitor Analysis Gathering and interpreting information about all of the companies that the firm competes against. Understanding the firm’s competitor environment complements the insights provided by studying the general and industry environments. 35
  36. 36. Analysis of the External Environments General environment  Focused on the future Industry environment  Focused on factors and conditions influencing a firm’s profitability within an industry Competitor environment  Focused on predicting the dynamics of competitors’ actions, responses and intentions 36
  37. 37. Opportunities and Threats Opportunity  A condition in the general environment that, if exploited, helps a company achieve strategic competitiveness. Threat  A condition in the general environment that may hinder a company’s efforts to achieve strategic competitiveness. 37
  38. 38. Industry Environment Analysis Industry Defined  A group of firms producing products that are close substitutes • Firms that influence one another • Includes a rich mix of competitive strategies that companies use in pursuing strategic competitiveness and above-average returns 38
  39. 39. FIGURE 1.2 The Five Forces of Competition Model 39
  40. 40. Threat of New Entrants: Barriers to Entry Economies of scale Product differentiation Capital requirements Switching costs Access to distribution channels Cost disadvantages independent of scale Government policy Expected retaliation 40
  41. 41. Barriers to Entry Economies of Scale  Marginal improvements in efficiency that a firm experiences as it incrementally increases its size Factors (advantages and disadvantages) related to large- and small-scale entry  Flexibility in pricing and market share  Costs related to scale economies  Competitor retaliation 41
  42. 42. Barriers to Entry (cont’d) Product differentiation  Switching Costs  Unique products  One-time costs customers incur when they buy from a different  Customer loyalty supplier  Products at competitive prices • New equipment Capital Requirements • Retraining employees  Physical facilities • Psychic costs of ending a  Inventories relationship  Marketing activities  Access to Distribution Channels  Availability of capital  Stocking or shelf space  Price breaks  Cooperative advertising allowances 42
  43. 43. Barriers to Entry (cont’d) Cost Disadvantages  Expected retaliation Independent of Scale  Responses by existing  Proprietary product competitors may depend on a technology firm’s present stake in the  Favorable access to raw industry (available business materials options)  Desirable locations Government policy  Licensing and permit requirements  Deregulation of industries 43
  44. 44. Bargaining Power of Suppliers Supplier power increases when:  Suppliers are large and few in number.  Suitable substitute products are not available.  Individual buyers are not large customers of suppliers and there are many of them.  Suppliers’ goods are critical to the buyers’ marketplace success.  Suppliers’ products create high switching costs.  Suppliers pose a threat to integrate forward into buyers’ industry. 44
  45. 45. Bargaining Power of Buyers Buyer power increases when:  Buyers are large and few in number.  Buyers purchase a large portion of an industry’s total output.  Buyers’ purchases are a significant portion of a supplier’s annual revenues.  Buyers’ switching costs are low.  Buyers can pose threat to integrate backward into the sellers’ industry.  Buyer has full information. 45
  46. 46. Threat of Substitute Products The threat of substitute products increases when:  Buyers face few switching costs.  The substitute product’s price is lower.  Substitute product’s quality and performance are equal to or greater than the existing product. Differentiated industry products that are valued by customers reduce this threat. 46
  47. 47. Intensity of Rivalry Among Competitors Industry rivalry increases when:  There are numerous or equally balanced competitors.  Industry growth slows or declines.  There are high fixed costs or high storage costs.  There is a lack of differentiation opportunities or low switching costs.  When the strategic stakes are high.  When high exit barriers prevent competitors from leaving the industry. 47
  48. 48. Interpreting Industry Analyses Low entry barriersSuppliers and buyershave strong positions Unattractive Strong threats from Industry substitute products Intense rivalry Low profit potential among competitors 48
  49. 49. Interpreting Industry Analyses (cont’d) High entry barriers Suppliers and buyers have weak positions Attractive Few threats from Industry substitute products Moderate rivalry High profit potential among competitors 49
  50. 50. Strategic Groups  Strategic Group Defined  A set of firms emphasizing similar strategic dimensions and using similar strategies • Internal competition between strategic group firms is greater than between firms outside that strategic group. • There is more heterogeneity in the performance of firms within strategic groups. o Similar market positions o Similar products o Similar strategic actions 50
  51. 51. Strategic Groups Strategic Dimensions  Extent of technological leadership  Product quality  Pricing Policies  Distribution channels  Customer service 51
