Strategic opportunism, on the other hand, focuses mainly on identifying and exploiting the immediate market opportunities at hand. This strategy seeks to leverage the company's existing strategic assets and competencies and avoid commitment. For example, a company guided by a strategic vision might be more likely to vertically integrate or make a long-term capital investment in a special piece of production equipment to serve its market whereas an opportunistic company might choose to enter the same market but outsource all production requiring specialized equipment. In this case, the company guided by a strategic vision will probably have better control over its work product and the potential for greater profits but will also have greater risk with respect to its investment.

 

 

So which is the best approach: strategic vision, opportunism, or a combination of both? The answer to that question depends on the individual facts and circumstances and can only be determined on a case-by-case basis.

 

In the current competitive environment, where traditional markets and even the staunchest industries are being challenged, a casual approach to business development is asking for trouble and greatly diminishes a company's prospects for continued success. The reality is that market dynamics change and strategic refocusing should be constant and unrelenting. It is said that chance favors those who are prepared. The key then is to foster a culture within the organization that is conducive to planning and to implement an efficient, formalized process to help management identify and proactively respond to external threats and opportunities and deal with internal issues.