Principles of Management Essentials You Always Wanted To Know

Leadership isn’t just about vision, strategy, or charisma—at its core, leadership is about getting people to move in a common direction. And to make that happen, every leader must master two foundational forces: power and influence. Whether you're a team manager, an executive, or an emerging leader, understanding how to responsibly use power and skillfully apply influence can be the difference between leading a compliant team and inspiring a committed one. What is Power in Leadership? In the leadership context, power refers to a leader’s ability to affect the behavior, decisions, or actions of others. It’s not just about authority or titles—it’s about how effectively a leader can shape the environment and guide outcomes. There are two broad categories of power: Position Power: Derived from your formal role or authority (e.g., legitimate power, reward power, coercive power). Personal Power: Gained from individual qualities like expertise, likability, and trustworthiness (e.g., expert power, referent power). 💡 Leaders who rely solely on positional power often find short-term compliance. But for long-term commitment, personal power often proves more effective. The Four Outcomes of Power- Before diving deeper into the different types of power, it’s essential to understand what power actually produces. The way a leader exercises power—and the influence tactics they use—can result in four different outcomes: These outcomes depend on several factors: the leader’s credibility, the situation, the consequences of disobedience, and how aligned the followers feel with the mission. 💡 A smart leader isn’t just focused on getting things done—they’re focused on how people feel while doing it. Influence in Leadership: Turning Power into Action Now that we’ve explored the types of power, let’s shift our focus to how leaders use their power in real-world interactions. This is where influence comes in. Influence is the application of power to shape opinions, encourage action, and shift behaviors. Whether trying to inspire a team, gain buy-in, or initiate change, leaders must employ specific influence tactics. Based on the work of leadership scholar Gary Yukl (1989), there are nine core influence tactics leaders can use—often in combination—to drive results and build commitment. A leader’s ability to influence effectively can determine whether a team moves forward in alignment—or not at all. In times of change, uncertainty, or even just routine operations, leaders must motivate individuals to act in the best interest of the group or organization. That requires authenticity, emotional intelligence, and the strategic use of influence tactics. 💡 Important note: Not every tactic fits every scenario. Influence that feels forced or insincere is unlikely to be effective. Leaders should focus on the approaches that align with their personality, context, and team dynamics. Effective Leadership Using Empowerment Some leaders fear that sharing power will weaken their authority—but the truth is quite the opposite. The most effective and respected leaders understand that empowering others enhances their own influence, builds trust, and creates stronger, more motivated teams. Empowerment means intentionally giving others a voice in decisions, the autonomy to make choices, and the tools to take initiative. When followers are empowered, they feel trusted, valued, and capable. Empowerment doesn't mean stepping away entirely. Great leaders continue to: Monitor progress Offer support when needed Step in during high-stakes situations Clearly define the boundaries of decision-making authority Final Thoughts: The Power to Influence, the Influence to Empower Leadership without power is ineffective. Power without influence is unsustainable. And influence without empowerment is incomplete. Leadership Essentials You Always Wanted to Know dives deeper into these concepts—exploring types of power, real-world influence strategies, and how leaders at all levels can foster empowerment. Whether you're leading a team of two or an organization of thousands, power and influence aren’t about control—they’re about connection and commitment. 📘 Want to Learn More? Explore these concepts and more in Leadership Essentials You Always Wanted To Know—your go-to guide for mastering leadership fundamentals, written for emerging leaders, managers, and professionals aiming to elevate their impact.

