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Emphasis the human element of strategy to identify the direction and scope which achieve an advantage in a changing environment through its configuration of resources and competences, has the aim to fulfill stakeholders expectations

“The competitive analysis is a statement of the business strategy and how it relates to the competition.”

The purpose of the competitive analysis is to determine the strengths and weaknesses of the competitors within your market, strategies that will provide you with a distinct advantage, the barriers that can be developed in order to prevent competition from entering your market, and any weaknesses that can be exploited within the product development cycle.

The first step in a competitor analysis is to identify the current and potential competition. As mentioned in the “Market Strategies” chapter, there are essentially two ways you can identify competitors. The first is to look at the market from the customer’s viewpoint and group all your competitors by the degree to which they contend for the buyer’s dollar.

The second method is to group competitors according to their various competitive strategies so you understand what motivates them. Once you have grouped your competitors, you can start to analyze their strategies and identify the areas where they are most vulnerable. This can be done through an examination of your competitors’ weaknesses and strengths.

A competitor’s strengths and weaknesses are usually based on the presence and absence of key assets and skills needed to compete in the market. To determine just what constitutes a key asset or skill within an industry, David A. Aaker in his book, Developing Business Strategies suggests concentrating your efforts in four areas:

1. The reasons behind successful as well as unsuccessful firms

2. Prime customer motivators

3. Major component costs

4. Industry mobility barriers

According to theory, the performance of a company within a market is directly related to the possession of key assets and skills. Therefore, an analysis of strong performers should reveal the causes behind such a successful track record.

This analysis, in conjunction with an examination of unsuccessful companies and the reasons behind their failure, should provide a good idea of just what key assets and skills are needed to be successful within a given industry and market segment. For instance, in the personal-computer operating-system software market, Microsoft reigns supreme with DOS and Windows. It has been able to establish its dominance in this industry because of superior marketing and research as well strategic partnerships with a large majority of the hardware vendors that produce personal computers.

This has allowed DOS and Windows to become the operating environment, maybe not of choice, but of necessity for the majority of personal computers on the market. Microsoft’s primary competitors, Apple and IBM, both have competing operating systems with a great deal of marketing to accompany them; however, both suffer from weaknesses that Microsoft has been able to exploit. Apple’s operating system for its Macintosh line of computers, while superior in many ways to DOS and Windows, is limited to the Macintosh personal computers; therefore, it doesn’t run many of the popular business applications that are readily available to DOS and Windows.

To an extent, IBM’s OS/2 operating system suffers from the same problem. While it will run on all of the personal computers DOS and Windows can run on and even handle Windows applications, the number of programs produced for OS/2 in its native environment is very small. This is the type of detailed analysis you need in analyzing an industry. Through your competitor analysis you will also have to create a marketing strategy that will generate an asset or skill competitors do not have, which will provide you with a distinct and enduring competitive advantage.

Since competitive advantages are developed from key assets and skills, you should sit down and put together a competitive strength grid.

This is a scale that lists all your major competitors or strategic groups based upon their applicable assets and skills and how your own company fits on this scale., strategic management has three major elements: strategic position, strategic choices for the future and strategic in action.

To put together a competitive strength grid, list all the key assets and skills down the left margin of a piece of paper. Along the top, write down two column headers: “weakness” and “strength.” In each asset or skill category, place all the competitors that have weaknesses in that particular category under the weakness column, and all those that have strengths in that specific category in the strength column. After you’ve finished, you’ll be able to determine just where you stand in relation to the other firms competing in your industry.

Once you’ve established the key assets and skills necessary to succeed in this business and have defined your distinct competitive advantage, you need to communicate them in a strategic form that will attract market share as well as defend it.

Competitive strategies usually fall into these five areas:

1.Product

2.Distribution

3.Pricing

4.Promotion

5.Advertising

Many of the factors leading to the formation of a strategy should already have been highlighted in previous sections, specifically in marketing strategies.

Strategies primarily revolve around establishing the point of entry in the product life cycle and an endurable competitive advantage.

