...Introduction This essay shall discuss what the Disney difference is and how it affects the company’s corporate, competitive and functional strategies. As Disney have plans on doing business in Russia, the discussion turns to the challenges they are likely to face and how the management team can best prepare themselves for such challenges by planning early. We will then be turning our attention to Hong Kong where Disney has announced its expansions plans of Hong Kong Disney Land. Lastly, the discussion takes to the how strategic management process is to be used to “keep the magic coming” in a given economic climate. 1a: Disney Difference Disney difference, to sum up, is the “experience”. Disney tries to achieve this experience by bringing happiness to its consumers. Vice President & General Manager of Disney Institute, Jeff James (2012) stated, "We create happiness by providing the finest in entertainment for people of all ages, everywhere." Disney implementation of this happiness factor can be seen in many ways. For example, Cinderella Castle, in Disney Theme Park allows the visitors to dine with Disney Princesses, immersing a storybook setting for breakfast, lunch and dinner. Thus instead of just having to watch/read the cartoon/story book, which could only allow one to be only exposed visually to the character, Cinderella, the Disney fan is now able to dine with her as well. This “imagination-comes-to-life” offering of Disney translates into happiness for the customers,...
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...SIXTH EDITION STRATEGIC MANAGEMENT IN ACTION Mary Coulter Missouri State University Boston Columbus Indianapolis New York San Francisco Upper Saddle River Amsterdam Cape Town Dubai London Madrid Milan Munich Paris Montréal Toronto Delhi Mexico City São Paulo Sydney Hong Kong Seoul Singapore Taipei Tokyo Editor in Chief: Stephanie Wall Senior Acquisitions Editor: April Cole Editorial Project Manager: Claudia Fernandes Director of Marketing: Maggie Moylan Senior Marketing Manager: Nikki Ayana Jones Marketing Assistant: Gianna Sandri Senior Managing Editor: Judy Leale Production Project Manager: Kelly Warsak Senior Operations Supervisor: Arnold Vila Operations Specialist: Cathleen Petersen Creative Director: Blair Brown Senior Art Director: Kenny Beck Text Designer: LCI Design Cover Designer: LCI Design Cover Art: Svetoslav Iliev/Shutterstock.com Permission Specialist: Brooks Hill-Whilton Media Project Manager, Production: Lisa Rinaldi Senior Media Project Manager, Editorial: Denise Vaughn Full-Service Project Management and Composition: Integra Printer/Binder: RRD/Willard Cover Printer: Lehigh-Phoenix Color Text Font: 10/12, Times LT Std Credits and acknowledgments borrowed from other sources and reproduced, with permission, in this textbook appear on appropriate page within text. Copyright © 2013, 2010, 2008 Pearson Education, Inc., publishing as Prentice Hall, One Lake Street, Upper Saddle River, New Jersey 07458. All rights...
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...1. Diversification strategy (Scenario) Definition and Example: Specifies actions a firm takes to gain a competitive advantage by selecting and managing a group of different businesses competing in different product markets. Diversification strategy is expected to help firm earn above-average returns while profit came from different sources of market. Perhaps is also should increase firm overall performance. Value ultimately determined by degree to which the businesses in the portfolio are worth more under the management of the company then they would be under any other ownership. (eg: Types: a. Low Levels Single Business Strategy is Corporate-level strategy in which the firm generates 95% or more of its sales revenue from its core business area (operating in relatively few product markets). Eg: Wrigley only produces chewing and bubble gums. Dominant Business Diversification Strategy is Corporate-level strategy whereby firm generates 70-95% of total sales revenue within a single business area. Eg: UPS generated 61% of its revenue from its US package delivery biz and 22% from its international package biz, with the remaining 17% coming from the firm’s non-package biz. b. Moderate to High Levels Related Constrained Diversification Strategy—Firms generate less than 70% of revenue comes from the dominant business. The firm’s businesses are direct links with each other and share resources and activities between its...