This blog recaps the insights we captured in our recent podcast episode featuring Prof. Vishal Gupta (University of Alabama) an expert in strategic management.  We explored how small businesses can think long-term, build resilience, and apply strategic thinking in practical, real-world ways. Strategic management is often associated with large corporations, boardroom meetings, and long-term forecasting. However, its principles are just as crucial if not more for small businesses. Entrepreneurs operating with limited resources, tighter margins, and rapidly changing markets need clear, forward-thinking strategies to survive and grow. So what exactly does strategic management look like for a small business owner? Let’s break it down. 1. Understanding the Core of Strategy At its core, strategic management is about making decisions today that will position your business for success tomorrow. It requires integrating knowledge from the past, understanding the current situation, and planning for an uncertain future. While this might sound overwhelming, it begins with a simple mindset: step back, reflect, and plan. 2. Balancing the Past, Present, and Future A common theme in strategic thinking is the ability to move seamlessly between timeframes, Small business owners need to: Reflect on the past to understand what has worked and what hasn't. Be grounded in the present, managing immediate concerns and opportunities. Anticipate the future, asking critical “what if” questions to prepare for change. This ability to be mindful of different timelines is what gives a business its agility. If you only focus on the present, you risk being reactive. If you dwell on the past, you may become resistant to innovation. And if you look only to the future, you may overlook the urgent needs of your customers today. Strategic management finds a thoughtful balance. 3. The Power of Anticipation One of the most critical aspects of strategy is the ability to anticipate. This doesn't mean having a crystal ball it means developing a habit of scanning the environment and asking: What trends are emerging in our industry? How are customer expectations changing? What technologies could disrupt our business? Even five or ten years ago, many people wouldn’t have predicted the rise of video-based social media platforms or the global shift toward remote work. Yet businesses that adapted quickly were the ones that thrived. Strategic anticipation comes from being curious and informed. Small business owners should make time to read industry news, attend webinars, talk to customers, and watch what competitors are doing. It’s not about copying others, it's about spotting patterns and preparing accordingly. 4. Strategic Thinking is Not Just for Experts A major misconception is that strategy is reserved for MBAs or consultants. In reality, small business owners are already making strategic decisions whether they know it or not. Every time you choose to enter a new market, hire a new employee, or launch a new product, you're making strategic moves. The key is to be intentional. Take the time to write down your goals. Review your assumptions. Ask your team what they think. Build reflection and foresight into your decision-making process. Strategic thinking can be simple. Start with questions like: What are our biggest strengths right now? What are we not doing that we should be? Where do we want to be in 12 months—and how will we get there? 5. Strategy as a Habit Perhaps the most useful insight is that strategy is not an event—it’s a habit. It’s not something you do once a year at a retreat. It’s a continuous process of adjusting, learning, and evolving. Think of it as a cycle: Assess your current position. Plan a course of action based on available insights. Act on the plan while remaining flexible. Review what worked and what didn’t. This cycle doesn’t need to be formal. It can be as simple as a monthly check-in with your team or a quarterly review of your goals. 6. Common Pitfalls to Avoid Even with the best intentions, many small businesses struggle to maintain a strategic mindset. Some common traps include: Short-term fixation: Only focusing on immediate revenue without long-term growth. Overplanning: Spending too much time creating a perfect plan, and not enough time executing. Ignoring feedback: Not listening to employees, customers, or data. Avoiding these pitfalls requires humility and discipline. Small businesses thrive when they remain flexible, listen actively, and adapt quickly to feedback. 7. Strategy in Action A practical example of strategy at work might be a local bookstore deciding to offer online orders and virtual author events. This move is strategic because it: Adapts to customer behavior (online shopping), Leverages strengths (curated inventory and community), Plans for sustainability (alternative revenue streams). The strategy didn’t require expensive consultants or a 50-page plan. It required observation, creativity, and the willingness to test something new. Final Thoughts Strategic management isn’t a luxury—it’s a necessity for small businesses operating in a fast-paced, unpredictable world. When small business owners commit to thinking strategically, they build more than just a business. They build a roadmap for resilience, growth, and long-term impact. Start small. Reflect often. Think long-term. That’s the strategic advantage. Checkout the full Podcast Episode for more insights

