Michael. E.

Porter

 Michael Porter is Regarded as Father of modern business

strategy.
Michael Eugene Porter (born May 23, 1947)[2] is the
Bishop William Lawrence University Professor at The Institute
for Strategy and Competitiveness, based at the Harvard
Business School.
He is a leading authority on competitive strategy and the
competitiveness
Michael Porter is the author of 18 books and numerous
articles including Competitive Strategy, Competitive
Advantage, Competitive Advantage of Nations, and On
Competition.
Michael Porter provided a framework that models an
industry as being influenced by five forces.
The strategic business manager seeking to develop an edge
over rival firms can use this model to better understand the
industry context in which the firm operates.

Diagram of Porters 5
Forces

 The following is a Five Forces analysis of The Coca-Cola Company in relationship to its

Coca-Cola brand.
Threat of New Entrants/Potential Competitors: Medium Pressure
Entry barriers are relatively low for the beverage industry: there is no consumer
switching cost and zero capital requirement. There is an increasing amount of new
brands appearing in the market with similar prices than Coke products
Coca-Cola is seen not only as a beverage but also as a brand. It has held a very
significant market share for a long time and loyal customers are not very likely to try a
new brand.
Threat of Substitute Products: Medium to High pressure
There are many kinds of energy drink s/soda/juice products in the market. Cocacoladoesntreally have an entirely unique flavor. In a blind taste test, people cant tell
the difference between Coca-Cola and Pepsi.
The Bargaining Power of Buyers: Low pressure
The individual buyer no pressure on Coca-Cola
Large retailers, like Wal-Mart, have bargaining power because of the large order
quantity, but the bargaining power is lessened because of the end consumer brand
loyalty.
The Bargaining Power of Suppliers: Low pressure
The main ingredients for soft drink include carbonated water, phosphoric acid,
sweetener, and caffeine. The suppliers are not concentrated or differentiated.
Coca-Cola is likely a large, or the largest customer of any of these suppliers.
Rivalry Among Existing Firms: High Pressure
Currently, the main competitor is Pepsi which also has a wide range of beverage
products under its brand. Both Coca-Cola and Pepsi are the predominant carbonated
beverages andcommittedheavily to sponsoring outdoor events and activities.
There are other soda brands in the market that become popular, like Dr. Pepper,
because of their unique flavors. These other brands have failed to reach the success
that Pepsi or Coke have enjoyed.

2. John Kotter:

 John Kotter has been a Harvard Business School professor

for over 30 years and is an internationally renowned author

on leadership and change.
His 18 books include international bestseller Leading Change
and followed by Our Iceberg Is Melting, which puts his 8-step
process for change into a fun and easy to read format.
Business Week magazine rated Kotter the #1 leadership
guru in America based on a survey they conducted of 504
enterprises in 2001
Kotter International helps organizations execute Kotters
strategies, and leaves them with the capability to take on
future business challenges and react to them quickly with
agility and direction.
The authors use a fable about a penguin colony in Antarctica
that has lived on the same iceberg for many years.
When one curious bird discovers problem signs in the
iceberg, few penguins want to listen to him. They are fine
the way things are and don't want to change. The story is
analogous to the common situation where people
don't want to face up to difficult problems at home or
at work.

 Once a small group of penguins came

to understand that their iceberg

actually was melting, they
1) created a sense of urgency in the
colony to deal with the difficult prob
lem,
2) put a carefully selected group in
charge of guiding the change,
3) found the sensible vision of a better
future,
4) communicated that vision so others
would understand and accept it,
5) removed as many obstacles to
action as was practical,
6) created some sort of success
quickly,
7) never let up until the new way of life
was firmly established, and,
8) finally, ensured that the changes
would not be overcome by stubborn,
hard-to-die traditions.

3. Gary Hamel

Gary Hamel was recently ranked by The Wall

Street Journal as the worlds most influential

business thinker and by Fortune magazine as the
worlds leading expert on business strategy.
In twenty years Hamel has authored 17 articles
for the Harvard Business Review and is the most
reprinted author in the Reviews history.
As a consultant and management educator Hamel
has worked for companies such as General
Electric Time Warner Nestle Shell Best Buy Procter
Gamble 3M IBM and Microsoft.
His pioneering concepts such as strategic intent
core competence industry revolution and
management innovation have changed the
practice of management in companies around the
world.

