Business Strategy: Genting Berhad

Before we can talk about the Strategy Hudson Bay uses we must first answer the the question of what a Corporate and Business Strategy is and how The Bay inaugurates this into their company;

In terms of the anchoring bias, regularly revisit of the original decision based on the newly gathered data needs to be set up within the organization. Additionally, the decision maker should avoid the Confirmation Trap in which Bazerman and Moore (2009) argues that people tend to seek information that confirms their expectations and hypotheses. To recognize the bias, Mike Francis could

Two phenomena- hindsight bias and judgmental overconfidence- illustrate why we can’t rely solely on intuition and common sense.

With a company that has been around over a century the strategies it uses change an develop with the society. Since they had begun they have rapidly grown, within the first 30 years of their business

Analyze the business-level strategies for the corporation you chose to determine the business-level strategy you think is most important to the long-term success of the firm and whether or not you judge this to be a good choice.

Furthermore, understanding how to deal with these biases is the key to making a good decision. Also, it is important not to make judgmental heuristics which are shortcuts used to reach a decision faster (Moisand, 2000). Another key takeaway is to use evidence-based decision making when making an important decision. Managers should use this concept to ensure they are gathering the best available evidence before making their decision. The leaders of BP and Transamerica certainly did not use evidence-based decision making nor did they follow the evidence-based decision-making model. If the leaders of these two companies followed the evidence-based decision-making model, they would start with identifying the problem and end with making the decision (Kreitner & Kinicki, 2013).

7. Which one of the following generic types of competitive strategy is typically the best strategy for a company to employ?

Chapter 2 of the text book begins with an exercise designed to test the reader’s knowledge. The reader is to have a bounded range where a 98% confidence level is reached. I failed miserably in this exercise, which is probably why the chapter led with it. Bazerman writes that overconfidence is “the most robust finding in the psychology of judgment.” (p. 14) It is appears to be an innate characteristic for much of the population. Overconfidence has been studied by psychologists and three characteristics of overconfidence commonly appear: overprecision, overestimation, and overplacement. I am glad to know that I am a part of much of the population.

The Volkswagen Group follows a cost leadership and differentiation strategy. The Volkswagen Group achieves low cost leadership by sharing automotive parts amongst its products and as well as sharing vehicle platforms amongst the other 12 brands under the Volkswagen Group, such as Audi, Bentley, Porsche and Volkswagen Passenger Cars. The Group improves product differentiation by focusing on the product quality improvement, innovation and sustainability. This differentiation strategy helps ensure that the customers are satisfied with the products, and that the customers will be willing to pay a premium for the product.

Describe Tartan 's competitive strategy. On the basis of this competitive strategy, what recommendation would you make to task force?

In chapter 1, and the videos presented to us, we learned that there are bad decisions being made at all levels of management. We assume that as executives the answers should be straightforward and easy. The reality is such that decisions made by these individuals are flawed from the beginning due to nature of thinking applied to them.

It was important to consider all possible scenarios while considering a decision. In one of the cases we did not consider the possibility of other products coming in the rough area of our product. We predicted a stock out and raised prices. However, there was no stock out and we had left over inventory. Though the decision was not bad, however the fact that we did not consider all possible scenarios made the decision bad.

Describe factors that guide decision making and explain how overconfidence, belief perseverance, and framing can affect judgement.

Part of EnerMech’s strategy is to expand its global footprint into the western hemisphere, due to the location of the oil in gas in politically unstable countries for example Brazil and Colombia. Since 2010, oil production has flattened out entirely. In 2013, Brazil averaged only 2.7 million bpd of oil production, which is where it was three years ago. This is due to corruption and money laundering in the major Brazilian oil producing companies. http://oilprice.com/Energy/Energy-General/Problems-At-Petrobras-Mount-As-Brazils-Oil-Production-Stagnates.html Local content legislation is also obstructing production. With

• Product differentiation: BTH has successfully differentiated itself from the competitors by offering unique experiences for their guests in their innovative ideas & creative designs in their hospitality industry. Travellers will be able to experience prestige and excellent services in their business operations.