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...CONNECT FEATURES Interactive Applications Interactive Applications offer a variety of automatically graded exercises that require students to apply key concepts. Whether the assignment includes a click and drag, video case, or decision generator, these applications provide instant feedback and progress tracking for students and detailed results for the instructor. Case Exercises The Connect platform also includes author-developed case exercises for all 12 cases in this edition that require students to work through answers to assignment questions for each case. These exercises have multiple components and can include: calculating assorted financial ratios to assess a company’s financial performance and balance sheet strength, identifying a company’s strategy, doing five-forces and driving-forces analysis, doing a SWOT analysis, and recommending actions to improve company performance. The content of these case exercises is tailored to match the circumstances presented in each case, calling upon students to do whatever strategic thinking and strategic analysis is called for to arrive at a pragmatic, analysis-based action recommendation for improving company performance. eBook Connect Plus includes a media-rich eBook that allows you to share your notes with your students. Your students can insert and review their own notes, highlight the text, search for specific information, and interact with media resources. Using an eBook with Connect Plus gives your...
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...only those that can be measured, such as plant and equipment. Yet the intangible assets, such as a particular technology, accumulated consumer information, brand name, reputation, and corporate culture, are invaluable to the firm’s competitive power. In fact, these invisible assets are often the only real source of competitive edge that can be sustained over time. —HIROYUKI ITAMI, MOBILIZING INVISIBLE ASSETS You’ve gotta do what you do well. —LUCINO NOTO, FORMER VICE CHAIRMAN, EXXON MOBIL OUTLINE l Introduction and Objectives l The Role of Resources and l Organizational Capabilities Classifying Capabilities The Architecture of Capability l Appraising Resources and Capabilities Establishing Competitive Advantage Sustaining Competitive Advantage Appropriating the Returns to Competitive Advantage l Putting Resource and Capability Capabilities in Strategy Formulation Basing Strategy on Resources and Capabilities Resources and Capabilities as Sources of Profit l The Resources of the Firm Tangible Resources Intangible Resources Human Resources Analysis to Work: A Practical Guide Step 1 Identify the Key Resources and Capabilities 123 CSAC05 1/13/07 9:21 Page 124 124 PART II THE TOOLS OF STRATEGY ANALYSIS Step 2 Appraising Resources and Capabilities Step 3 Developing Strategy Implications l Developing Resources and Capabilities The Relationship between Resources and Capabilities Replicating Capabilities Developing New Capabilities Approaches to Capability...
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...Chapter 7: * Merger: a strategy through which two firms agree to integrate their operations on a relatively co-equal basis * Acquisition: a strategy through which one firm buys a controlling, or 100% interest in another firm with the intent of making the acquired firm a subsidiary business within its portfolio. After acquisition, management of the acquired firm report s to the management of the acquiring firm * Takeover: a special type of acquisition when the target firm did not solicit the acquiring firm’s bid for outright ownership * Friendly acquisition: the management of the target firm wants the firm to be acquired * Unfriendly acquisition (hostile takeover): the management of the target firm does not want the firm to be acquired (direct negotiations with the firm’s owners; tender offer; bear hug) Explain the popularity of acquisition strategies in firms competing in the global economy * There are seven reasons why acquisitions in firms competing in the global economy work * Increased Market Power: * This is the primary reason for acquisition * If a firm achieves enough market power, it can become market leader * Example: AT&T acquisition with T-Mobile made them in the lead with market share in w-ireless service providers * Also, not only would their market share increase, but their customers would increase by 1/3 and all cell towers and wireless spectrum that t-mobile had would also turn to AT&T ...
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...Understand how strategic management fits in the P-O-L-C framework. 3. Broadly identify the inputs for strategy formulation.What Is Strategic Management?As you already know, the P-O-L-C framework starts with “planning.” You might also know that planning is related to, but not synonymous with, strategic management. Strategic management reflects what a firm is doing to achieve its mission and vision, as seen by its achievement of specific goals and objectives.A more formal definition tells us that the strategic management process “is the process by which a firm manages the formulation and implementation of its strategy.”[196] The strategic management process is “the coordinated means by which an organization achieves its goals and objectives.”[197] Others have described strategy as the pattern of resource allocation choices and organizational arrangements that result from managerial decision making.[198] Planning and strategy formulation sometimes called business planning, or strategic planning, have much in common, since formulation helps determine what the firm should do. Strategy implementation tells managers how they should go about putting the desired strategy into action.The concept of strategy is relevant to all types of organizations, from large, public companies like GE, to religious organizations, to political parties.Strategic Management in the P-O-L-C FrameworkIf vision and mission are the heart and soul of planning (in the P-O-L-C framework), then strategy, particularly...
