Factors affecting strategic choice pdf

Scholars have prescribed formal strategic management modes, but the small enterprises ses continue to not only fail but also depict informal strategic management modes. Several factors have been found to affect the choice of strategic options undertaken by non governmental organizations especially as regards attracting and retaining financial support from the donors. Strategic management notes on strategic choice, meaning and factors affecting strategic choice and process of strategic choice for all. Strategic evaluation and control is the process of determining the effectiveness of a given strategy in achieving the organizational objectives and taking corrective actions whenever required.

One of the key elements of a product, which enters in to a new market, is its price. The study targeted smes along kirinyaga road nairobi due to their high preference in dealing with motor vehicle spare parts. The theoretical part of the thesis consists of information about tourism and tourism accommodation, strategic management in the tourism industry and strategic analysis. The international marketing environmental factors that affect global companies in their international marketing decisions published on. Although many of these factors cannot be directly controlled by marketers, understanding of their impact is essential as marketing mix. Strategic choice, process of strategic choice, factors affecting strategic choice, contigency strategy, pyramid strategy, project management. Acta universitatis agriculturae et silviculturae mendelianae brunensis, 632. Investment decision and capital budgeting are not considered different acts in business world. The general objective of this study was to identify factors that influence effective strategic planning process in organizations.

The fastchanging technological environment influences the strategic decision making of the firm. Engagement only 23% of companies use a formal strategic planning process to make important strategic decisions. Pdf every firm that involves in business activity has its own strategy. Factors affecting the pricing decisions economics discussion. Many factors potentially affect the process by which strategic plans are turned into organizational action. Influence of the external environment on strategic decision. Both matrices are used to analyze companys product or business unit portfolio and facilitate the investment decisions.

Social culture there are many research shows that the people of europe and the americas are with more personality, they ad. Control can be exercised through formulation of contingency strategies and a crisis management team. Factors influencing strategic decisionmaking processes. Many factors enter into the forming of a companys strategy.

An environmental analysis is the fourth dimension of the external analysis. However, few studies have been done to examine whether the. Researchers have argued that if organizational theory is to be relevant to practitioners, emphasis should be placed on organizational effectiveness and its influencing factors 3640. Factors affecting successful strategy implementation in the. Factors influencing strategic decisionmaking processes hrmars.

However, property size was the most important factor and was associated with the importance of income derived from the forest. In this investigation the choice of strategy in searching among a row of independent items is considered in relation to the subjects expectations regarding the locus of the target, and the risk of forgetting during the search of which items have been examined. The six steps in the planning process are situational analysis, alternative goals and plans, goal and plan evaluation, goal and plan selection, implementation, and monitor and control. These selection factors determine the criteria on the basis of which the evaluation will take place. Despite the importance of a good strategic plan and the kenyan government having put in policies and guidelines on strategic. Factors affecting strategic choices in airlines in kenya. Airlines in the world continue to make strategic choices in order to improve on their product offer, enhance better service delivery, reduce on overall costs. The external environment of a business includes a variety of factors such as competitors, suppliers and regulations that influence major strategic decisions. A swot analysis is conducted to examine the strengths and weaknesses of the firm and opportunities that can be exploited are also determined. Sociocultural distance country risk and demand uncertainty market size and growth. Factors that influence strategic choices adopted by.

Ge mckinsey matrix smi strategic management insight. Again, the studies concentrated on the influence of external factors on firm strategic planning but did not tie the external factors to the informal modes of strategic management. Strategic choice is central to strategy making an effective strategic choice process positions an organization for making sustainable strategic decisions. Pdf analysis of factors affecting the choice of route of. Factors affecting the architecture of the brand strategy 3. Pdf critical internal and external factors that affect firms strategic. Factors shaping the choice of strategy marketing strategy. Factors affecting successful strategy implementation in the water sector in kenya 1rose murugi mbaka, 2dr. Scanning and assessing the external environment is a vital part of strategic decisionmaking in. Hence, this concludes the definition of strategic choice along with its overview. A companys strategy has to be tailored to the nature and mix of competitive factors in play. Airlines in the world continue to make strategic choices in order to improve on their product offer, enhance better service delivery, reduce on overall costs and cope with industry competition and challenges. Also in canada, imax got grants on the ontario technological fund.

