Michael Porter defines strategy as “the creation of a unique and valuable position, involving a different set of activities.” And, according to him, developing competitive strategy involves “coming up with the formula of how a business is going to compete, what its goals should be and what will be needed to carry out these goals.”
This defintion is broad and it encompasses a wealth of questions to be answered with the help of thorough analysis and creative exercises, in order to come up with the right mix of product features and business activities which will create a compelling value proposition, competitive advantage and attractive profits.
So what are the questions and types of information and analysis that encompass strategy work? Here is my structure and framework for how a company should think about building its strategy, for Business, Product and Planning.
Business Strategy includes looking at:
The market: the space to compete in
The value chain: partners and suppliers and
Competitors: alternatives to your products
Product Strategy is about:
Product: what to build
Platform: enabling others
Network Effects: leveraging community
Planning includes:
Growth: resources and timelines
Scenario: anticipate material events
Corporate: portfolio management
Below is the detailed list of types of questions that each strategy discipline answers and the types of information and analysis it includes. You can also download it from The Strategy Deck Resources page.
If you want my help to develop actionable business or product strategy and run effective yearly or quarterly planning, contact me.