What is there so much disagreement about what Strategic Management is?
Why is there so much disagreement about what strategy is?
Strategy is one of those business concepts that has developed hugely over the years, generally progressing in importance in a constant fashion. Therefore, the huge importance that rests upon this term cannot be defined by one single definition, but by the combination of several different definitions. Over the years, the perceived meaning of the words ‘strategy’ and ‘important’ have come closer to one another. The power of new ideas has snowballed, moving the ranking of ‘strategy’ and all its components up the ranking in the business world (Segal-Horn, 1998).
In the 1980s and few at least the next 15 years the first ideas of strategic management were built on rapidly. One thing that caused differences between authors at the time was the fact that upon the emergence of a new idea, this ide was then taken to be the new ‘best one’ - the idea and teaching that would revolutionize the area of strategic management. Previous teachings were virtually forgotten about and everyone rowed in supporting the new idea of the time.
Over time we can see how this area has developed for the better. No longer are past teachings thrown to the way side, but the ‘best bits’ are taken out of each theory and patched together, a testimonial of sorts to strategic management. Limitations of theories are recognized and ideas are always qualified.
Disagreement in the area of strategic management has and always will be present to a certain extent, but it must not be mistaken for a negative contribution, as it is due to this level of debate and disagreement that such a level of intriguing academic work is available today.
Section one will discuss the differences between the main three approaches – economic, sociological and psychological. Part two will detail further differences by analyzing different views of the industry – internal and external. Part three will take other viewpoints into account and part will sum up the
Strategy is one of those business concepts that has developed hugely over the years, generally progressing in importance in a constant fashion. Therefore, the huge importance that rests upon this term cannot be defined by one single definition, but by the combination of several different definitions. Over the years, the perceived meaning of the words ‘strategy’ and ‘important’ have come closer to one another. The power of new ideas has snowballed, moving the ranking of ‘strategy’ and all its components up the ranking in the business world (Segal-Horn, 1998).
In the 1980s and few at least the next 15 years the first ideas of strategic management were built on rapidly. One thing that caused differences between authors at the time was the fact that upon the emergence of a new idea, this ide was then taken to be the new ‘best one’ - the idea and teaching that would revolutionize the area of strategic management. Previous teachings were virtually forgotten about and everyone rowed in supporting the new idea of the time.
Over time we can see how this area has developed for the better. No longer are past teachings thrown to the way side, but the ‘best bits’ are taken out of each theory and patched together, a testimonial of sorts to strategic management. Limitations of theories are recognized and ideas are always qualified.
Disagreement in the area of strategic management has and always will be present to a certain extent, but it must not be mistaken for a negative contribution, as it is due to this level of debate and disagreement that such a level of intriguing academic work is available today.
Section one will discuss the differences between the main three approaches – economic, sociological and psychological. Part two will detail further differences by analyzing different views of the industry – internal and external. Part three will take other viewpoints into account and part will sum up the