Leah Jean L.

Gaba STRAMA-18

ASSIGNMENT 1: BUSINESS POLICY & STRATEGIC

MANAGEMENT

1. What is the relevance of resource-based view of the firm to strategic management in a

global environment?

Resource-based view tend to focus on the internal resources which is helpful in

gaining competitive advantage in the market. It will be relevant to the firm strategic
managements in a global environment since, when the firm internal resources are
strengthen and well-developed it will competitive advantage over its competitors not
just locally but also globally.

2. How can value-chain analysis help identify a company’s strengths and weaknesses?

According Lynch (2021) value chain analysis VCA) is a series of steps, such as product
design, purchasing and distribution, to be used for analyzing how business organizations
identify their dominant valuable factors and activities for related product or services. With
that, it can be helpful in identifying company’s strengths and weaknesses by thorough
observation of how this value are adding to the company’s strength or how this non
-valuable factor are adding to the company’s weaknesses which perhaps can be
eliminated or lessen.

3. In what ways can a corporation’s structure and culture be internal strengths or
weaknesses?

A corporations structure and culture can be an internal strengths if it is align in the

company’s strategies or is helpful in achieving it. Also, if this structure and culture
are on the positive side for both the company and the people working for the
company. Meanwhile, it will be a weakness if it is in contradiction with its present or
current strategy. It may create and rise a lot of conflict and questionable decisions
and judgements.

4. How might a firm’s management decide whether it should continue to invest in current
known technology or in new, but untested technology?  What factors might encourage or
discourage a shift?

Technology today is changing very fast, today it is known yet sooner it may become
outdated already so investing new technology is really a need but of course, when it
comes to that check it thoroughly first if this technology would really thrive to
continue in the future and will not just vanish into thin air or failed. Factors would be
its capacity to provide improvement and development because if there’s not any why
bother changing and of course the resources and its ability to continue providing the
technology with the available renewable resources.

5. What are the pros and cons of management’s using the experience curve to determine
strategy?

Using the experience curve managements can use it to determine strategy that will
be more helpful with lesser cost. Since when it comes to experience curve, for
example employees became more productive and faster as experience build up,
hence also providing lesser cost with more production when it comes to products.
Then company can strategize or use that in strategizing a new way to be more
efficient and effective with lesser expenses. For the cons, somehow, the company
might be able to create a strategy that will not be beneficial for other, for example to
the employees. They might use the advance technology for better and faster
production leaving out people who use to work for them before.