Unlike strategy formulation, strategy implementation is more of a craft, rather than a science. Introductionorganizations continually face the challengeof exercising choice among alternatives. Many stakes would be considered considering both internal and external situations. In our experience, there are 5 critical factors that will ensure your strategic plans are successfully implemented. The effect of strategic choices and management control. Several factors have been found to affect the choice of strategic options undertaken by non governmental organizations especially as regards attracting. Ppt factors affecting strategy choice abdullah almourai. Analysis of factors influencing the strategic choice of. Top 10 factors influencing choice of business organization. The firm level factors include resources, structure, organization culture, chief executive officer attributes and board characteristics. The choice of a method for strategic management implementation will depend upon situational factors such as size of the institution, complexity of programs, institutional culture, and the.

The purpose of this study was to examine the factors affecting strategy implementation in kenya commercial bank. Key factors affecting strategy minded decision makers in. Strategic planning and thinking involves making choices and decisions about the longterm future of an organization pearce, 2009. The effect of strategic choices and management control systems on organizational performance 336 r. Factors affecting successful strategy implementation in. The dynamics, or pattern of movement over time, are those of movement to states of stable equilibrium. Studies indicate that 75% of small enterprises in the world fail during their first 5 years of operation. While the empirical studies have delineated factors that affect small enterprise. Statement of problem regardless of great effort put forth by families, government agencies and nongovernmental organizations, many young people encounter difficulties in the transition from the world of.

What are the factors that shape a companys strategy answers. Nature, techniques, approaches, ways and factors strategic analysis and choice nature of strategy analysis and choice strategy analysis and choice focuses on generating and evaluating alternative strategies, as well as on selecting strategies to pursue. Content introduction strategic choice a definition process of strategic choice subjective factors in strategic choice contingency strategies strategic plan 3. Although many things can affect the choice of an appropriate structure for an organization, the following five factors are the most common. This theory is built on a notion of interaction in which organizations adapt to their environment in a selfregulating, negativefeedback cybernetic manner so as to achieve their goals. Factors influencing choice of strategic management modes of small. Basically these are factors that are within the organization and in most cases the organization has control over them. Ge mckinsey matrix is a very similar portfolio evaluation framework to bcg matrix. The study established that the key factors that affect strategy implementation were supportive goal achievement, integrity, taking initiative, developing and practicing leadership, delays in decision making, heavy hierarchical structure, business coaching and individual.

Factors affecting organizational design although many things can affect the choice of an appropriate structure for an organization, the following five factors are the most common. The section aims to then introduce the purpose of the research the research questionsand. Lorange 1998 stated that human resources are becoming the key focus of strategy implementation and reiterated that people, not financial resources, are the key strategic resources in strategy implementation. The choice of method for strategic management implementation depends upon situational factors such as size of the school, complexity of programs, institutional culture, and the style of the management. Two techniques are used in the process of selection of a strategy, namely. Strategic choice refers to the decision which determines the future strategy of a firm. This includes among others, the availability of resources i. Factors that influence effective strategic planning process.

Need for a strategystrategies no single strategy is the best in all situations and at all times avoid casual bench marking by aligning your strategic choices to your situation we need a consistent set of choicesdecisions and actionstactics in order to outwit our rivals without this. What are the key success factors, assets and competencies needed to compete successfully. Strategic choice is an inalienable part of thedecision making process. Factors influencing choice of strategic management modes of. Analysis of the factors affecting the stakeholder management. The choice and use of any strategic tool are influenced by many factors. External factors influencing choice of foreign entry modes according to hollensen 2001 6, there are following external factors influencing companys choice of foreign entry mode.

After having the list of few, now the final narrowing down to a single company would be a strategic choice on the factors mentioned above. Need for a strategystrategies no single strategy is the best in all situations and at all times avoid casual bench marking by aligning your strategic choices to your situation we need a consistent set of choices decisions and actionstactics in order to outwit our rivals. Factors affecting strategy choice by abdullah almourai factors affecting strategy choice learners of l2 have been found to vary noticeably in both the. These include organisational mission, strategic intent, goals, organisations business definition, resources, policies, etc. Formulation of an effective strategy, making the strategy work and implementing it throughout the company is a difficult task hrebiniak, 2006. May 21, 2018 influence of the external environment on strategic decision. In the terminology of financial management, the investment decision means capital budgeting. Willy muturi senior lecturer, department of economics, accounting and finance.

