A good business strategy is: An integrated, overarching, externally oriented concept of how the firm will achieve its objectives. A unifying theme that gives coherence and direction to the actions and decisions of an individual or organization. Future focused, 5 - 15 years in the future Research has shown that most business leaders do not fully understand the meaning business strategy. In fact, most companies confuse business strategy with mission, vision, or values. Although related, the business terms strategy, mission, vision, and values mean different things, as shown in the schematic below. VISION What we want to be OBJECTIVE = Ends to achieve MISSION SCOPE = Domain. Part of the Why we exist landscape in which the firm THE BASIC ELEMENTS OF will operate. VALUES A STRATEGY . What we believe in and how we will STATEMENT ADVANTAGE = Means to achieve behave [VALUE PROPOSITION] objective (Customer value proposition, unique STRATEGY combination of activities) . What our competitive game plan will be BALANCED SCORECARD . How we will monitor and implement the plan (financial, customer, internal business processes, learning and growth Source: Collis and Rukstad, Can you say what your strategy is? For this exercise, pick one of the Fortune 500 companies. Do an internet or literature search to find the company's strategy statement. Remember strategy is not the same as vision, values, or mission. 1. Write down the company's strategy statement (as is stated by the company); where did you find the statement? Give the link or source. 11. Comment on the strategy statement in Part I. Do you think this company's strategy statement fits the definition of a good strategy? Justify your answer using the definition of strategy given above (and/or in class & book)