Business Model Innovation and Strategies Competitive Free Answers

Questions: 1.What is Strategy?2.Discuss about the Business Model Innovation. Answers: 1.It appears that people have different perception of strategy. It is important to understand the correct meaning and definition of strategy. In the video, David Kryscynski explained the concept of strategy in detail. In the video, author complained the development and execution of strategies in modern day organizations to the development and execution of strategies in war front. One of the key learning from this video is that a good strategy is one that provides answer the four key questions. The first key question is that, where do organizations compete? The second key question is that, What unique value do organizations bring, The third key question is that What resources and capabilities does organization utilize, The fourth key question is that How to organizations sustain their unique values. It is important that the combination of above questions should bring efficiency in the system. For example, a business that builds laptop computers gets a certain electrical component from an outside resource, rather than making it themselves. If for some reason the company is delayed in producing that component, then the company building the laptops is also delayed (Brown, 2014). Whenever tasks are not perfectly aligned, which can be quite common, inefficiencies will exist. It is important that the organizations should realize that strategy is not the solution to one of the above questions but the solution to the combination of above questions. It is important that the organizations must analyze its internal and external environment before it can decide the integrated strategy that the organization want to use to compete in the market. 2.Business Model Innovation Key Ideas: The video highlights the use of innovation as part of business model. One of the key learning from the video is that the organizations should focus on continuous innovation. The innovation does not only drive the growth and development of organization but it also drives the growth and development of industry. Therefore, it is important that organizations should operate in fast environment where they can move swiftly. In the video, author discussed the examples of the companies like Kodak and Nokia. Both of these companies were industry leader at some time. However, the common drawback with these companies was the lack of flexibility. These companies were not able to realize the changes in the industry and as a result these companies failed. Ican certainly see how large, well-established organizations that operate in astable environment are more likely to operate as closed systems than youngerorganizations that value innovation, have a more horizontal management structure, and operate in an unstable environment. Still, I am of the opinion that it would berare to find an organization that operated as a completely closed system. Perhaps it is just a matter of degrees. The bottom line is that the organizations should always focus on continuous innovation in the system and outside the system (Martins Rindova, 2015). Application: The concept of strategy could be applied to various companies that wish to grow and develop in International market. Lets apply the learning from this video to the operations of Qantas Airways in Australian market. The organization, Qantas Airways is an established name in Australian marker. The first step of strategic formulation for Qantas is to identify its competitors. The airline industry is a highly competitive industry and Australia has a presence of number of domestic and international players. The key competitor for Qantas would be Air Virgin, etc. The second step for Qantas is to identify the value that Qantas is trying to deliver (Kryscynski, 2015). For an airline industry, the key value for consumers could be linked with the business level strategy of organization. Therefore, the value for Qantas could align with the cost leadership strategy or align with product differentiation strategy. The third step for Qantas would be to identify the key resources and capabilities th at could provide unique edge to Qantas. The unique resources could be identified in terms of people or processes or a combination of both. The key point is that the unique resources and capabilities should be the source of competitive advantage for firms. The lessons learned from this video could be applied to various organizations. Lets apply the learning on Westpac bank in Australia. The Westpac is one of the big four banks in Australia. In recent times, there has been a change in the banking industry and banking dynamics in Australia. It is important that the management of Westpac should be flexible enough to identify the change in the industry dynamics. The development and expansion of banking products like mobile and Internet banking has virtually reduce the dependence on core and physical banking. Therefore, it is important that Westpac should have that vision and strategy in place where it can change its product offerings and include the focus on innovative online channels. The good thing for Westpac bank is that it has already changed its focus from physical banking to online banking. At the same time, it is important that Westpac should have effective communication channels in place, it would help the organizations to practic e innovation as a culture in the organization. Casadesus?Masanell Zhu (2013) argued that observed,the two- way exchange of information is one of the most important effects of anopen systems approach that is based on innovation. Most of the time,I would think that such an exchange would be mutually beneficial, as it helpsorganizations adapt and respond to changes or potential changes in theirenvironment. But I do think thatsometimes such communication introduces different organizational cultures andbusiness strategies that are not compatible with an organizations worldview. References Brown, A., 2014. Organisational paradigms and sustainability in excellence: from mechanistic approaches to learning and innovation.International Journal of Quality and Service Sciences,6(2/3), pp.181-190. Casadesus?Masanell, R. and Zhu, F., 2013. Business model innovation and competitive imitation: The case of sponsor?based business models.Strategic management journal,34(4), pp.464-482. Gallen, S. 2013. Business model innovation. Retrieved from: https://www.youtube.com/watch?v=B4ZSGQW0UMI (Accessed 25th April 2017) Kryscynski, D. 2015. What is strategy. Retrieved from: https://www.youtube.com/watch?v=TD7WSLeQtVw (Accessed 25th April 2017) Martins, L.L., Rindova, V.P. and Greenbaum, B.E., 2015. Unlocking the hidden value of concepts: a cognitive approach to business model innovation.Strategic Entrepreneurship Journal,9(1), pp.99-117.