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What Would You Do?

Case 1: Recommendation #1

Not a bad choice. Of course, a lot of information is needed first in order for this to make sense. There are strategic-planning societies in other countries, not to mention the large international Strategic Management Society based in the U.S., comprising mainly academic and consultant members. It would be a good way to expand, although negotiating the terms of merger agreements could be problematical.

Of course, no particular option is necessarily the best option, i.e., there is no "right answer" to this case (in the event you were expecting one). When companies choose to change their strategy, they do so only by being persuaded at the time that it makes the most sense. It's an imperfect process at best, witness the many corporate decisions made today that turn out badly...


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QUOTE OF THE DAY

"Strategy is a handful of decisions that drive or shape most of a company's subsequent actions, are not easily changed once made, and have the greatest impact on whether a company meets its strategic objectives...This handful of decisions consists of selecting the company's strategic posture, identifying the source or sources of competitive advantage, developing the business concept, and constructing tailored value-delivery systems."

Kevin P. Coyne and Somu Subramaniam, "Bringing Discipline to Strategy," The McKinsey Quarterly, No. 2000 3 Strategy (originally)

 

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