Introduction
Target Audience
This textbook is intended for students in undergraduate business programs who are taking courses in strategic management. Since strategic management synthesizes many business topics to develop a holistic view of business, strategic management courses are often senior-level capstone courses. Most undergraduate business school students begin their business educations with broad introductory business courses before concentrating on courses in their majors; then they return to a broader view of business to cap off their business educations at a higher-level of learning. This textbook supports this level of comprehensive learning. If used with a senior-level capstone course, this textbook supports seniors in synthesizing business education through the lens of strategic management and helps them understand how businesses become successful by leveraging their competitive advantages. This textbook integrates strategic management and case analysis, with cases linked from an open access collection of business strategy cases, RMIT Strategic Management Case Studies. This textbook is most beneficial if it is used alongside cases that students analyze.
About This Book
Strategic Management and Case Analysis: An Integrated Approach integrates strategic management as a research-led field of study and practice-informed area of business, taking on an experiential learning approach to conducting a case analysis. The book explains how strategic leaders and managers analyze their firm’s organizational performance and its external and internal environments; how they formulate corporate-level and business-level strategy (which includes strategies related to innovation, sustainability and ethics, technology, and multinational business); and how they implement strategy across an organization. Students maintain an active and engaged role with the subject and practice of strategic management as they apply the theories, concepts, and analytical frameworks and tools of the field. The text teaches students how to conduct a case analysis and introduces analysis instruments that facilitate robust case analyses that are based on analysis, interpretation, and evaluation of data in a case. A platform of supplemental materials are provided to lend support to instructors. The book illustrates how strategic management is relevant to multiple majors, at multiple stages in their careers, and in multiple work environments. This ensures that undergraduate students clearly understand how strategic management is relevant to them.
The book is an original work available free of cost in electronic formats. We hope it reflects Virginia Tech’s motto, Ut Prosim (“That I May Serve”). We also hope it embodies Virginia Tech’s Principles of Community:
Virginia Tech is a public land-grant university committed to teaching and learning, research, and outreach to the Commonwealth of Virginia, the nation, and the world community. Learning from the experiences that shape Virginia Tech as an institution, we acknowledge those aspects of our legacy that reflected bias and exclusion. Therefore, we adopt and practice the following principles as fundamental to our ongoing efforts to increase access and inclusion and to create a community that nurtures learning and growth for all of its members:
- We affirm the inherent dignity and value of every person and strive to maintain a climate for work and learning based on mutual respect and understanding.
- We affirm the right of each person to express thoughts and opinions freely. We encourage open expression within a climate of civility, sensitivity, and mutual respect.
- We affirm the value of human diversity because it enriches our lives and the university. We acknowledge and respect our differences while affirming our common humanity.
- We reject all forms of prejudice and discrimination, including those based on age, color, disability, gender, gender identity, gender expression, national origin, political affiliation, race, religion, sexual orientation, and veteran status. We take individual and collective responsibility for helping to eliminate bias and discrimination and for increasing our own understanding of these issues through education, training, and interaction with others.
- We pledge our collective commitment to these principles in the spirit of the Virginia Tech motto, Ut Prosim (“That I May Serve”).
Features of the Book
- Analysis instruments that teach students how to conduct case analyses by applying analysis, interpretation, and evaluation to strategic management frameworks
- These seven analysis instruments can be found in the Appendix. Readers can also download them by visiting https://doi.org/10.21061/strategicmanagementandcaseanalysis.
- Use of active voice and directive language activate students to engage in conducting robust case analysis (e.g., “analyze the external environment,” rather than “external analysis.”
- Direct addresses to students encourage active engagement with the text and concepts
- Links to externally vetted, open-access cases
- Descriptions of how strategic management is relevant to multiple majors, at multiple stages in their careers, and in multiple work environments
- An example-rich narrative and multimedia approach, including graphic elements that illustrate and reinforce concepts
- Key takeaways and applications
- Embedded navigation, such as glossary terms that are linked in the online version (and appear at the end of the book in PDF and print versions) and image alt-text for screen readers
- Alignment with AACSB principles and standards
- The book is free online and in PDF, and it is available in print at vendor cost of production.
