In order to provide executives with a better understanding of the nature and purpose of strategy, the author defines and discusses strategy‐related terms, concepts, and principles and shows how they are applied in practice. Strategy is one element in a troika that also includes policy and resources. The author explains the causal relationship between the elements of the troika and the plurality of inputs, options, and outcomes that characterize effective strategy. Case examples from GE and other firms are included.
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