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Domain Thinking & Strategy

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0% found this document useful (0 votes)
157 views18 pages

Domain Thinking & Strategy

Uploaded by

ZAHID
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
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Triple Domain Strategy

Crafting Strategic Moves | Creating Sustainable Competitive Advantages

SHEIKH MORSHED JA HAN


P R O F E S S O R , I B A , U N I V E RS I T Y O F D H A K A
S M J @ I B A - D U. E D U | + 8 8 0 - 1 8 2 8 - 6 4 - 9 8 7 5
Agenda
1. Domain Thinking: Triple Triangle Framework (TTF)
❑ TTF, a Comprehensive Framework for Exploring the Strategy Context
❑ TTF Domains: Firm Domain, Industry Domain& Extra-Market Domain
❑ TTF-led SWOT Synthesis

2. TTF-led SWOT & Strategic Insights


3. Advocating Policies around TTF Domains
4. Know Your Company: Case by TTF (Home work for Next class)

© SHEIKH MORSHED JAHAN ([email protected]) 2


Strategy… NOT in vacuum, but in CONTEXT

© SHEIKH MORSHED JAHAN ([email protected]) 3


Domain Thinking
Triple Triangle Framework (TTF)
by SMJ (2008)

© SHEIKH MORSHED JAHAN ([email protected]) 4


Domain Thinking
Triple Triangle Framework (TTF)

TTF is an analytical framework that helps strategists explore enterprise


competitiveness issues pertinent to three different levels of relevance.

These levels are:


◦ Enterprise Level
◦ Industry Level
◦ Facilitation Level

© SHEIKH MORSHED JAHAN ([email protected])


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TTF Domains
Macro (Facilitation)
Enterprise Domain Industry Domain
Domain
• Issues are internal • Issues arise from • Issues come from
to an enterprise industry structure wider business
or market ecosystem
• Largely controllable dynamics
• Acknowledgeable
• Represented by • Influence-able, only (in almost all
“inner triangle” depending on the cases)
relative power of
the enterprise • Represented by
“outer triangle”
• Represented by
“middle triangle”

© Sheikh Morshed Jahan


© SHEIKH MORSHED JAHAN ([email protected])
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Enterprise domain issues arise from within
the the organization/enterprise.

Enterprise 3Cs
• Technical Capabilities
• Managerial Capabilities
• Marketing Capabilities
Capabilities • Technological Capabilities

• Intellectual Capital: Patents, IPRs, Trademarks


• Financial Capital (Equity and Credit): Availability, Accessibility, affordability
• Social Capital: Network, Goodwill/image, brands
Capital • Physical Capital: Land, Building, Factories, Distribution Logistics, etc.

• Mission, vision, values, philosophy


• Organizational ethics, work attitude, etc.
• Leadership, innovation, agility
Culture • Entrepreneurial mind-set, risk attitude, growth orientation

© Sheikh Morshed Jahan


© SHEIKH MORSHED JAHAN ([email protected])
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Industry domain issues arise from the core of the
market system, immediately outside the firm-domain.
It involves key market and non-market actors.

Industry 3Cs
• Market Structure: Number and Size of Competitors, Concentration
• Behavior of Competitors: Fair play? Cut throat?
• Competitors’ Power: Source? Strength?
• Substitutes/Emerging Alternatives
• Domestic, International
Competitor • Competition Law: Regulations vis-à-vis Market Power/Behavior

• Collaboration with Value Chain Actors: Backward (Upstream) and Forward (Downstream) Market Segments
• Value Chain Governance: Nature of Collaboration among Value Chain Partners
• Collaboration with Support Industries
• Collaboration with Non-market Actors: Facilitators and Regulators
Collaborator • Power and Stake of Collaborators

• Market Size: current, forecast/growth potential


• Market Segments: demography, geography, ethnography, etc.
• Customer Preferences: Price, Convenience, Package, Image, Trends
• Market Attractiveness
Customer • Customer Power

© Sheikh Morshed Jahan

© SHEIKH MORSHED JAHAN ([email protected])


