Notes Strategy and Organisation
- The standard model looks at the SWOT-analysis and implementation thereof. SWOT falls in
between the planning- and design school.
There are three parts of Strategy: Content, Process and context.
Each having their own school which consider one part the most important
Content and Process pillars belong to the Prescriptive schools: ‘’strategy should be’’. Process and
Context are descriptive schools ‘’Strategy is’’.
Competitive strategy refers to the strategy at the level of a business unit. An example of a business
unit is the accounting section of ABN AMRO.
Positioning school thinks the position is the most important part and everything follows suit.’
Resource based view says businesses can’t purchase sustained competitive advantage on open
markets. So you should find your own advantage in the resources that you already own, which are
imperfectly imitable.
In the SCP for IO Policy makers u have:
- Structure
What does the market look like and how can we get that to perfect competition.
- Conduct
The way buyers and sellers behave
- Performance
Variance in welfare for consumers = Variance in S & C.
SCP for firms
- Structure
Profit potential varies per industry, every industry has a structure
- Conduct
Actions taken to realize profit potential
- Performance
Firms outperform others consistently because competitors can’t duplicate their strategy, this is
because there are resources that can’t be imitated or substituted.
Competitive advantages leads to superior performance but they are not the same.
- The standard model looks at the SWOT-analysis and implementation thereof. SWOT falls in
between the planning- and design school.
There are three parts of Strategy: Content, Process and context.
Each having their own school which consider one part the most important
Content and Process pillars belong to the Prescriptive schools: ‘’strategy should be’’. Process and
Context are descriptive schools ‘’Strategy is’’.
Competitive strategy refers to the strategy at the level of a business unit. An example of a business
unit is the accounting section of ABN AMRO.
Positioning school thinks the position is the most important part and everything follows suit.’
Resource based view says businesses can’t purchase sustained competitive advantage on open
markets. So you should find your own advantage in the resources that you already own, which are
imperfectly imitable.
In the SCP for IO Policy makers u have:
- Structure
What does the market look like and how can we get that to perfect competition.
- Conduct
The way buyers and sellers behave
- Performance
Variance in welfare for consumers = Variance in S & C.
SCP for firms
- Structure
Profit potential varies per industry, every industry has a structure
- Conduct
Actions taken to realize profit potential
- Performance
Firms outperform others consistently because competitors can’t duplicate their strategy, this is
because there are resources that can’t be imitated or substituted.
Competitive advantages leads to superior performance but they are not the same.
