02 REVIEW 2

STRATEGIC MANAGEMENT
GROUP 6

Cruz, van Kenneth

Daganta, Al Fharid
Elospa, Riomar

I. Explain the concept and characteristics of a strategic decision.

- A strategic decision is a high-level option taken by the upper echelons
of an organization to set its course and accomplish long-term goals. It
usually entails deciding on the organization's general strategy for
growth and competition, as well as the allocation of resources and
goal setting. Characteristics of strategic decisions include their
impact on the overall direction of the organization, their long-term
consequences, and the need for careful analysis of both internal and
external factors. These decisions are typically made at the highest
levels of management and involve a comprehensive evaluation of
resources, risks, and opportunities. Strategic decisions often require a
forward-looking perspective, considering the evolving business
landscape and potential changes in market dynamics. They are
essential for shaping the organization's future and influencing its
competitive position. Effective strategic decisions necessitate a
balance between proactive planning and flexibility to adapt to
dynamic conditions. The outcome of strategic decisions significantly
influences the organization's success, making them critical for
sustained growth and competitiveness. Communication,
collaboration, and alignment with organizational stakeholders are
crucial elements in the successful implementation of strategic
decisions. It involves assessing various alternatives and selecting the
most suitable course of action to align with the organization's
mission, vision, and goals.