  52. 52. Competitor Analysis Competitor Intelligence  The ethical gathering of needed information and data that provides insight into: • A competitor’s direction (future objectives) • A competitor’s capabilities and intentions (current strategy) • A competitor’s beliefs about the industry (its assumptions) • A competitor’s capabilities 52
  53. 53. FIGURE 1.2CompetitorAnalysisComponents 53
  54. 54. Complementors Complementors  The network of companies that sell complementary products or services or are compatible with the focal firm’s own product or service. • If a complementor’s product or service adds value to the sale of the focal firm’s product or service, it is likely to create value for the focal firm. • However, if a complementor’s product or service is in a market into which the focal firm intends to expand, the complementor can represent a formidable competitor. 54
  55. 55. Ethical Considerations Practices considered both legal and ethical:  Obtaining publicly available information  Attending trade fairs and shows to obtain competitors’ brochures, view their exhibits, and listen to discussions about their products Practices considered both unethical and illegal:  Blackmail  Trespassing  Eavesdropping  Stealing drawings, samples, or documents 55
  56. 56. What Are the Key Factors for Competitive Success? KSFs are competitive elements that most affect every industry member’s ability to prosper in the marketplace  Specific strategy elements  Product attributes  Resources  Competencies  Competitive capabilities KSFs spell difference between  Profit and loss  Competitive success or failure 56
  57. 57. Identifying IndustryKey Success Factors Answers to three questions pinpoint KSFs  On what basis do customers choose between competing brands of sellers?  What must a seller do to be competitively successful -- what resources and competitive capabilities does it need?  What does it take for sellers to achieve a sustainable competitive advantage? KSFs consist of the 3 - 5 really major determinants of financial and competitive success in an industry 57
  58. 58. KSFs for Beer Industry Utilization of brewing capacity -- to keep manufacturing costs low Strong network of wholesale distributors -- to gain access to retail outlets Clever advertising -- to induce beer drinkers to buy a particular brand 58
  59. 59. KSFs for Apparel Manufacturing Industry  Fashion design -- to create buyer appeal  Low-cost manufacturing efficiency -- to keep selling prices competitive 59
  60. 60. Example: KSFs for Tin and Aluminum CanIndustry Locating plants close to end-use customers -- to keep costs of shipping empty cans low Ability to market plant output within economical shipping distances 60
  61. 61. Strategic Management PrincipleA sound strategy incorporates efforts to be competent on all industry key success factors and to excel on at least one factor! 61
  62. 62. SESSION 2 The Internal Environment: Resources, Capabilities, and Core CompetenciesSTRATEGICMANAGEMENTINPUTS Strategic Management Competitiveness and Globalization: Concepts and Cases
  63. 63. Competitive Advantage Firms achieve strategic competitiveness and earn above-average returns when their core competencies are effectively:  Acquired.  Bundled.  Leveraged. Over time, the benefits of any value-creating strategy can be duplicated by competitors. 2
  64. 64. Competitive Advantage (cont’d) Sustainability of a competitive advantage is a function of:  The rate of core competence obsolescence due to environmental changes.  The availability of substitutes for the core competence.  The difficulty competitors have in duplicating or imitating the core competence. 3
  65. 65. External Analyses’ Outcomes Opportunities and threatsBy studying the external environment, firms identify what they might choose to do. 4
  66. 66. Internal Analyses’ Outcomes Unique resources, capabilities, and competencies (required for sustainable competitive advantage)By studying the internal environment, firms identify what they can do 5
  67. 67. The Context of Internal Analysis Global Economy  Traditional sources of advantages can be overcome by competitors’ international strategies and by the flow of resources throughout the global economy. Global Mind-Set  The ability to study an internal environment in ways that are not dependent on the assumptions of a single country, culture, or context. Analysis Outcome  Understanding how to leverage the firm’s bundle of heterogeneous resources and capabilities. 6
  68. 68. FIGURE 2.1 Components of Internal Analysis Leading to Competitive Advantage and Strategic Competitiveness 7
  69. 69. Creating Value By exploiting their core competencies or competitive advantages, firms create value. Value is measured by:  Product performance characteristics  Product attributes for which customers are willing to pay Firms create value by innovatively bundling and leveraging their resources and capabilities. Superior value  Above-average returns 8
  70. 70. Creating Competitive Advantage Core competencies, in combination with product-market positions, are the firm’s most important sources of competitive advantage. Core competencies of a firm, in addition to its analysis of its general, industry, and competitor environments, should drive its selection of strategies. 9
  71. 71. The Challenge of Internal Analysis Strategic decisions in terms of the firm’s resources, capabilities, and core competencies:  Are non-routine.  Have ethical implications.  Significantly influence the firm’s ability to earn above-average returns. 10