Factors affecting the implementation of strategic plans in government tertiary institutions. Factor analysis is used to detect those factors affecting the internal and external en vironment of. Factors influencing choice of strategic management modes. This study was guided by a number of research questions, all with regard to kenya commercial bank. Analysis of factors affecting the choice of route of pedestrians article pdf available in transportation planning and technology 102 august. The interest is in environmental trends and events that have the potential to affect strategy. A strategic director such as bill gates at microsoft, titus naikuni of kenya airways influence strategic decisions in their organization by affecting the components of strategy. Public sector organizations have best strategies but results of all organizations are not rewarding in. Consumers buyer behaviour is influenced by four major factors. Factors affecting the choice and adoption of business strategies in. Bcg is only a four cell matrix, while ge mckinsey is a nine cell matrix. Influence of the external environment on strategic. Factors affecting pricing as noted, the main reason for entering different markets is to increase the income and profitability. The factors that shape strategy organizations do not exist in a vacuum.

Pdf factors affecting strategic choices in airlines in kenya. Pricing is considered as part of 4ps of marketing mix. There are many factors that affect the planning process in business, and there are six steps to the planning process. This article throws light upon the top ten factors influencing the choice of business organization. Pdf factors affecting strategic choices in airlines in. These factors include firm level factors and industry factors. The purpose was to examine issues that affect the hotels operation, create a simple strategic analysis through basic tools used in strategic management, determine strengths and weaknesses of the hotel and study what external factors influence the hotel immediately. Pdf critical internal and external factors that affect. The external and internal factors that influence the choice. Planning different factors affecting planning wattpad. A case study of university of eldoret julius koech1, jacob bitok1, daniel rutto3, samson koech2, joseph onyango okoth, betty korir1, hassan ngala1 1university of eldoret, department of mathematics and computer science, eldoret, kenya. Factors affecting the implementation of strategic plans in.

Critical internal and external factors that affect firms strategic planning. At the heart of effective strategic planning lies the ability to surface the truly important issues and to make good choices, in the process of deciding how to address these issues. Eppler2 1 business school, central university of finance and economics, beijing, china. The studies therefore were important in revealing whether the external environment had an effect on performance when they engaged in formal strategic planning. Strategic choice free download as powerpoint presentation. Factors affecting effective strategy implementation in a. The general public when the interests of the youth are looked after and researched on so as to ensure they have a better chance at social and economic progress, then the society as a whole benefits.

Within the last years, authors emphasised on the existence of di. Factors that influence effective strategic planning. The study established that the key factors that affect strategy implementation were supportive goal achievement, integrity, taking initiative, developing and practicing leadership, delays in decision making, heavy hierarchical structure, business coaching and individual initiative. Strategic choice strategic management project management. Jun 27, 2012 content introduction strategic choice a definition process of strategic choice subjective factors in strategic choice contingency strategies strategic plan 3. A study on the selected dimensions in the bangladeshi context. The international marketing environmental factors that. The research objectives focuses on three major hindrances as organization design and structure, allocation of resources and environmental factors related to barriers affecting strategy implementation in barclays bank of kenya. These factors cause consumers to develop product and brand preferences. This paper builds on previous theoretical and empirical studies to determine the extent to which contextual factors impact the strategic decisionmaking processes. When competitive conditions intensify significantly, a company must respond with strategic.

Factors that influence strategic choices adopted by community based organizations competing for donor funding in nairobi kenya by githige roseirene wangui a research project submitted in partial fulfillment of the requirements for the award of the master of business administration mba degree, school of business, university of nairobi. Factors influencing choice of strategic management modes of small enterprises nyangara asaka charles1, patrick b ojera2 and oima david3 correspondence. In kenya, just about 20% grow to the next size category. What factors influence the choice of the particular strategic. The factors affecting the strategic decisionmaking in particular the different stages and process can be classified into four major categories. In 52% of companies, these decisions are made by a small senior group. Factors influencing strategic choices leadership organizations need strategic leaders to help it overcome inhibitions on risk taking and resource allocation. Main factors influencing project success neric factors that contribute to projects success. It looks closely at the key factors that influence strategic planning and why organizations have to plan for the future for them to remain relevant in the market. This section willat first present the underlying description of why the area of the factors that affect the strategic choice of sales channels in the swedish clothing retail industry is a developing and important areafor companies today. Factors that affect the strategic choice of sales channels. Fifty 50 smes out of 7 were purposively selected to participate in the study. Factors influencing choice of strategic management modes of small enterprises.

This study explores strategic decisionmaking process and factors affect the processes. Critical internal and external factors that affect firms strategic planning article pdf available in international research journal of finance and economics 51. In this investigation the choice of strategy in searching among a row of independent items is considered in relation to the subjects expectations. Minded decision makers in their innovations choices. Factors affecting strategic management attitudes and. Objective factors these are based on analytical techniques and are hard facts used to facilitate strategic choice.