Business Strategy Development
Introduction
According to (Gamble, Peterraf, & Thompson, 2019), business development (BD) strategy is the process of the analytical preparation for the probable growth opportunities in the market by a company. A Submitted Student Sample: ORDER YOUR PAPER NOW
Process: Business Strategy Development
Gathering of facts: A business needs to undertake SWOT and PEST analysis of the environment in which it operates (Krogerus & Tschappeler, 2018). This plays a useful role in forecasting and designing strategies of getting new customers and also gaining a competitive advantage.
Vision statement development: In the process of business strategy development, a company must ensure it is aligned to the vision in the industry (Gamble, Peterraf, & Thompson, 2019). Vision statement helps in developing the mission of the business development strategy by a company.
Development of a vision statement: The purpose of an organization is defined in its vision. Outlining the primary objective of a business in the market is the third step of BD strategizing (Keller, 2012).
Identification of strategic objectives: At this level, the aim is developing asset of high-end objectives for all business units (Gamble, Peterraf, & Thompson, 2019). Business managers need to highlight the priorities and inform the work team about their plans of ensuring successive realization of objectives.
Tactical plans: In this stage, managers generate innovative ideas of converting the strategic objective into the desired short-term or long-term objectives. Each departmental action need to be considered in tactical plan setting.
Performance management: This process is done by capturing the right information, splitting it, and prioritizing on the information that clearly indicate the strategic vision of the company (Rumelt, 2011).
Strategic Thinking: Key Decisions Necessary for Making Strategy Decisions, why
Engagement and communication: The question whether to engage the workforce in decision making must always come in the mind of a good manager when making critical strategic decisions (Gamble, Peterraf, & Thompson, 2019). Employee’s input in terms of ideas, opinions, and views regarding market expansion approaches should not be ignored in the decision making process.
Marketing mix: Managers of a company must understand that the company’s marketing mix greatly influences their strategic decisions. The marketing mix comprises of the product, price, place, and promotion (Gamble, Peterraf, & Thompson, 2019). In the expansion of market policy, consideration of the type of product, its price, the location of business and the promotion strategies is very vital of a manager.
Innovation: Organizations must always have courage when taking risks. Some business strategy plans include the development of a new product or service or the restructuring of a department. In such critical decisions, managers must put workers into groups- and such an initiative leads to success.
(Chritine, 2012): What are my decision models and how do they aid/hinder this process, why
SWOT Analysis– A SWOT analysis is the main decision model that aids business strategy development by a company. This model analyses a company’s strengths, weaknesses, opportunities, and threats in the industry (Krogerus & Tschappeler, 2018). The model aids the success of business strategy development since the business manager has all the required information for the company both internally and externally.
PEST Model: Like SWOT, PEST abbreviates the political, economic, social, and technological factors that affect a business’s performance externally. These factors are beyond managerial control and thus a business leader must consider them when making business strategy development policies (Krogerus & Tschappeler, 2018). It is very useful since the manager is able to project the future success based on the current market conditions.
Porter’s Five Forces: This business model is built around the forces that affect the profitability of an industry (Krogerus & Tschappeler, 2018). In making business strategy development, a good manager consider the threat of new entrants, threat of substitute offerings, customers bargaining power, suppliers bargaining power, and the competitive rivalry among the existing companies. A Submitted Student Sample: ORDER YOUR PAPER NOW
Conclusion
In conclusion, a business manager must follow all business strategy and policy development procedures in decision making.