chapter  1
28 Pages

Introduction to Strategic Management

The twenty-first-century realities of globalization, rapid changes in technology, increasing competition, a changing workforce, changing market and economic conditions, and developing resource shortages all increase the complexity of modern management. Whereas strategic planning was a competitive advantage in the past decade, it is a necessity of global thinking in this century. Planning strategically is certainly a new requirement in the global business world. In order to survive the new business challenge, global thinking and practice must permeate all corporate activities. Successful companies are, of course, the first to consider the global marketplace as their arena for competition. In addition, recent studies have concluded that organizations engaged in strategic management have outperformed those who do not.1 According to John Peter, strategic management has become a vital part of most, if not all, organizations. “Almost all organizations of any reasonable size have some kind of strategic planning.”2