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strategic management

Questions and Answers of Strategic Management

Mintzberg has distinguished between ‘grass-roots’strategies (which can take root anywhere in the organization but eventually proliferate once they become more widely adopted) and
Who should plan? What should they plan, how and when?
A manufacturer of industrial products is structured around five separate strategic business units (SBUs).Use the data below to construct a Boston matrix and assess how balanced the portfolio
In the context of the Boston matrix, is the Big Mac a cash cow? What do you feel McDonald’s competitive strategy for the Big Mac should be?
For an organization of your choice, ideally one with which you are familiar:(a) Ascertain how the planning, entrepreneurial and emergent modes might apply currently to strategic change in the
Compare and contrast the fortunes of Abbey National with the Royal Bank of Scotland. Just how strong is RBS and how balanced is the portfolio?What could go wrong?
In 1975 the Boston Consulting Group wrote a report for the British government concerning the penetration of Honda motorcycles in the USA. They concluded that the success was the result of meticulous
In terms of leadership styles and characteristics, how would you describe Sam Walton?
Why do you think Wal-Mart has been able to grow into the world’s largest retailer in a relatively short space of time? Is there a ‘secret formula’ which is hard to copy, and is it reflected in
Why is Kwik-Fit so successful?
Is Tom Farmer a visionary leader, an entrepreneur or both?
Does the fact that he lives in a large house and owns both a corporate jet and a helicopter contradict any of his stated beliefs?
Following the growth of the chain and its associated changes of ownership, can an individual ‘Firkin’ pub be the same as the original that David Bruce opened back in the 1980s?
Is this necessarily a disadvantage?(Additional questions on David Bruce are included at the end of the chapter.)
Use the Internet to help determine why Philip Green has been as successful as he has. How have the fortunes of all the businesses he has owned in recent years fared under his leadership?
Can you identify other retail chains that might benefit from the ‘Philip Green touch’?
Is ‘The Richer Way’ a key to sustained competitive advantage?
Why do you think it has been successful?
Have you ever had an idea and a dream like Jack’s? If so, how did you feel?
What were you minded to do about it?
Why do you think many large organizations ignore the potential of initiatives such as this?
What are the dangers in their approach?
Does it make sense for Bill Gates to adopt his revised role?
What are the strategic issues that confront Microsoft today?
What exactly did the European Competition authorities decide and what has developed since the announcement in March 2004?
What has happened to Jim McColl and Clyde Blowers in recent years?
Do you think that those who criticize Gyllenhammar for being an overambitious and individualistic strategic leader are being altogether fair?
What do you think his strengths and his failings might have been?
Are the situations at Sainsbury’s and Boots broadly similar or fundamentally different?
Which of the two scenarios presented in the case for the future of Sainsbury’s do you believe is more realistic?
Can you think of any other companies where a dominant family influence has finally left a huge gap?
Using the Volvo case (Minicase 10.7) as a background, discuss why effective leadership involves both strategy creation and strategy implementation.From your experience and reading, which other
Where do the entrepreneur and the visionary leader overlap and where are they different?
Minicase 10.3 (David Bruce).(a) Do you think David Bruce’s approach to growth and change was appropriate for the business he first began? Do you see it as opportunistic or incremental or
Apply Figure 10.4 (alternative styles of leadership)to any strategic leader whom you are in a position to evaluate.
What has happened to David Bruce recently?
Please examine Figure 10.4. Can you attach a particular entrepreneur to each one of the six key leader styles?
Was synergy between food and drinks – two consumer products sold through overlapping outlets – realistic or opportunistic?
Can Lego realsitically anticipate further growth and prosperity if it relies on its focused strategy or will it become increasingly vulnerable to competitive threats? What would you recommend?
Should Lego consolidate or continue to seek to grow?
The UK has a long history of inventors whose inventions were never capitalized on and turned into major businesses. Why did James Dyson manage to do what many had failed to achieve?
His vacuum cleaner is a commercial success.What has happened to the Contrarotator washine machine?
Might Honda be in danger of becoming a niche player with relatively high costs in the motor vehicle industry if it remains independent?
Would this necessarily be a disadvantage in an industry plagued by overcapacity?
Are the barriers to global products insurmountable in this industry?
Are the preference differences too great to overcome?
Has Electrolux found an ideal compromise?
Can you see any parallels with motor cars?
What impact might the new Dyson washing machine have?
In the case of Airtours do you think the problem was fundamentally one of strategic misjudgements (the wrong strategy) or setbacks in implementation?
Do acquisitions of this nature make strategic sense – and if so, for whom?
Given that for many customers a holiday essentially comprises the sale and provision of a package of services, such as hotel beds, apartments, flights and resort services, how much of the supply
Do you see resort-based call centres adding more or less value than the more traditional holiday representatives who tour the hotels and apartments?
Assume that you are a hotel manager who began with Forte before the acquisition by Granada – how do feel your life might have changed?
Do you think you would be better off or worse off?
Should all three companies remain focused?
Would any form of real diversification make sense for any one of them?
