What is Strategy?
Strategy
A purpose-driven action plan to achieve competitive performance.
AFI Framework
A roadmap for formulating and implementing strategy.
Goal-driven Actions
Actions taken by a firm to achieve and maintain superior performance compared to competitors.
Coherent Actions
Actions that are consistent with the guiding policy.
Implementation
Allocating resources and designing the organization for executing strategy.
Resource Allocation
Allocating resources for executing strategy.
Stakeholder Analysis
Analyzing the interests and influence of stakeholders.
Strategic Thinking
Applying internal strengths to exploit external opportunities.
Competitive Disadvantage
Being at a disadvantage compared to competitors in the market.
Differentiation
Being better and unique compared to competitors.
Competitive Parity
Being on par with competitors in the market.
Outside-in Thinking
Considering how the company can succeed in the competition.
Inside-out Thinking
Considering the company's purpose and significance.
Strategic Positioning
Creating a unique approach and understanding trade-off relationships.
Shared Value
Creating value for both the company and society.
Organization Design
Designing the structure of the organization to support strategy.
Formulation
Developing strategies at corporate, business, and functional levels.
Strategic Alternatives
Different options for implementing strategy.
Governance
Establishing mechanisms to monitor and control strategy execution.
Analysis
Examining internal and external conditions.
External Conditions
Factors outside the company that affect strategy.
Internal Conditions
Factors within the company that affect strategy.
Comparative Advantage
Having an advantage in terms of resources or capabilities compared to competitors.
Competitive Advantage
Having an advantage over competitors in the market.
HRM
Human Resource Management.
External Stakeholders
Individuals or groups outside the company who have an interest in its success.
Internal Stakeholders
Individuals or groups within the company who have an interest in its success.
Financial Management
Managing the company's finances.
Operation Management
Managing the company's operations.
Competitiveness
Measuring performance against the company's purpose.
Extrinsic Motivation
Motivation that comes from external factors, such as money, career, exams, points, and grades.
Intrinsic Motivation
Motivation that comes from within, such as purpose, interest, mastery, curiosity, and pride.
Competitors
Other firms in the same industry.
Strategic Plans
Plans related to achieving the company's purpose.
Corporate Level Strategies
Strategies at the highest level of the organization.
Business Level Strategies
Strategies for individual business units.
Functional Level Strategies
Strategies for specific functions within the organization.
Attract Followers
Strategy helps the company gain support and followers.
Endure Hardships
Strategy helps the company overcome challenges and difficulties.
Avoid Distractions
Strategy helps the company stay focused and not get sidetracked.
Firm Effects
The impact of strategy on the company.
Industry Effects
The impact of strategy on the industry.
Guiding Policy
The policy that guides the company's actions and decisions.