Sourav Mitra - Livemint.com
Member since 12-18-2007
Last visited 08-28-2008
Timezone 5.00 GMT
About Me
"Strategy Muse” is a journal of strategies that businesses across the globe are currently employing to enhance income and / or control costs while seeking and attaining their own uniqueness from the perspective of their customers, as a source of information and inspiration for others across companies, industries and regions. 1. It will showcase what businesses are actually doing to achieve their objectives - an implicit indication of their conviction about what will work from the perspective of: a) their circumstances (i.e. industry structure, bargaining power and threats of new competitors and new products); and b) their aspirations (i.e. vision, mission and plans). More than showcasing only elusive strategies with academic elegance and magical effectiveness, it will also showcase real practicable strategies that are actually being implemented by businesses and reported in the news - the mundane yet unavoidable marketing, financing, manufacturing, servicing, and staffing strategies: price cuts and price hikes, job cuts and fresh hiring, share issue and share buybacks, marketing offensives and marketing defensives, in-house manufacturing and outsourcing etc. Because even frontrunners in strategic innovation who keep leaping through new windows of opportunity providing unique new and perhaps customized offerings to customers, cannot and do not overlook such mundane aspects in their quest for their own uniqueness from the perspective of their customers. 2. It was created for action-focused corporate karmayogis who are constantly looking for ideas to boost income and / control cost in the action points of the business news. a) The uninitiated will get acquainted with the ways of business. b) Experts and veterans may decipher continuities and changes in strategy trends worth heeding, reassess levels of conviction or doubt about planned strategies, and perhaps even discover inadvertent blind spots in their own strategies from real world examples. c) It may prove to be a useful starting point for business brainstorming sessions (say those Monday morning meetings). Human Resources teams of businesses may consider circulating the blog URL or the latest “Pick of the Week” URL to all employees on a weekly basis as a part of their “Employee Inspiration Program”. 3. Its posts are titled simply as “How they boost income” and “How they control costs” with a unique date reference. Each of these posts has multiple stories in brief lucid bullet-point abstracts as quick recaps from the business news, with links to the source of the story. 4. The posts are classified into Income Boosting Strategies (“How they boost income”) and Cost Saving Strategies (“How they control cost”) for easy assimilation because: a) Every business is essentially about Buying (Expenditure) and Selling (Income). [For a trader, manufacturer or service provider to be able to sell his goods, manufactures or services he may need to buy finished goods, raw materials, infrastructure, machinery, technology, services of employees and service providers, and / or finance] b) Everyone involved in business is directly or indirectly burdened or involved with the achievement of an Income target and / or an Expenditure target so their radars pick up signals for boosting income and controlling cost more readily. c) Income and Expenditure are metaphysical destinations of Business Strategy. Every business strategy ultimately impacts Income or Expenditure or both. So classifying business strategies on their impact on Income and Expenditure is likely to subsume all theoretical and practical classifications. For example, Income Strategies are likely to feature instances of C.K.Prahalad's Core Competence Strategies and Fortune at the Bottom of the Pyramid Strategies, Michael Porter's Market Focus Strategies, Product Differentiation Strategies and Cost Minimization Strategies that are used to pass on price reductions for customers, General Electric's Profit Impact of Marketing Strategies, and Richard Rumelt's Leaping through the Window of Opportunity Strategies etc. Expenditure Strategies may include Michael Porter's Cost Minimization Strategies that are not used to pass on price reductions to customers, C.K.Prahalad's Core Competence Strategies, and General Electric's Profit Impact of Marketing Strategies etc. 5. The ‘mission’ of ‘Strategy Muse’ is to inform, inspire and enhance the Business Strategy Quotient of readers in search of ideas to meet their own income and / or expenditure targets with abstracts from the business news. Its ‘vision’ is a business world in which everyone involved is strategically enlightened enough to assess the ‘mission’ and ‘vision’ of their business and appreciate and consummate their own importance in its strategic quest. 6. ‘Strategy Muse’ was conceptualized and is compiled by Sourav Mitra, a very reluctant chartered accountant. He has done time in diverse workpits - from tiny CA firms to giant industry leading MNCs. At last count he was AVP Finance in an outsourced staffing company. He has a healthy interest in strategies that businesses employ to boost income and cut costs. What he finds he will share with you to adopt, adapt or avoid intelligently as you steer your business to higher income at lower cost with absolutely or relatively unique offerings for customers.