  72. 72. The Challenge of Internal Analysis (cont’d) To develop and use core competencies, managers must have:  Courage  Self-confidence  Integrity  The capacity to deal with uncertainty and complexity  A willingness to hold people (and themselves) accountable for their work 11
  73. 73. FIGURE 2.2 Conditions Affecting Managerial Decisions about Resources, Capabilities, and Core CompetenciesSource: Adapted from R. Amit & P. J. H. Schoemaker, 1993, Strategicassets and organizational rent, Strategic Management Journal, 14: 33. 12
  74. 74. Resources, Capabilities and Core Competencies  ResourcesDiscovering Core  Are the source of a firm’s Competencies capabilities.  Are broad in scope. Core  Cover a spectrum of individual, Competencies social and organizational Capabilities phenomena.  Alone, do not yield a competitive Resources advantage. •Tangible •Intangible 13
  75. 75. Resources  Types of Resources Resources  Tangible resources  Are a firm’s assets, including people and • Financial resources the value of its brand • Physical resources name. • Technological resources  Represent inputs into a • Organizational firm’s production resources process, such as:  Intangible resources • Capital equipment • Human resources • Skills of employees • Innovation resources • Brand names • Financial resources • Reputation resources • Talented managers 14
  76. 76. TABLE 2.1 Tangible Resources Financial Resources • The firm’s borrowing capacity • The firm’s ability to generate internal funds Organizational Resources • The firm’s formal reporting structure and its formal planning, controlling, and coordinating systems Physical Resources • Sophistication and location of a firm’s plant and equipment • Access to raw materials Technological Resources • Stock of technology, such as patents, trademarks, copyrights, and trade secretsSources: Adapted from J. B. Barney, 1991, Firm resources and sustained competitive advantage, Journal of Management,17: 101; R. M. Grant, 1991, Contemporary Strategy Analysis, Cambridge, U.K.: Blackwell Business, 100–102. 15
  77. 77. TABLE 2.2 Intangible ResourcesHuman Resources • Knowledge • Trust • Managerial capabilities • Organizational routinesInnovation Resources • Ideas • Scientific capabilities • Capacity to innovateReputational Resources • Reputation with customers • Brand name • Perceptions of product quality, durability, and reliability • Reputation with suppliers • For efficient, effective, supportive, and mutually beneficial interactions and relationships Sources: Adapted from R. Hall, 1992, The strategic analysis of intangible resources, Strategic Management Journal, 13: 136–139; R. M. Grant, 1991, Contemporary Strategy Analysis, Cambridge, U.K.: Blackwell Business, 101–104. 16
  78. 78. Resources, Capabilities and Core Competencies  CapabilitiesDiscovering Core  Represent the capacity to deploy Competencies resources that have been purposely integrated to achieve a desired end state Core  Emerge over time through complex Competencies interactions among tangible and intangible resources Capabilities  Often are based on developing, carrying and exchanging Resources information and knowledge •Tangible through the firm’s human capital •Intangible 17
  79. 79. Resources, Capabilities and Core Competencies  Capabilities (cont’d)Discovering Core  The foundation of many Competencies capabilities lies in: • The unique skills and Core knowledge of a firm’s Competencies employees • The functional expertise Capabilities of those employees  Capabilities are often Resources developed in specific •Tangible •Intangible functional areas or as part of a functional area. 18
  80. 80. TABLE 2.3 Examples of Firms’ CapabilitiesFunctional Areas CapabilitiesDistribution Effective use of logistics management techniquesHuman resources Motivating, empowering, and retaining employeesManagement Effective and efficient control of inventories throughinformation systems point-of-purchase data collection methodsMarketing Effective promotion of brand-name products Effective customer service Innovative merchandisingManagement Ability to envision the future of clothing Effective organizational structureManufacturing Design and production skills yielding reliable products Product and design quality Miniaturization of components and productsResearch & Innovative technologydevelopment Development of sophisticated elevator control solutions Rapid transformation of technology into new products and processes Digital technology 19
  81. 81. Resources, Capabilities and Core Competencies  Four criteria for determiningDiscovering Core Competencies strategic capabilities:  Value  Rarity Core Competencies  Costly-to-imitate  Nonsubstitutability Capabilities Resources •Tangible •Intangible 20
  82. 82. Resources, Capabilities and Core Competencies Core CompetenciesDiscovering Core Competencies  Resources and capabilities that are the sources of a firm’s competitive advantage: Core • Distinguish a company Competencies competitively and reflect its personality. Capabilities • Emerge over time through an organizational process of Resources accumulating and learning how •Tangible •Intangible to deploy different resources and capabilities. 21
  83. 83. Resources, Capabilities and Core Competencies Core CompetenciesDiscovering Core Competencies  Activities that a firm performs especially well Core compared to competitors. Competencies  Activities through which Capabilities the firm adds unique value to its goods or Resources services over a long •Tangible •Intangible period of time. 22
