Fundamentals of Management, 8th ed



Download 7,34 Mb.
Pdf ko'rish
bet225/1164
Sana01.01.2022
Hajmi7,34 Mb.
#280617
1   ...   221   222   223   224   225   226   227   228   ...   1164
Bog'liq
management english

GE Business Screen

A method of

evaluating

businesses along

two dimensions:

(1) industry

attractiveness and

(2) competitive

position; in general,

the more attractive

the industry and the

more competitive the

position, the more an

organization should

invest in a business

82

Part 2: Planning

Copyright 2016 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).

Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.



smaller the capital requirements, and the less the competitive intensity, the more

attractive an industry will be. Other determinants of an organization’s competitive

position in an industry (besides market share) include technological know-how, prod-

uct quality, service network, price competitiveness, and operating costs. In general,

businesses with large market share, technological know-how, high product quality, a

quality service network, competitive prices, and low operating costs are in a favorable

competitive position.

Think of the GE Business Screen as a way of applying SWOT analysis to the imple-

mentation and management of a diversification strategy. The determinants of industry

attractiveness are similar to the environmental opportunities and threats in SWOT anal-

ysis, and the determinants of competitive position are similar to organizational strengths

and weaknesses. By conducting this type of SWOT analysis across several businesses, a

diversified organization can decide how to invest its resources to maximize corporate

performance. In general, organizations should invest in winners and question marks

(where industry attractiveness and competitive position are both favorable), should

maintain the market position of average businesses and profit producers (where industry

attractiveness and competitive position are average), and should sell losers. For example,

Unilever recently assessed its business portfolio using a similar framework and, as a

result, decided to sell off several specialty chemical units that were not contributing to

the firm’s profitability as much as other businesses. The firm then used the revenues

from these divestitures and bought more related businesses such as Ben & Jerry’s Home-

made and Slim-Fast.

31

During the recent economic recession, many diversified busi-



nesses took an especially aggressive approach to selling or closing underperforming

businesses. For instance, Japan’s Pioneer electronics business sold its television business,

Home Depot shut down its Expo home-design stores, and Textron closed a business unit

that financed real estate deals.

32

TACTICAL PLANNING



As we noted earlier, tactical plans are developed to implement specific parts of a strategic

plan. You have probably heard the saying about winning the battle but losing the war.



Tactical plans

are to battles what strategy is to a war: an organized sequence of steps

designed to execute strategic plans. Strategy focuses on resources, environment, and mis-

sion, whereas tactics focus primarily on people and action.

33


Download 7,34 Mb.

Do'stlaringiz bilan baham:
1   ...   221   222   223   224   225   226   227   228   ...   1164




Ma'lumotlar bazasi mualliflik huquqi bilan himoyalangan ©hozir.org 2024
ma'muriyatiga murojaat qiling

kiriting | ro'yxatdan o'tish
    Bosh sahifa
юртда тантана
Боғда битган
Бугун юртда
Эшитганлар жилманглар
Эшитмадим деманглар
битган бодомлар
Yangiariq tumani
qitish marakazi
Raqamli texnologiyalar
ilishida muhokamadan
tasdiqqa tavsiya
tavsiya etilgan
iqtisodiyot kafedrasi
steiermarkischen landesregierung
asarlaringizni yuboring
o'zingizning asarlaringizni
Iltimos faqat
faqat o'zingizning
steierm rkischen
landesregierung fachabteilung
rkischen landesregierung
hamshira loyihasi
loyihasi mavsum
faolyatining oqibatlari
asosiy adabiyotlar
fakulteti ahborot
ahborot havfsizligi
havfsizligi kafedrasi
fanidan bo’yicha
fakulteti iqtisodiyot
boshqaruv fakulteti
chiqarishda boshqaruv
ishlab chiqarishda
iqtisodiyot fakultet
multiservis tarmoqlari
fanidan asosiy
Uzbek fanidan
mavzulari potok
asosidagi multiservis
'aliyyil a'ziym
billahil 'aliyyil
illaa billahil
quvvata illaa
falah' deganida
Kompyuter savodxonligi
bo’yicha mustaqil
'alal falah'
Hayya 'alal
'alas soloh
Hayya 'alas
mavsum boyicha


yuklab olish