As we’ve already discussed, this involves defining the elements that will set your product or service apart from your competitors or strategic groups. You need to establish this competitive advantage clearly so the reader understands not only how you will accomplish your goals, but why your strategy will work.


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Community Cloud

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Technical and fundamental analysis

The efficient market hypothesis suggests that future share prices cannot be predicted by studying past prices and as we have seen, there is extensive evidence to support this view and the right information in collaborating with your partners.

Despite the evidence, investment strategies based on the study of past share prices, or on the analysis of published information such as annual accounts, are common, and the view held by many financial analysts seems to be therefore that capital markets are inefficient.

Technical analysis involves the use of charts (Chartism) and other methods to predict future shares prices and share price trends, clearly implying that a relationship exists between past and future prices. For technical analysis to lead to abnormal returns on a regular basis, capital markets cannot even be weak form efficient.

Fundamental analysis are public information to calculate a fundamental value for a share and then offer investment advice by comparing the fundamental value with the current market price. It is not possible to make abnomal gains from fundamental analysis if capital markets are semi-strong form efficient, since all publicly available information will already be reflected in share prices.

Both technical and fundamental analysis, by seeking abnormal returns, increase the speed with which share prices absorb new information and reach equilibrium, thereby preventing abnomal returns from being achieved.


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Exploit Synergies

 
 

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If the mark of an entrepreneur is seeing opportunity where others don’t, then Jan Nytzen and Bjorn Lowenhielm, founders of Universal Cart Systems Inc. in New York City, are entrepreneurs for excellence.

In the seemingly mundane world of food cart manufacturing, the pair developed techniques that dramatically rearranged the economics of the product and provided entree to a multimillion-dollar opportunity. Rather than welded steel, Universal’s carts, which can be used for food service as well as merchandising, rely on modular components made from aluminum extrusions.

“What was made by five workers in five days could now be done by one worker in a few hours,” says Lowenhielm. “[We realized] this was clearly something that had significant potential.”

The funds spent on research and development got Universal into initial production. With several units occupying New Jersey’s Giant Stadium and with what Lowenhielm calls rave reviews from food-service contractor Aramark in Philadelphia, the company is now ready to launch a full-scale rollout of the product.

To do it right, Nytzen and Lowenhielm figure they’ll need an additional $500,000 and eventually as much as $1 million. But with $1 million already invested, the co-founders are looking for “angel” investors with the kind of equity capital that will drive Universal to its next growth level. While they know the money exists, there is less certainty regarding the kind of angel investor they need.

David R. Evanson, a writer and consultant, is a principal of Financial Communications Associates in Ardmore, Pennsylvania. Art Beroff, a principal of Beroff Associates in Howard Beach, New York, helps companies raise capital and go public.

 

Good Chemistry

The importance of the chemistry between entrepreneur and investor cannot be underestimated. Consider that while a banker may completely trust and like an entrepreneur, he or she will not change the lending criteria a single iota because of these feelings. But with angel investors, the situation is quite different: If he or she develops a bond with an entrepreneur, an angel will agree to almost any deal.

Because of this phenomenon, angel investor Rich Bendis, who is also president of Kansas Technology Enterprise Corp. in Topeka, Kansas, says entrepreneurs must understand the basic investor personality types to help them forge the bond so vital to closing the deal. While private investors come in many different shapes, they can be categorized into five types: corporate angels, entrepreneurial angels, enthusiast angels, micromanagement angels and professional angels.

 

1. Corporate angels

Typically, corporate angels are former senior managers of Fortune 1000 corporations who have been outplaced or have taken early retirement. Corporate angels may say they’re looking for investment opportunities, but in reality, they’re looking for a job. This doesn’t mean they won’t invest. Bendis says they typically have about $1 million in cash and may invest as much as $200,000 in a deal, but some kind of position, usually unpaid at first, is part of the deal.

Nytzen and Lowenhielm, who had lengthy careers at Volvo and Electrolux, respectively, before striking out on their own, think a corporate angel might work out. “I understand their thinking because we came out of that mold,” says Nytzen. “My one reservation would be that in start-ups, you have to wear a lot of hats, and people from large corporations with highly specialized skills can’t always do that.”