  84. 84. Building Core Competencies  Four Criteria of Discovering Core Competencies Sustainable Competitive Advantage Four Criteria ofSustainable Advantages  Valuable capabilities  Rare capabilities•• Valuable Rare  Costly to imitate• Costly to imitate• Nonsubstitutable  Nonsubstituable 23
  85. 85. TABLE 2.4 The Four Criteria of Sustainable Competitive Advantage Valuable Capabilities • Help a firm neutralize threats or exploit opportunities Rare Capabilities • Are not possessed by many others Costly-to-Imitate Capabilities • Historical: A unique and a valuable organizational culture or brand name • Ambiguous cause: The causes and uses of a competence are unclear • Social complexity: Interpersonal relationships, trust, and friendship among managers, suppliers, and customers Nonsubstitutable Capabilities • No strategic equivalent 24
  86. 86. Building Sustainable Competitive Advantage Discovering Core Competencies  Valuable capabilities  Help a firm neutralize threats or exploit Four Criteria ofSustainable Advantages opportunities.  Rare capabilities• Valuable  Are not possessed by• Rare• Costly to imitate many others.• Nonsubstitutable 25
  87. 87. Building Sustainable Competitive Advantage  Costly-to-Imitate Capabilities Discovering Core  Historical Competencies • A unique and a valuable organizational culture or brand name Four Criteria of Sustainable  Ambiguous cause Advantages • The causes and uses of a competence are unclear  Social complexity• Valuable• Rare • Interpersonal relationships, trust,• Costly to Imitate and friendship among managers,• Nonsubstitutable suppliers, and customers 26
  88. 88. Building Sustainable Competitive Advantage  Nonsubstitutable Capabilities Discovering Core Competencies  No strategic equivalent • Firm-specific knowledge • Organizational culture Four Criteria ofSustainable Advantages • Superior execution of the chosen business model• Valuable• Rare• Costly to imitate• Nonsubstitutable 27
  89. 89. Outcomes from Combinations of the Four Criteria Competitive Performance Consequences ImplicationsNo No No No Competitive Below Average Disadvantage ReturnsYes No No Yes/ Competitive Average Returns No ParityYes Yes No Yes/ Temporary Com- Above Average to No petitive Advantage Average ReturnsYes Yes Yes Yes Sustainable Com- Above Average petitive Advantage Returns 28
  90. 90. Table 2.5 Outcomes from Combinations of the Criteria for Sustainable Competitive Advantage 29
  91. 91. Value Chain Analysis Allows the firm to understand the parts of its operations that create value and those that do not. A template that firms use to:  Understand their cost position.  Identify multiple means that might be used to facilitate implementation of a chosen business- level strategy. 30
  92. 92. Value Chain Analysis (cont’d) Primary activities involved with:  A product’s physical creation  A product’s sale and distribution to buyers  The product’s service after the sale Support Activities  Provide the assistance necessary for the primary activities to take place. 31
  93. 93. Value Chain Analysis (cont’d) Value Chain  Shows how a product moves from the raw- material stage to the final customer. To be a source of competitive advantage, a resource or capability must allow the firm:  To perform an activity in a manner that is superior to the way competitors perform it, or  To perform a value-creating activity that competitors cannot complete 32
  94. 94. FIGURE 2.3The Basic Value Chain 33
  95. 95. Table 2.6 Examining the Value-Creating Potential of Primary Activities Inbound Logistics Activities, such as materials handling, warehousing, and inventory control, used to receive, store, and disseminate inputs to a product. Operations Activities necessary to convert the inputs provided by inbound logistics into final product form. Machining, packaging, assembly, and equipment maintenance are examples of operations activities. Outbound Logistics Activities involved with collecting, storing, and physically distributing the final product to customers. Examples of these activities include finished goods warehousing, materials handling, and order processing. Marketing and Sales Activities completed to provide means through which customers can purchase products and to induce them to do so. To effectively market and sell products, firms develop advertising and promotional campaigns, select appropriate distribution channels, and select, develop, and support their sales force. Service Activities designed to enhance or maintain a product’s value. Firms engage in a range of service-related activities, including installation, repair, training, and adjustment. Each activity should be examined relative to competitors’ abilities. Accordingly, firms rate each activity as superior, equivalent, or inferior. Source: Adapted with the permission of The Free Press, an imprint of Simon & Schuster Adult Publishing Group, from Competitive Advantage: Creating and Sustaining Superior Performance, by Michael E. Porter, pp. 39–40, Copyright © 1985, 1998 by Michael E. Porter. 34