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...Resource Based View A question summarizing RBV approach. Definition The resource-based view (RBV) is a model that sees resources as key to superior firm performance. If a resource exhibits VRIO attributes, the resource enables the firm to gain and sustain competitive advantage.[1] What is a resource based view? RBV is an approach to achievingcompetitive advantage that emerged in 1980s and 1990s, after the major works published by Wernerfelt, B. (“The Resource-Based View of the Firm”), Prahalad and Hamel (“The Core Competence of The Corporation”), Barney, J. (“Firm resources and sustained competitive advantage”) and others. The supporters of this view argue that organizations should look inside the company to find the sources of competitive advantage instead of looking at competitive environment for it. The following model explains RBV and emphasizes the key points of it. _ Improve your management style, hire a business speaker According to RBV proponents, it is much more feasible to exploit external opportunities using existing resources in a new way rather than trying to acquire new skills for each different opportunity. In RBV model, resources are given the major role in helping companies to achieve higher organizational performance. There are two types of resources: tangible and intangible. Tangible assets are physical things. Land, buildings, machinery, equipment and capital – all these assets are tangible. Physical resources can easily be bought in the market so...
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...UNIT- I STRATEGY AND PROCESS 9 Conceptual framework for strategic management, the Concept of Strategy and the Strategy Formation Process – Stakeholders in business – Vision, Mission and Purpose – Business definition, Objectives and Goals - Corporate Governance and Social responsibility-case study. Concept, Meaning, Definition: Strategy is the determination of the long-term goals and objectives of an enterprise and the adoption of the courses of action and the allocation of resources necessary for carrying out these goals. Strategy is management’s game plan for strengthening the organization’s position, pleasing customers, and achieving performance targets. Types of strategy Strategy can be formulated on three different levels: • corporate level • business unit level • functional or departmental level. [pic] Corporate Level Strategy Corporate level strategy fundamentally is concerned with the selection of businesses in which the company should compete and with the development and coordination of that portfolio of businesses. Corporate level strategy is concerned with: • Reach - defining the issues that are corporate responsibilities; these might include identifying the overall goals of the corporation, the types of businesses in which the corporation should be involved, and the way in which businesses will be integrated and managed. • Competitive Contact...
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...Chapter 10 1 Introduction Pricing Els Gijsbrechts and Katia Campo Objectives This chapter does not have as its aim the provision of ready-made methods for the assessment of price levels. Its objectives are: 1 to indicate the importance and complexity of price decisions for marketing managers; 2 to consider what is a ‘price’; 3 to identify the factors internal to the firm that influence price decisions; 4 to identify the factors external to the firm that influence price decisions; 5 to discuss pricing strategies and tactics. C onsider a Belgian couple contemplating a shopping trip to London during the Christmas period. The cheapest way to cross the Channel would be to take a ticket on the ferry from Oostende to Ramsgate, which would amount to about Bfr. 1,500 per person. While they can afford this from a budgetary viewpoint, taking the boat would mean spending about five hours travelling, which would mean losing almost half of the ‘available’ weekend to hunt for interesting bargains in the London shopping area. Taking the plane would drastically reduce travelling time, but the air fare of Bfr. 4,900 per person is not overly appealing. Friends recommend that they buy a combined ticket from the Belgian Railways and the Channel (regular price: Bfr. 3,465 per person). This seems to be the most interesting option, but unfortunately no more regular tickets are available for the morning of the Christmas weekend. The price of a first classRailway/Channel ticket (Bfr. 6,960 per...
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...Introduction: Why Project Management? To Accompany PROJECT MANAGEMENT: Achieving Competitive Advantage By Jeffrey K. Pinto CHAPTER ONE PROJECT PROFILE – Disney’s Expedition Everest INTRODUCTION 1. WHAT IS A PROJECT? General Project Characteristics 2. WHY ARE PROJECTS IMPORTANT? PROJECT PROFILE – Dubai – Land of Mega-Projects 3. PROJECT LIFE CYCLES PROJECT MANAGERS IN PRACTICE – Christy Rutkowski, Regency Construction Services 4. DETERMINANTS OF PROJECT SUCCESS PROJECT MANAGEMENT RESEARCH IN BRIEF – Assessing Information Technology (IT) Project Success 5. DEVELOPING PROJECT MANAGEMENT MATURITY 6. PROJECT ELEMENTS AND TEXT ORGANIZATION Summary Key Terms Discussion Questions Case Study 1.1 – MegaTech, Inc. Case Study 1.2 – The IT Department at Hamelin Hospital Internet Exercises PMP Certification Sample Questions Bibliography TRANSPARENCIES 1.1 GENERAL PROJECT CHARACTERISTICS 1) Projects are ad hoc endeavors with a clear life cycle. 2) Projects are building blocks in the design and execution of organizational strategies. 3) Projects are responsible for the newest and most improved products, services, and organizational processes. 4) Projects provide a philosophy and strategy for the management of change. 5) Project management entails crossing functional and organizational boundaries. 6) The traditional management functions of planning, organizing...
