Business strategy provides a set of policies, objectives and plans to strive the business from one point to the next desired point within a clearly defined business scope (Rubin et al., 2015). Through strategy evaluation, the success, survival and or possible failure can be foreseen and appropriate action taken to adjust the strategy criteria towards the desired outcomes. Therefore, evaluation of strategy can be considered as a function of business performance with regard to efficiency and effectiveness.
Strategy Element # 2– Defensive Strategy/ Weakness to opportunity
The business is anchored on the defensive strategy that respond to weakness through opportunity. For instance, the weakness of high sugar products in the market is responded to through creation of new low sugar products in the market. This strategy must be assessed with regard to the strategy evaluation criteria which includes; consonance, consistency, feasibility and advantage (Yin et al., 2016). Consonance criteria alludes that the strategy must be adaptive in responding to the external environment and any other change that it may be critically exposed to. Consistency requires the identified opportunities to eliminate any occurrence of mutually inconsistent expectation (weakness). For the strategy to remain advantageous, then it need to remain competitively outstanding with regard to preference and market demand. Feasibility criteria on the other hand, alludes that the strategy of the business should not overtax the business but rather allow the business to remain sustainable in executing other duties such as sales and distribution.
The effectiveness of this strategy can be evaluated based on the performance metrics which can directly be measured and correlated to the strategy. In this case, the metrics will include but not limited to; level of profit (high or low) and procedure. For instance, the strategy will be considered viable when the profit accrued as a result of its implementation is comparatively good.
Strategy Element # 3– Threat to Opportunity Strategy
The business can similarly act on the threat by changing them into opportunity. For instance, nutritional labels that scares away potential customers with regard to high sugar content can be eliminated by designing a brand that offers low sugar content. In such a way, all the customers who are threatened by the nutritional values will be attracted to the created opportunity. This strategy can also be evaluated based on the criteria similar to ones used in strategy 2. The assessment metrics will include profit levels, market demand, number of customers, product movement in the market amongst other metrics (Punt et al., 2016). For instance, when the demand for the new product becomes high, it can be considered as a function of shift from the previous product to the new product.
References
Punt, A. E., Butterworth, D. S., Moor, C. L., De Oliveira, J. A., " Haddon, M. (2016). Management strategy evaluation: best practices. Fish and Fisheries, 17(2), 303-334.
Rubin, K. H., Holmberg, T., Rothmann, M. J., Høiberg, M., Barkmann, R., Gram, J., ... " Brixen, K. (2015). The risk-stratified osteoporosis strategy evaluation study (ROSE): a randomized prospective population-based study. Design and baseline characteristics. Calcified tissue international, 96(2), 167-179.
Yin, R., Kiliccote, S., " Piette, M. A. (2016). Linking measurements and models in commercial buildings: A case study for model calibration and demand response strategy evaluation. Energy and Buildings, 124, 222-235.
