Corporate Strategy

Corporate strategy

Question 1

The company that I have chosen for this particular assignment is Eskom. Eskom is our countries power utility and is a parastatal. It is Africa’s largest power supplier and generates 45% of all the electricity in Africa and 95% of all power generated in South Africa. Eskom supplies electricity too many sectors namely; industrial, mining, commercial, agricultural, residential customers and redistributors. Eskom is continuously improving on its power supply capacity and is currently is a stage of expansion in order to meet the rising demand of electricity in South Africa. With this brief history we will now begin to examine the Eskom strategy and analyze the steps taken in the management of this process.

1. Status quo

“Strategic management can be defined as consisting of three major elements, namely, Strategic analysis, strategic choice, and strategic implementation. All three of these processes are interlinked”

“A company’s strategy consists of the competitive moves and business approaches that managers are employing to grow the business and attract and please customers, compete successfully, conduct operations, and achieve the targeted levels of organizational performance”

With these definitions we can begin to examine the strategic management process and discuss each on in detail. The strategic management process consists of the following steps.

1. Develop vision and mission statements

2. Analyzing of the companies internal and external environments

3. Establish long term objectives

4. Generate, Evaluate and select viable strategies

5. Implement the selected strategies

6. Monitors evaluate and control strategies.

Let us now begin to examine each of these steps in detail.

• Develop vision and mission statements

In today’s ever changing world it becomes crucial for companies to adapt in order to remain competitive in its environment, however there are certain core ideals that...