Prospective on corporate strategy Essay Example | Topics and Well Written Essays - 750 words

Prospective on corporate outline - Essay ExampleHe argues that if these teachings are not followed in entirety whence a sure would be unable to maintain or enhance its strategical position. The first principle is to develop the right goals, which means the targets and objectives that are pragmatic and achievable in real world. For instance, the goals should be defined in a way they could create economic value for customers. This is happened when certain want-satisfying products are developed and marketed that in turn lead to consumer satisfaction / loyalty and relationship building in the long run (Porter, 1996). Profits are viewed by Porter (2001) as a secondary element of strategy because if a firms primary aim is profit then it would probably devise wrong policies. The second principle is value proposition that refers to promises made by a supplier to its buyers. Indeed, the stronger the value proposition the greater the probability of enhanced strategic positioning. The thi rd principle is classifiable value chain, which means that firms should differentiate their line of reasoning functions compared to their rivals to support its distinctive value proposition (Hamel & Prahalad, 1990). The fourth principle is to trade off certain characteristics during strategy formulation to ensure differentiation. ... Indeed, an organization with weak positioning could not survive, expand and sustain in a challenging, complex and unpredictable 21st century business environment. Task 2 It is worth mentioning that this is a globalized world (an outcome of technological advancements) where competition is intense among business firms due to relatively fewer barriers in incoming in corporate arena. Nevertheless, the organizations also enjoy multiple benefits due to these technological innovations because they automate their business process and ensure their virtual presence to enhance their strategic position (inclusive of productivity and efficiency, cost reduction, ma rket reach / share and sales volume). Apparently, it seems as if internet is a very useful tool for any firm (traditional operations) or e-business to attract a mountainous pool of potential customers through web (dot com) presence. However, the first major criticism is that a significantly large derive of dot com ventures fail and internet is not extremely beneficial for sales purposes because today it has been used by all entities (Stead et al, 2007). Indeed, all credible small and large business has created a website to facilitate and entice potential consumers towards their products (for example General Motors will not make water a genuine advantage on Toyota and Chrysler because every global corporation enjoys online presence). For instance, another criticism is that the online customers are disadvantaged because they could not physically test and validate the products they order online (on web) therefore, they tend to make purchases online mostly from companies that have e arned credibility and authenticity in open market and