BUS 800 Chapter Notes - Chapter 1-10: Value Chain, Incumbent, Wii

• School: Ryerson University
• Department: Business
• Course: BUS 800
• Professor: Paul Gillespie

Document Summary

Successful strategy is illustrated by emergence of organizations that allow for the effective marshalling of resources and capabilities and quick responses to changes in competitive environment. Strategies that build on the basic four elements almost always play an influential role. Focussing on a single goal may lead to outstanding success, but may be matched by dismal failure in other areas of life. Enterprises need business strategies to give direction and purpose, to deploy resources in the most effective manner, and to coordinate the decisions made by different individuals. Strategy is the overall plan for deploying resources to establish a favourable position; a tactic is a scheme for a specific action. Strategic decisions share three common characteristics: they are important, involve a significant commitment of resources and are not easily reversible. In 1950s and 60s, financial budgeting provided short-term control and project selection but not long term development of the firm.