Lowenhielm concurs. If forced to choose a corporate angel who also wanted a position with the company, he says, “I would choose someone who left a large corporation to pursue other interests, as opposed to a senior person who got downsized out of his or her job.”

Corporate angels typically make just one investment, unless their last one didn’t work out, says Bendis. And with respect to that one investment, they tend to invest everything at once and may get nervous when the hat gets passed their way again.

 

2. Entrepreneurial angels

These are the most prevalent type of angel investors, according to Bendis. Most of them own and operate highly successful businesses. Because these investors have another source of income, and perhaps significant wealth from an initial public offering or partial buyout, they will take bigger risks and invest more capital than other types of angels.

Whereas the corporate angel is looking for a job, entrepreneurial angels are looking for synergy with their current business, a way to diversify their portfolios or, in rarer instances, a way to prepare for life after their current business no longer requires their full attention. As a result, these investors seldom look at businesses outside their area of expertise and will participate in no more than a handful of investments at any one time.”We are talking right now to an investor who owns a fabrication business,” says Lowenhielm.

“Obviously, there are some strong synergies. I like the idea that there is an incentive for each business to strengthen the other.”

According to Bendis, entrepreneurial angels almost always require a seat on the board of directors but hardly ever want any kind of management duties. They typically make fair-sized investments-$200,000 to $500,000–and invest more as the company progresses. However, because of their agenda, when the synergy or the potential they initially perceived disappears, oftentimes so do they.

 

3. Enthusiast angels

While entrepreneurial angels tend to be somewhat calculating, enthusiasts simply like to be involved in deals. Bendis says most enthusiast angels are 65 or older, independently wealthy from success in a business they started, and have abbreviated work schedules. For them, investing is a hobby. They typically want no role in management and rarely seek board representation.

Because enthusiasts spread themselves across many companies, the size of their investments tends to be small–from as little as $10,000 to perhaps a few hundred thousand dollars. “On the plus side,” says Bendis, “enthusiasts tend to have a difficult time saying no and often bring their friends into a deal.”

Nytzen feels that enthusiast angels, affiliated with the company but free from the burden of board representation, would provide an invaluable resource for Universal. “When we created international advisory boards for Volvo, we were able to attract top people because there were no official responsibilities,” Nytzen says. “We received tremendous support and counsel from them. I see enthusiasts as a very interesting source of capital.”

 

4. Micromanagement angels

“Micromanagers are serious investors,” says Bendis. “Some of them are born wealthy, but the vast majority attained wealth through their own efforts.” Unfortunately, this heritage makes them dangerous.

Because they have successfully built a company, micromanagers attempt to impose the same tactics they used with their own companies on the companies they’re investing in. Though they do not seek an active management role, micromanagers usually demand a board seat. If the business is not doing well, they will try to bring in new managers.”The idea of control has a little bit of a bad taste [for us],” says Lowenhielm.

“The investor who wants to know how much we spend on paper clips would be a hindrance. The way I see it, investors who want to control want to restrain.”

“This would be a tough fit for us,” agrees Nytzen. “Right now as a start-up, we [have identified and are confident of] our market and our products. It would be difficult to put someone else in the driver’s seat.”

Bendis says it’s possible to exploit the behavior patterns of micromanagers–but at a cost. “They enjoy having as much control as possible,” Bendis says. “Many will gladly pay for it by putting more capital in the business.” Micromanagers typically invest between $100,000 and $1 million.

 

5. Professional angels

The term “professional” in this context refers to the investor’s occupation, such as doctor, lawyer and, in some rare instances, accountant. Bendis says professional angels like to invest in companies that offer a product or service with which they have some experience: A doctor will look at medical instrumentation companies, a franchise attorney will look at franchise deals, and so on.

These investors don’t typically need to know what’s going on in the business on a daily basis, and they do not micromanage their portfolio companies. In fact, professionals rarely seek board representation. However, Bendis says, they can be unpleasant to deal with and impatient when the going gets tough, and may think a company is in trouble before it actually is.

