Modern developments in business strategy

Abstract

All organisations, large or small, public or private sector, manufacturing or services industries, today operate in a constantly changing environment. It is difficult to think of an organisation that is not subject to change, although some are obviously affected more than others. In his publication The Origin of Species, Charles Darwin suggested that those adapting best to change will be the ones to survive; this applies as equally to organisations as it did, in Darwin’s case, to organisms in the biological world. Companies which are proactive rather than reactive to change have more chance of survival, due to being able to predict perhaps imminent environmental changes and be ready for them, whether this is taking advantage of possible opportunities or guarding against potential threats that might arise. Strategic Analysis, as a part of business strategy, is an iterative process and it is this constant appraisal not only of the external environment but also of internal capabilities and resources, that may ultimately lead to some sort of competitive advantage in the market place. Effective companies constantly monitor the environment to understand better the industry in which they operate. No organisation can predict future changes with any degree of certainty but environmental scanning can help reduce uncertainty to a limited extent.