What Makes A Sound Strategy? Essays

1004 Words Dec 14th, 2016 5 Pages
A sound strategy is a significant factor that determine a company’s success. However, it is not the only one. Managerial leadership and luck are also other substantial factors. Good luck is a product of a well-formulated strategy. Therefore, a sound strategy has a great potential to yield great results even though company’s performance may be average. Contrariwise, if the strategy is not appropriate to the firm, even good leadership can barely keep it on its feet Strategy is important for companies that have a wide range of choices concerning local and international operations (Tilles, 1963). Decisions concerning corporate strategy cover three dimensions: product range, vertical scope (industry value chain ), and the geographical scope (Grant & Jordan, 2015). According to Tilles (1963), there are six factors to evaluate a strategy which will be reviewed in this article.
If we suppose that there is a company that produce food products in Saudi Arabia is now planning to expand its operations to nearby countries (Gulf Cooperation Countries). To begin with, the current strategy will have to be evaluated to assess its viability before any changes or modifications are suggested. First, is there internal consistency within the organization? Does each policy fit into a one big picture. Does it relate to other policies within the company and the goals of the organizations as a whole. This criterion is especially important because it involves the strategic choices that will have to be…

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