  96. 96. Table 2.7 Examining the Value-Creating Potential of Support Activities Procurement Activities completed to purchase the inputs needed to produce a firm’s products. Purchased inputs include items fully consumed during the manufacture of products (e.g., raw materials and supplies, as well as fixed assets—machinery, laboratory equipment, office equipment, and buildings). Technological Development Activities completed to improve a firm’s product and the processes used to manufacture it. Technological development takes many forms, such as process equipment, basic research and product design, and servicing procedures. Human Resource Management Activities involved with recruiting, hiring, training, developing, and compensating all personnel. Firm Infrastructure Firm infrastructure includes activities such as general management, planning, finance, accounting, legal support, and governmental relations that are required to support the work of the entire value chain. Through its infrastructure, the firm strives to effectively and consistently identify external opportunities and threats, identify resources and capabilities, and support core competencies. Each activity should be examined relative to competitors’ abilities. Accordingly, firms rate each activity as superior, equivalent, or inferior. Source: Adapted with the permission of The Free Press, an imprint of Simon & Schuster Adult Publishing Group, from Competitive Advantage: Creating and Sustaining Superior Performance, by Michael E. Porter, pp. 40–43, Copyright © 1985, 1998 by Michael E. Porter. 35
  97. 97. The Value-Creating Potential of Primary Activities Inbound Logistics  Activities used to receive, store, and disseminate inputs to a product Operations  Activities necessary to convert the inputs provided by inbound logistics into final product form Outbound Logistics  Activities involved with collecting, storing, and physically distributing the product to customers 36
  98. 98. The Value-Creating Potential of Primary Activities (cont’d) Marketing and Sales  Activities completed to provide the means through which customers can purchase products and to induce them to do so. Service  Activities designed to enhance or maintain a product’s value Each activity should be examined relative to competitor’s abilities and rated as superior, equivalent or inferior. 37
  99. 99. The Value-Creating Potential of Primary Activities: Support Procurement  Activities completed to purchase the inputs needed to produce a firm’s products. Technological Development  Activities completed to improve a firm’s product and the processes used to manufacture it. Human Resource Management  Activities involved with recruiting, hiring, training, developing, and compensating all personnel. 38
  100. 100. The Value-Creating Potential of Primary Activities: Support (cont’d) Firm Infrastructure  Activities that support the work of the entire value chain (general management, planning, finance, accounting, legal, government relations, etc.) • Effectively and consistently identify external opportunities and threats • Identify resources and capabilities • Support core competencies  Each activity should be examined relative to competitor’s abilities and rated as superior, equivalent or inferior. 39
  101. 101. Figure 2.4 Prominent Applications of the Internet in the Value ChainSource: Reprinted by permissionof Harvard Business Review from―Strategy and the Internet‖ byMichael E. Porter, March 2001,p. 75. Copyright © 2001 by theHarvard Business SchoolPublishing Corporation; all rightsreserved. 40
  102. 102. Outsourcing The purchase of a value-creating activity from an external supplier  Few organizations possess the resources and capabilities required to achieve competitive superiority in all primary and support activities. By performing fewer capabilities:  A firm can concentrate on those areas in which it can create value.  Specialty suppliers can perform outsourced capabilities more efficiently. 41
  103. 103. Outsourcing DecisionsA firm may outsource all or onlypart of one or more primaryand/or support activities. Technological Development Human Resource Mgmt. Service Support Activities Firm Infrastructure Marketing and Sales Procurement Outbound Logistics Operations Inbound Logistics Primary Activities 42
  104. 104. Strategic Rationales for Outsourcing Improving business focus  Helps a company focus on broader business issues by having outside experts handle various operational details. Providing access to world-class capabilities  The specialized resources of outsourcing providers makes world-class capabilities available to firms in a wide range of applications. 43
  105. 105. Strategic Rationales for Outsourcing (cont’d) Accelerating re-engineering benefits  Achieves re-engineering benefits more quickly by having outsiders—who have already achieved world-class standards—take over process. Sharing risks  Reduces investment requirements and makes firm more flexible, dynamic and better able to adapt to changing opportunities. Freeing resources for other purposes  Redirects efforts from non-core activities toward those that serve customers more effectively. 44
  106. 106. Outsourcing Issues Seeking greatest value  Outsource only to firms possessing a core competence in terms of performing the primary or supporting the outsourced activity. Evaluating resources and capabilities  Do not outsource activities in which the firm itself can create and capture value. Environmental threats and ongoing tasks  Do not outsource primary and support activities that are used to neutralize environmental threats or to complete necessary ongoing organizational tasks. 45
