Strategy's two worlds
Article Abstract:
Johnson and Scholes's modified version of the rational model of strategy has been included in the ACCA examination's reading list and may be the topic of the 50-mark case study. It is therefore necessary for accounting students to learn the most appropriate theories and models of strategy to apply in given situations. According to the Johnson and Scholes model, strategic decision-making has three main processes: strategic analysis, strategic choice and strategy implementation. It holds that these processes are so intertwined that it is not advisable to arrange them into a particular sequence. The model also takes into account the cultural and political dimensions of strategic decision-making. Additionally, Johnson and Scholes identify three tests of strategy, namely, suitability, feasibility and acceptability.
Publication Name: Accountancy
Subject: Business
ISSN: 0001-4664
Year: 1997
User Contributions:
Comment about this article or add new information about this topic:
A question of consolidation
Article Abstract:
Accounting students taking the ACCA examination will have greater success in Paper 10 by developing a good understanding of group accounting. Familiarity with FRS 2, FRS 6, FRS 7, SSAP 1 and the like will be useful, although examiners do not expect students to reproduce large portions of these standards or the Companies Act to be useful. Group accounts, also known as consolidated accounts, are required of all a group of companies where one has control of the others. In addition to issuing group accounts to shareholders, the parent company must prepare its own accounts. For partly-owned subsidiaries, the holding company is required to submit a consolidated balance sheet that discloses the net assets it controls but partly owned by non-group shareholders. The preparation of group accounts is demonstrated.
Publication Name: Accountancy
Subject: Business
ISSN: 0001-4664
Year: 1997
User Contributions:
Comment about this article or add new information about this topic: