Assessing the different business strategies used by Companies - Free Essay Example

In this paper, the researcher will mainly discuss the successful business strategies of the corporation. After clarifying the concept of the business strategies, the researcher will discuss the integrated nature of developing a corporate strategy and describe the four key dimensions of well-developed business strategies. After researching world enterprise development history, people can find out that corporate strategy is the foundation of modern enterprise (Bent Kjell, 2002). Although development environment, product structure, organization and management, technical innovation, product quality and capital scale can have an influence on the enterprise life, whether the enterprise strategy research is successful is also quite important for the company. Business strategy can be considered as that in the competition environment, the enterprise should consider its advantages and disadvantages, and take reactions in order to create the space of survival and development (Naveh Marcus, 2005). Business strategy can not stand still, and it should make adjustment with the changes of internal and external environment conditions. For the different stages, different companies will have different management modes. In the modern world, the essence of management is that adjusting serve management strategic at any time in order to adapt itself to the changing world market. Thus, the researcher considers that the so-called business strategies are that in the enterprise man agement, in order to achieve certain operations objectives, under certain market environment conditions, all the actions, plans and competitive manners helping achieve the operational objectives. Since business strategy activity is a kind of tough brain activity and creative activity of rational thinking, the managers should fulfill conditions and make a correct application in business strategy. First, enterprise owns high sensitivity towards the market environment changes. For a modern enterprise leader, how to adjust enterprise development strategy according to the environment changes and quickly become the leader is vital. A good modern enterprise operator should make changes timely according to the environmental changes. Second, during the enterprise strategic adjustment process, guiding ideology is also important. Third, organization mechanisms of the enterprises should have sustained innovation ability. Various enterprises can obtain surviving space and prolong enterprise l ife in different types of innovation activities. Fourth, the enterprises should have a scientific financial operations and reasonable cash flow. If the enterprise wants to do high-level innovative activities, it should investment in researching and developing. Fifth, the modern enterprise culture and values is another factor. After the entrepreneurs make strategic adjustment, the whole organization should operate up according to instructions (Dovev, 2006). In addition, the core of enterprise strategy is innovation. When the enterprise makes each strategic adjustment, the environment actually changes and for the company, the core of enterprise strategy is how to respond to the changes. Describe the four key dimensions of well-developed business strategies When the researcher looks at a well- developed business strategy holistically, there often will be four distinct and key dimensions that account for every action and decision (Kor Mahoney, 2004). These four dimensions are: strategy, operations, marketing and finances respectively. Finances dimension mainly answers the question that how to win the support of shareholders and how to create enterprise value? And finances dimension is the starting point and final result of business strategy. Strategy dimension often includes several aspects: management strategy, technology innovations, and so on. Marketing dimension mainly focus on the question that how to adapt to the market and how to create values for customers. Delivery cycle, service response time, and when new productions put into the market will have an important effect on the market sharing and customers needs (Stefanie Thomas, 2004). Operations dimension mainly answers the question that what is our advantage and different an swers to the same problem will form the different core competitiveness. Therefore, a good enterprise often can pick out the business program having a great influence on the customers satisfaction, including time, quality, service and productivity, make sure its own core competitive ability, and convert them to some specific assessment indexes, such as manufactured products passing rate and so on. Although theyre distinct dimensions, there is also a heavy and important interrelation among them. For a good company, the financial strategies may often guide the operational decisions and at the same time the operational decisions will often have to be checked by the financial strategies. Since profit is the premise of enterprise existence and development, financial indexes are the expectations and requirement of shareholders while financial profits finally come from the final customers and users. The strategic initiatives will have an influence on the marketing decisions while the mar keting activities may reveal new strategic chances that the managers should keep a close eye on. Using the example of the Volkswagen group to support your analysis As a famous brand in the world market, Volkswagen always has a high market sharing and strongly stimulates consumers purchasing desire. This strong brand and advanced technology has won many consumers trusts. The company has a well-developed business strategy which can properly deal with the relationships of the four key dimensions (Nile Jeffrey, 2004). This can be reflected in the following aspects: first, Volkswagen has seized the market opportunities and gasped the marketing regular patterns. The company has made use of the governments policies and propagandized the advanced consumption ideas in order to stimulate customers purchasing desires. Second, Volkswagen has made productions with better quality, provided relatively perfect after-sale service and in this way it can recognized by the market and the customers (Tallman, Jenkins Pinch, 2004). So from this point, the researcher also can find out that the operations and the marketing are in close relationship. Third, better b usiness strategy has provided another chance for the companys development. Volkswagen has made different strategies for different period and it also made adjustment for the changes of the market and government policy. This also has helped dividing the market, selecting the target market and relocating. Conclusion In this paper, the researcher discussed the successful business strategies of the corporation, including the integrated nature of developing a corporate strategy, the four key dimensions of well-developed business strategies and using the example of the Volkswagen group to support the analysis.