BSM 600 Lecture Notes - Lecture 1: Retained Earnings, Pest Analysis, Strategic Planning
25 May 2016
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Document Summary
Established in the industry (been around, working/profits) Reputation (has a loyal customer base, good network of suppliers) Suppliers give you good returns and rates because they want to maintain relationship. On time, good quality, match with what you"re expecting. Skills are developed from failures and successes, go through failures to know how to grow. This learning curve cannot be imitated easily, gives you the advantage to try something new. Retained earnings (can be used to create new products, processes aka invest in resources) You can choose your sources of financing. Not growing (think about new products, behave like a growing firm with product innovations) Instead of catching up, you create a catalyst. Constant fear that something will go wrong, good management to manage the uncertainty that it is okay and fine if we fail. Need a culture of change in the company"s environment. Complexity increases, no longer under the radar, competitors will attack.
