Key Theories of How Strategy is Developed and Implemented and the Relationship between Strategy Innovation and Change

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The researcher states that the development and successful implementation of effective business strategies are often regarded to be one of the most vital functions of organizational management as it supports them to accomplish the determined goals and obtained the desired outcomes. As stated by Johnson, different strategic levels can be witnessed as existing within a particular organization. For instance, corporate level, operational level, and business level can be identified as three broad categories which are often used in theoretical contexts to segregate strategic levels. The concept of corporate-level strategy has been viewed to be primarily concerned with determining the overall scope of a firm and evaluating its business as well as operational performances. Similarly, the business-level strategy signifies the competencies possessed by an organization and thus plays a vital role in assisting the business to defeat its major rivalries in its targeted business markets. Correspondingly, the notion of operational-level strategy represents the efficiency of an organization to use its valuable operational resources quite effectively with the purpose of attaining the desired business targets in the most convenient way. As affirmed by Johnson, the conception of corporate strategy is typically described as a procedure that supports an organization’s growth in effectively combining the processes performed within the different functional areas of business through which the attainment of the expected business outcomes is likely to become easier. According to Capon, organizations can obtain numerous benefits by adopting as well as implementing effectual business strategies. The common benefits obtained through strategic effectiveness include sustainable growth opportunities through facilitated stakeholder relationship, better community involvement through enhanced communication, an augmented contribution from organizational members to upraise operational performances and consequently, the successful accomplishment of superior competitive positioning.

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