tailieunhanh - Ebook Modern competitive strategy (4th edition): Part 2

(BQ)Part 2 book "Modern competitive strategy" has contents: Vertical integration and outsourcing, partnering, global strategy, new business development, managing the multibusiness firm, corporate governance. | CHAPTER 7 Vertical Integration and Outsourcing Chapter Outline Introduction Hybrid Sourcing Arrangements The Employment Relationship Additional Issues Transaction Cost Theory The Property Rights Approach Differences among Types of Uncertainty Strategy and Control The Problem of Consistency Control over the Supplier’s Price Control over the Supplier’s Investment Decisions Industry Dynamics Summary Questions for Practice End Notes Control over Incentives Control over Information Strategy and Relative Capability The Strategic Sourcing Framework Explaining Vertical Integration Explaining Outsourcing Introduction The production and sale of every product requires the output of many activities. But in no case does a single firm perform them all. This is not a given but a choice firms make. For example, when Nike decides how to advertise a new running shoe, it may choose the services of an independent advertising company rather than the creative talent of Nike’s own staff. In turn, the advertising company Nike hires may 193 194 Part Four Strategic Boundaries outsource a variety of functions such as media purchasing, website design, direct marketing, and collateral print material. The point is that any activity that occurs inside the firm can be also performed by an outside supplier. The choice to vertically integrate (perform the activity in-house) or outsource (buy the activity’s output from a company outside the firm) is integral to strategy execution. It is guided by the firm’s target market position and related capability planning, just like decisions about organizational practices and policies. The key difference is that vertical integration decisions extend execution to the costs and benefits of external markets relative to those of the organization itself (see the sidebar on Coca-Cola and its bottlers). What makes vertical integration more or less attractive than outsourcing? Part of the answer has to do with the difference between the firm’s .

• Quản trị kinh doanh
• Modern competitive strategy
• Competitive strategy
• Global strategy
• New business development
• Managing the multibusiness firm
• Corporate governance
• Strategic planning
• Strategy execution
• Growth and innovation
• Competitive advantage
• Strategy over time