Reflects recent work in the areas of resources and capabilities, industry evolution, and global strategy and the multinational company. Includes revisions to the section on knowledge management to reflect the maturing of this field. Provides a more integrated view of corporate scope, and the organization and management of the multi-business firm. Reconsiders the shareholder value model, and has more coverage of values and corporate social responsibility. Additional support is available at www blackwellpublishing.com/grant. The website features the Instructor's Manual, downloadable PowerPoint slides and a selection of new cases to help lecturers plan their courses and make teaching even easier.

Table of Contents:
Preface Part I Introduction 1. THE CONCEPT OF STRATEGY Introduction and Objectives The Role of Strategy in Success The Basic Framework for Strategy Analysis A Brief History of Business Strategy Corporate and Business Strategy How Strategy is Made: design vs. emergence The Different Roles of Strategy Within the Firm The Role of Analysis in Strategy Formulation Summary Notes Part II Tools of Strategy Analysis 2. GOALS, VALUES, AND PERFORMANCE Introduction and Objectives Strategy as a Quest for Value Strategy and Real Options Building Principles of Value Creation into Strategy Analysis Values, Mission, and Vision Summary Notes 3. INDUSTRY ANALYSIS: THE FUNDAMENTALS Introduction and Objectives From Environmental Analysis to Industry Analysis The Determinants of Industry Profit: Demand and Competition Analyzing Industry Attractiveness Applying Industry Analysis Defining Industries: Where to draw the boundaries? From Industry Attractiveness to Competitive Advantage: Identifying Key Success Factors Summary Notes 4. FURTHER TOPICS IN INDUSTRY AND COMPETITIVE ANALYSIS Introduction and Objectives Extending the Five Forces Framework The Contribution of Game Theory Competitor Analysis Segmentation Analysis Strategic Groups Summary Notes 5. ANALYZING RESOURCES AND CAPABILITIES Introduction and Objectives The Role of Resources and Capabilities in Strategy Formulation The Resources of the Firm Organizational Capabilities Appraising the Profit-Earning potential of resources and capabilities Putting Resource and Capability Analysis to Work: A Practical Guide Developing Resources and Capabilities Summary Appendix. Knowledge Management and the Knowledge-based View of the Firm Notes 6. ORGANIZATION STRUCTURE AND MANAGEMENT SYSTEMS Introduction and Objectives The Evolution of the Corporation The Principles of Organizational Design Hierarchy in Organizational Design Applying the Principles of Organizational Design Alternative Structural Forms Management Systems for Coordination and Control Summary Notes Part III The Analysis of Competitive Advantage 7. THE NATURE AND SOURCES OF COMPETITIVE ADVANTAGE Introduction and Objectives The Emergence of Competitive Advantage Sustaining Competitive Advantage Competitive Advantage in Different Market Settings Types of Competitive Advantage: Cost and Differentiation Summary Notes 8. COST ADVANTAGE Introduction and Objectives Economies of Experience The Sources of Cost Advantage Using the Value Chain to Analyze Costs Managing Cost Cutting Summary Notes 9. DIFFERENTIATION ADVANTAGE Introduction and Objectives The Nature of Differentiation and Differentiation Advantage Analyzing Differentiation: The Demand Side Analyzing Differentiation: The Supply Side Bringing It All Together: The Value Chain in Differentiation Analysis Summary Notes Part IV Business Strategies in Different Industry Contexts 10. INDUSTRY EVOLUTION Introduction and Objectives The Industry Life Cycle Structure, Competition, and Success Factors over the Life Cycle Organizational Adaptation and Change Summary Appendix: Alternative Approaches to Industry Classification Notes 11. TECHNOLOGY-BASED INDUSTRIES AND THE MANAGEMENT OF INNOVATION Introduction and Objectives Competitive Advantage in Technology-Intensive Industries Strategies to Exploit Innovation: How and When to Enter Competing for Standards Implementing Technology Strategies: Creating the Conditions for Innovation Summary Notes 12. COMPETITIVE ADVANTAGE IN MATURE INDUSTRIES Introduction and Objectives Competitive Advantage in Mature Industries Strategy Implementation in Mature Industries: Structure, Systems, and Style Strategies for Declining Industries Summary Notes Part V Corporate Strategy 13. VERTICAL INTEGRATION AND THE SCOPE OF THE FIRM Introduction and Objectives Transaction Costs and the Scope of the Firm The Costs and Benefits of Vertical Integration Designing Vertical Relationships Summary Notes 14. GLOBAL STRATEGIES AND THE MULTINATIONAL CORPORATION Introduction and Objectives Implications of International Competition for Industry Analysis Analyzing Competitive Advantage in an International Context Applying the Framework: International Location of Production Applying the Framework: Foreign Entry Strategies Multinational Strategies: Globalization Versus National Differentiation Strategy and Organization Within the Multinational Corporation Summary Notes 15. DIVERSIFICATION STRATEGY Introduction and Objectives Trends in Diversification Over Time Motives for Diversification Competitive Advantage from Diversification Diversification and Performance Summary 16. MANAGING THE MULTIBUSINESS CORPORATION Introduction and Objectives The Structure of the Multibusiness Company The Role of Corporate Management Managing the Corporate Portfolio Managing Individual Businesses Managing Internal Linkages Recent Trends in the Management of Multibusiness Corporations Summary Notes 17. CURRENT TRENDS IN STRATEGIC MANAGEMENT Introduction and Objectives Trends in the External Environment of Business New Directions in Strategic Thinking Redesigning the Organization New Modes of Leadership Summary Notes Index