ONE PAGE PER QUESTION (2 QUESTIONS) FROM READINGS – TWO PAGES NEEDED
Question #1: What is your key takeaway from the readings of this week?
Strategy: Competitive and Cooperative Dynamics
Medtronic: Navigating a Shifting Healthcare Landscape
Question # 2: Please read the book Redefining Global for this Question: Use CAGE
(Cultural, Administrative, Geographic, and Economic) framework for a company of your choice.
Question 1: What is your key takeaway from the readings of this week?
The strategy of firms encompasses choices about positioning and business model and its mode of completion. Important strategies facilitate companies to produce superior returns in the prolonged term. All companies are trying to expand their revenues. Organizations encounter dynamic environments accompanied by contingencies and uncertainty. Strategies and reactions affirm the relationship of a company with other organizations. Competitors are making contributions to these dynamics and even suppliers, buyers and complementary businesses can serve important roles. Thereby competitors can serve critical roles to enhance or restrict the value created and captured firms.
Strategy forms an essential aspect of all companies considering that things are done differently such that they can keep learning and abstain from the application of universal strategies to increase revenues and dissipate profits. Leading organizations just do not optimize within the specific industry but also strive to refine and reshape their industry. High-performing firms inculcate changes in the product details of a consistent strategy. A good strategy is important for the inculcation of changes and welcoming changes for the betterment of the organization (Lieberman, 2021, p. 30). The strategy’s core is concerned with cross-activity or cross-functional integration.
The changing landscape in business has been witnessed by Medtronic as the company faced several strong competitors. A new strategy was deployed by the company via a rethinking initiative of blood conservation. Medtronic viewed the scope of extending product offerings as including comprehensive, integrated solutions of chronic care that reduce the escalation of diseases, improvement of patient outcomes, and decreased costs. Different groups were created at the company to provide extended care to patients.
Question 2: Please read the book Redefining Global for this Question: Use CAGE
Businesses are assisted across borders and the book holds relevant information for business policymakers as it has been written based on their needs. The decision has been kept grounded in reality depending on the creation and capture of value (Ghemawat, 2007, p 59).
Cultural- Tesco ought to consider cultural differences while expanding into different nations and gain knowledge regarding their cultures to extend services and products suitable for their culture.
Administrative – Easy and fresh stores of Tesco have used one brand name that fits all its marketing strategies. As the customers are having a stronger perception of brands, it has also resulted in the inability of product differentiation at discounted prices. Ideologies about international economies, business strategy, and international organizations have provided extensive interactions with several business leaders. Regardless of the focus on market size and illusion regarding the borderless world, if businesses want to cross borders then attention ought to be paid to the sustained differences among nations in the evaluation and development of strategies.
Economic- Alterations in the exchange rate of currencies have an impact on the ability of Tesco to operate with efficiency. Tesco has decided to assess single markets and assess their success before any further expansion.
Geographic – Companies like Tesco from different geographic locations can customize the presented frameworks that indicate certain follow-up exercises. In such cases, stores have been opened in various geographic regions and not only in different states that enable the company to limit its exposure to a loss in case the expansion is unsuccessful. Various degrees of cross-border mobility have resulted in different outcomes. More parity at the level of the nation did not mean eradication of the international differences. The movement of capital across borders has instigated the consideration of labor merit.
Ghemawat, P. (2007). Redefining global strategy: Crossing borders in a world where differences still matter. Harvard Business Press. Retrieved from: https://www.academia.edu/download/35528303/Redefining_Global_Strategy.pdf
Lieberman, M. (2021). Is competitive advantage intellectually sustainable. Strategic Management Review, 2(1), 29-46. Retrieved from: https://www.researchgate.net/profile/MarvinLieberman/publication/349330106_Is_Competitive_Advantage_Intellectually_Sustainable/links/611d52991e95fe241adfc76b/Is-Competitive-Advantage-Intellectually-Sustainable.pdf