哈弗商务22.pdfVIP

Lecture Text Professor Cynthia A. Montgomery Resources and Corporate Strategy (edited for clarity) Introduction This is the vehicle that we use for thinking about corporate-level strategy, as we transition from business-level strategy to corporate-level strategy—thinking about multiple businesses within one corporate umbrella. This is our definition of corporate strategy as opposed to business strategy: the way a company seeks to create value through the configuration and coordination of its multimarket activities. Configuration says, “OK, what’s going to be inside the company? What businesses are going to be part of our corporate whole?” And the coordination is, what are you going to do with them once you get them in there? So how are you going to get this scale to lead to economies of scale? How will you really get this scope to work to economies of scope—both things? How are you going to unlock this value potential that you see? And this is the model that we have for corporate strategy that’s analogous to the strategy wheel at the business level. The Harvard Business School, for example, is a multibusiness organization. We’re in education, but if you look at the aspects of education, we’re in MBA education, executive education, we’re in Ph.D. education; we have our own publishing company, and what we want is to make the whole more than the sum of the parts. And that’s what this model is about. It starts in the middle with a vision. Just as we were talking about inspiration at the business level, we find this in large multibusiness companies as well. GE, with Jack Welch, had a marvelous vision of what he wanted GE to be as a company. It’s a simple idea of how you’re going to create value as a multibusiness company. Whats the economic rationale for the existence of a company? The world with you versus the world with