How Strategic Thinking and Innovation Affect Total Company Output and Return

Introduction
The purpose of this paper is dive into multinational corporations and to examine how their strategic thinking and innovation affect total company output and results. It will also examine one of the corporation’s strategic business units with focus on what enable them to maintain a competitive edge in the industry in terms of operating environment, diversification, strategy and business model as well as how they react to competition in the industry. Evidence has shown that the success of any business organization is as good as the strategic plans and business model being exercised by leaders within the organization and how well they respond to the needs of the external environment.
Creating a sound strategy in any business must start with a careful look at the company’s own internal capabilities and resource management (Thompson, Peteraf, Gamble, & Strickland, 2013). After an organization has analyzed their internal capabilities and has identified their strengths and weaknesses, then and only then can they look beyond that point to move into emerging market-space. An organization’s financial standing is also a key factor in how they will emerge into new market space.
Overview and Theories of Strategy Determination
In this competitive business world, it is essential for corporations to look at other markets on a global perspective in an effort to create new market space for their products while maintaining a competitive position in the market. Corporation that branches out into new markets abroad are classified as Multinational Corporation or MNC. When entering a new market space, organizations must assess the external environment as well as the value innovation that is to be offered to that new market spac...

... middle of paper ...

...e network and a comfortable financial hurdle rate. In 2012, Whirlpool total annual sales revenue was reported at $18 billion from all business units combined (Whirlpool, 2013). The vision for the future at Whirlpool is very promising with innovations that surpass their competitors with the introduction of their six sense live technology which will enable consumers to be able to interact with their appliances via the touch of a screen on their wireless mobile cellphone. This technology will allow consumers to be able to monitor and adjust their Whirlpool Appliances via smart technology which will contribute to energy saving means (Whirlpool, 2013). Looking into the future at Whirlpool offers a mirage of innovations and the innovators are introducing new products into company’s line of product at a pace that surpasses any other manufacturer in the industry.