Total Posts 227
Post Rank 1
  • Wednesday, August 27, 2008
    Posted at 9:41:00 PM
    Coca-Cola, beverage giant, which seemed to have lost its design savvy in the absence of consistent global design standards: 1. It is trying to boost income through the marketing mileage of good design. 2. Its design leaders are tirelessly advocating good design. 3. It has begun a review of the 350 brands in the company's portfolio, focusing first on megabrands such as Coke. 4. It is implementing its design strategy surreptitiously by avoiding the word "design" as much as possible and talking about the benefits of smart design. 5. It.
  • Sunday, August 24, 2008
    Posted at 4:42:00 PM
    INCOME BOOSTING STRATEGIES IBM, infotech giant: 1. It is focusing on forming partnerships to take its speech recognition and translation technologies to market, while spreading the risk, and improving ability to address the relatively small niche markets that include applications including autos, mobile phones, call centers, medical systems, and transcription services. [Partners include Vlingo, PhoneTag, and Jajah] 2. It has built some of the technology into products sold by its software and services business. 3. It is focusing on commercial opportunities.
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  • Saturday, August 23, 2008
    Posted at 10:17:00 PM
    Baugur, the Icelandic retail investment group with strategic investments or controlling stakes in retailers, department stores, jewellery chains, womenswear chains, and fashion conglomerates: 1. It makes an overwhelming majority of its investments in food, department stores and fashion chains. 2. It made an offer to purchase Woolworths' retail division to manage it more efficiently, with better ranges and availability. It will not put frozen food into a large number of Woolworths stores 3. It lets the management teams of its retail investments.
  • Saturday, August 23, 2008
    Posted at 10:09:00 PM
    Reliance Industries, India's largest private sector company that is highly profitable but still under increasing cost pressures: 1. It has always been very prudent about costs. It has set world records in low project execution costs. 2. It has taken up high costs as a major issue, especially in its subsidiary Reliance Retail to cut down avoidable costs 3. It has issued strict guidelines on unnecessary travel, mode of travel, courier despatches, use of stationery in office, use of cabs and type of accommodation while on tour, and even on the.
  • Friday, August 22, 2008
    Posted at 10:07:00 PM
    Apple, converging technology company which launched its 3G iPhone this year: 1. It boosted its production plans when initial sales proved stronger than the company expected. It will build 40 million to 45 million iPhone 3Gs in the 12 months through August 2009 instead of the initial plan for 30 million units. 2. It will sell the iPhone 3G in an ever broader circle of countries. It was to sell in 20 more countries on Aug. 22. In 2009 it will also sell in Russia and China. 3. It expanded distribution to include 986 Best Buy stores. 4. It is reducing.
  • Friday, August 22, 2008
    Posted at 10:01:00 PM
    Fresenius, the health-care company best known for its kidney dialysis products and services: It exploited the exchange rate (strong euro, weak dollar) to make a major acquisition - U.S. drugmaker APP Pharmaceuticals - for $3.7 billion. [Click here for full story at Businessweek.com] Purchases in weak currency countries = cost savings * * * * * * * * * * Hyundai and Kia, South Korean carmakers of the Hyundai Group: They share engines and some components though they are largely separate. [Click here for full story at Businessweek.com] Sharing engines.
  • Thursday, August 21, 2008
    Posted at 9:30:00 PM
    Blizzard Entertainment, creator of a string of best-selling, industry-shaping PC games including the world's most popular and profitable online game, World of Warcraft: 1. It makes fun games that are easy enough for casual players and deep enough to attract and hook hard-core players (Simple to learn, difficult to master is the holy grail of game design) 2. It champions creativity, both productive and experimental, inspiring enduring devotion from paying players. It gets improvements from employees who endlessly play and replay games both on.
