What is the challenge of strategic management?

Achieving the strategicalal competitiveness and earning above average returns is star of the strategic forethought scraps. It is actually difficult to be achieved even if the sure is very big and it is even harder for those companies that argon in undersize scale. ultimately the profits are usually hard to begin or gain. The rigours of change and also competition catch are another(prenominal) challenge. For instance, in 2000, yet 10 of Australias largest 100 enterprises had been in crinkle at the beginning of the century. And according to Business appraise Weeklys yearbook list of the Top 1000 companies, more(prenominal) than 30% of the companies drop mangle in severally decades. This shows that more and more company exit be drop out for the years to come and it provides a good indication of attrition. Not only that, it also shows that at that place are too many rivalry for a certain firm to compete with in a certain merchandise and it is a very hard cha llenge for the firm to pass their strategic management. Profit is one of the aim or culture for most of the firm or company. However, in strategic management, smashed and consistence profit is not the main antecedency or concern. A strong and well-thought-out strategy was the top concern. This was followed by maximising consumer mirth and loyalty, business leadership and product or operate quality. And it is very hard to achieve actually because each consumer is varied from one another in terms of the satisfaction towards a certain product or service quality. So, this could be one of the challenges of strategic management.

Some company or firm d! o creates their own problems by formulating the wrong strategy or implementing a strategy poorly. This will cause the company to make a loss rather than a profit. Sometimes do happen... salutary to append something here, Strategic Management is looking forward into 5 - 10 years, and in this process managers have to be lucid in their decisions by taking into considerations the implicit costs (opportunity cost) & group A; stated costs (accounting costs) when doing the cost benefit analysis. If you want to confirm a full essay, order it on our website: OrderCustomPaper.com

If you want to get a full essay, visit our page: write my paper