4. Dr. Philip Kotler

Dr. Philip Kotler is a world famous Management

and Marketing guru and a distinguished professor

at the Northwestern University Kellogg Graduate
School of Management in Chicago.
Dr. Kotler is known to many as the author of what
is widely recognized as the most authoritative
textbook on marketing Marketing Management.
According to Philip Kotler - "Marketing Mix is
the combination of four elements, called the 4P's
(product, Price, Promotion, and Place), that every
company has the option of adding, subtracting,
or modifying in order to create a desired
marketing strategy"

Marketing Mix

5. Tom Peters.

 TOM PETERS: - A navy personnel turned management

professional Tom Peters writes and speaks about a very special

area of management i.e. personal and business empowerment
and problem solving methodologies.
He later studied business at Stanford Business School receiving
an M.B.A. and Ph.D. In 2004 he also received an honorary
doctorate from the State University of Management in Moscow.
He is called the most provocative and engaging management
guru in the USA. He is also called the Red Bull of management
thinkers.
The management theory of Tom Peters is based on leaderships
qualities. Good leaders believe in productivity through people, are
hands-on and value-driven; they only do what they do best.
Tom Peters' theory of leadership also includes the "Seven S
Framework." Strategy, Structure and Systems (hard S's) and Staff,
Style, Shared Values and Skills (the soft S's).

This example considers some of the issues related to

introducing digital technology into an organisation.
1. Strategy:The contribution of digital business in

influencing and supporting organisations strategy.

2. Structure:The modification of organisational
structure to support digital business.
3. Systems: The development of specific
processes, procedures or information systems to
support digital business.
4. Staff:The breakdown of staff in terms of their
background, age and sex and characteristics such
as IT vs marketing, use of contractors/
consultants.
5. Style:Includes both the way in which key
managers behave in achieving the organisations
goals and the cultural style of the organisation as
a whole.
6. Skills:Distinctive capabilities of key staff, but
can be interpreted as specific skill-sets of team
members. The key issues are: staff skills in
specific areas such as supplier selection, project
management, content management and specific
e-marketing media channels.
7. Shared values:The guiding concepts of the
digital business or e-commerce organization
which are also part of shared values and culture.
The key issues are: improving the perception of
the importance and effectiveness of digital
business amongst senior managers and staff it
works with (marketing generalists and IT).

6.Vijay Govindarajan

Vijay Govindarajan is the Earl C. Daum 1924

professor of international business at the Tuck

School of Business at Dartmouth College.
His books include Reverse Innovation (with Chris
Trimble, 2012)
Govindarajan is also responsible for posing the
question that sparked a global challenge to build
a $300 house, which earned him the Thinkers50
CK Prahalad Breakthrough Idea Award in 2011.

 Phase 1 Globalization Multinationals built

unprecedented economies of scale by selling

products and services to markets all around the
world. Innovation happened at home, and then
the new offerings were distributed everywhere.
Phase 2 Glocalization In this phase,
multinationals recognized that while Phases 1
had minimized costs, they werent as
competitive in local markets as they needed to
be. Therefore, they focused on winning market
share by adapting global offerings to meet local
needs. (Innovation still originated with homecountry)
Phase 3 Local Innovation In this phase, the
first half of the reverse innovation process,
multinationals are focusing on developing
products in-country, for country.
Phase 4 Reverse Innovation If Phase 3 is in
country, for country, Phase 4 is in country, for
the world. Multinationals complete the reverse
innovation process by taking the innovations
originally chartered for poor countries, adapting
them, and scaling them up for worldwide use.
Govindrajan says the biggest opportunities for
multinationals in next 25 years will be customers
moving from poor countries.