Historically, ethics in business have gained traction during distinct periods. The discussion surrounding business ethics becomes especially significant whenever there is war, political turmoil, economic crisis, or a massive corporate scandal. Based on these events, case studies are written, life histories of business leaders are examined, motives are analyzed, viewpoints are evaluated, laws are revised, and the fundamental ways to define “rights” and “wrongs” are debated. Let’s delve into the diverse perspectives on the evolution of business ethics and examine how crises have influenced it. Perspectives on the Evolution of Business Ethics From an evolutionary perspective, one could go back to Aristotle’s Nicomachean Ethics, written almost 2000 years ago, to understand how to make ethical decisions. Aristotle explained ethics as virtues required for a good living. These virtues are not mere theoretical ideas for contemplation but practical, day-to-day habits that enable one to live a fulfilling life. From another perspective, Kautilya, in the Indian context, wrote the Arthashastra in the fourth century B.C. The text explains the significance of ethics through value-based leadership derived from the ideals of truthfulness, righteousness, gratefulness, and reliability. Ethics in business can also be viewed from the lens of Karl Marx’s contributions, who questioned capitalism. In his words, capitalism “sows the seeds of its own destruction” by delineating the masses and exploiting the working class. While such references have been critical to developing the present-day narrative on business ethics, teaching ethics in business schools is relatively new. It started five decades ago in American business schools, where many business education ideas and practices originated and spread globally. However, the relatively short period of five decades is insufficient to yield significant evolutionary outcomes. Thus, the business ethics discipline still faces skepticism, and diverse schools of thought regarding its utility exist. Renowned author Peter Drucker, the Father of Modern Management, wrote a paper in the year 1980 titled - “What is Business Ethics?” Drucker discussed the rapid pace at which business ethics became a trendy or an “in subject,” and explored the reasons behind its introduction as a standalone course in business schools and universities. He strongly criticized business ethics as “no ethics at all” and considered the value of the subject no more than “society gossip.” The criticism began when business schools introduced ethics courses, and it has remained so to date. The Impact of Corporate Scandals and the Pandemic on Business Ethics The voices of those advocating business ethics gained significance as and when corporate frauds and scandals were discovered by stakeholders. For instance, the Enron fraud came to light in 2001 stirring a major debate on the need to inculcate ethics in business managers, and leading to the enactment of the Sarbanes Oxley Act in the subsequent year. A similar situation occurred during events like the financial crisis of 2008. In 2020, the global Covid-19 pandemic affected businesses as one of the fiercest crises in recent history. Extremely high-speed economies, businesses, and lifestyles came to a standstill. People worldwide experienced grief and loss. Differences between the haves and have-nots were exacerbated, and the marginalized classes became more vulnerable. For businesses specifically, it was a daunting challenge as companies worldwide faced lockdowns, slowing down of the economy, employee welfare expectations, corporate social responsibility obligations, government mandates, and so on. However, it also served as a litmus test of their endurance. During the pandemic, while some organizations crumbled, shut operations, or resorted to layoffs, others contributed to relief projects by producing sanitizers, masks, and even ventilators, apart from going the extra mile to care for employees and their families. The factors that distinguish the latter from the former could be the nature of the business or its leadership. These factors are usually acknowledged, but one lesser-known potential factor is business ethics. During the pandemic, organizations faced a critical choice between kindness and survival. They were required to strike a balance between the two and find ways to align ethics with sound business practices. From Virtue to Value: Why Business Ethics is Here to Stay In order to explain the business value in internalizing ethics in the company, Nobel Laureate economist Amartya Sen wrote a paper in 1993 that vividly described how denying business ethics is not only harmful but also impractical. In his words, business ethics are “crucially important in economic organizations.” Ethics make business sense because there is no other way for a business to survive in the long run. According to biologists, humans are naturally ethical. They have discovered the occurrence of mirror neurons in humans that create empathy for others, naturally. So, if individuals and organizations led by individuals are unethical, it is a conscious choice and not a default option, because otherwise, there will be chaos. Business ethics by default create multiple benefits, including customer trust, market reputation, and support from suppliers and other stakeholders including the government, civil society, and the media. This is why some organizations, despite the challenges, continue to be driven by business ethics. Ultimately, to them, it makes solid business sense. No matter the challenges, such organizations thrive in the long run, and goodness eventually prevails! For those looking to get an in-depth understanding of such topics, read Business Ethics Essentials You Always Wanted to Know. It is an easy-to-understand guide to all the essential business ethics concepts, including complex ethical frameworks, tests for ethical decision-making, and future trends in business ethics. This book is a part of Vibrant Publishers’ Self-Learning Management Series and is suitable for entrepreneurs, leaders, and professionals. This blog is written using excerpts from “Business Ethics Essentials You Always Wanted to Know” by Dr. Ritika Mahajan. Business Ethics Essentials You Always Wanted to Know Find out more about the book here: Link to the book: Business Ethics Essentials You Always Wanted to KnowAuthor: Dr. Ritika Mahajan Press Release: Vibrant Publishers Unveils “Business Ethics Essentials”– Your Guide to Ethical Business Success Also Read: What’s Ethical and What’s Not? A Guide to Ethical TheoriesEthics in Market Research The Social And Ethical Side Of Marketing

