Management and Transformation
This chapter provides a conventional understanding of business and strategy, by two of its leading management thinkers: Peter Drucker and Harvard's Michael Porter. It explores the nature of strategy based on different strategic orientations on nature embedded in the Four Worlds. The chapter reviews the conventional understanding of business and strategy in the literature. Profit and profitability, for Drucker are crucial for every society even more than for the individual business. Indeed, in focusing on the individual customer, Drucker is unconsciously adopting a western thereby individualistic orientation. Because its purpose is to create a customer, the business enterprise has two and only these two basic functions: marketing and innovation. Non-technological innovations are supposedly as important, for Drucker, as technological ones. Actually, Porter has focused most recently on society as a whole, which represents his most seminal work, adopting an approach which is somewhat more ecosystemic than Drucker's. These approaches have more resonance to transform competitive strategy into strategic renewal.