Bendis says professional angels invest in several companies at one time, and their capital contributions range from $25,000 to $200,000. “They are good for initial investments but are less likely to make follow-up investments,” he says.

Perhaps more than any other investor, professionals operate within loosely defined but clear networks, and they tend to be more comfortable investing alongside their peers. Thus, the first professional investor you find will likely open a pathway to others. Professionals can also offer value when they have-and provide-legal, accounting or financial expertise for which the company would otherwise have to pay hefty fees. Be wary, however, because some professionals want to be hired after they invest.

 

Pairing Up

Of all the different personality types, Nytzen and Lowenhielm agree the best investor for Universal Cart Systems would be an entrepreneurial angel.

“The fact that he or she is already in business and wants to remain there and be a resource for our business seems to create the best atmosphere for success,” says Nytzen.

But the partners are not ruling out the other types of investors. “This is business,” says Lowenhielm.

“If someone brings something valuable to the table that can help us reach our goals faster, then I would consider them a good investor for our business.”


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Latest Financial Topics for Strategy & Business Developments

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Internal experts and external brought in sessions, that articulate the organisation vision and added insights to new opportunities.

Is your team fully engaged to give their best, day in and day out? In a recent study by TowersWatson, an international HR consulting firm, fewer than 21 percent of employees surveyed described themselves as “highly engaged,” down from 31 percent. 8 percent admitted to being fully disengaged.“
Having only one-fifth of your employees highly engaged is not the hallmark of a “Winning Business.” Other studies show that employee engagement derives from three important factors:

  1. Alignment of the employee with the goals and vision of the company.
  2. Faith of the employee in the competence of management and their commitment to realize the goals and vision.
  3. Trust in their direct supervisor that he or she will support his or her people and help them to succeed.

It has often been said that employees rarely quit companies. Instead, employees quit their managers or supervisors by leaving the company. Mark Herbert, a consultant focused on engagement, says:

“Engagement lives and dies on the front line of your business.”
Increasing positive managerial behavior and reducing negative managerial behavior will go a long way towards improving employee engagement. When your talented employees are engaged, they are able to perform spectacularly and build and improve your winning business. Here are some ways to get managers and supervisors started in focusing on ways to improve engagement (and to be better managers).

1. DON’T get angry

Getting angry is easy. Anyone can do that. But getting angry in the right way in the right amount at the right time, now that is hard.”
Mark Twain

Anger does not belong in your managerial kit bag.

2. DON’T be cold, distant, rude or unfriendly

Especially in difficult times, employees take cues from their immediate supervisors and need to hear from them. As such, your team will judge you by your action, moods, and behaviors, not by your intent.

3. DON’T send mixed messages to your employees so that they never know where you stand

Keep your message simple, focused and prioritized. Too many messages and initiatives just confuse and alienate people.

4. DON’T BS your team

This includes saying things that you don’t believe in. This includes hiding information and just plain lying. By the time each of us is in our early 20′s, we have all developed very well-tuned BS detectors.

5. DON’T act more concerned about your own welfare than anything else
Your success will come through the success of your team. “Self-serving detectors” are also very well-tuned in most employees.

6. DON’T avoid taking responsibility for your actions
You are the boss. As such, you are accountable and the buck stops with you. You are trying to develop accountability throughout your company. So, lead by example.

7. DON’T jump to conclusions without checking your facts first

A few years ago, I watched in horror as a colleague of mine started screaming at an employee of his who had missed an important meeting that morning. After several minutes, the employee responded:

“I apologize and should have contacted you. But, I just got back from the hospital as a relative has been diagnosed with terminal cancer.”

Now here are the dos, which are even more important than the don’ts…

8. DO what you say you are going to do when you are going to do it

There is no better way to communicate the message that you are accountable for your promises and that everyone in your company should be accountable as well.

9. DO be responsive (return phone calls, emails)

As a manager, your team can be considered to be your customer.
You want your sales team to punctually respond back to customer requests, so you should do the same.

10. DO publicly support your people

Your disagreements and disappointment with your employees can be communicated later and in private. Nothing appears so hollow as your attempt to blame your team for failures.