What would you do if you were the strategic leader of Peugeot-Citroën? In answering this question you might also like to read Minicase 12.5 which looks at the alternative strategic approaches of
Had the diversification into mail order and the acquisition of Combined English Stores been appropriate and feasible?Next was unable to provide all of the necessary resources at the time they were
What strategies would be appropriate, desirable and feasible for utilizing these resources effectively?In the event, there was some international expansion but no major acquisitions. Paradoxically,
David Jones has clearly been successful – and he remained as strategic leader. But: could a case be made for ensuring that he had a ‘partner’ with a greater willingness to take risks and who
It has been said that whilst David Jones has been in charge, Next has not been very exciting in terms of acquisitions and divestments – but it has seemed to have a clear strategy. But maybe this is
For each of the following strategic alternatives, list why you think an organization might select this particular strategy, what they would expect to gain, and where the problems and limitations are.
What are the relative advantages and disadvantages of organic growth as opposed to external growth strategies?
Which of the evaluation techniques listed in the chapter (Box 11.4) do you feel are most useful?Why? How would you use them? What are their limitations?
From your experience and reading, which evaluation criteria do you think are most significant in determining the effectiveness of strategies? List examples of cases where the absence of these
For an organization of your choice, trace the changes of strategy and strategic direction over a period of time. Relate these changes to any changes in strategic leadership, structure and, wherever
Walt Disney Corporation became hugely successful and influential on the back of cartoon films, beginning with Mickey Mouse. In more recent years theme parks and ‘straight’ movies have also been
Do you believe that the Daimler-Chrysler merger can eventually unlock the synergy which Daimler-Benz had earlier found elusive?
Where do you think the problems and difficulties might lie?
Do you agree with this final assessment of the ASDA-MFI merger? Could this merger ever have been successful or was it always misguided strategically?
Why do you think that ASDA’s acquisition strategies typically failed whilst the acquisition of ASDA itself (by Wal-Mart) has been an outstanding success?
Since its demerger, has MFI also proved to be‘better-off’?
Why do you think BA’s alliance strategies have changed as much as they have?
Given national resistances, and the desire of many countries to have their own international airline, has BA developed as far as any airline might in the quest to become global?
Can alliance-based networks such as the one developed (and proposed) by Yorkshire Water deliver the equivalent or even greater value to customers than a company which owns and manages all of its
Whose approach do you believe is the better one? Why?
From the various points and issues discussed in this chapter list the possible advantages and disadvantages of diversification and acquisition strategies, and from your experience list one successful
What are the key arguments for and against strategies of unrelated diversification and focus? Again, from your own experience, list examples of each.
What exactly is the difference between a strategic alliance and a joint venture? Can you provide examples of each – in addition to those included in the text?
Do you agree with the view that, if they are established and managed carefully, strong alliances can provide all the benefits of an acquisition or merger without most of the drawbacks?
Obtain statistics on either a selection of large companies which interest you, or the largest 20 companies in the UK, and:(a) ascertain the extent to which they are diversified and classify them as
In 2003 Cadbury Schweppes became more diversified– albeit relatedly – when it acquired Adams Confectionery, a leading manufacturer of chewing gum. Was this a justifiable move? Why? Why not?Has it
Enron and Tyco are two US companies that pursued high growth strategies which ended up with senior executives being prosecuted. Were the failings ones of poor strategic choice or simply individual
Take any well-known Japanese manufacturer, such as Toshiba or Sony, and determine how many alliances and joint ventures they have and what they are designed to contribute strategically.
Using actual examples as your base point, could the high-technology things we currently take for granted (such as mobile phones, personal computers and the Internet) have been developed to the stage
Why do you think that after its earlier disappointments Tesco has managed to develop a strong global strategy?
Would it make any sense for Tesco to want stores in countries where it sources products for sale in the UK?
Where do you think Tesco should seek to venture next?
Should it expand where it is or disperse itself further?
In the end, do you think that the Canon approach (also favoured by Sony) is inevitable for any company seeking world domination in a particular industry?
What factors might threaten the type of global strategy practised by Infosys?
What do you think are the most realistic growth options available to Infosys?
What do you think Stephen Millar’s strategy should be if Constellation is to reap the potential benefits of the 2003 merger?
Do you believe VW has a cohesive, global strategy?
What suggestions do you have for future developments?
What do you think are the relative merits and disadvantages of Sanyo’s strategy of producing digital still cameras for some of the leading brand names?
Revisiting Chapter 11, for each of the following strategic alternatives, list why you think an organization might select this particular strategy as a means of international growth. What would they
What are the relative advantages and disadvantages of direct market entry as opposed to indirect entry strategies?
What are the essential differences between an export, an international and a global organization?

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