Strategic Management and Business Policy: Toward Global Sustainability, 13th Edition

Cover......Page 1
Half-Title Page......Page 3
Title Page......Page 5
Copyright Page......Page 6
Dedication Page......Page 7
Brief Contents......Page 11
Contents......Page 13
Preface......Page 31
About the Contributors......Page 39
Acknowledgments......Page 37
PART ONE: Introduction to Strategic Management and Business Policy......Page 51
CHAPTER 1 Basic Concepts of Strategic Management......Page 52
1.1 The Study of Strategic Management......Page 55
1.2 Globalization and Environmental Sustainability: Challenges to Strategic Management......Page 57
Global Issue: REGIONAL TRADE ASSOCIATIONS REPLACE NATIONAL TRADE BARRIERS......Page 59
1.3 Theories of Organizational Adaptation......Page 62
1.4 Creating a Learning Organization......Page 63
1.5 Basic Model of Strategic Management......Page 64
Strategy Highlight 1.1: DO YOU HAVE A GOOD MISSION STATEMENT?......Page 68
1.6 Initiation of Strategy: Triggering Events......Page 73
Strategy Highlight 1.2: TRIGGERING EVENT AT UNILEVER......Page 74
1.7 Strategic Decision Making......Page 75
1.8 The Strategic Audit: Aid to Strategic Decision-Making......Page 78
1.9 End of Chapter Summary......Page 79
APPENDIX 1.A: Strategic Audit of a Corporation......Page 84
CHAPTER 2 Corporate Governance......Page 92
2.1 Role of the Board of Directors......Page 95
Strategy Highlight 2.1: AGENCY THEORY VERSUS STEWARDSHIP THEORY IN CORPORATE GOVERNANCE......Page 100
Global Issue: CORPORATE GOVERNANCE IMPROVEMENTS THROUGHOUT THE WORLD......Page 106
2.2 The Role of Top Management......Page 108
Environmental Sustainability Issue: CONFLICT AT THE BODY SHOP......Page 109
2.3 End of Chapter Summary......Page 112
CHAPTER 3 Social Responsibility and Ethics in Strategic Management......Page 120
3.1 Social Responsibilities of Strategic Decision Makers......Page 122
Environmental Sustainability Issue: THE DOW JONES SUSTAINABILITY INDEX......Page 126
Strategy Highlight 3.1: JOHNSON & JOHNSON CREDO......Page 128
3.2 Ethical Decision Making......Page 129
Strategy Highlight 3.2: UNETHICAL PRACTICES AT ENRON AND WORLDCOM EXPOSED BY “WHISTLE-BLOWERS”......Page 130
Global Issue: HOW RULE-BASED AND RELATIONSHIP-BASED GOVERNANCE SYSTEMS AFFECT ETHICAL BEHAVIOR......Page 131
3.3 End of Chapter Summary......Page 136
Ending Case for Part One: BLOOD BANANAS......Page 140
PART TWO: Scanning the Environment......Page 143
CHAPTER 4 Environmental Scanning and Industry Analysis......Page 144
4.1 Environmental Scanning......Page 148
Environmental Sustainability Issue: MEASURING AND SHRINKING YOUR PERSONAL CARBON FOOTPRINT......Page 150
Global Issue: IDENTIFYING POTENTIAL MARKETS IN DEVELOPING NATIONS......Page 157
4.2 Industry Analysis: Analyzing the Task Environment......Page 159
Strategy Highlight 4.1: MICROSOFT IN A HYPERCOMPETITIVE INDUSTRY......Page 168
4.3 Competitive Intelligence......Page 170
Strategy Highlight 4.2: EVALUATING COMPETITIVE INTELLIGENCE......Page 172
4.4 Forecasting......Page 173
4.5 The Strategic Audit: A Checklist for Environmental Scanning......Page 175
4.6 Synthesis of External Factors—EFAS......Page 176
4.7 End of Chapter Summary......Page 177
APPENDIX 4.A: Competitive Analysis Techniques......Page 183
CHAPTER 5 Internal Scanning: Organizational Analysis......Page 186
5.1 A Resource-Based Approach to Organizational Analysis......Page 188
5.2 Business Models......Page 192
5.3 Value-Chain Analysis......Page 193
Strategy Highlight 5.1: A NEW BUSINESS MODEL AT SMARTYPIG......Page 194
