L22 - Businesss Strategy SWOT Analysis

Question 1

What is a business strategy?

Answer 1

• The plans and actions to achieve objectives
  
  • Increase market share by 5%
  • Diversify into the sale of home appliances by 2029
• The direction of an organisation
  
  • Where is the company trying to get to into the long term

Question 2

What is the need for organisational strategy?

Answer 2

• Different departments need to work towards a common goal
• Allocations of resources
  
  • Where can investment be used
  • TO contribute towards an agreed direction for organisation
• Operations must be in favour of the different stakeholders
  
  • Strategy ensures that organisations consistently uphold responsibilities to the different stakeholders

Question 3

What is the genreralised steps of Buisnes Strategy Development?

Answer 3

1. Determine the business objectives
2. Access the cureent and future performance
3. Make decisions from well though out plans

Question 4

What is the first stage of buisness strategy development?

Answer 4

1. Determine the business objectives
   
   1. What is the long term horizon?
   2. What metric can be achieved in a certain time

Question 5

What is the second stage of buisness strategy development?

Answer 5

2. Assess the current and future performance considering your
   
   1. Strengths
   2. Pain-points/weaknesses
   3. External opportunities
   4. Competitors

Question 6

What is the third stage of buisness strategy development?

Answer 6

Question 7

What are some Strategy Development Considerations?

Answer 7

• Strategy lead by the needs of the business rather than the technology
• Tech aids implementation of strategy
• The adverse leads to dangerous results such as the dot com bubble

Case Study - Dot Com Bubble

1. Major interest and development into internet
2. Many companies formed and many invested without strategy and direction
3. Oct 2000 no profit, ran out of VC money
4. Many companies died and many took a hit finically leading to recession

Question 8

What is SWOT Analysis?

Answer 8

• Asses and understand a companies:
  
  • Position
  • Strategy
  • Project
  • Investment
• In order to make business decisions off of:
  
  • Strengths and weaknesses compared to other companies
    
    • What resources do we have?
    • What do we do exceptionally well
    • What could we do better
    • Where are we venerable
  • Opportunities - better performance within the environment
    
    • What opportunities do we know about but aren’t able to address
    • Are there emerging tends on which we can capitalise
  • Threats/risks
    
    • What external roadblocks exist that block out progress?
    • Are our competitors doing anything different?