A process model of strategic business exit: implications for an evolutionary perspective on strategy

Article Abstract:

The management of strategic business exit (SBE) is an overlooked topic in strategic management research. To provide illumination on this issue, a study was conducted examining the pattern of managerial activities linked to the strategic process through which a major high-technology firm made its exit from a core business in a rapidly expanding industry without sacrificing important corporate competencies. Intel Corp. exited the dynamic random access memory (DRAM) business in the middle of the 1980s, which had been its core business during the 1970s. The process model of SBE involved in this case study conceptualizes the behavior of the company's senior and top management, and the corporate-level contextual variables that undermined greater commitment to the failing DRAM business and the retention and redeployment of key corporate competencies. The model proves the usefulness of the Bower-Burgelman process model in conceptualizing strategy making.

Semiconductor Devices, Semiconductor and Related Device Manufacturing, Electronic computers, Computers, Electronic Computer Manufacturing, Computer peripheral equipment, not elsewhere classified, Computer Auxiliary Equip, Computer and Peripheral Equipment Manufacturing, Models, Planning, Case studies, Computer peripherals, Business planning

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Evolutionary perspectives on strategy

Article Abstract:

The study of strategic management from an evolutionary perspective is a highly recommendable undertaking. It requires the development of dynamic, path-dependent models that allows for potentially random variation and selection within and among organizations. The adoption of an evolutionary viewpoint helps direct attention to the most interesting events in the strategic management domain which cannot be clearly understood through static theories and cross-sectional research designs. For this reason, Strategic Management Journal devoted a special issue on evolutionary perspectives in strategy. The summarized papers contained in this edition offer some clues as to which direction the evolutionary perspective will proceed in the coming years.

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Let chaos reign, then rein in chaos - repeatedly: managing strategic dymanics for corporate longevity

Article Abstract:

Intel's response to successive strategic dynamics situations in the course of its evolution between 1968 to 2005 is studied. A proposition is made - corporate longevity depends on the coincidence of alert strategic leadership and the cycles of induced and autonomous processes in an organization.

Science & research, Management dynamics, United States, Management, History, Influence, Company business management, Business cycles, Leadership

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