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Strategic Management

Strategy as Revolution (Changing the rules of the game). Strategic Management. Reconfigure the Value Chain Radically Improving the Value Equation by employing a completely new/different value chain (e.g., Amazon, IKEA) Compressing the Supply Chain (e.g., Wal-Mart, Dell) Re-scale the Industry

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Strategic Management

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  1. Strategy as Revolution (Changing the rules of the game) Strategic Management

  2. Reconfigure the Value Chain Radically Improving the Value Equation by employing a completely new/different value chain (e.g., Amazon, IKEA) Compressing the Supply Chain (e.g., Wal-Mart, Dell) Re-scale the Industry Increasing scale, from local to national or national to global (e.g., IKEA, Service Corporation [funerals] International) Downscaling to serve narrow or local customer segments (e.g., microbreweries, local bakeries, bed-breakfast inns). Routes to Industry “Revolution”

  3. Product/Service Bundling Offer broader mix of related products along the value chain beyond “core” product (e.g., software office suites, GM car loans/leasing) Re-conceive a Product or Service Separating Function and Form; apply a technology or skill to a completely different setting (e.g., credit card technology used to create security cards, substitute for metal keys) Achieving Joy of Use (e.g., Trader Joe’s, gourmet deli warehouse; Mayan Restaurant) Redefine Market Space Mass Customization/Striving for Individuality (e.g., Levi’s personal pair system) Pushing the Bounds of Universality (e.g., Fuji single use camera). Routes to Industry “Revolution”

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