7. Subir Chowdhury

Subir

Chowdhury is chairman and CEO of ASI Consulting Group. Tagged The Quality
Prophet, by Business Week.
Chowdhury is author of The Power of Six Sigma: An Inspiring Tale of How Six Sigma is
Transforming the Way We Work (2001) and, most recently, The Power of LEO: The
Revolutionary Process for Achieving Extraordinary Business Results (2011).
The following themes are found in most of his books:
Problems can be prevented through continuous improvementgetting it right the first time
and should be the goal of every organization as it designs, develops and deploys products
and services.
Quality must be the responsibility of every individual in all organizations. The quality
mission cannot be delegated to one group or individual. It cannot be a top down
management process. For quality to be robust and sustainable, everyone in the organization
must not only accept it, they must believe in it.
Quality begins at the top. Without the commitment of leadershipand without them
demonstrating that commitment in every aspect of their own lives, initiatives will stall or fail
over time.
Everyone has a stake in Quality. Not only must quality involve everyone all the time, but in
order to achieve robust and sustainable results, everyone must have a stake in its
implementation and continuous improvement through peer reinforcement and other
methods.
Quality is a balance of people power and process power, where people power takes into
account the role of the Quality mindsetapproaching quality with honesty, empathy and a
resistance to compromise. Process power is about solving problems, developing ideas and
solutions, and then perfecting those ideas and solutions.
Improving quality using a cookie cutter managerial approach does not work. Every
organization is unique. Every problem has different issues. Every individual brings different
knowledge, skills, and abilities. Therefore, the methods, processes, and procedures used to
solve quality issues must be tailored to the specific situation.

8. C K Prahalad

"Strategy is about stretching limited resources to fit

ambitious aspirations.

 He was ranked as the world's most influential business thinker

in The Thinkers 50 list, published by The Times in 2009.

Professor, researcher, speaker, author and consultant, CK
Prahalad dons many roles.
His book titled, 'The Fortune at the Bottom of the Pyramid:
Eradicating Poverty Through Profits', highlights the need for
multinational companies to realize that the huge growth market
of the under-served, the bottom of the pyramid.
Currently, he is the Professor of Business Administration at the
University of Michigan Business School and offers corporate
strategy consultation to a number of multinational corporations.
He also heads a high-technology company called PrajaInc.
Major Contributions of Prof. C. K. Prahalad:
CKP made a name for himself by introducing the concept of
core competence to explain the superior performance of
Japanese organisations compared with the rest in the world.
This was acknowledged to be a dramatically new way of
understanding competitiveness of organisations.

 CKP broke the monotonicity when he introduced the idea of strategic

intent of organisations. Whilst the academic community was still confined

to strategy formulation and its implementation, he gave an alternative
approach to strategy implementation, viz. strategy as a leverage to
accomplish extraordinary performance of the organisation with the
existing (limited) resources.
CKP enunciated innovation as a source of competitive advantage in an
explicit and convincing manner. When the academic community and the
practising world was trying to catch up with best practices reported
globally, CKP introduced the concept of 'next' practices in his work and
lectures.
Attracted by the importance of India as an emerging economy, CKP came
up with a vision document on India (India@75), a blue print of action for
India to become a developed nation.
His latest book The New Age of Innovation with M.S. Krishnan tactfully
combines mass customization, strategic outsourcing, innovation on global
supply chains, usage of information technology in reengineered business
process, interdependence of the firms at the global level, etc.
In the later part of his career, CKP became fascinated by the developing
world. Therefore, he focused extensively on the issues and problems
relevant to the developing nations, with an objective to develop a
comprehensive managerial approach to resolve and address challenges
arising out of accomplishing inclusive growth. This resulted in his work
The Fortune at the Bottom of the Pyramid.

 The Fortune at the Bottom of the Pyramid is a new paradigm

where CKP modified and magnified the trade-offs between

price, features and performance of a product and services.
CKP's core argument was that if an organization
dramatically reengineered the product features and
performance indicators, the price of the product could be
kept so attractive that it can be accessed and used by a
large market segment for which it was not originally
intended. CKP went on to argue that designing the product
and service for the economically weaker section of the
society would generate more wealth as a consequence of
large volume even when the margins are low. Hence,
addressing The Bottom of the Pyramid is an opportunity for
sustained wealth creation.