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Any great management consulting has a toolbox of classic and modern business strategy analysis tools. Consulting firms and consultants employ these frameworks to look at, understand, and think about an eclectic assortment of business problems, which occur in different business situations. Over the past several decades, top consultancies, including McKinsey and BCG, have developed frameworks that are widely used in the corporate world today. Many such frameworks and concepts hinge on the original teachings of Michael Porter, the founder of modern day business strategy. This approach is sometimes linked to developing a pricing strategy model for a new product or service. Price skimming strategy involves bringing the new product or service at a relatively high price point. However, building a pricing strategy powerpoint focuses one keydecision initially: whether to skim the market or penetrate the market. Penetration pricing involves bringing a product or service at a low initial entry price , often lower than competitive products in the market. For traditional growth strategy thinking, many people rely on the well established business framework Porter?s Five Forces, developed by Michael Porter. In Porter?s Five Forces, we analyze 5 forces that affect any industry, which include internal rivalry, threat of new entrants, customer power, supplier negotiation power, and threat of substitution products. Through this framework-based business evaluation, a business can decide on its competitive strategy, which falls into either one of four focus areas: cost leadership, differentiation strategy, cost focus, or differentiation focus. A pervasive business problem many business analysis frameworks aim to solve is the challenge of achieving sustainable growth. Furthermore, real revenue growth fluctuates more than ROIC ranging from 1% to 11%. The fact is that most companies have difficulty achieving significant growth, year over year. Between the 1960s and 2010, Fortune 500 companies experience a median growth rate of in less than 6% in real terms (and under 10% in nominal terms). There are a number of paths to growth, which fall under the two buckets of expanding business scope and increasing value from current business. To expand the business scope, a company can expand into new segments, expand into new categories, develop new products and services, cultivate new brands, develop new formats and distribution channels, and expand regionally. To increase the value from the existing business, a company can improve upon its value proposition, strengthen customer relationships, optimize pricing, penetrate new markets with their existing products, and optimize its product mix. In particular, enterprisecompanies struggle to grow. Only about a third of the Fortune 500 companies are able to sustain sales growth above the national GDP and generate returns above the Standard & Poors 500. Also, 90% of them are concentrated across the 4 sectors of Financial Services, Life Sciences, Technology, and Retail. Companies that have greater than 20% sales growth almost always dwindle down to 8% within 5 years. For those companies that do achieve high growth rates, these growth rates also decay rapidly. Clear business communication is oftentimes taught under a business framework. Well known ones include Pinto?s Pyramid Principle, which is commonly used by management consultants and business executives in structuring ppt presentations. The Pyramid Principle is intertwined into the presentation storyboarding process. Crawl Walk Run is a popular framework for representing the progression of organizational change,from an early crawl stage eventually to walk-type activities and ultimately to the run phase of technology-enabled processes.
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