  107. 107. Outsourcing Issues (cont’d) Nonstrategic team resources  Do not outsource capabilities critical to the firm’s success, even though the capabilities are not actual sources of competitive advantage. Firm’s knowledge base  Do not outsource activities that stimulate the development of new capabilities and competencies. 46
  108. 108. Cautions and Reminders Never take for granted that core competencies will continue to provide a source of competitive advantage. All core competencies have the potential to become core rigidities—former core competencies that now generate inertia and stifle innovation. Determining what the firm can do through continuous and effective analyses of its internal environment will increase the likelihood of long-term competitive success. 47
  109. 109. What Are the Firm’s Strengths, Weaknesses, Opportunities and Threats S W O T represents the first letter in  S trengths S W  W eaknesses  O pportunities  T hreats O T Strategy-making must be well-matched to both  A firm’s resource strengths and weaknesses  A firm’s best market opportunities and external threats to its well-being 48
  110. 110. SWOT ANALYSIS STRENGTH – INTERNAL WEAKNESS – INTERNAL OPPORTUNITIES –EXTERNAL THREATS -EXTERNAL 49
  111. 111. Identifying Resource Strengths and Competitive Capabilities A strength is something a firm does well or a characteristic that enhances its competitiveness  Valuable competencies or know-how  Valuable physical assets  Valuable human assets  Valuable organizational assets  Valuable intangible assets  Important competitive capabilities  An attribute that places a company in a position of market advantage  Alliances or cooperative ventures 50
  112. 112. Identifying Resource Weaknesses and Competitive Deficiencies A weakness is something a firm lacks, does poorly, or a condition placing it at a disadvantage Resource weaknesses relate to  Deficiencies in know-how or expertise or competencies  Lack of important physical, organizational, or intangible assets  Missing capabilities in key areas 51
  113. 113. Identifying External Threats Emergence of cheaper/better technologies Introduction of better products by rivals Intensifying competitive pressures Onerous regulations A rise in interest rates Potential of a hostile takeover Unfavorable demographic shifts Adverse shifts in foreign exchange rates Political upheaval in a country 52
  114. 114. Role of SWOT Analysis in Crafting a Better Strategy Developing a clear understanding of a company’s  Resource strengths  Resource weaknesses  Best opportunities  External threats Drawing conclusions about how best to deploy resources in light of the company’s internal and external situation Thinking strategically about how to strengthen the company’s resource base for the future 53
  115. 115. SWOT Analysis -- What to Look For Potential Resource Potential Resource Potential Company Potential External Strengths Weaknesses Opportunities Threats• Powerful strategy • No clear strategic • Serving additional • Entry of potent new• Strong financial direction customer groups competitorscondition • Obsolete facilities • Expanding to new • Loss of sales to• Strong brand name • Weak balance sheet; geographic areas substitutesimage/reputation excess debt • Expanding product line • Slowing market growth• Widely recognized • Higher overall costs • Transferring skills to • Adverse shifts inmarket leader than rivals new products exchange rates & trade• Proprietary technology • Missing some key • Vertical integration policies• Cost advantages skills/competencies • Openings to take MS • Costly new regulations• Strong advertising • Subpar profits . . . from rivals • Vulnerability to • Internal operating • Acquisition of rivals business cycle• Product innovationskills problems . . . • Alliances or JVs to • Growing leverage of • Falling behind in R&D expand coverage customers or suppliers• Good customer service • Too narrow product • Openings to exploit • Shift in buyer needs• Better product quality for product line new technologies•Alliances or JVs • Demographic changes • Weak marketing skills • Openings to extend brand name/image 54
  116. 116. Buổi 1- Phần 1 QUẢN TRỊ CHIẾN LƯỢCSTRATEGICMANAGEMENTINPUTS Quản trị chiến lược: Cạnh tranh và toàn cầu hoá: Các khái niệm và tình huống
  117. 117. Chiến lược là gì?• Định nghĩa: “một loạt các hành động phức hợp nhằm huy động nguồn lực một tổ chức có thể có để đạt được một mục đích nhất định.” 2
  118. 118. Quy trình quản trị chiến lượcBao gồm: Quyết Hành Cam kết định độngmà công ty cần có để đạt được: Lợi thế cạnh tranh chiến lược Lợi thế cạnh tranh bền vững Lợi nhuận trên mức trung bình 3
  119. 119. Lợi thế cạnh tranh chiến lược Là lợi thế một công ty có được khi xây dựng và thực thi một chiến lược đem lại giá trị cho công tyLợi thế cạnh tranh bền vững Là lợi thế một công ty có được khi xây dựng được một chiến lược mà các công ty đối thủ không có được Tạo ra những lợi thế mà những đối thủ cạnh tranh hiện thời và cả những đối thủ cạnh tranh tiềm năng không thể nào có đượcLợi nhuận trên mức trung bình Lợi nhuận vượt quá những gì nhà đầu tư kỳ vọng có được từ những khoản đầu tư khác có rủi ro tương tự 4