- Open license, Creative Commons BY-NC-SA 4.0, permitting customization and sharing
- Support for an instructor community through a portal that enables sharing of ancillary resources, a Register Your Use form that allows instructors to opt to receive book updates, errata, and forms for reporting errors and sharing suggestions to promote currency
Use of Color
Students experiencing the complexity and interrelated nature of strategic management concepts and theories may find the analytical frameworks and tools demanding. Students can also find it challenging to shift between focusing on strategy for strategic leaders and managers to the perspective necessary for conducting case analyses. Color is used in the book to facilitate learning complex and interrelated ideas by successfully shifting between vantage points. Because of the interrelated nature of the material, choices were sometimes necessary when assigning an item in the book a color. When this was the case, a practical perspective guided the decision: the color assigned is the one most supportive of clarity and learning. Elements that use color are clearly identified using text so that readers with sight disabilities have full access to the intended meaning.
The analysis, formulation, implementation (AFI) framework frames the book. Strategic management concepts and theories as well as analytical frameworks and tools that relate primarily to strategic analysis are blue. Those that deal mostly with strategy formulation are green. An orange-brown is used when strategy implementation is the predominant focus.[1]
Yellow is reserved for items that teach students how to conduct case analyses.[2]
Purple is used for all other items not as directly related to the AFI framework or case analysis, including learning objectives and key takeaways.
Learning Objectives
Learning objectives and key takeaways appear in these purple boxes.
Book Organization
Part I: Introduction to Strategic Management and Case Analysis
- Chapter 1: Introduction to Strategic Management
- Chapter 2: Introduction to Case Analysis
Part II: Analyze Organizational Performance and a Firm’s External and Internal Environments
- Chapter 3: Analyze Organizational Performance
- Chapter 4: Analyze the External Environment
- Chapter 5: Analyze the Internal Environment
Part III: Synthesize Analysis and Determine a Firm’s Strategic Issue
- Chapter 6: Synthesize Analysis and Determine a Firm’s Strategic Issue
Part IV: Formulate Corporate- and Business-Level Strategy
- Chapter 7: Formulate Corporate-Level Strategy
- Chapter 8: Formulate Business-Level Strategy
Part V: Formulate Strategies that are Embedded in Business-Level Strategy: Innovation, Sustainability and Ethics, Technology, and Multinational Strategy
- Chapter 9: Formulate Innovation Strategy
- Chapter 10: Formulate Sustainability and Ethics Strategy
- Chapter 11: Formulate Technology Strategy
- Chapter 12: Formulate Multinational Strategy
Part VI: Implement Strategy
- Chapter 13: Implement Strategy
Levels of Cognitive Gain
There are multiple taxonomies of learning among several different dimensions, such as cognitive, affective, and psychomotor. These taxonomies have evolved over time, and there is debate about their specifics. We offer one based on Bloom’s taxonomy as a heuristic that guides the book. When students engage with the complex subject of strategic management and conduct robust cases analyses, they have multiple opportunities to engage with levels of learning in Bloom’s taxonomy. The following table illustrates a few of the ways students demonstrate each level of cognitive gain in Bloom’s taxonomy when using the book.[3]
| Level | Characteristic | Verbs for assignments | Ways students demonstrate this level of cognitive gain when using the book |
|---|---|---|---|
| Create | Generate new ideas and products; compile information in a new way. | Assemble Compile Compose Construct Create Design Develop Draft Formulate Invent Model Plan Produce Propose Publish Repurpose Write |
Students write a case analysis using strategic management concepts and theories in addition to analytical frameworks and tools. They synthesize the analysis, interpretation, and evaluation of strategic management concepts and theories and of analytical frameworks and tools using a SWOT. Students use a SWOT to develop major areas of strategic concern, a strategic issue, and strategic alternatives. They develop and utilize criteria to assess strategic alternatives. Students develop an implementation plan. |
| Evaluate | Defend opinions and decisions; justify a course of action by making judgments about information. | Argue Assess Collaborate Criticize Critique Debate Decide Defend Estimate Evaluate Hypothesize Judge Justify Measure Moderate Predict Recommend Reflect Test Verify |
