The strategy should get altered based on the change in the context thus altered. Strategies are worked out using various tools. One of the oldest methods involved using the SWOT analysis for bringing out the strengths, weaknesses, opportunities and the Threats perceived by the company and the business2. The strategy would primarily enhance and capitalise on the strengths of the company for tapping the opportunities and to counter the threats perceived while at the same time would offset the weaknesses perceived. This would help the company to realise its objectives of enhancing the profitability of the company.
Porter's Five Forces helped the strategists to model the environment and the business is positioned in it to understand the effect of the environment. This was perceived to have been made up of the five forces that Porter projected. He further qualifies some of the approaches to strategy as generic. There are three types of generic strategies that are used by companies, employing the common economic forces that are in play in the market. ...Show more