Strategic Management Essay Example | Topics and Well Written Essays - 2000 words - 10

Strategic Management - Essay Example New entrants in the market, suppliers outsourcing, and operational competitiveness through adopting new technologies like e-supply chain & efficient inventory management resulted into decrease in market share for JZ Benny. Due to these changes, JZ appointed new CEO from rival company with a view to follow and adopt those policies, which competitors are adopting to succeed in the market. New CEO adopted the policy of reduction of management and other staff & even curtailment in employee’s facilities has not resulted into revival of the company. These steps rather resulted apprehensions about job security among employees’. Though CEO had reorganized the JZ and adopted flatter structure and also invested heavily in RFID (Radio Frequency identification), altered outsourcing agencies and; locations but failed to bailout JZ Benny. This situation created an opportunity for market leader Mr. McQueen for possible acquisition of JZ Benny but competition commission laws prohibited it. In the mean time JZ Benny appointed a new CEO John Hammond to revive the JZ Benny. He noticed that negligible cash reserves; more overdraft and low share prices are the major constraints for the revival of the organization. Strategy development is about ‘fit’; that is identifying opportunities in the environment and building strategy by matching resources capabilities to those opportunities. Other argues that the resources and competences of organizations are what are most important because they explain differences between organizations, potential uniqueness and therefore superior performance. They take a stretch view arguing that strategies should be built on the unique competences and resources of organizations, by seeking out market in which such competences have special value or by trying to create new markets on the basis of such competences. There are other considerations too. Organizations have different stakeholders