Introduction Business strategy refers to the process of creating goals, plans, and actions that can guide a company toward its ideal destination. Having a good business strategy helps companies compete in their target markets. Common types of business strategies include growth strategies, stability strategies, and retrenchment strategies. Growth strategies outline how a business can become more competitive in its market. Stability strategies, on the other hand, outline how a business can maintain its current market position. Lastly, retrenchment strategies outline how a business should respond to problems and failures. Key Components of Business Strategy Business Vision: To formulate a business strategy, you need to first determine the company’s direction. Create a vision/mission statement that reflects how you see your company evolving through the years. Goal-setting:  Once you’ve determined your company’s direction, set smaller objectives that can help the business get to where it wants to be. Create measurable goals that can help you see your progress more clearly. Resource Allocation: After setting your objectives, determine how you can use your human and capital resources to forward each goal. Proper planning, managing, and delegation can help you maximize returns on your investments. Management: Any business is only as good as its workers. Ensure that the people working within your organization can support its objectives. Prioritization:  Most business decisions involve trade-offs. Know what to prioritize and make choices that best benefit your company’s goals. Best Skills For Business Strategy Creativity:  Business strategy is all about blending information with imagination. Creative people can use business data to form ambitious business objectives and conceptualize ideas that can help the company meet said objectives. Leadership:  Strategies are nothing without action. Good leaders should motivate their people to act toward the business’ objectives. Flexibility:  No matter how thorough your strategy is, there will always be unforeseen circumstances that prevent you from following your plan exactly. Good leaders need to be shrewd enough to find new solutions when the unexpected arises. Careers In Business Strategy Project Manager:  Project managers ensure that businesses meet their short-term objectives by overseeing different business projects. They’re responsible for planning projects, including the project scope, timeframe, budget, resources, communication, and risk management. They then delegate tasks among people and monitor progress. Training And Development Managers:  Employees are the most valuable part of any company. As human resource professionals, training and development managers ensure that a business’ employees have the skills and knowledge they need to help their company complete its goals. Training and development managers assess their company’s training needs, then design effective training programs based on this information. Finance Managers:  If training and development managers focus on optimizing human resources, finance managers focus on optimizing financial performance. Finance managers use accounting to assess the financial health of their companies. They then use their assessment of the company’s financial capabilities to set financial goals and develop plans that outline how a business should go about achieving said goals. Business Development Analyst:  Business development analysts help businesses determine how to better compete with other organizations operating in their target market. Using thorough research on customer demographics, emerging industry trends, and competing organizations, business development analysts come up with improvements to existing business practices and strategies. How To Gain Business Strategy Skills Bachelors’ and Masters’ degrees in business administration can help you develop the skills you need to succeed in business strategy. There are also a number of online courses that can help you build a basic foundation of business strategy knowledge. Because business strategy is a very broad topic, many courses focus on applying the concept to specific contexts, such as digital business strategy, sustainable business strategies, and Agile. Vibrant Publishers’ Business Strategy Essentials You Always Wanted To Know can also teach you the building blocks of business strategy. This book features topics like SWOT analysis, strategy analysis, and environmental scanning. Businesses can best succeed when leaders outline a clear direction for the future and create concrete steps for achieving their goals. Through business strategy, businesses can gain a clearer picture of how they can succeed in their target markets. Read about all these concepts, and more, in Business Strategy Essentials You Always Wanted To Know.

