Corporate politics: Strategy and structure
Summary :
Table of Contents
- Abstract
- Introduction
- Corporate assessment
- The shared cost structure under the experience curve model
- Keichel's experiment regarding the cost structure
- Answering the question 'what purpose shared cost and experience curve models serve?'
- The Asset Segmentation model
- Implication of specialization
- The control panel and the maturity level of the portfolio
- Value chain model and globalization
- Conclusion
- References
Abstract
Organizational management theories are models based on the strategic core elements that define corporate structure. These strategic essentials are aimed towards corporate planning and decisional management processes. By essence, models follow the economic principle of ceteris paribus - "all other variables in the logical equation are assumed constant and fixed" - Wolfgram. Consequently, the need for organizations to reassess their structure and set new strategies in compliance of the market's regulations mechanisms is an understatement. In fact, growing evidence supports the argument that corporate models are archaic and need to be in compliance with the current environment. We will illustrate how corporation asset and liability management can swerve the orientation of a business into a misleading direction. Companies should focus instead in specialization and diversification of their operational and strategic avenues. These avenues feed from a corporate political system enabling businesses to be proactive and strategically functional to track, audit, and integrate many economic, financial, and operational variables
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