School of Thought
One Strategy Vision is broadening horizons by initiating Standards and School of Thought. A cross section looks at thinking into concepts and theories that have been overlooked due to missing knowledge into the application of established concepts that can support a firm’s design of strategy and strategic methodologies. These concepts and theories are not new and are well known founding in business.
One Strategy Vision is integrated into both firms Strategic UK Group and Think Strategic UK. This is building on our Future Context “Re-Educate”, and Future Strategy Context “School of Thought”.
Competitive Advantage
School of Thought
Primary objective of a firm’s strategy is to identify, create, and sustain a competitive advantage over its industry rivals. A firm possess a competitive advantage if it outperforms its industry rivals over a sustained period.
A firm’s strategy should identify a unique strategic position within its industry to reduce the profit-reducing effect of the competitive forces in an industry.
Competition in an industry depends on five basic forces strength of these forces determines the ultimate profit potential of an industry. There are six major sources barrier of entry: economies of scale, product differentiation, capital requirements, cost disadvantage independent of size, access to distribution channels, and government policy.
Five Forces Shaping Strategy
School of Thought
Understanding how the five competitive forces influence profitability in a firm’s industry can develop a strategy the enhances the firm’s long-term profits. Porter suggests three things:
Position your company where the forces are weakest.
Exploit changes in the forces
Reshape the forces in your favour.
Character and strength of competitive forces operating in an industry are never the same from one industry to another.
Executing Strategy
School of Thought
Starts with customising a company strategy to fit with clear set of action these are resource (staff and teams) also capabilities to deliver services and products, also understanding the company’s own environment, the market a company operates with in. Difference in executing strategy is important as these differ low-cost providers strategy, and high-end differentiation strategy.
Resource & Capability
School of Thought
An essential element of deciding whether a company’s situation is fundamentally healthy is examining the attractiveness of its resource and capabilities. A company’s resource and capabilities are its competitive assets that determine a company’s power in a marketplace.
Resource analysis is a powerful tool for companies to size up a company’s competitive assets and determine whether they can provide the foundation necessary for competitive success in the marketplace.
Diversification Strategy
School of Thought
A firm's growth strategy is to expand the scope of a business’s market (segment) where a firm is looking to compete. There are two levels involved with a firm’s strategy: Corporate Strategy & Business Strategy.
Reason for diversification strategy is that an industry has an attractive appeal due to the size of a market with growth, profitability, competition intensity. Core action for a business is to increase profit opportunities.