Companies sometimes spend a lot of money to hire trainers or professional development coaches to teach their employees and C-suite executives how to master and use objective business communication for their day-to-day corporate responsibilities. This is a very expensive exercise that most small-and-medium-sized businesses cannot afford, but that doesn’t mean they shouldn’t make serious efforts to encourage their employees and managers to learn improved strategies for effective business communication. 4 Types of Business Communication Strategies What kinds of business communication strategies can you implement in your business? These are some of the business communication strategies you could discover through learning: Core message strategy: Your organization must have a definite core message it is trying to pass across to people inside and outside the organization. This core message will be directly linked to your organization’s vision/mission and can be seen as the reflection of your brand reputation. For instance, McDonald’s slogan “I’m Lovin’ It” is a core message for the popular fast-food restaurant which depicts the comfort and satisfaction that their customers express when eating there. The core message that would be conveyed in your communication with all stakeholders should be remarkable and memorable so that customers, suppliers, and investors can always relate to the message when presenting your organization’s image to others. Delivery strategy: How would you like to deliver your company’s core message? You could utilize reports, proposals, newsletters, emails, letters, and even presentations to deliver your business communication to those it is meant for, such as your employees, customers, suppliers, partners, etc. The delivery method must be customized and meet the preferences of the recipients. It is sensible to say that an investor would be happy to receive a report from an organization, meanwhile what customers need are just emails and newsletters — they possibly don’t have time to sit down and read 45-70-page reports about an organization’s products/services. Some companies have good and solid messages they want to send to their stakeholders, however, their delivery methods are the reasons why the recipients of those messages aren’t reading them. So, the delivery methods are as important as the business messages they carry. Social media strategy: It is fast becoming the modus operandi among organizations to predominantly use social media to send business messages to the stakeholders. In addition to being a fast and effective process, social media offers organizations the opportunity to reach many recipients at the same time. To use this medium properly, it is important to know the different types of social media platforms that are currently being utilized by businesses and learn to deploy them for the benefit of advancing a company’s business communication procedures. Feedback strategy: This is basically about hearing back from your stakeholders. In addition to using emails, memos, letters, and other means of communication, an organization can also obtain feedback/responses from their customers, partners, and employees via social media. Business communication is a two-way approach, meaning the organization and its stakeholders talk to each other through some or all of the above-mentioned media. So, getting the feedback strategy right can help a company maintain regular interaction with its customers, obtaining useful feedback that could be incorporated into other messages, including customer service, sales, and promotional messages. 3 ways to learn about these business communication strategies You can use any of the three ways highlighted below to learn more about the business communication strategies described above: Hiring a professional development coach: Most big organizations can afford to hire high-performance coaches to teach their employees about the best-in-town business communication strategies, even though it is sometimes an expensive venture. Sometimes, those organizations spend anywhere between $50,000 and $100,000 annually to bring coaches to their offices and properly train their employees. Unfortunately, this may be out of reach for most small and medium-sized businesses. Attending a business school or studying business-related courses:  If you have the time and are still willing to go to school, you may learn about the latest business communication strategies at colleges or business schools pursuing a course such as business management, business studies, etc. This will require an investment of time and money. If you are a very busy manager or CEO, you may not have the time to attend lectures. Read a book that comprehensively deals with the subject matter: This third option seems to be the most time-efficient and cost-effective approach you can take to learn more about the best approaches for carrying out your organization’s business communication processes. Grab a well-written and factual book over a weekend and teach yourself about the nitty gritty of business communication. Book cover of Business Communication Essentials You Always Wanted To Know by Vibrant Publishers. Business Communication Essentials is the go-to manual to learn the nuances of effective business communication. Our book, Business Communication Essentials You Always Wanted To Know (Business Communication Essentials), is prepared in a way that you can easily digest its content, quickly learning the latest business communication strategies that you can adopt in transforming your organization. The most interesting part is that it is designed as a self-learning resource that completely touches all areas of business communication. Not only that, but it also exposes some best secrets about how some successful companies in our world have transformed their business operations by mainly improving their business communication procedures. You will soon discover that doing business communication well is not as difficult as you may have been thinking; all you need to do is discover all the necessary nuggets of wisdom and knowledge packed in the Business Communication Essentials’ pages. Also Read: Business Strategy Essentials 101The Role of Digital Marketing in Today's Business EnvironmentWhat is Entrepreneurship and How Do You Set Up a Successful Business?

