Strategic Choice and Evaluation

1426 Words Oct 1st, 2012 6 Pages
Strategic Choice and Evaluation
L'Tanya M. Williams
October 3, 2012
Pitchiah Balasubramanian

Strategic Choice and Evaluation
The paper will present potential alternatives Vanguard Health Systems (VHS) must consider to realize growth. It will also seek to identify the best value discipline, generic strategy, and grand strategy for the organization. Upon the investigation of the various alternatives, a recommendation of a strategy or a combination of strategies will be presented. A growing trend among many businesses is through mergers and acquisitions. No longer are the days when one business can to dominate totally an entire industry. The health care system is not exempt. External environment factors play a significant role on how
…show more content…
They are not the followers, emulators, or imitators. This approach is the most competitive among the all the value discipline strategies and with it comes the advantages of knowing that it is one of the leading attributes needed in maintaining and gaining competitive advantages and future growth.
Generic Strategy The generic strategy approach may be applied to organizations of all sizes and is a one size fits all approach. It can be divided into three types of approaches may be applied as alternatives for a given organization or industry as an improvement for future growth. The cost leadership strategy seeks to improve profit margins by bringing down the costs of producing while enabling the organization to still charge market prices. They also focus on increasing the market shares through lower pricing, enabling the organization to continue to reach profits because of reduced costs. As with any organization the goal is to minimize cost directly to the organization providing the delivery of products or services. According to Barney (2007) low cost leadership strategy takes pride in initiating its costs advantage abilities to charge lower prices while reaping the rewards of higher profits. Differentiation approach refers to the organizations unique designing creations. These approaches appeal to the customers who prefer upscale and exquisite specialty products or services. These include
Open Document