11. DO admit your mistakes …

…and take the blame for failures.

12. DO recognize your team

“You can never underestimate the power of simple recognition for a job well done.”

13. DO ask and listen

“The manager of the future will know how to ask rather than how to tell.”
Peter Drucker

Some of the most dangerous words for a manager to ever say include:

But, you just don’t understand…” “Because I said so…

14. DO smile and laugh

Have some fun. But, be genuine; programmed fun and faked laughter is worse than doing nothing. 
When appropriate, laugh at yourself; it will humanize you.


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Corporate trajectory

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The business landscape will look dramatically different in coming decades

 

A culture change dialogs across geography, across business units and also across functions. By embracing people’s differences, we can spark innovation, better understand and serve our customers and gain competitive advantage.

Driving a successful diversity strategy begins with the senior leaders, but to be fully sustainable it needs to be lived by every one of us. If that seems challenging, think about this: many leading researchers and social scientists have proven a link between diversity and productivity. In the United States, management researchers found that when people work directly with someone with at least one diverse trait, it challenges them to prepare more and work harder. By embracing diversity in your business today, you can adopt an intrapreneurial mindset and sustainable skills that will help you succeed. Here’s how you can start:

 

Learn to think like an intrapreneur

Intrapreneurship, or disrupting internal processes or cultural norms, is at its heart about innovation. One group of innovators in particular figured out how to advance their industry through the way they approach challenges – these are open-source software engineers, and they use design thinking. It’s a good example of what intrepreneurship can be: pick a diverse team with a range of experiences and perspectives; make your mistakes early and be open about them.

Without the diverse and constant input, these engineers would be less successful in the way they solve challenges. When faced with a difficult task or situation, seek out advice from new and diverse sources, most likely you will find an improved approach.

 

Discover new places to network

As collaboration with diverse individuals provides new points of view, networking accomplishes this on a larger scale. By going to events for closely related professions, or simply connecting through social media channels such as Twitter or LinkedIn where you can virtually engage in conversations with anyone, you put yourself in a position for growth.

Inside your organization you can join or organize a powerful employee network with a diverse set of peers. While interacting with your network, look for, accept and appreciate differences. Friction leads to heat, and our heat makes the atoms move faster!

 

Focus on the strengths everybody brings to the table

We are brought up in the Western World to focus on what doesn’t work or what is different. Challenge yourself to appreciate the differences of others and see them as potential drivers of change. The more opinions, the more variety, and the more diversity we bring to the table the more we can unchain our creativity, which is hidden in every one of us.

People with different communication abilities, for instance, can be diverse. Autistic people are known for thriving in repetitive tasks, which is an especially valuable skill set in today’s data-driven work environments. These skills help uncover insights into customer behavior and business trends, and can lead to discoveries that alter how a company operates. In the future of work, diversity will not be an option, but an imperative to sustain in our global, fast paced economy, where never just one person owns and knows the truth.

 

Stand up to discrimination

Stand up if you see or experience discrimination.Raise your voice for the unheard opinion. Help others appreciate how every person has a different strength and realize that in that strength there is opportunity to grow and be more productive. For instance, if a colleague comments that a women aren’t as capable of understanding technology, remind them that CEOs Meg Whitman at HP and Marisa Mayer at Yahoo! have both outlasted their male predecessors. By being critical of someone’s weakness you miss the chance to appreciate and benefit from their strengths.

The need for new perspectives becomes especially important when we examine the future workplace. As our world gets smaller, diversity doesn’t only mean differences in gender and race, but age and geography as well. Our world has become ultra-connected – successful companies find that to harmonize these connections relates directly to how fast they innovate. The implications are key for our global workforce because innovation thrives when we are faced with the unfamiliar. Diversity is what makes business more sustainable.



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The Latest Publication On Data Surveys

 

 

 

Digital Year

 

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To a better understanding of a strategic decision and implication, here are some characteristics to exhibit:

Complexity is describing the feature of strategy and is particularly so in organisations with wide geographical horizons, such as multinational firms, or wide ranges of products and services.