5.4 Scanning Functional Resources and Capabilities......Page 197
Global Issue: MANAGING CORPORATE CULTURE FOR GLOBAL COMPETITIVE ADVANTAGE: ABB VERSUS MATSUSHITA......Page 200
Environmental Sustainability Issue: USING ENERGY EFFICIENCY FOR COMPETITIVE ADVANTAGE AND QUALITY OF WORK LIFE......Page 211
5.5 The Strategic Audit: A Checklist for Organizational Analysis......Page 213
5.6 Synthesis of Internal Factors......Page 214
5.7 End of Chapter Summary......Page 215
Ending Case for Part Two: BOEING BETS THE COMPANY......Page 220
PART THREE: Strategy Formulation......Page 223
CHAPTER 6 Strategy Formulation: Situation Analysis and Business Strategy......Page 224
6.1 Situation Analysis: SWOT Analysis......Page 226
6.2 Review of Mission and Objectives......Page 231
6.3 Generating Alternative Strategies by Using a TOWS Matrix......Page 232
6.4 Business Strategies......Page 233
Environmental Sustainability Issue: PATAGONIA USES SUSTAINABILITY AS DIFFERENTIATION COMPETITIVE STRATEGY......Page 237
6.5 End of Chapter Summary......Page 249
CHAPTER 7 Strategy Formulation: Corporate Strategy......Page 254
7.2 Directional Strategy......Page 256
Strategy Highlight 7.1: TRANSACTION COST ECONOMICS ANALYZES VERTICAL GROWTH STRATEGY......Page 260
Global Issue: COMPANIES......Page 262
Strategy Highlight 7.2: SCREENING CRITERIA FOR CONCENTRIC DIVERSIFICATION......Page 265
7.3 Portfolio Analysis......Page 270
Environmental Sustainability Issue: GENERAL MOTORS AND THE ELECTRIC CAR......Page 272
7.4 Corporate Parenting......Page 276
7.5 End of Chapter Summary......Page 279
CHAPTER 8 Strategy Formulation: Functional Strategy and Strategic Choice......Page 286
8.1 Functional Strategy......Page 288
Global Issue: INTERNATIONAL DIFFERENCES ALTER WHIRLPOOL’S OPERATIONS STRATEGY......Page 293
Environmental Sustainability Issue: OPERATIONS NEED FRESH WATER AND LOTS OF IT!......Page 295
8.2 The Sourcing Decision: Location of Functions......Page 297
8.3 Strategies to Avoid......Page 300
8.4 Strategic Choice: Selecting the Best Strategy......Page 301
8.5 Developing Policies......Page 308
8.6 End of Chapter Summary......Page 309
Ending Case for Part Three: KMART AND SEARS: STILL STUCK IN THE MIDDLE?......Page 316
PART FOUR: Strategy Implementation and Control......Page 319
CHAPTER 9 Strategy Implementation: Organizing for Action......Page 320
9.1 Strategy Implementation......Page 322
9.3 What Must Be Done?......Page 323
Environmental Sustainability Issue: FORD’S SOYBEAN SEAT FOAM PROGRAM......Page 324
Strategy Highlight 9.1: THE TOP TEN EXCUSES FOR BAD SERVICE......Page 327
9.4 How Is Strategy to Be Implemented? Organizing for Action......Page 328
9.5 International Issues in Strategy Implementation......Page 341
Global Issue: MULTIPLE HEADQUARTERS: A SIXTH STAGE OF INTERNATIONAL DEVELOPMENT?......Page 344
9.6 End of Chapter Summary......Page 346
CHAPTER 10 Strategy Implementation: Staffing and Directing......Page 350
10.1 Staffing......Page 352
Strategy Highlight 10.1: HOW HEWLETT-PACKARD IDENTIFIES POTENTIAL EXECUTIVES......Page 356
10.2 Leading......Page 361
Environmental Sustainability Issue: ABBOTT LABORATORIES’ NEW PROCEDURES FOR GREENER COMPANY CARS......Page 362
Global Issue: CULTURAL DIFFERENCES CREATE IMPLEMENTATION PROBLEMS IN MERGER......Page 371
10.3 End of Chapter Summary......Page 372
CHAPTER 11 Evaluation and Control......Page 378
11.1 Evaluation and Control in Strategic Management......Page 380
11.2 Measuring Performance......Page 382
