2. Methodology 2.1. Bach and Allen (IA)3 framework: introduction In 2010, Bach and Allen published an article entitled 'What Every CEO Needs to Know About Nonmarket Strategy'1. The article demonstrated the importance of non-market strategy for businesses by emphasising the influence that the social and political environments have on their competitive advantage. In Bach and Allen's opinion, the intensification of the importance of a non-market strategy derives from four factors: the diversification of production and selling locations; the 'globalization of nongovernmental organisations'; the establishment of 'new regulatory agencies' and 'regulations'; and finally the increasing difficulty in sustaining a company's 'competitive edge'. Bach and Allen provided a framework designed to help companies create a nonmarket strategy : the …show more content…
First, the structure of the framework strongly supports an extensive analysis of the directive and of the context in which it was formulated and implemented. Second, each element is important when trying to clarify how a policy is created in the European Union and the impact of the policy on businesses. The 'issue' element provides an opportunity to explain the content of the directive. The 'actors', 'interests','arenas' and 'assets' elements describe and illustrate the power play involved in European Union policy formulation and implementation and the place occupied by businesses. The 'information' element demonstrates the ever increasing importance that knowledge has within the European Union and how it can be used by businesses. Finally, the design of a non-market strategy supported by the (IA)3 framework enables a firm to become active and not only adapt to a certain policy but also gain an opportunity to influence the environment within which it is
To answer this question I will firstly explain how EU law became incorporated within the member states I will then explain the various types of EU legislation's in circulation. This is important to define as the various types of methods will involve different enforcement procedures. Finally I will explain how EU law is enforced and the ways EU law will effect the member state and individual businesses. I will summarise my findings at the end of the essay, this will give details of all the key ideas I have ut across.
When analysts criticise the lack of democratic legitimacy in the EU they generally point to the mode of political representation and the nature of policy outputs. Only one branch of the EU is directly elected is the European Parliament. Though stronger than it once was, the EP remains is actually only one of four major actors in the EU policy-making process. The EP is a body without power or accountability, and easily dismissed just as a ‘talking shop’ (Colin Pilkington.) Only 75% of its amendments are accepted by the Commission and the Council of Ministers.
Arthur, A., Thompson, Margaret, A., Peteraf, John, E. Gamble, A., J., Strickland III. (2014). Crafting & Executing Strategy: The Quest for Competitive Advantage 19e: Concepts & Cases. C6-C25.
...: Reassessing Legitimacy in the European Union. Journal of Common Market Studies, 40 (4), pp. 603-24.
The EU is a union of sovereign European states who share sovereignty based on treaty. The union also possesses competences in policy sectors with exclusive jurisdiction in the area of Economic and Monetary Union while others are shared with Member States (MS), the other powers belong to MS as derived from the conferral of powers art 5(2) TEU, 2(1) TFEU art.3 & 4 TFEU additionally other powers have been offered by the decisions of the European Court for direct effect on citizens
Although the European Union consists of a large variety of institutions, the most important institution is the European Commission. Established in 1958 and based in Luxemburg and Brussels, this hybrid institution (executive and bureaucratic) “epitomizes supranationalism and lies at the center of the EU political system” (Dinan, 2010, p. 171). It has a substantial bulk of responsibilities and carries out these responsibilities with a vast number of constituents, acting as the executive for the EU. These responsibilities include anything from drafting and initiating policy to managing the financial framework of the EU, and can have a large impact on the other institutions of the EU. In order to “promote the general interests of the Union,” the Commission strives to unify the interests of the member states and is continually working for implementation and harmonization of EU law (Dinan, 2010, p. 191).
