Smg Presentation

In: Business and Management

Submitted By chuanzhou
Words 338
Pages 2
The overall benefits that strategic management bring to small business:
Strategic management allows and organization to be more proactive than reactive in shaping its own future; it allows an organization to initiate and influence activities and thus to exert control over its own destiny.Small business owners, have recognized and realized the benefits of strategic management. Historically, the principle benefit of strategic management has been to help organizations formulate better strategies through the use of the more systematic,logical and rational approach to strategic choice.

Thus, it is necessary for a company to have a formal strategic plan no matter it is doing large or small business.
Sets the strategic direction to the firm-
Strategic management process clearly defines what is the desired level of performance (mission/goals/objectives) and it sets the direction so that everyone in the organization knows where are they heading towards. For a small technical company, if it understands what’s it’s goals for the short-term and long-team and also ensured what’s their target market and the types of technical products. They can follow the plans to get to the final destination and desired performance.
Also, due to the description of strategic management, it can create sustainable competitive advantages for any of the business. Here, innovation is very closely related to the sustainable competitive advantages. Furthermore, it is very important use the innovation strategy for a small technical business in such a competitive business environment. Because the small business don’t have the ability to compete with large companies, the effective way to attract more customers attention is doing something different from which the large companies do. innovation can bring many benefits in small business:
Faster development and market launch of new…...

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