Development of Business Strategies Essay -- Business Development Strat

The paper below responds to the following three prompts: 1. â€Å"The six forces model of strategy helps firms develop externally coherent business strategies†. Discuss applying the model to real cases. 2. Explain strategic posture and how it helps firms make strategy in uncertain business environments. 3. Evaluate the role of mergers and acquisitions in corporate strategy. 1. â€Å"The six forces model of strategy helps firms develop externally coherent business strategies†. Discuss applying the model to real cases. The six forces model is an extension to Michael Porter's Five Forces Model. The six forces analyze different areas in an industry. The forces in this model are: a. Competition- Analysis that if there are a lot of competitors. If so, are there any dominant players in the market. b. New entrants- To analyze if it is easy for new entrants to enter the market and compete? c. End users/buyers- Is the price easily affected by the buyers? Can the company work with a specific potential buyer? or to analyze their strength of their position in their relationship with the buyers d. Suppliers- Study the number of suppliers if it is a monopoly and if not, how many suppliers are there in the market. e. Substitutes- To study how easily a product can be substituted and how easily these substitutes are available f. Complementary products- Effect of complementary products and services on the market. The six forces model is used to study the strategic position of a company in a concerned industry and in a given market place. It is also applied to calculate the market effectiveness of a company with regard to competition and profitability. Let us take FedEx as an example. FedEx is one of the largest global courier... ...gy. †¢ Adam Hartung(2014), Three Smart Lessons From Facebook's Purchase Of WhatsApp http://www.forbes.com/sites/adamhartung/2014/02/24/zuckerbergs-3-smart-leadership-lessons-from-facebook-buying-whatsapp/ †¢ Ibrahim AKGÃâ€"BEK, Mergers and Acquisitions as a Growth Strategy http://psrcentre.org/images/extraimages/412031.pdf †¢ PALO ALTO, CA and HOUSTON, TX (2001), Hewlett-Packard and Compaq agree to merge, creating $87 billion global technology leader http://www8.hp.com/us/en/hp-news/press-release.html?id=230610#.U00iUvmSy50 †¢ Wikipedia, Tata Group http://en.wikipedia.org/wiki/Tata_Group †¢ Sebastian Spaeth, Nina Geilinger, Corporate Strategy Mergers & Acquisitions http://www.smi.ethz.ch/education/courses/corporatestrategy/Slides_2012/CS_06_MA.pdf †¢ KENT RHODES, Merger and Acquisition Strategies http://gbr.pepperdine.edu/2010/08/merger-and-acquisition-strategies/