Every organization has both internal and external stakeholders it must constantly keep in touch with in order to remain operational. The internal stakeholders may include the organization’s employees, contractors, managers, executives, etc. Its external stakeholders may include its suppliers, customers, investors, partners, governmental agencies, etc. It is understandable that each stakeholder requires different levels or kinds of communication. As a matter of fact, each message sent out to any of the stakeholders must be precise and customized to satisfy the recipient’s requirements. This requires a lot of learning and practice before you can master it. If learned and implemented correctly, business communication can propel any organization toward success.  4 main reasons why business communication is important for a business’s growth For an organization to successfully meet its goals and vision/mission, it must proactively engage all the stakeholders connected to it. Highlighted below are five strategic reasons why every company must take its business communication seriously and do it properly to spark growth and achieve long-term success: 1. It connects all the dotsIt is practically impossible for an organization to smoothly carry out its statutory business operations without putting in place an effective communication strategy. There must be a clear and understandable guideline for those in executive or management positions in the organization to properly communicate with their junior colleagues or subordinates. More so, the employees would be required to exchange, with one another, ideas and information necessary to complete their assigned projects or duties. All these essential interactions that connect the dots are what is referred to as business communication. Organizations can utilize intranet, emails, letters, memos, etc. to keep all their internal and external stakeholders in the loop about all their business operations or activities. This action will surely remove misunderstandings and misinformation among stakeholders. 2. It will increase productivityWhen a company’s employees share the right amount of information with one another, as promptly as they need it, the company’s level of productivity will improve. This is because vital ideas required to successfully complete their assigned projects/duties respectively would be made available to them when they most needed them. For instance, when workers are not provided with the right information while on the job they may be unable to deliver quality as expected. This is because they do not have the data, information, or even documents to work with. Any organization that has this kind of poorly designed information-sharing model is bound to be slow and technically unproductive. Assume you are an employee in a manufacturing plant; if you don’t have access to the appropriate raw materials, you may be rendered redundant—this entails that you may not be able to perfectly carry out your duties at the plant. It is safe to say that effective business communication is the most important engine that powers every organization’s drive to maintain or increase its productivity level, otherwise redundancy will set in and that will drastically lower such organization’s production quantity. Business communication also allows managers, team leaders, and employees within an organization to smoothly and regularly organize meetings that will help them keep track of all the necessary work, and provide much-needed motivation for all the employees involved.  3. It conveys products’/services’ qualityA company’s customers may not exactly know the actual quality of its products/services unless the company first conveys it to them; as such, it is the duty of the company to communicate this to them in a clear and most understandable manner. And this is why business communication is regarded as a viable tool in customer relationship management (CRM) systems. Through periodical product information releases, newsletters, emails, catalogs, and even quarterly or yearly reports, an organization can constantly update its customers about the improvement in its products’/services’ quality. For example, software products need periodic updates to remain efficient, and IT companies undoubtedly rely on business communication to inform their customers about these important updates, or else it may be difficult for their customers to enjoy using the software products. The only instances whereby customers misused some products came from the fact the manufacturers of those products didn’t adequately communicate the proper uses of their products. This kind of problem mostly arises from small-and-medium-sized businesses or startups that are just developing a product and releasing it to the market for the first time. Due to the lack of adequate information customers of those businesses with poor business communication often ended up relying on their discretions to use the product. This approach isn’t the best to run a business, and customers may soon desert such a business with inadequate business communication procedures. 