Strategic Management the Concept of Thesis

3) Whether or not I would encourage an entrepreneurial mindset would depend on the type of business I had. Many firms require constant innovation to excel, others do not. Internal innovation can drive business forward, but this does not need to come from the entire company. If the business is one that is well established the preference may be for incremental innovation, in which case the entire firm need not be engaged. However, if the firm requires radical innovation in order to flourish then in that case I would encourage an entrepreneurial mindset in order to engage the entire workforce in this vital activity.

4) The three versions of M-form structure are the cooperative form, the competitive form and the strategic business unit (SBU) form. In the cooperative form the divisions are integrated and work with one another; in the competitive form they can be in competition with one another for resources or even customers and in the SBU form they operate as completely independent companies -- cooperation or competition is incidental. These differences are important because they bring about different competitive advantages. For example, the cooperative form is seen in Outback Steakhouse, where the purchasing function is shared so that each company benefits from the firm's expertise, and the different restaurant groups do not compete in the same segment. The SBU form allows each unit to be its own cost center, which drives profits at each while overall they remain subject to head office control. The competitive form uses competitive, even within the company, as a form of competitive advantage, motivating managers to develop each unit's strengths independently, allowing managers complete flexibility to develop strengths specific to…