Q1. A.

Strategic formulation involves the development of strategies to achieve an organizational

objective.

Q1 B.

The six (6) main strategic formulation activities are:

1. Setting objectives;
Define specific measurable, relevant, and time bound (SMART) objectives that align with the
organizations missions and vision

2. Analyzing internal environment:

Evaluate the organizations internal strength and weaknesses. This includes assessing resources,
capacities organizational culture and structure.

3. Analyzing external environment:

Examine the external factors affecting the organization, including opportunities and threats
arising from the industry, market competition, economic conditions and regulating environment.

4. Identifying strategic objectives:

Generate a range of strategic objectives or options that the organization can pursue to achieve its
objectives. This may involves considering different business models, market entry strategies, or
competitive positioning.

5. Evaluating strategic alternatives:

Assess and compare the potential benefits, risks and feasibility of each strategic alternative. Use
tools such as cost-benefit analysis, risk assessment, and scenario planning to make informed
decisions.

6. Selective strategies:

Choose the suitable and viable strategies based on the evaluation of alternatives. Prioritize
strategies that align with the organizations objectives, capabilities and environmental conditions.
These activities are often part of a systematic strategic planning process and help organizations
develop a clear road map for achieving their long term goals

It is important to note that strategic formations is an iterative process and organizations may
revisit and adjust their strategies based changing internal and external factors
Q4. Ghanaians firms can employ various integration strategies to outperform competitors

1. Horizontal integrations
Acquiring or merging with competitors in the same industry can lead to increased market share
and reduce competition

2. Vertical integrations
Controlling aspect of the supply chain, either backward, can enhance efficiency and reduce cost

3. Market penetration
Focusing on existing products in existing markets but with intensified marketing efforts can help
capture a large market share

4. Product development
Investing research and development to create new and innovative products can attract customers
and set the firm apart

5. Diversification
Expanding into new product lines or entering different markets can mitigate risk and provide
new revenue streams

6. Digital transformation
Embracing technology and digital platforms can improve operational efficiency, customer
experience and overall competitiveness

7. Cost leadership
Streamlining operations and optimizing cost can allow the term to offer competitive pricing
attracting cost conscious consumers
Q6. Let’s consider the digital transformations strategy and identity and explain four (4) main
activities involved in its implementation

1. Operational efficiency
Streamlining internal processes, optimizing production methods and improving supply chain
management are crucial. This involves eliminating unnecessary costs and enhancing productivity
to achieve economies of scale.

2. Technology adoption
Embracing advanced technologies can automatically tasks, reduce manual errors and enhance
overall operational efficiency. This may include implementing advanced manufacturing systems,
adopting efficient software solutions and utilizing data analytic for informed decision making.

3. Supplier negotiations and cost management.

Negotiating favorable terms with suppliers, securing bulk discounts and actively managing
supplier relationships are vital. Effective cost management involves constant evaluation of input
costs and finding ways to minimize them without compromising quality

4. Continuous improvement and innovation implementing a culture of continuous

improvement ensures that the organization consistently seek ways to enhance processes
and reduce costs. This involves encouraging employees to contribute ideas, embracing
innovation in products or services and staying abreast of industry best practice
By focusing on these activities, a company aiming for cost leadership can create a lean and
efficient or services at competitive prices while maintaining acceptable profit margins. Its
essential to regularly reassess and adapt these activities to changes in the business environment
and industry dynamics.