Page 8 - 5.2 i. Manac Finance ITC Summarised Notes
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STRATEGY AND GOVERNANCE
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Strategy development
• Strategy involves outlining of long-term activities to achieve the
purpose set out in the mission statement and ultimately moving
towards realising the vision.
• The choice of activities is important because it should provide a
competitive advantage and thus, be sufficiently different from
that of competitors.
• The formulation of strategy involves both conceptual and
analytical thought processes. Furthermore, it should display
thorough knowledge of the operating environment of the entity.
• Stakeholders are those persons and entities that are affected by
the activities of the entity and therefore, have an interest in the
strategy of an entity.
• Stakeholders can influence the choice of strategy and its
successful implementation.
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