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‘Extra-Market’/Macro Facilitation Domain
issues arise from the wider environment that is
a part of the overarching business ecosystem
Macro 3Cs
• Social Values and Norms, Culture, Demography,
• Political & Legal Regime: Policies, Laws, Regulations, Institutions
• Macroeconomic Stability and Security
Country Context • Environmental Considerations
(State & Society) • Physical and Social Infrastructure (Health, Education, Skills, Connectivity, Communication, Transportation…)

• Technological Revolutions
• Technological Clock-speed
Creative Context • Technology Transfer: Accessibility, Adoptability
(Technology & • Technology Divide
Innovation)

• Global Trade & Investment Regime


• Bi-lateral and multi-lateral relationships, International Non-market Preferences/Obstacles
Cross-border Context • Globalization and Global Value Chain Dynamics
(Globalization & Int’l • Trade blocks, International agencies and Partnerships
Forces)

© Sheikh Morshed Jahan

© SHEIKH MORSHED JAHAN ([email protected])


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Mapping a
TTF-led SWOT Synthesis

Domain Positive Negative


Enterprise STRENGTHS WEAKNESSES
Domain

Industry OPPORTUNITIES THREATS


Domain

Macro OPPORTUNITIES THREATS


Domain
© Sheikh Morshed Jahan

© SHEIKH MORSHED JAHAN ([email protected]) 10


TTF-led SWOT Synthesis
Strategic Implications for Business

Domain Positive Negative


Enterprise STRENGTHS WEAKNESSES
CAPITALIZE ON IMPROVE/ADJUST
Industry OPPORTUNITIES THREATS
GRAB? My piece of PIE? PROTECT? Go BLUE OCEAN?
Macro/Extra- OPPORTUNITIES THREATS
market GRAB? My piece of PIE? PROTECT? Go BLUE OCEAN?
© Sheikh Morshed Jahan

© SHEIKH MORSHED JAHAN ([email protected]) 11


Domain Thinking
TTF Policy Imperatives

© SHEIKH MORSHED JAHAN ([email protected]) 12


TTF Policy Imperatives
for Growth Acceleration (promotion agency perspective)
# 1: Responding to Firms’ Internal Priorities …
Helping firms solve their own problems

◦ Developing human resources ... Availability of


people with right knowledge, skills and
attitude at all levels – entry, mid and senor.
◦ Improving access to finance, information,
technology, BDS and market
◦ Igniting an entrepreneurial culture and
promoting decent workplaces

© Sheikh Morshed Jahan

© SHEIKH MORSHED JAHAN ([email protected])


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TTF Policy Imperatives
for Growth Acceleration (for promotion agency perspective)
#2: Impacting the Market System …
Improving the behavior of market actors,
all along the value chains and beyond

◦ Incentives for desired market behavior and


disincentives for unhealthy market
practices … level playing field, consumer
rights, competition, etc.

© Sheikh Morshed Jahan


© SHEIKH MORSHED JAHAN ([email protected])
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TTF Policy Imperatives
for Growth Acceleration (for promotion agency perspective)

#3: Creating and sustaining an MSME- Policy


friendly business environment … Enabling
policies, institutions and infrastructure
facilitating innovation and technology
transfer as well as integration into global
value chains Institution

◦ Mutually reinforcing policies. Institutions


and infrastructure Infrastructure

© Sheikh Morshed Jahan

© SHEIKH MORSHED JAHAN ([email protected])


15
What’s your Strategy Formulation Approach?

© SHEIKH MORSHED JAHAN ([email protected]) 16


Individual Exercise
Know Your Company: Case by TTF

Perform the TTF analysis of your company, keeping certain


strategic dilemma that the company is facing/addressing.

Based on the TTF analysis, derive the SWOT synthesis matrix.

Based on the above, offer your strategic recommendations.

Submission deadline: at least 6 hours before the next class

© SHEIKH MORSHED JAHAN ([email protected]) 17


Thank you

© SHEIKH MORSHED JAHAN ([email protected]) 18

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