As used in the book, interpretation is the process and result of examining the analysis to identify and explain relationships in the analysis and underlying root causes of the situation. Evaluation is the examination of the analysis and interpretation to identify and explain the meaning of the information to the company by considering its impact, relevance, and importance to the company and by identifying the company’s current, potential, or needed assets, organizational capacity, and managerial ability that may support or mitigate the areas of highest impact, relevance, and importance for the firm. Using strategic management instruments that are introduced in the book, students interpret the analysis they have conducted so far and evaluate the analysis and interpretation they have conducted. |
| Analyze | Examine and break information into parts to explore relationships. | Analyze Categorize Classify Compare Conclude Contrast Correlate Deconstruct Deduce Differentiate Distinguish Edit Investigate Reverse engineer Select Separate Solve |
As used in the book, data is the information in the case being reviewed, the company being researched, or the company receiving consulting services. Analysis is the process and result of examining all the data available for the firm and correctly identifying and classifying all the data for each category in a strategic management tool. Using strategic management instruments that are introduced in the book, students analyze data in cases. |
| Apply | Use existing knowledge to solve new problems; apply acquired knowledge in new situations. | Apply Articulate Calculate Change Choose Complete Dramatize Execute Illustrate Interpret Operate Practice Relate Share Show Teach Use |
Through the strategic management instruments that are introduced in the book, students use analytical frameworks and tools to apply strategic management concepts and theories. Students demonstrate their understanding of strategic management and analytical frameworks and tools by completing application exercises throughout the book. |
| Understand | Demonstrate an understanding of the facts by explaining ideas or concepts. | Annotate Convert Demonstrate Describe Discuss Explain Extend Identify Interpret Outline Paraphrase Predict Research Review Summarize |
Students demonstrate their understanding of theories and concepts by answering questions that appear in boxes at the end of each chapter titled “Demonstrate Your Knowledge, Skills, and Competence.” |
| Remember | Exhibit memory of previously learned material by recalling facts, concepts, and answers. | Cite Define Find Highlight Label List Locate Name Recall Recognize Reproduce Retrieve Search |
Students demonstrate their recall of key theories and concepts by engaging with sections throughout the text titled “Key Takeaways.” |
Figure I.3: Ways students demonstrate levels of cognitive gain when using Strategic Management and Case Analysis: An Integrated Approach (from most complex to most foundational)
Development
Strategic Management and Case Analysis: An Integrated Approach is a new collaborative work by three colleagues in the Pamplin College of Business at Virginia Tech. Lori Anderson, who also serves as the course coordinator, was lead author and project manager for the project.
Anita Walz, Assistant Director of Open Education in the University Libraries at Virginia Tech, guided the book through ideation and development. Kindred Grey, Graphic Design and Production Specialist, managed review, design, and production of the book, leading up to its publication by Virginia Tech Publishing. Multiple staff formatted the text in Pressbooks, offered feedback to the editorial team, and provided copyediting and proofreading. The resulting book has been published in online formats (Pressbooks, EPUB, and PDF) and in a print-on-demand version.
Impact
Our hope is that this textbook enlightens and prepares students to enter the business world. After engaging with the material in the book, students can understand and apply strategic management theories, concepts, and analytical frameworks and tools, instilled with a much better grasp of the ways organizations achieve success at the strategic level. Throughout the book, students practice analyzing, interpreting, and evaluating complex data by conducting robust case analyses. This integrated approach serves to make students better specialists in their fields and better prepares them as employees, especially as they rise in responsibility and take on more strategic roles in their organizations. Ultimately, we hope to support students in becoming better critical thinkers, prepared to analyze the full range of situations they will face in their professional lives.
Finally, this book is meant to provide instructors in other colleges and universities with a no-cost textbook solution with high-quality content and structure.