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...Developing Global Strategies for Service Businesses. Author: Lovelock, Christopher H. Yip, George S. Source: California Management Review. 38(2): 64-86. 1996 Winter. Abstract A study provides a framework for developing global strategies for service businesses. It integrates existing, separate frameworks on globalization and on service businesses, analyzes how the distinctive characteristics of service businesses affect globalization and which do not. It then applies the new framework to numerous industry and company examples, with particular emphasis on the role of information technology. Full Text How do the distinctive characteristics of service businesses affect globalization and the use of global strategy? This is a crucial question for managers in numerous industries. Not only are services continuing to grow rapidly in domestic economies, but international trade in services is increasing, too. The United States, like some other developed countries, has a trade surplus in services that helps offset the deficit in merchandise trade. In contrast, Japan has been much less successful in internationalizing its service businesses.1 So it is essential to national competitiveness that governments, as well as companies, achieve a better understanding of how to develop effective global strategies for different types of service businesses. Most research to date has focused either on why and how service firms internationalize or on different modes of internationalization.2 In...
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...distribution . dealing with foreign . facility location . local content regulations suppliers . coordinating networks . managing global . managing international of plants distribution logistics . coordinating networks . managing risk . managing risk of R&D facilities . operations in other countries Page intentionally left blank. Class: 2a Type: Lecture Supply Chain Management & Service The goal in this part is to introduce the two main sections of the course, international manufacturing and international service. For manufacturing we start with the simple proposition that decisions about our company’s competitive strategy leads to a supply chain strategy which then leads to a supply chain structure. We provide a strategic framework that can be used to analyze design, planning, and operational decisions in a supply chain. This framework focuses on supply...
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...The current issue and full text archive of this journal is available at www.emeraldinsight.com/2051-6614.htm Human resource management and organizational effectiveness: yesterday and today Randall Schuler and Susan E. Jackson School of Management and Labor Relations, Rutgers University, New Jersey, USA and Lancaster University Management School, Lancaster, UK Abstract Purpose – The purpose of the paper is to describe how the understanding of the relationship between human resource management (HRM) and organizational effectiveness (OE) has evolved during the past three decades and to provide examples how firms are using HRM to improve their OE today by addressing several challenges that result from a broader stakeholder model. Design/methodology/approach – This paper reviews the past and current work on the relationship between HRM and OE. Findings – This findings indicate that the relationship between HRM and OE is very different when comparing the past with the current work on the relationship between HRM and OE. A major reason for this is the current work on OE uses the multiple stakeholder model that accounts for many more stakeholders than the past work. Practical implications – Human resource (HR) professionals have the opportunity to demonstrate many ways by which HRM can influence OE, and not just solely on the basis of firm profitability. Thus the use of the multiple stakeholder model today offers the HR professional and the HR profession many more opportunities...
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...THE ROLE OF DIFFERENT APPROACHES TO MANAGEMENT AND LEADERSHIP HND Business Level 5 21rd June 2012 THE ROLE OF DIFFERENT APPROACHES TO MANAGEMENT AND LEADERSHIP AC2.1: Leadership Styles Introduction Concisely, leadership refers to the process through which a person manages to influence others in a coherent and cohesive manner so that they can accomplish a certain objective. Leadership practice depends on four factors namely leader, followers, communication, and situation. To a certain extent, leadership practice is closely related to management but there are certain differences that set the two organisational necessities apart. In the traditional thinking present in all organisations, leadership separates the roles of a manager from those of a leader. The rationale behind this is that managers are people who operate under control; they administer through focusing on already existing structures and systems. However, there must be a balance between both management and leadership demands for the optimal survival of any organisation. Both leaders and managers are vital for the positive performance and success of an organisation. Leadership skills model a way forward while management skills enable arriving at a set target. This means that striking a balance between leadership and management demands in an organisation requires an effective leader to carry good management skills and similarly, an effective...
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