For example, Yahoo! faces the complexity both of a fast-moving market environment and poorly organised internal businesses. Uncertainty is inherent in strategy, because nobody can be sure about the future.For Yahoo! the internet environment is one of constant and unforeseeable.

 

Operational decisions are linked to strategy.

For example, any attempt to coordinate Yahoo!’s business units more closely will have knock-on effects on web page design and links, carer development and advertiser relationships. This link between overall strategy and operational aspects of the organisation is important for two other reasons. First if the operational aspects of the organisation are not in line with the strategy, than no matter how well-considered the strategy is, it will not succeed. Second, it is at the operational level that real strategic advantage can be achieved. Indeed, competence in particular operational activities might determine which strategic developments might make most sense.

 

Integration is required for effective strategy.

Mangers have to cross functional and operational boundaries to deal with strategic problems. Yahoo! for example needs an integrated approach to powerful advertisers such as Sony and Vodafone from across all its businesses. Relationships and networks outside the organisation are important in strategy, for example with suppliers, distributors and customers. For Yahoo!, advertisers and users are crucial sets of relationships.

 

Change is typically a crucial component of strategy.

Change is often difficult because of the heritage of resources and because of organisational culture. According to Brad Garlinghouse at least, Yahoo! barriers to change seem to include a top management that is afraid of taking hard decisions and a lack of clear accountability amongst lower-level management.


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News & Economic Trends

 


 

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Among companies where big data, cloud, mobile, and social technologies are critical parts of the infrastructure, how technologies are, or will soon be? 

Forty-four percent of survey respondents say that mobile is now a critical part of their infrastructure. It’s especially important in some industries—51 percent of the respondents in the utilities and technology sectors indicated that mobile devices and access are critical. Nearly two-thirds (64 percent) of respondents say that “anywhere access” to corporate apps and data is the biggest benefit to using mobile, followed by increased productivity (53 percent). The two are undoubtedly linked, as mobile access to systems optimizes employee time.

A majority of survey respondents indicate that putting mobile functionality in the hands of employees is now a key requirement, and leading companies are also leveraging the growing ubiquity of smartphones to innovate and drive top-line revenue growth. Management of the Detroit Lions professional football team, for example, is always looking for ways to improve the fan experience. In addition to offering wireless Internet access at Ford Field to Verizon customers and launching a digital raffle for charity on game days, the Lions released a free smartphone application that features exclusive in-stadium game day content, including instant replay from several different camera angles for every play, and concession maps. Eventually, the Lions intend to add other features to the smartphone app, including in-seat concession ordering.

 

“Mobile is a gateway to our fan base,”

says Thomas Horrom, vice president of technology for the Detroit Lions.

 

“Without it, we’re not able to get creative or innovative in our engineered touch points.”

Delta Air Lines is another company that is using mobile technologies to innovate. The airline announced it had begun equipping its 19,000 flight attendants with mobile devices, which have increased incremental revenue from in-flight purchases.

Here are some steps you can take to ensure that your clients receive excellent service every step of the way.

  1.  Put your customer service policy in writing. These principles should come from you, but every employee should know what the rules are and be ready to live up to them. This doesn’t have to be elaborate. Something as simple as “the customer is always right” can lay the necessary groundwork, although you may want to get more detailed by saying, for instance,any employee is empowered to grant a 10 percent discount to any dissatisfied customer at any time.”
  2.  Establish support systems that give employees clear instructions for gaining and maintaining service superiority. These systems will help you outservice any competitor by giving more to customers and anticipating problems before they arise.
  3.  Develop a measurement of superb customer service. Don’t forget to reward employees who practice it consistently.
  4. Be certain that your passion for customer service runs rampant throughout your company. Employees should see how good service relates to your profits and to their futures with the company.
  5. Be genuinely committed to providing more customer service excellence than anyone else in your industry. This commitment must be so powerful that every one of your customers can sense it.
  6. Share information with people on the front lines.Meet with your employees regularly to talk about improving service. Solicit ideas from employees-they are the ones who are dealing with customers most often.
  7. Act on the knowledge that what customers value most are attention, dependability, promptness and competence. They love being treated as individuals and being referred to by name.