4. It helps organizations to build better relationships with stakeholders One of the famous quotes by Rollo May states that “communication leads to community; that is, to understanding, intimacy, and mutual valuing.” An organization needs to demonstrate that it values its contributions and/or the efforts of its stakeholders. In addition to bringing all stakeholders intimately together, communication can also create a feeling of community where every member does his/her best to make the organization function optimally. Without a unifying central message or pieces of important communication that bind all stakeholders to the organization, there will always be some level of misunderstanding. Therefore, business managers/directors, business management/studies students, founders, or entrepreneurs-to-be must learn the best and the latest business communication approaches. Business Communication Essentials helps organizations build a strong business communication strategy Vibrant Publishers’ book Business Communication Essentials You Always Wanted To Know provides a comprehensive outlook on the theme of “Business Communication”, highlighting the different aspects of business communication and procedures necessary for perfectly engaging in successful communication with all the stakeholders in a business. It is designed to be an easy-to-understand, self-study book that touches on every area of business communication. Reading it will empower you to systematically transform the way you or your organization does business communication. Also Read: Business Strategy Essentials 101The Role of Digital Marketing in Today's Business EnvironmentWhat is Entrepreneurship and How Do You Set Up a Successful Business?  

Some start-ups become money-generating empires while others just remain small businesses. Some ventures sustain while others brutally collapse. At one point their names would be on everyone’s lips, and then they turn into ghost towns. All these successful and failed ventures are divided by a thin line that is drawn by a business strategy. Having a good business strategy will ensure you’re in the safe zone. Whereas a bad one, or no strategy at all will leave you threatened to fall. If you have a business of your own or are thinking of starting one, you must know the importance of a business strategy. But there is a huge difference between knowing what a strategy is and creating a good one. Based on the book Business Strategy Essentials You Always Wanted To Know by author Callie Daum, this blog will clarify your basics about a business strategy and give you tips to formulate a good one.   What is business strategy? A business strategy is a blueprint of the course of action an organization must take to achieve its mission, vision, and goals. Business strategy and strategic management are one and the same. Therefore, it involves not only creating a strategy but also successfully implementing it using appropriate management tools. A business strategy is designed to create value for the company or business. But that value need not only be in terms of sales or profits. A good business strategy also involves ensuring great leadership, communication, and effective management to improve the overall performance of the company’s workforce. A well-thought-out business strategy can be a great tool to push any organization toward success.   How to make a good business strategy? The 3 key steps involved in creating a business strategy In Business Strategy Essentials, author Callie Daum pours out her 20 years of experience in project management and strategic development to comprehensively explain what goes into creating a good business strategy. These are the steps that she discusses in her book: 1. Environmental Scanning Understanding your environment is the first and most crucial step that needs to be checked off before making your business strategy. Callie explains that environmental scanning needs to be done for both external and internal factors. External factors involve knowing the industry cycle, market trends, and your competitors. On the other hand, internal factors involve assessing the environment within your organization, such as employee communication, and management activities.  A SWOT analysis is an excellent tool that can be used to conduct environmental analysis. You can use this template to perform a SWOT analysis for your business Callie’s book has detailed chapters dedicated to explaining internal and external analysis as well as a guide on exactly how to perform a SWOT analysis for your business. 2. Formulating a business strategy Now that you understand your business environment, it is time to make a strategy that will help your business thrive in that competitive environment. A good start would be writing a business statement or a strategic statement. A business statement involves the following components: strategic intent, mission, vision, and objectives. Though this may seem fairly simple, clearly defining your business's intent and mission is crucial to creating a strategy that will help you achieve your goals. To create a fool-proof business strategy, you need a thorough understanding of various core concepts like strategy levels, competitor rivalry, behavior, and competitor dynamics which have been explained exhaustively in Business Strategy Essentials. 