John Kay

Applies modern economic theories to guide managers in creating successful corporate strategies. This is a book on corporate strategy that uses of the most modern theories in economics to show managers how to succeed in the markets in which they compete. The author takes the position that firms have unique strengths that they must understand and exploit. These strengths will be in four general areas: 1) Their reputation, 2) how well they create innovative new products or services, 3) what special strategic assets, or market position, they may have, and 4) how they are organized and how they operate, or what "architecture" they may have. The book has an international focus in that strategies are applied to firms doing business in different countries. The author's UK book,Foundations of Corporate Success was very successful, and this book is derived from it. For the U. S. edition the author has substituted many American examples, such as Disney, Caterpillar, Walmart, and the Boston Celtics.

How did BMW recover from the edge of bankruptcy to become on of Europe's strongest companies? Why did Saatchi and Saatchi's global strategy bring the company to its knees? Why has Philips's outstanding record in innovation not been translated into success in the market? What can be learnt from the marriage contract about the conduct of commercial negotiations? These are some of the questions addressed as John Kay asks `What makes a business successful?' Drawing on his own business experience and on concepts in economics, legal theory, and sociology, the author presents a fresh approach to questions of business strategy. He rejects the military analogy which underpins much strategic thinking, in which success depends on size and share, on vision and leadership, on shifting patterns of mergers and alliances. John Kay argues that outstanding businesses derive their strength from a distinctive structure of relationships with employees, customers, and suppliers, and explains why continuity and stability in these relationships is essential for a flexible and co-operative response to change. By integrating organizational and financial perspectives on the performance of the firm, Kay not only gives insights into the creation of effective business strategies, but sheds light on the success - and failure - of national economies. As the single market develops, this book - full of insight and rigour, yet lively in style - is probably the most important European contribution to strategic thinking for many years. It will be vital reading for all who want to understand what distinguishes the successful company.

How did BMW recover from the verge of bankruptcy to become one of Europe's strongest companies? Why did Saatchi and Saatchi's global strategy bring the company to its knees? Why has Philips' outstanding record in innovation not been translated into success in the market? What can be learned from the marriage contract about the conduct of commercial negotiations? Drawing on his own business experience and concepts in economics, legal theory, and sociology, John Kay presents a fresh approach to questions of business strategy. He rejects the military analogy that underpins much strategic thinking, in which success depends on size and share, on vision and leadership, on shifting patterns of mergers and alliances. Kay argues that outstanding businesses derive their strength from a distinctive structure of relationships with employees, customers, and suppliers, and explains why continuity and stability in these relationships is essential for a flexible and co-operative response to change. By integrating organizational and financial perspectives on the performance of the firm, the book not only offers insights into the creation of effective business strategies, but also sheds lights on the success, and failure of national economies. Now that the single market is upon us, this lively, perceptive book is probably the most important European contribution to strategic thinking for many years.