 

The efficient market hypothesis suggests that future share prices cannot be predicted by studying past prices and as we have seen, there is extensive evidence to support this view and the right information in collaborating with your partners. Despite the evidence, investment strategies based on the study of past share prices, or on the analysis of published information such as annual accounts, are common, and the view held by many financial analysts seems to be therefore that capital markets are inefficient.

Technical analysis involves the use of charts (Chartism) and other methods to predict future shares prices and share price trends, clearly implying that a relationship exists between past and future prices. For technical analysis to lead to abnormal returns on a regular basis, capital markets cannot even be weak form efficient.

Fundamental analysis are public information to calculate a fundamental value for a share and then offer investment advice by comparing the fundamental value with the current market price. It is not possible to make abnomal gains from fundamental analysis if capital markets are semi-strong form efficient, since all publicly available information will already be reflected in share prices.

Bolster the growing consensus among academics, consultants, and other industry experts that simply spending more on emerging technologies isn’t enough to boost business outcomes. Instead, companies that both identify which core business capabilities they need to differentiate and make a commitment to transform these core business capabilities with the right digital technology will greatly outperform competitors who don’t.

For example, a new study by George Westerman, Didier Bonnet, and Andrew McAfee found that firms with a strong vision and mature processes for digital transformation were more profitable on average, had higher revenues, and achieved a bigger market valuation than competitors without a strong vision.  As with any emerging technology, however, there are significant challenges associated with cloud, mobile, social, and big data initiatives.  The survey suggests that the primary risks preventing their wider adoption are data security issues, lack of interoperability with existing IT systems, and lack of control.

However, executives from leading organizations—several of whom were interviewed for this report— are overcoming those hurdles to achieve top-line and customer-facing business benefits. Strategic options involve the options for strategy in terms of both the directions in which strategy might move and the methods by which strategy might be pursued.

For example, an organisation might have to choose between alternative diversification moves, for example entering into new products and markets. As it diversification moves, it has different methods available to it for example, developing a new product itself or acquiring an organisation already active in the area.



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Financial Goals

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In the new case of the industries you  should be proactive in helping achieving and creating your goals.

When you’re a start-up with few employees and few customers, it’s easy to stay on top of what customers want and what they’re getting. But as you add more customers and employees, you add links to the customer service chain. That creates the potential for growth and the potential for poor service along the way. That’s why creating a customer service policy and adhering to it is so important. Here are some steps you can take to ensure that your clients receive excellent service every step of the way.

  1. Put your customer service policy in writing. These principles should come from you, but every employee should know what the rules are and be ready to live up to them. This doesn’t have to be elaborate. Something as simple as “the customer is always right” can lay the necessary groundwork, although you may want to get more detailed by saying, for instance, “any employee is empowered to grant a 10 percent discount to any dissatisfied customer at any time.”
  2. Establish support systems that give employees clear instructions for gaining and maintaining service superiority. These systems will help you outservice any competitor by giving more to customers and anticipating problems before they arise.
  3. Develop a measurement of superb customer service. Don’t forget to reward employees who practice it consistently.
  4. Be certain that your passion for customer service runs rampant throughout your company. Employees should see how good service relates to your profits and to their futures with the company.
  5. Be genuinely committed to providing more customer service excellence than anyone else in your industry. This commitment must be so powerful that every one of your customers can sense it.
  6. Share information with people on the front lines.Meet with your employees regularly to talk about improving service. Solicit ideas from employees-they are the ones who are dealing with customers most often.
  7. Act on the knowledge that what customers value most are attention, dependability, promptness and competence. They love being treated as individuals and being referred to by name.

 

It has been about trust and it has been about getting there faster than anybody else,as we are driving innovation and bring ideas from other industries through our success.

 

Entrepreneurship is the pursuit of opportunity without regard to resources currently controlled.” 

