MGM102H5 Chapter Notes -Knowledge Network, Piece Work, William Bratton
Document Summary
For a business managers, the development of a business strategy means making decisions and determining direction in six key areas: purpose, markets, products and services, resources, business system configuration, responsibility and accountability. Purpose refers to the mission of the organization and the vision its managers or owners have for the business. Defines an organizations purpose or reason for existence. Is a forward-thinking statement that defines what a company wants to become where its going. Refers to the specific markets segments the business sees itself competing in. As part of the strategy development process, managers and owners need to assess their success in existing markets and evaluate the potential new markets. Markets that have become unprofitable or marginally profitable and lack significance future growth will be evaluated in terms of market exit strategies or harvesting strategies. Is a strategy that reflects a reduced commitment to particular market given its perceived weak future growth or profitability potential.
