Bs 2013 Unit Description

In: Business and Management

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Unit 7
Edexcel Level5


Unit Introduction

24 February 2013

Unit 7: Business Strategy

BTEC Higher National — H2

Description of unit
The aim of this unit is to develop your abilities to evaluate and select strategies appropriate to business organizations. This will involve an analysis of the impacts of the external operating environment and the need to plan organizational strategies to ensure effective business performance.

Summary of learning outcomes

To achieve this unit a you must:
1 Analyze how the business environment is considered in strategy formulation
2 Understand the process of strategic planning
3 Examine approaches to strategy evaluation and selection
4 Analyze how strategy implementation is realized.


1 Strategy formulation
Strategic contexts and terminology: role of strategy, missions, visions, strategic intent, objectives, goals, core competencies, strategic architecture, strategic control
Stakeholder analysis: stakeholder significance grid, stakeholder mapping
Environment auditing: political, economic, socio-cultural, technological, environmental and legal analysis (PESTEL), Porter’s 5 force analysis, the threat of new entrants, the power of buyers, the power of suppliers, the threat of substitutes, competitive rivalry and collaboration
Strategic positioning: the Ansoff matrix, growth, stability, profitability, efficiency, market leadership, survival, mergers and acquisitions, expansion into the global market place
The organizational audit: benchmarking, SWOT analysis, product positions, value-chain analysis, demographic influences, scenario planning, synergy culture and values

2 Strategic planning
Strategic thinking: future direction of the competition, needs of customers, gaining and

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