Environmental Sustainability Issue: HOW GLOBAL WARMING COULD AFFECT CORPORATE VALUATION......Page 390
Global Issue: COUNTERFEIT GOODS AND PIRATED SOFTWARE: A GLOBAL PROBLEM......Page 396
11.3 Strategic Information Systems......Page 397
11.4 Problems in Measuring Performance......Page 398
Strategy Highlight 11.1: SOME RULES OF THUMB IN STRATEGY......Page 401
11.6 Strategic Incentive Management......Page 402
11.7 End of Chapter Summary......Page 404
Ending Case for Part Four: HEWLETT-PACKARD BUYS EDS......Page 410
PART FIVE: Introduction to Case Analysis......Page 413
CHAPTER 12 Suggestions for Case Analysis......Page 414
12.1 The Case Method......Page 415
12.3 Financial Analysis: A Place to Begin......Page 416
Environmental Sustainability Issue: IMPACT OF CARBON TRADING......Page 420
Global Issue: FINANCIAL STATEMENTS OF MULTINATIONAL CORPORATIONS: NOT ALWAYS WHAT THEY SEEM......Page 421
12.4 Format for Case Analysis: The Strategic Audit......Page 423
12.5 End of Chapter Summary......Page 425
APPENDIX 12.A: Resources for Case Research......Page 427
APPENDIX 12.B: Suggested Case Analysis Methodology Using the Strategic Audit......Page 430
APPENDIX 12.C: Example of a Student-Written Strategic Audit......Page 433
Ending Case for Part Five: IN THE GARDEN......Page 440
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PART SEVEN: Cases in Strategic Management......Page 443
CASE 1 The Recalcitrant Director at Byte Products Inc.: Corporate Legality versus Corporate Responsibility......Page 449
CASE 2 The Wallace Group......Page 455
CASE 3 Everyone Does It......Page 465
CASE 4 The Audit......Page 469
CASE 5 Starbucks’ Coffee Company: The Indian Dilemma......Page 471
CASE 6 Guajilote Cooperativo Forestal: Honduras......Page 493
CASE 7 Apple Inc.: Performance in a Zero-Sum World Economy......Page 499
CASE 8 iRobot: Finding the Right Market Mix?......Page 525
CASE 9 Dell Inc.: Changing the Business Model (Mini Case)......Page 535
CASE 10 Rosetta Stone Inc.: Changing the Way People Learn Languages......Page 541
CASE 11 Logitech (Mini Case)......Page 561
CASE 12 Google Inc. (2010): The Future of the Internet Search Engine......Page 567
CASE 13 Reorganizing Yahoo!......Page 581
CASE 14 TiVo Inc.: TiVo vs. Cable and Satellite DVR: Can TiVo survive?......Page 599
CASE 15 Marvel Entertainment Inc.......Page 621
CASE 16 Carnival Corporation and plc (2010)......Page 637
CASE 17 Chrysler in Trouble......Page 657
CASE 18 Tesla Motors Inc. (Mini Case)......Page 675
CASE 19 Harley-Davidson Inc. 2008: Thriving through a Recession......Page 681
CASE 20 JetBlue Airways: Growing Pains?......Page 713
CASE 21 TomTom: New Competition Everywhere!......Page 729
CASE 22 Volcom Inc.: Riding the Wave......Page 745
CASE 23 TOMS Shoes (Mini Case)......Page 765
CASE 24 Best Buy Co. Inc.: Sustainable Customer Centricity Model?......Page 769
CASE 25 The Future of Gap Inc.......Page 783
CASE 26 Rocky Mountain Chocolate Factory Inc. (2008)......Page 795
CASE 27 Dollar General Corporation (Mini Case)......Page 819
CASE 28 Inner-City Paint Corporation (Revised)......Page 827
CASE 29 The Carey Plant......Page 831
CASE 30 The Boston Beer Company: Brewers of Samuel Adams Boston Lager (Mini Case)......Page 835
CASE 31 Wal-Mart and Vlasic Pickles......Page 839
CASE 32 Panera Bread Company (2010): Still Rising Fortunes?......Page 845
CASE 33 Whole Foods Market (2010): How to Grow in an Increasingly Competitive Market? (Mini Case)......Page 871
CASE 34 Burger King (Mini Case)......Page 877
CASE 35 Church & Dwight: Time to Rethink the Portfolio?......Page 881