1. Why is the concept of competitive advantage central to the study of strategic management?
2. What are some of the ways in which a firm can attain a successful turnaround strategy?
1. Selective product and market pruning: While this strategy may also tie into the assets and cost surgery, here companies will look to see what product is working for them and which are not. After making decision to cut non-returning products, focus may shift to which products are working and location. Companies should put more effort into areas where they will gain most return.
2. Piecemeal productivity improvement: In any turnaround attempt by any company, it will take time and effort to make a change. Different strategies will yield small improvements and will probably have little effect. But, with consistent changes, those small improvements will start to add up. In any attempt, leaders of the company must sit and look at the overall picture.