Welcome

Welcome To All Reader

Friday, 6 December 2013

chapter 6

Salam, now I want tell you about chapter six that mean Strengthening a Company's Competitive Position: Strategic Moves, Timing, and Scope of Operations





We will know how to learn whether and when to us as a person in the organization to continue the strategic offensive or defensive measures to improve the market position of the company.

In addition, we also need to know how to recognize when someone we believe to be a first mover or fast follower or a late mover is most advantageous to strengthen each company.

We need to realize the strategic benefits and risks of each of us to expand the scope of horizontal company through mergers and acquisitions.

Next, we need to learn all the pros and cons of extending the scope of its operations through vertical integration, and must be aware of the situation in favor of the agricultural value chain activities to outside parties.

Finally, we also need to know that when and how strategic alliances can replace horizontal mergers and acquisitions or vertical integration and how they can facilitate outsourcing.


CONSIDERING STRATEGY-ENHANCING MEASURES




PRINCIPAL OFFENSIVE STRATEGY OPTIONS








BLUE-OCEAN STRATEGY—
A SPECIAL KIND OF OFFENSIVE

Decisions concerning the scope of a company's operations—which activities a firm will perform internally and which it will not—can also affect the strength of a company's market position. The scope of the firm refers to the range of its activities, the breadth of its product and service offerings, the extent of its geographic market presence, and its mix of businesses. Companies can expand their scope horizontally (more broadly within their focal market) or vertically (up or down the chain of value-adding activities that start with raw-material production and end with sales and service to the end consumer). Horizontal mergers and acquisitions (combinations of market rivals) provide a means for a company to expand its horizontal scope. Vertical integration expands a firm's vertical scope.
Outsourcing involves farming out pieces of the value chain formerly performed in-house to outside vendors, thereby narrowing the scope of the firm. Outsourcing can enhance a company's competitiveness whenever (1) an activity can be performed better or more cheaply by outside specialists; (2) having the activity performed by others won't hollow out the outsourcing company's core competencies; (3) it streamlines company operations in ways that improve organizational flexibility, speed decision making, and cut cycle time; (4) it reduces the company's risk exposure; (5) it allows a company to access capabilities more quickly and improves its ability to innovate; and (6) it permits a company to concentrate on its core business and focus on what it does best.

That all,thank you.
Assalamualaikum.




No comments:

Post a Comment