Strategic Management
Strategic Management
3rd Edition
ISBN: 9781259420474
Author: Frank T. Rothaermel The Nancy and Russell McDonough Chair; Professor of Strategy and Sloan Industry Studies Fellow
Publisher: McGraw-Hill Education
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Chapter 5.3, Problem 1CC
Summary Introduction

Case summary:

Company MS had a lackluster performance since the year 2000. The competitive advantage of the firm turned into a competitive disadvantage over time. It started to lag behind Company AE by a fair margin. Person SN is the CEO of Company MS who has made tremendous changes in the services they offer. He needs to work hard to ensure the viability of the Company MS future.

To explain: Why it is hard to gain a competitive advantage and even harder to sustain the competitive advantage.

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Business Process Reengineering One of the world’s most successful sports apparel companies is Nike, Inc. (Nike, n.d.). Nike re-engineered its value chain by keeping high-value knowledge-intensive activities in the US such as design and marketing and using overseas manufacturing to produce its shoes and clothing. However, instead of engaging foreign direct investment to build and operate its clothing manufacturing facilities, Nike further re-engineered its value chain by relying on third-party contractors to produce Nike products. Thus, Nike’s owned activities are streamlined allowing Nike to consistently earn high returns.  Business process reengineering is a collection of processes to improve business performance by changing, dropping, or reordering the processes by which tasks are accomplished. Please conduct some research or share an example that you witnessed of either successful or unsuccessful business process reengineering. Explain why the reengineering was successful or…
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