Written Assignment 2

University of the People

BUS 5117-01 – AY2024-T3

Strategic Decision Making and Management

Instructor: Asha Alexander

Febreaury 14th, 2024

The three fundamental concepts for a company to compete in the global market are as

follows:

1. The company's strategic management process should prioritize the development of its

mission and vision.

2. Its mission and vision statements should reflect the company's plans.

3. The vision statement should be concise and straightforward.

These ideas are crucial because:

1. Incorporating the mission and vision statement into strategic management is vital to

strategy formulation. It guides the company towards its desired strategic position. This is

particularly important in the international market, which is constantly changing and

unpredictable, leading to challenging situations.

2. Including future and present details in the mission and vision statement provides direction

for the company. The mission statement defines the scope of the company's operations,

enabling it to excel in the global market. By including future objectives in the mission and

vision statement, the company demonstrates its commitment to long-term competition and

sustainability in the international market.

3. Vision is essential for a company competing globally, as it is a driving force to overcome

inevitable challenges. Additionally, the vision statement reveals new elements and

relationships within the business environment.

Internal factors of a company encompass all the elements that can be controlled or regulated

by the company. These include the company's resources, culture, and workforce, which can

be managed by formulating guidelines and policies.

On the other hand, external factors include components beyond the company's control, such

as government policies and market competition. However, the company can adopt a flexible

approach to adapt to the changing external environment.

Considering internal and external factors is crucial when deciding to enter the international

market. The internal factors of a company reflect its identity, while the external factors impact

its ability to conduct business.

Any alterations in the internal environment of a company, such as changes in culture,

resources, and workforce, can impact the company's identity. On the other hand, changes in

the external environment can influence the company's capacity to market its products, meet

consumer demand, and generate appropriate revenue.

References

Kaplan, R. S. (2014, August 1). The Office of Strategy Management. Harvard Business

Review. https://hbr.org/2005/10/the-office-of-strategy-management

Kennedy, R. (2020). Strategic management. Virginia Tech

Publishing.https://vtechworks.lib.vt.edu/handle/10919/99282

Kenton, W. (n.d.). What is strategic management? Investopedia.

https://www.investopedia.com/terms/s/strategic-management.asp