Business Strategy report Assignment Example | Topics and Well Written Essays - 2500 words

Business Strategy report - Assignment Example ch concerns ability of the firm to set goals, according to which proper action plans are set in order to meet those goals and produce desired results. Some of the features of strategic management can be described as follows (DeWit and Meyer, 2004). Strategic thinking- The aspect of strategic thinking involves generation of unique ideas and insights that help to increase competitive advantages of business as well as to achieve desired goals more efficiently. The strategic thinking process requires managers to consider past performance of the business and realize ways in which change or implementation of a new strategy might affect the organization and its various interest groups. Strategic thinking is mostly done when a firm considers applying a change in operations or while incorporating new business ventures into a formal organizational structure. It is mainly a mental process and requires examining the firm from the view point of its capabilities. Managers and authorities brainstorm to come up with new and innovative methods for fulfilling organizational goals and developing new horizons of business opportunity. Strategic planning- The next step after strategic thinking is the process of strategic planning. In strategic thinking, the firm decides upon actions that are needed to be taken. In the strategic planning process, the firm formulates effective solutions so that proposed ideas and objectives can be achieved. Strategic planning involves analyzing the firm considering the following aspects (Johnson, Scholes and Whittington, 2005): Primarily strategic planning involves evaluating the firm from the view point of external environment. This involves conducting PESTEL (Political, Environmental, Social, Technological, Economical and Legal) analysis. The external environmental factors that can affect functioning of an organization are taken into perspective and ways in which external factors are likely to respond when a firm incorporates changes or new business