2. Strategic Management
And The Entrepreneur
Group Members
MC13-058
MC13-085
MC13-096
MC13-090
MC13-100
Muhammad Rehan
Mudassar Yasin
Muhammad Saleem
Muhammad Arshad
Muhammad Nauman
Hailey College of Commerce
University of the Punjab Lahore
3. Intellectual Capital! A Source of
Competitve Advatage
It is a key source of a company’s competitive advantage
that is comprised of
• Human Capital
(Talents, Skills And Abilities)
• Structural Capital (Knowledge, Experience)
• Customer Capital (Reputation and Positive Relations )
• Strategic Management-It is the process of developing
game plan to guide a company as it strives to
accomplish its vision, missions and goals to keep it from
straying off course.
4. Building A Competitive Advantage
• Competitive Advantage-the aggregation of factors that
sets a small business apart from its competitors and
gives a unique position in the market superior to its
competition
• Core Competencies-a unique set of lasting capabilities
that a company develops in key operational areas that
allow it to vault past competitors
5. In business The core competencies become the nucleus of company’s
competitive advantage and are difficult to be duplicated.
Devolving core competencies does not require a great deal
money but it requires creativity imagination and vision
7. Vision
The dream of something that does not
exist at present
• To determine decisions
• To motivate people
• To determine direction
•The idea where to go and how to go.
• Addresses the first question of any
. business venture i.e what business are we in?
•It should be concise and meaningful
13. Factors of Success in Business
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company’s ability to compete successfully in an industry.
Based on cost factors
Manufacturing cost per unit
Distribution cost per unit
Development cost per unit
Other factors
Product quality, relationship with supplier
Prime store location
Available customer credit.
16. Competitor Analysis
A small business owner collect a great deal of information
by through compettitve intelligence(CI)
• Can read trade publications
• Attend trade shows
• Through watching on emloyment ads
• Environmental Protection Agency reports
• Use vast resources of World Wide Web
• Port import export reporting service(PIERS)
• Obtain credit reports of major competitors
• Conduct patent searches
17. Knowledge Management
Competitive Profile Matrix- evaluate their company
against major competitors
Knowledge Management Taking inventory of information
Organizing and disseminating that information
21. What is Strategy?
• Strategy-a road map of the actions on entrepreneur
draws up to fulfill a company’s mission goals and
objectives.
• A flawed strategy no matter how brilliant the
leadership, no matter how effective the implementation is
doomed to fail.
• A sound Strategy implemented without error wins every
time.
22. Kinds of Strategies
Cost leadership Strategy
(in which company tries to lower its cost)
Strategy works well when:
• Customer is sensitive to price change
• Competing firms sell same product
• Economies of scale are produced
23. Kinds of Strategies
Differentiation Strategy
(in which company seeks to build customer loyalty)
Strategy works well when:
• Unique different fashion
• Difference in the form of a true benefit of
customer
24. Kinds of Strategies
Focus Strategy
(special needs and interests and meets those needs.)
Strategy works well when:
• Select one or more market segments
• Identify customers special needs
• Mold needs into best goods services
28. Controlling The Strategy
• Balanced Scorecards-a set of measurements unique to
a company that includes both financial and operational
measures and gives a quick yet comprehensive picture
of the company’s overall performance.
