Question 1
Question 1.1
According to Alfred Chandler, strategy is the determination of the long run goals and the objective of an enterprise to adoption of course of action and allocation of valuable resource required to carry out the set goals.
Strategy gives direction to achieving a predetermined goal set for companies. It is the game plan that managers use to run the day to day activities of the companies. It mainly defines the long term plan that should be followed in order for businesses to sustain its profits in the competitive markets.
Thomas L. Wheelen and J. David Hunger further states that strategic management involves evaluation and monitoring of external opportunities and threats in line with the company strengths and weaknesses. Strategic management cannot be dealt alone without considering strategic planning, environmental scanning and industry analysis.
The Semco strategy is a different strategy than the normal strategy we know in that firstly it is not written down. It is known by the owners of the company and shared to the staff. Every staff member expectations are shared and it is up to the individuals on how to keep the company profitably by meeting the set down goals for Semco. The company operates for six months and shut down to review its strategy and assess performance from each staff member. The performances of the individuals will determine their future at Semco.
It is therefore clear that strategy exist at Semco although it is not written down but each staff member is well informed of expectation from him in order to remain employed at Semco and keep the company profits healthy in the competitive market. Question 1.2
Strategic making decision is a process which is determined by the direction the company intends to take in order to meet its objective. The systematic approach in making the decisions about which mode to use has