Strategic Management Essays

Strategic Management Essays Strategic Management Essay Strategic Management Essay Essay Topic: The Glass Castle As the textbook say: The positive view of strategy is concerned with the firms actual strategy and how it comes to be. The normative view, on the other hand, is concerned with what the firms strategy should be. Positive view is actual exist but normative view is opinion based. . How do you assess innovative capabilities in a business or corporation. Innovation capabilities can be defined as the comprehensive set Of heartsickness of an organization that facilitate and support innovation strategies. Innovative capabilities exist at the business unit and corporate (multi business) levels. Business unit level audit: Timing of market entry. Technological leadership or fellowship. Scope of innovativeness. Rate of innovativeness. Five important categories of variables influence the innovation strategies of a business: Resources available for innovative activity Capacity to understand competitors strategies and industry evolution with respect to innovation Capacity to understand technological developments elevate to the business unit. Structural and cultural context of the business unit affecting internal entrepreneurial behavior. Strategic management capacity to deal with internal entrepreneurial initiatives. Corporate level audit: In general, corporate level innovate capabilities can be characterized in terms of: The scope and rate of development of new products and services and production and delivery systems that are derived from combining innovative capabilities across existing business units. The scope and rate of new business development based on corporate R and technology development efforts. The timing of entry with respect to the previous two. Five categories of variables are considered for the corporate level audit: Resource availability and allocation. Virgin offers two mobile broadband tariffs (see Table 1). Its launch offering was a standalone package of BOB for GOBI 5 per month. It was followed shortly afterwards by the launch of a bundle of fixed and mobile broadband services, priced at either KBPS or GOBI more than the fixed broadband service on its own. No further tariffs have been introduced. Table 1: Virgin Medias mobile broadband tariffs [Source: Analyses Mason, 2009] Tariff Price Standalone Bundled Bandwidth cap Excess charge Contact length GOBI 5 BOB GUPPY per MOB 18 months KBPS or GOBI addition to fixed broadband price KGB 12 months The lower price is available to subscribers of higher-speed fixed broadband services. Virgins standalone offering is not differentiated from the competition However, there is little to differentiate Virgin Medias standalone offering from the competition: it is almost identical to the tariffs of the Auks five Moos, including those of its host, T- Mobile. All five Moos charge no more than Virgin for the same package, at GOBI 5 per month (see Table 2), and have offerings that are superior in several ways. For example, T-Mobile does not levy excess charges on its subscribers, which Virgin and the other four operators do. This gives T-Mobile an advantage in winning subscribers who want to be able to predict the of the size of their bill. Most of the other operators also offer a choice of contract lengths and prepaid tariffs; Virgin offers neither. T-Mobile offers four contract lengths (including a rolling contract) as well as prepaid accounts; Hutchison 36 1-J and Avoidance offer three (and prepaid) and 02 offers two (and prepaid). Only Orange is the same as Virgin in offering no choice at all. Table 2: I-J operators standalone mobile broadband offerings [Source: Analyses Mason, 2009] Operator Contract types/lengths offered Prepaid Rolling 12-month 24-month (18-month contract) 8 GOBI 5. 00 Virgin Media Modem price Excess charges? Free Yes Hutchison G 9 02 GUPPY. 69 Orange GUPPY. 68 T-Mobile No Avoidance Note: Introductory discounts, where applicable, have been spread over the duration of the contract to enable comparison. 1 12-month contract. Avoidance does not offer a rolling contract, but it has a powerful alternative in the form of its prepaid deal, which offers subscribers credit that lasts for six months, as compared with the more common one-month expiry limit for prepaid credit. L For further details, see Wheaton, M. Moos should priorities prepaid mobile broadband offers over rolling monthly contracts, Analyses Mason (Cambridge, 2009). O Analyses Mason Limited 2009 3 Virgin (and Orange) are therefore unable to address two key market segments, which comprise users who are: ; unwilling to commit to a contract either because they are new to mobile broadband, or for other reasons unlikely to view a contract as good value for money because their usage will be low or irregular. Hutchison 36, T-Mobile and Avoidance are able to address the needs of these customers, whereas Virgin (and Orange) are likely to struggle.