 Howard Stevenson 

 

This is one of the first definitions of entrepreneurism.It perfectly captures the nature of entrepreneurship and highlights some key qualities that successful entrepreneursshare. Entrepreneurs are confident in their abilities and they are able to recognize opportunities where many others don’t see them.




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The Latest Business News  On Strategy Practise

Business man with checkboxes

Create differentiation and leadership digital engagement, alignment, innovation persistency connectivity, mobile and cloud lead into market efficiency. This initiatives are driving manufacturers to move at the speed of thought. Leverage this transformation is important.

 

However, market efficiency – championed in the efficient market hypothesis (EMH)”

 

Formulated by Eugene Fama in 1970, suggests that at any given time, prices fully reflect all available information on a particular stock and/or market. Fama was awarded the Nobel Memorial Prize in Economic Sciences jointly with Robert Shiller and Lars Peter Hansen in 2013. According to the EMH, no investor has an advantage in predicting a return on a stock price because no one has access to information not already available to everyone else.

 

The Effect of Efficiency: Non-Predictability

The nature of information does not have to be limited to financial news and research alone; indeed, information about political, economic and social events, combined with how investors perceive such information, whether true or rumored, will be reflected in the stock price.

According to the EMH, as prices respond only to information available in the market, and because all market participants are privy to the same information, no one will have the ability to out-profit anyone else.

In efficient markets, prices become not predictable but random, so no investment pattern can be discerned. A planned approach to investment, therefore, cannot be successful.

 

“This random walk of prices”

 

Commonly spoken about in the EMH school of thought, results in the failure of any investment strategy that aims to beat the market consistently. In fact, the EMH suggests that given the transaction costs involved in portfolio management, it would be more profitable for an investor to put his or her money into an index fund.

 

Anomalies: The Challenge to Efficiency

In the real world of investment, however, there are obvious arguments against the EMH. There are investors who have beaten the market – Warren Buffett, whose investment strategy focuses on undervalued stocks, made billions and set an example for numerous followers.

There are portfolio managers who have better track records than others, and there are investment houses with more renowned research analysis than others. So how can performance be random when people are clearly profiting from and beating the market?

Counter arguments to the EMH state that consistent patterns are present. For example, the January effect is a pattern that shows higher returns tend to be earned in the first month of the year; and the weekend effect is the tendency for stock returns on Monday to be lower than those of the immediately preceding Friday.


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Latest News & Developments in Business Strategy Practice

Drive Digital


How Marketers Can Connect Profit and Purpose

It takes time for a big idea to make its way into business practice. Six years ago, Harvard’s Michael Porter and FSG’s Mark Kramer made the bold statement that shared value —the idea that the purpose of a company is to achieve both shareholder profit and social purpose — 

 

To  reinvent capitalism.

 

They encouraged companies to go beyond CSR (corporate social responsibility) and integrate social impact into companies’ competitive strategy. And, Nathaniel Foote and Russ Eisenstat proposed 

 

“ A better way to manage in the 21st century.

 

They found “higher-ambition” leaders achieved superior performance by doing well and doing good. For the last six years, they have worked with a group of top marketing executives and business leaders in Silicon Valley and the Bay Area from companies large and small. Each year they assess the issues that are most top-of-mind. From digital platforms to customer experience to crisis management, these priorities have been a bellwether for what would soon dominate boardroom discussions and headline business publications.

This year the issue of profit and propose came to the fore, echoing the earlier manifestos. To understand the connections and applications, interviews with over 20 CMOs and CEOs, finding a remarkably similar pattern across a highly diverse set of companies. To find widespread agreement that having great products and services and being a “good corporate citizen” are table stakes in a world of empowered citizens and consumers.

Melissa Waters, CMO of Lyft, says,

Any customer these days is asking for transparency on what a company stands for and why they operate. But you can’t exist just to make the world a better place.

Purpose today goes well beyond corporate social responsibility. According to Alicia Tillman, CMO of SAP,

Purpose can’t be viewed as a department or initiative. It must be woven into a company’s operational fabric. Purpose is a lodestar guiding and inspiring everyone to create economic and societal value together.”

In a sense, purpose is following the path that digital has taken in the enterprise.


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