Numerous definitions of strategy exist, in most circumstances strategy can loosely be explained as an overall plan of deployment of resources to ascertain a favourable position within a market (Zablah, Bellenger and Johnston 2004; Grant 1994, p 14). Further, imbedded in many successful organisations are strategies, the importance of which is to remain relevant in the market, and successful in the various attributes of business; profiteering, employee motivation, maintaining sustainable core competencies, effectiveness in operation, or efficiency in the conduction of operations. Therefore challenges involved in the formulation and implementation of a strategy can revolve around the overall external market, as well as internal
Throughout the global economic environment the desire to out-perform the competition is always present. In every situation, the companies who do better are the ones with superior strategy (Rothaermel, 2013). Strategic management is therefore important in every company, no matter what industry or market they operate in; and as stated by M. Carpenter and G. Sanders, 2013, is described as "The process by which a firm manages the formulation and implementation of its strategy". Strategic management is a constant topic under discussion with different schools of theorists with different beliefs and attitudes which is described as "A tense array of disagreement" (Rees, 2012).
In a world of free trade, growing competition and accessibility to foreign markets, the need for methodical market analysis and assumptions is steadily rising in today’s business environment. It is just a normal way of thinking to primarily intent to eliminate the financial before entering a new and foreign market. This suggests that enterprises have to develop an overall strategy for their business in order to gain competitive advantage and consequently market share. With the words of Michael E. Porter, professor at Harvard University and leading authority on competitive strategy, this desirable market success is indirectly linked to the individual structure of a market. The unique structure of a single market influences the strategic behaviour and the development of a competitive strategy within a firm. The competitive strategy finally decides whether a company performs successfully on the market or not. Referring to this interpretation of business success, M. E. Porter established his five forces framework that enables directives to gather useful information about the business environment and the competitive forces in industries.
Topic: ‘If we think of organisations, and their surrounding environment, as being political systems, this changes the way in which we think about strategic decision-making. This is important as strategic decision-making lies at the very heart of strategy making. ‘
Wheelen, T. L., & Hunger, D. L. (2008). Strategic Management and Business Policy: Concepts and Cases. New York: Pearson.
After WWII, many politically influential people saw a need to create some form of interdependence between the nation states of Europe as a means to preventing further war (Watts, 2008: p6). In 1951 Germany, France, Italy, Netherlands, Belgium and Luxembourg all signed the Treaty of Paris creating the European Coal and Steel Community (ECSC); the beginnings of an integrated Europe which has seen many changes since its creation (Thody, 1997: p1). Today it has become the highly integrated European Union with 28 member states, 18 of which share a single currency (Archick, 2014: p1). The process of EU integration is a complex one, as can be seen in its history and will surely be seen in its future. There is no simple explanation that can successfully explain the growth of the EU from a economic community of six nation states to the political and economic union it has become today. However there are two competing theories for explaining EU integration that give opposing views on the matter, neo-functionalism and intergovernmentalism. In this essay I will examine both theories and attempt to reach a conclusion if either successfully explains EU integration.
Companies are constantly reinventing themselves in the name of profit. There are a number of different strategies companies implore to create success. Whether it is the expansion into international markets, new technologies, or sustainability the goal is to create a strategy that allows the business to successfully compete. There are numerous strategies capable of generating abnormal profits or can take a company into bankruptcy. The spectrum holds no magic formula as a variety of resources and capabilities are necessary to successfully compete. What works or is frowned upon in one market can become a cash cow in another. The constant is embracing strategic management and business
The case looks at prescriptive strategy as applied to multi-product group of companies. Unilever is based in over a hundred countries where multiple products are being made in each. However, the market is mature which means that growth is stagnant and innovation is almost non-existent. In order to improve on growth and sales, the strategies that are needed look at how to come up with new products that have high profit margins and penetrate new markets. The prescriptive approach was used to come with a strategy to improve growth and profit. In order to improve on innovation, both the prescriptive and emergent strategies can be used since both support innovation. From the case study, not much profit was made when the ‘Path to Growth’ strategy was first implemented (2001-2004). The strategy was initially based on cost cutting. There was a need to also build volumes through existing portfolio of branded products through innovation and marketing. By focusing on increasing sales in developing countries where growth prospects were high and increasing investment in personal care products where profit margins were higher, it was possible to improve the profit portfolio.
Porter, M. E. (2008). The five competitive forces that shape strategy. Harvard business review, 25-40.