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.
Our experience reveals that most businesses have some internal issues or roadblocks that need to be resolved, but the area where they need the most help and are the least prepared is in managing top line profitability. NBFC's best-practices strategic market management service is especially designed to help companies achieve both of these objectives. Unlike approaches that focus on a single planning event, our approach is comprehensive in scope�we empower you with a complete turnkey process and planning system including staff training.
For more information about Strategic Market Management and an overview of our best practices planning service, we invite you to click on the link below. The booklet is also a useful tool for benchmarking your business development process.