3. Implementing and evaluating After creating a foolproof strategy, it is also important to create a foolproof plan to implement that strategy and keep evaluating it from time to time. For smooth execution of business strategy, it is also important to have a fixed structure of organization in your company. This will ensure that there are adequate people in place to make important decisions and execute your business strategy. Business strategy essentials provide thoroughly researched flowcharts of organization structures that are known to work in the real world.   So why do businesses fail? Answering the question that we first started with is now easier as we know what goes into creating a business strategy. Simply put, drawbacks or poor execution in any of the steps given above will lead to a poor business strategy and a poor outcome. For example, if you miss an important market trend while carrying out environmental scanning, you will miss out on a huge opportunity to make profits. Or if the structure of hierarchy in your organization is haphazard, no action will come to fruition even if you have your goals and strategies in place. Business Strategy Essentials comes in as a great resource for individuals to understand the core concepts involved in creating a business strategy. It comes in useful for business starters and also those who are looking to expand their business and re-evaluate their strategy. Moreover, it also includes case studies of both successful and failed businesses to really help you understand where businesses go wrong or right and what you need to do with your business. You can also refer to our Business Strategy Essentials 101 to learn about the skills and careers related to business strategy. To buy Business Strategy Essentials, click here or visit Amazon.    

  In today's rapidly evolving business landscape, the dream of becoming a successful entrepreneur is more prevalent than ever. However, the path to entrepreneurship is paved with challenges and uncertainties. To navigate this complex journey, "Entrepreneurship Essentials You Always Wanted To Know" serves as a comprehensive and practical guide for aspiring entrepreneurs. Written in a concise and accessible manner, this book is part of the Self-Learning Management series, aimed at providing essential knowledge and skills to individuals eager to delve into the realm of entrepreneurship. Dr. AnnaMaria Bliven, an experienced entrepreneur herself, brings a wealth of practical insights and real-world examples to enrich the content. One of the strengths of this book is its structure. It covers a wide range of topics, from the fundamental principles of entrepreneurship to more advanced strategies for sustainable growth. Each chapter focuses on a specific aspect, providing a well-rounded understanding of the entrepreneurial journey. Moreover, the content is organized in a logical progression, allowing readers to easily follow and apply the concepts discussed. The book begins by exploring the mindset and qualities of successful entrepreneurs. It highlights the importance of self-awareness, resilience, and adaptability, emphasizing that entrepreneurship is not merely about starting a business but also about personal growth and continuous learning. This introspective approach sets the foundation for the subsequent chapters, which delve into market research, opportunity identification, and business planning. What sets this book apart from others is its emphasis on practicality. Throughout the pages, readers are presented with practical exercises, checklists, and case studies to reinforce the concepts discussed. These interactive elements encourage active learning and enable readers to apply the knowledge gained directly to their own entrepreneurial endeavors. Another commendable aspect is the inclusion of ethical considerations and social responsibility in entrepreneurship. The book emphasizes the importance of conducting business with integrity, considering environmental impact, and fostering inclusivity. This aspect adds a refreshing dimension to the entrepreneurial discourse and reminds readers that business success should not come at the expense of ethical principles. Entrepreneurship Essentials You Always Wanted To Know serves as an excellent starting point for beginners, who can further explore specific areas of interest in subsequent readings. In summary, "Entrepreneurship Essentials You Always Wanted To Know" is a valuable resource for aspiring entrepreneurs seeking practical guidance on their journey. The author's experience shines through, making the content relatable and engaging. By blending theory with interactive exercises, the book encourages active learning and fosters a mindset geared towards entrepreneurial success. Whether you're an aspiring entrepreneur or a seasoned business professional looking to expand your knowledge, this book is a worthwhile investment in your entrepreneurial journey. This is a review by Kenyatta Johnson on Vibrant’s Entrepreneurship Essentials You Always Wanted To Know Related Blogs -  5 Reasons to Adopt Intrapreneurship in Your Company Financial Management for Small Business Owners Follow These Tips to Get Started (And Succeed) As An Online Entrepreneur