  • Tuesday, August 19, 2008
    Posted at 10:05:00 PM
    Hyundai and Kia, South Korean carmakers of the Hyundai Group: 1. They have spent billions to go upmarket: Hyundai's new Genesis sedan will start at $33,000. Kia's new Borrego midsize SUV will start at $31,745 2. They will not abandon its strength in entry-level models 3. They are focused on fuel-efficiency and Hyundai is only a fraction of a mile per gallon Honda and Toyota. 4. They have improved product quality and some Hyundai and Kia models are among the leaders in J.D. Power quality surveys in the U.S. 5. They will more than double its.
  • Saturday, August 16, 2008
    Posted at 11:42:00 AM
    INCOME BOOSTING STRATEGIES Food companies, faced with limits on junk food ads on TV because of the worry that bombarding kids with ads for non-nutritious foods fuels the obesity epidemic: 1. They now market junk food to kids via the Web partly because there are no rules reining in advertising online. 2. They spread messages through social networks where kids create the ads and share them with their friends 3. They reach young people with behavioral targeting, which delivers ads based on a person's Web-surfing habits. [New online advertising.
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  • Friday, August 15, 2008
    Posted at 8:00:00 PM
    Dell, computer maker: 1. It is trying to create a potent alliance among Apple's many rivals, from cell-phone makers and record labels to online music sites to persuade consumers to try new devices and services than Apple's iPod which is tied only to its iTunes. 2. It will create a broad standard, more open than Apple's, that will give people greater choice in how they buy and consume music, movies, and podcasts. 3. It will give other companies the software to help establish the standard and will make its money selling PCs and other hardware.
  • Friday, August 15, 2008
    Posted at 7:54:00 PM
    Lehman Brothers Holdings Inc., financial firm with exposure to the mortgage market collapse: 1. It is seeking to sell about $14 billion of its $40 billion in property related assets by the end of the year (it has a $29.4 billion commercial mortgage portfolio and $10.4 billion of property) 2. It has already trimmed the mortgage holdings by 23 percent 3. It has sold $147 billion of other assets 4. It has increased cash holdings [Click here for full story at Bloomberg.com] Disposing unproductive assets = cost savings Increasing cash holdings = avoidance.
  • Thursday, August 14, 2008
    Posted at 9:00:00 PM
    Strauss Group, an Israeli coffee outfit: 1. It has boosted income in the past through cooperation (with Danone in yogurt; with Unilever in ice cream). 2. It ventured into the larger and fragmented wholesale roast and ground coffee market instead of the instant coffee market dominated by Nestle and Kraft Foods. 3. It made acquisitions in countries where coffee drinking is either strongly entrenched or taking off in popularity with newly affluent consumers. 4. It formed a joint 50-50 venture with Lima Brothers in Brazil, established its own local.
  • Tuesday, August 12, 2008
    Posted at 9:51:00 PM
    Soho China, Hong Kong-listed commercial property developer: 1. It focuses on commercial mixed-use properties in Beijing that include retail space as well as integrated office and residential units. 2. It focuses on prime locations - particularly the city's central business district 3. It will increase the portion of investment properties on its books instead of selling of all its property projects because of the optimism about the rental development for prime retail space. It will hold about 1 million square metres of commercial space in central.
  • Tuesday, August 12, 2008
    Posted at 9:35:00 PM
    Multinationals like Cisco, Motorola, General Electric, and Hewlett-Packard: They are increasing R&D initiatives in India because: a) The quality and experience of India's huge technical workforce is rising supplemented by an influx of returnees from the U.S., Britain, and Australia, many boasting years of managerial and R&D experience at Western corporations. b) Salaries in India are still at the most about one-third of salaries in the U.S. [Click here for full story at Businessweek.com] Moving work to low cost regions = cost saving.
  • Sunday, August 10, 2008
    Posted at 5:52:00 PM
    INCOME BOOSTING STRATEGIES Ford Motor, U.S. Carmaker: 1. It has nearly caught up with Toyota Motor in quality. 2. It hired Toyota's marketing head in the U.S. 3. It sought the most forward-thinking and creative talent and put together a team of 20 handpicked copywriters, art directors, and Web-focused creative talent from a cross-section of disciplines and backgrounds; among them are freelancers and staffers from inside and outside WPP. 4. It invited 30 influential dealers to a marketing confab to critique the three new slogans and brand strategies.
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