The Road to Strategy

What is happening?


Market







Competition









Growth patterns

Gearing to GDP

Growth drivers

Forecasts







Competition









Winners/losers

Consolidation/fragmentation

New entrants

M & A activity







Competition









Why is it happening?


Technological changes


Customer needs changes







Competition









Product

Product & Manufacturing

Service & marketing




Competition









Performance/price

Flexibility/ease of use

New combinations







Competition









Specifying & purchasing process

Purchasing priorities - market segmentation

Buyer switching behaviour

Competitors’ products & services







Competition









Competitive differences







Competition









What underlies the competitive differences?


Costs







Competition









Overall levels

Activity structure & efficiencies

Cost allocations/ management accounting

Trends over time

Exchange rate effects




Service







Competition









Product features & value

Service levels & value:

     Quality

     Specification

     Delivery

     After-sales





What potential for change/pay off?


Pay-off







Competition









Market share/price





Costs







Competition









Investment, resources

Organisation

Cost Savings





Timing







Competition









Action Plan

Durability of advantage vs. Competitive reactions





What are risks and rewards involved?


External events







Competition









Competitive events







Competition









Effects on profits, cash flow and timing





Company performance







Competition









}

What means to achieve change?


Organic development







Competition









Alliances & J.V.s







Competition









Expansion vs. greenfield location





M & A







Competition









Negotiation





Target selection Valuation





What effects on the company?


Shareholder value







Competition









Value to other stakeholders






Competition