  120. 120. Đầu vaòa Môi trường bên trong Ý định chiến Quy trình lược Nhiệm vụ chiến lược quản trị Môi trường bên ngoài chiến lược Xây dựng chiến lược Thực thi chiến lược Chiến lược cấp Cạnh tranh Chiến lược Quản trị Cấu trúc cấp tập đoàn Công tyHành độngchiến lược doanh nghiệp năng động và kiểm soát Sáp nhập Chiến lược Chiến lược Chiến lược Khởi sự doanh và Quốc tế Hợp tác nghiệp Tái cấu trúc Lãnh đạo và Đổi mới chiến lược Chiến lược Kết quả Cạnh tranh với Mức lợi nhuận Feedback trên trung bình 5
  121. 121. Những khó khăn của việc quản trị chiến lượcNgày nay chỉ còn 16/100 các công ty lớn nhấtcủa Mỹ kể từ đầu thế kỷ 20 là còn giữ được vịtrí của mình.Trong những năm gần đây, 44,367 doanh nghiệpnộp đơn xin phá sản và ngày càng nhiều doanhnghiệp Mỹ thất bại.Thành công trong cạnh tranh không phải là vĩnhhằng… trừ khi chúng ta biết cách giữ được vịtrí đó. 6
  122. 122. Những khó khăn của việc quản trị chiến lược Mục tiêu đạt được lợi thế chiến lược cạnh tranh và đạt lợi nhuận trên mức trung bình là rất khó khăn. Hoạt động của một công ty không chỉ là để vượt qua được những khó khăn về mặt chiến lược 7
  123. 123. Xu hướng cạnh tranh của thế kỷ 21Bản chất của cạnh Tốc độ thay đổitranh đang thay đổi ngày càng nhanh• Sự thay đổi công nghệ nhanh và không ngừng chóng tăng lên• Sự tiếp thu công nghệ Những giới hạn nhanh chóng• Có những thay đổi lớn trong giữa các ngành công nghệ thông tin và truyền đang mờ dần như: thông • Máy tính• Tri thức ngày càng trở nên • Truyền thông quan trọng 8
  124. 124. Xu hướng cạnh tranh của thế kỷ 21Nền kinh tế toàn cầu đang Những lợi thế cạnh tranh truyền thống không còn làthay đổi những nhân tố đảm bảo thành công • Con người, hàng hóa, dịch vụ và ý tưởng dịch chuyển tự do qua biên giới các quốc gia. Những nhân tố mới • Những cơ hội mới xuất hiện để thành công: trong nhiều thị trường trên • Linh hoạt toàn cầu • Đổi mới • Thị trường và các ngành công • Tốc độ nghiệp ngày càng trở nên quốc • Hội nhập tế hóa. 9
  125. 125. Xu hướng cạnh tranh của thế kỷ 21 Lợi thế cạnh tranh của một quốc gia chỉ có thể đạt được bằng quá trình tích hợp lợi thế cạnh tranh chiến lược của từng công ty thuộc quốc gia đó trong nền kinh tế toàn cầu. Một quốc gia có lợi thế cạnh tranh tốt sẽ giúp người dân nước đó có mức sống cao hơn. 10
  126. 126. Các Mô hình Siêu Lợi NhuậnMô hình tổ chức ngành Mô hình dựa vào nguồn lực Môi trường bên ngoài Nguồn lực Một ngành hấp dẫn Năng lực Xây dựng chiến lược Lợi thế cạnh tranh Tài sản và kỹ năng Một ngành hấp dẫn Thực hiện chiến lược Thực hiện chiến lược Siêu lợi nhuận Siêu lợi nhuận 11
  127. 127. Mô hình tổ chức ngành siêu lợi nhuận Mô hình Tổ chức Ngành cho chúng ta thấy rằng mức lợi nhuận trên trung bình cho bất cứ công ty nào được quyết định bởi những nhân tố bên ngoài công ty. Mô hình này chủ yếu tập trung vào cấu trúc ngành hoặc môi trường bên ngoài hơn là đặc điểm bên trong của công ty. 12
  128. 128. Mô hình tổ chức/ngành siêu lợi nhuậnMôi trường bên ngoài Hành động cần thiết : Nghiên cứu môi trường bên ngoài, đặc biệt là môi Môi trường chung trường ngành Môi trường ngành Môi trường cạnh tranh 13
  129. 129. Mô hình tổ chức/ngành siêu lợi nhuậnExternal Hành động cần thiết :Environment Xác định một ngành có Một ngành hấp dẫn tiềm năng đem lại mức lợi General Environment nhuận trên trung bình. Industry Environment Là ngành có đặc trưng Competitivetrúc có khả năng cấu Environment lợi nhuận trên đem lại mức trung bình 14
  130. 130. Mô hình tổ chức ngành siêu lợi nhuậnExternal Hành động cần thiết :Environment Xác định một chiến lược Attractive cần thiết cho ngành đó để GeneralIndustry Environment có thể kiếm mức lợi nhuận Industry Environment dựng chiến Xây trên trung bình. An industry whose Competitive lược structural characteristics Environment above-average suggest Lựa chọn một chiến returns are lược tập trung vào possible ngành có mức lợi nhuận trên trung bình 15
  131. 131. Mô hình tổ chức ngành siêu lợi nhuậnExternal Hành động cần thiếtEnvironment Xây dựng hoặc tập trung Attractive những tài sản vã kỹ năng GeneralIndustry Environment cần thiết để thực thi chiến Strategy Industry Environment lược. An industry whose Competitive Formulation structural characteristics Environment above-averageTài sản và kỹ năng suggest Selection of a strategy returns are linked with above- possible average returns in và kỹ năng cần Tài sản a particular industrythực thi môt thiết để chiến lược 16
  132. 132. Mô hình tổ chức ngành siêu lợi nhuận Hành động:External Phát huy những điểm mạnh của công ty (tài sản hoặc kỹEnvironment Attractive năng) để thực thi chiến lược. GeneralIndustry Environment Strategy Industry Environment An industry whose Competitive Formulation structural characteristics Environment above-averageAssets and Skills suggest Selection of a strategy returns are linked with above- possible average returns in a Thực thi chiến lược Assets and skills particular industry to implement required a chosen strategy Lựa chọn một loạt các hành động mang tính chiến lược nhằm thực thi chiến lược đã chọn 17
  133. 133. Mô hình tổ chức ngành siêu lợi nhuậnExternal Hành động cần có:Environment Duy trì những chiến lược Attractive đã lựa chọn để vượt qua GeneralIndustry Environment đối thủ cạnh tranh. Strategy Industry Environment An industry whose Competitive Formulation structural characteristics Environment above-averageAssets and Skills suggest Selection of a strategy returns are linked with above- possible average returns in a Strategy Assets and skills required Implementation particular industry to implement a chosen strategy Siêu lợi nhuận Selection of strategic actions linked with effective implementation trên Kiếm lợi nhuận of the chosen strategy bình mức trung 18
