Provides a discussion of both the importance and some possible pitfalls that may be encountered when one tries to talk candidly with others about their behavior on the job.
Presents a framework for thinking about problems of implementing strategy. Defines the tasks of implementation and the range of implementation situations, then develops four approaches to implementation and reviews a range of implementation skills. Intended for use in Business Policy II in conjunction with case studies.
Some manufacturers hold and even increase profitability against international competitors because they change from a multidomestic strategy, which allows individual subsidiaries to compete independently in different domestic markets, to a global one, which pits the company's entire worldwide system of product and market position against the competition. Before forging a global strategy, a company that recognizes its business as potentially global should consider the following: what kind of strategic innovation might trigger global competition, what is the best position to establish among all competitors to defend the advantages of global strategy, and what kind of long-term resources will be required to establish the leading position? The examples of three companies (Caterpillar, L.M. Ericsson, and Honda) that successfully forged global strategies illustrate how companies can change the rules of international competition to their favor.
Effective management consulting has eight fundamental objectives: responding to a client's request for information; providing solutions to specific problems; giving an in-depth, accurate diagnosis; presenting a program of recommended corrective actions; implementing changes; building consensus and commitment; facilitating client learning; and enhancing organizational effectiveness.
A study of 793 U.S. and Canadian consumer and industrial markets indicates that barriers to entry are surmountable and that direct entry may be a viable alternative to corporate growth through acquisition and to development of present markets. The entrant faces six major classes of barriers: 1) economies of scale, 2) product differentiation, 3) absolute cost, 4) access to distribution, 5) capital requirement, and 6) incumbent reaction. Direct entrants reduce or avoid barriers by taking one of two strategic approaches: 1) reducing barriers by employing the same competitive strategy as incumbents, or 2) avoiding barriers by using a different strategy altogether.
Information technology alters the individual's relation to the task. The new relationship is called "computer-mediated." The computer mediation of simple jobs creates tasks that are routine and unchallenging, while demanding focused attention and abstract comprehension. The "information environment" refers to the quality of organizational life when the computer mediates jobs and influences both horizontal and vertical relationships. Computer mediation shifts the overall shape of the organization from a pyramid to a diamond because managers will perform a variety of tasks that others once did for them, thereby diminishing clerical support staff and swelling the number of professionals and middle managers.
Describes the competitive situation facing Rockwell International, the market leader in the U.S. water meter industry. The industry is undergoing structural change, and competitor activity is intensifying. Rockwell must decide what, if any, actions are necessary to change its competitive posture. Whether or not to put a plastic case meter on the market is a particularly visible decision issue. Designed for use in the early part of Industry and Competitive Analysis, to facilitate the understanding of industry structural analysis and the concept of generic strategies.
Provides a general framework for the analysis of ethics-related case studies in business policy, drawing upon categories from the discipline of moral philosophy.
Discusses the theory and rules governing the taxation of business combinations (mergers and acquisitions). Related information from state corporate law, federal securities law, accounting, and finance is also provided. A rewritten version of an earlier note.
Involves the management of a firm with a market value of a going concern that is less than its breakup value. How does management maximize value for shareholders in this environment?
Esmark's management sells its most valuable business and its most unattractive business in an effort to reposition itself and maximize shareholder value.
A review of two decades of research shows that debt financing has a far lower payoff than many chief financial officers (CFOs) believe. CFOs determine a sensible debt policy that is in line with corporate strategy by following a recommended policy that considers: a company's particular financing needs; the lending criteria of target sources of capital; the implications of debt policy on strategy, competition, and shareholders; and the ease of implementation. Each CFO should determine the limit of debt's payoffs to the company and should recognize what conditions might push him or her to exceed that limit. Formulation of a solid plan ensures a steady flow of capital and secures top management's commitment to such a plan.