1 INTRODUCING STRATEGY 1．1 Introduction 1．2 What is strategy? 1．2．1 Defining strategy 1．2．2 Leve Ls of strategy 1．2．3 Strategy statements 1．3 The Exploring Strategy Mode[ 1．3．1 Strategic position 1．3．2 Strategic choices 1．3．3 Strategy i n action 1．4 Strategy development processes Summary Recommended key readings References Case example：Glastonbury―from hippy weekend to international festival
2 THE ENVlRONHENT 2．1 Introduction 2．2 The macro―environment 2．2．1 The PESTEL framework 2．2．2 Bui【dina scenarios 2．3 Industries and sectors 2．3．1 Competitive forces―the five forces framework 2．3．2 The dynamics of industry structure 2．4 Competitors and markets 2．4．1 Strategic groups 2．4．2 Market segments 2．4．3 B[ue Ocean thinkina 2．5 Opportunities and threats Summary Video case Recommended key readings References Case example：Global forces and the Western European brewing industry
3 STRATEGIC CAPABILITIES 3．1 I ntrOductiOn 3．2 Foundations of strategic capabil,ity 3．2．1 Resources and competences 3．2．2 Dynamic capabi[ities 3．2．3 Thresho[d and distinctive capabi[ities 3．3 ‘VRIN’：strategic capabil,ities as a basis for COmpetitive advantage 3．3．1 V―value of strategic caDabi[ities 3．3．2 R―rarity 3．3．3 I―inimitabil,ity 3．3．4 N―non―substitutabi[ity 3．4 Diagnosing strategic capabilities 3．4．1 The va rue Chain and value network 3．4．2 Activity systems 3．4．3 SWOT Summary Video case Recommended key readings References Case example:Inside Dyson：a distinctive company?
4 STRATEGIC PURPOSE 4．1 IntrodUction 4．2 0rganisatiOnalpurpose：values．mission．vision and obiectives 4．2．1 Statements Of mission．vision and va[ue 4．2．2 Obiectives 4．3 Corporate governance 4．4 Corporate social responsibility 4．5 Stakeholder expectations 4．5．1 Stakeho[der qroups 4．5．2 Stakeholder mapping 4．6 Cultural influences 4．6．1 National Cultures 4．6．2 0rganisationalculture 4．6．3 OrganisationalSUbcuI．tures 4．6．4 Culture’s influence on strategy 4．6．5 Analysing CUlture：the CU[turalweb Summary Video case Recommended key readings References Case exa m ple：Cultural turnaround at Club Med 5 BUSINESS STRATEGY 5．1 Introduction 5．2 Generic competitive strategies 5．2．1 Cost-leadership 5．2．2 DifferentiatiOn strategies 5．2．3 Focus strateqies 5．2．4 Stuck in the middle’? 5．2．5 The strategy c1．ock 5．3 l nteractive strateg ies 5．3．1 Interactive price and quality strategies 5．3．2 Cooperative strategy Summary Video case Recommended key readings References Case exa m ple：Madonna：the reigning queen of pop? 6 CORPORATE STRATEGY AND DIVERSlFICATl0N 6．1 Introduction 6．2 Strategy directions 6．2．1 Market penetration 6．2．2 Product development 6．2．3 Market development 6．2．4 CongI．omerate diversification 6．3 Diversfication drivers 6．4 Vertical．inteqration 6．4．1 Forward and backward integration 6．4．2 TO integrate or to outsource? 6．5 Value creation and the corporate parent 6．5．1 Vatue-adding and value-destroying activities of corporate parents 6．5．2 Corporate parenting types 6．6 The BCG【or growth／share】matrix Summary Video case Recommended key readings References Case exampl．e：Virgin：the global entrepreneur 7 INTERNATl0NAL STRATEGY 7．1 Introduction 7．2 InternatiOnalisation drivers 7．3 National．and international．sources of advantage 7．3．1 Locational．advantage：Porter’S Diamond 7．3．2 The jnternatiOna【val．ue network 7．4 Internationa【strategies 7．5 Market sel,ection and entry 7．5．1 Market characteristics 7．5．2 Competitive characteristics 7．5．3 Entry modes Summary Video case Recommended key readings Refe广ences Case exampl．e：Lenovo computers：East meets West 8 INNOVATl0N STRATEGIES 8．1 Introduction 8．2 lnnovation di[emmas 8．2．1 Techn01．ogy push or market pul,l, 8．2．2 Product or process innovation 8．2．3 Open or cl,osed innovation 8．2．4 Technol,ogica[or business-model innovatior 8．3 Innovation diffusion 8．3．1 The pace of diffusion 8．3．2 The diffusion S-curve 8．4 lnnovators and fottowers 8．4．1 First-mover advantages and disadvantages 8．4．2 First or second? 8．4．3 The incumbent’S response Summary Recommended key readings References Case exampl,e：Skype：innovators and entrepreneurs 9 ERGERS．ACQUlSITl0NS AND ALLIANCES 9．1 Introduction 9．2 Orqanic devel,opment 9．3 Mergers and acquisitions 9．3．1 Types of mergers and acquisitions 9．3．2 Motives for mergers and acqUisitions 9．3．3 M＆A processes 9．4 StrateQic atl．iances 9．4．1 Types of strategic atl,iance 9．4．2 Motives for al,．1,iances 9．4．3 Strategic al,[iance processes Summary VIdeo case Recommended key readings References Case exampl．e：Final．fantasy captures Lara Croft：acquisitions and alliances in electronic games 10 STRATEGY lN ACTl0N 10．1 Introduction 10．2 Structura[types 10．2．1 The functionalstructure 10．2．2 The multidivisionalstructure 10．2．3 The matrix structure 10．3 0rganisationalsystems 10．3．1 P1．anning systems 10．3．2 Performance targeting systems 10．3．3 Cul．turalsystems 10．4 Organisationa[configuration：the McKinsey 7~S framework 10．5 ading strategic change 10．5．1 Types of strategic change 10．5．2 Strategic change programmes 10．5．3 Strategic 1．eadership：roles and sty[es Summary Recommended key readings References Case example：Managing change at Faslane Appendix：Evatuating strategies Introduction S：suitabil．ity A：acceptabil．ity F：feasibil．ity Gtossary Index of names GeneraIi ndex Pubtisher’S acknowtedgements