  134. 134. Mô hình siêu lợi nhuận dựa trên nguồn lực Mô hình siêu lợi nhuận cho thấy rằng lợi nhuận trên trung bình mà các công ty đạt được phần lớn là do những đặc tính bên trong công ty. Mô hình này tập trung vào phát triển hoặc đạt được các nguồn lực và năng lực giá trị mà đối thủ cạnh tranh khó hoặc không thể bắt chước được. 19
  135. 135. Mô hình siêu lợi nhuận dựa trên nguồn lực Hành động cần thiết:Nguồn lực Xác định nguồn lực của công ty. Nghiên cứu điểmNguồn đầu vào cho quá mạnh và điểm yếu củatrình sản xuất của một công ty mình so với đốicông ty. thủ. 20
  136. 136. Mô hình siêu lợi nhuận dựa trên nguồn lực Hành động:Resources Xác định xem năng lực Năng lực nào của một doanhInputs to a firm’s nghiệp có thể khiếnproduction process. hợp các Khả năng tích doanh nghiệp đó vượt trội nguồn lực để thực hiện một nhiệm vụ hoặc hoạt hơn đối thủ. động. 21
  137. 137. Mô hình siêu lợi nhuận dựa trên nguồn lực Hành độngResources Xác định xem nguồn lực Capability và năng lực của một côngInputs to a firm’s ty có thể tạo ra lợi thếproduction process. an thế cạnh Capacity forLợi integrated cạnh tranh như thế nào. tranh set of resources to integratively perform a task or activity. năng của một công Khả ty có thể vượt trội hơn đối thủ 22
  138. 138. Mô hình siêu lợi nhuận dựa trên nguồn lực Hành động cần làmResources Xác định một ngành công Capability nghiệp hấp dẫn.Inputs to a firm’s Competitiveproduction process. an integrated Capacity for Advantage set of resources to integratively perform Một ngành hấp a task or activity. of adẫn to Ability firm outperform its rivals Một ngành có những cơ hội mà một công ty có thể khai thác bằng nguồn lực và năng lực của mình. 23
  139. 139. Mô hình siêu lợi nhuận dựa trên nguồn lực Hành động cần thiết:Resources Lựa chọn một chiến lược Capability có thể khai thác tốt nhấtInputs to a firm’s nguồn lực và năng lực Capacity forCompetitiveproduction process. an integrated tương ứng với cơ hội Advantage set of resources to trong ngành. integratively perform a Attractive An task or activity. of aIndustry Ability firm to outperform its rivalsXây dựng và thực Location of an industry thi chiến lược with opportunities that can be exploited by the firm’s resources hành động chiến Những and capabilities nhằm kiếm lợi lược nhuận trên mức trung bình 24
  140. 140. Mô hình siêu lợi nhuận dựa trên nguồn lực Hành động cần thiết:Resources Duy trì chiến lược đã Capability chọn để vượt qua đối thủ.Inputs to a firm’s Competitiveproduction process. an integrated Capacity for Advantage set of resources to integratively perform a Attractive An task or activity. of aIndustry Ability firm to outperform its rivalsStrategy Location of an industry with opportunities that and Formulation Implementation nhuận Siêu lợi can be exploited by the firm’s resources and Strategic actions taken to trên capabilities Kiếm lợi nhuận earn above-average bình. mức trung returns 25
  141. 141. Khi cả 4 tiêu chítrên đã được thỏamãn, Nguồn lực và Năng lực cốt lõiNăng lực trởthành:Năng lực cốt lõi: là những nguồn lực và năng lực cóthể đem lại những Lợi Thế Cạnh Tranh.Mô hình Dựa Trên Nguồn Lực cho rằng những Nănglực cốt lõi là nền tảng cho Lợi Thế Cạnh Tranh , LợiThế Cạnh Tranh Chiến Lược và Khả năng kiếm lợinhuận trên mức trung bình của một công ty. 26
  142. 142. Nhóm hậu Những nhóm người chịu ảnh hưởng bởi hiệu quả hoạt động của một công ty vàthuẫn: được hưởng lợi từ sự thịnh vượng của công ty.Công ty phải duy trì hoạt động hiệuquả ở mức đủ để duy trì sự tham giacủa Nhóm hẫu thuẫn chủ chốt. Thị trường tài chính TT Chứng khoán/ Nhà đầu tư Công ty Các tổ chức cho vay/Ngân hàngThị trường sản phẩm Tổ chức Những khách hàng/nhà cung cấp chính Nhân viên Nhà Quản lý Những người không quản lý 27
  143. 143. Sự tham gia của Nhóm hậu thuẫn Mỗi nhóm hậu thuẫn đều muốn một miếng nhỏ của cùng một chiếc bánh. 1 Bạn sẽ chia chiếc bánh như thế nào để các bên đều chấp nhận? 2 Làm cách nào bạn có thể làm chiếc bánh to ra để mỗi người sẽ được chia nhiều hơn? 28
  144. 144. Đầu vaòa Môi trường bên trong Ý định chiến Quy trình lược Nhiệm vụ chiến lược quản trị Môi trường bên ngoài chiến lược Xây dựng chiến lược Thực thi chiến lược Chiến lược cấp Cạnh tranh Chiến lược Quản trị Cấu trúc cấp tập đoàn Công tyHành độngchiến lược doanh nghiệp năng động và kiểm soát Sáp nhập Chiến lược Chiến lược Chiến lược Khởi sự doanh và Quốc tế Hợp tác nghiệp Tái cấu trúc Lãnh đạo và Đổi mới chiến lược Chiến lược Kết quả Cạnh tranh với Mức lợi nhuận Feedback trên R trung bình 29
  145. 145. Buổi 1- Phần 2 Môi trường bên ngoài: Thách thức, Cơ hội, Cạnh tranh ngành, và Phân tích đối thủSTRATEGIC cạnh tranh.MANAGEMENTINPUTS Quản trị chiến lược: Cạnh tranh và toàn cầu hoá: Các khái niệm và tình huống
  146. 146. Hình 2.1 Môi trường bên ngoài Kinh tế Môi trường Văn hóa Nhân khẩu học ngành - xã hội Mối đe dọa của các công ty mới Quyền lực của nhà cung cấp Quyền lực của người mua Mối đe dọa từ các sản phẩm thay thế Cường độ cạnh tranh Môi trường Chính trị cạnh tranh Toàn cầu / Pháp lý Công nghệ 31
  147. 147. Môi trường chung• Là các phương diện trong xã hội rộng lớn có ảnh hưởng đến một ngành và các công ty trong ngành:  Nhân khẩu học  Kinh tế  Chính trị/ Pháp lý  Văn hóa-xã hội  Công nghệ  Toàn cầu 32

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