Strategy Non Market Environments

953 WordsNov 29, 20124 Pages
Strategic Management in Non-market Environments 05/11 – 06/11. Cheetah / Hyena video  Analogues to business world o Make kill, but can you hold when scavengers come o Eat fast if you’re a cheetah  Value Creation o Economic Activity  Value Capture o Power, Leverage Companies you create (value you create) must be cognizant of game to come (value capture) Boeing  Site distribution throughout US, most Congressional districts o Helps when applying / bidding for contracts o Decision making process in Congress  If only worried about “capturing an antelope” (market environment), wouldn’t design locations for supply chain this way  Recognizing hyenas (non-market environment effects) o How to ensure capture value o Spread out across…show more content…
 May have just been for the perception; create impression that care about fairness in way that doesn’t create large new taxes for parties  Core constituents feel that they “care about values they run on”  May have been to help “reelection problem”  Opposed to tax: consumers of luxury goods, manufacturers of luxury items, retailers of foreign luxury items  Supporters of Luxury Tax: foreign manufacturers of boats, people who don’t buy luxury items, domestic manufacturers of luxury cars, manufacturers of substitutes for luxury items, some NGOs (anti-fur, anti-diamong) o Not an accident that bill does not apply to GM (b/c GM was on committee working on bill)  When make predictions in the political arena, are going to ask: o Who are important interest groups, who will have power on the issue  Large number of voters  Wealth / contributions / participation of group  Do you have connections with key members of Congress?  Distribution of voters  Ability to get media attention (celebrities, experts)  Is the group organized? o Who has power, who has incentives?  Can go a long way to making predictions once have the details of the situation  What determines the incentives for action? o Magnitude of benefits will receive  As a group  As individuals (per capita)  Substitutes and Opportunity cost  How does
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