Bad strategy ignores external threats and opportunities from "summary" of Good Strategy Bad Strategy by Richard Rumelt
Bad strategy ignores external threats and opportunities, failing to acknowledge the importance of the external environment in shaping the success or failure of a strategy. This can be a critical mistake, as the external landscape is constantly evolving and can have a significant impact on the organization's ability to achieve its goals. A good strategy, on the other hand, takes into account the external threats and opportunities facing the organization, incorporating them into its planning and decision-making processes. By being aware of these factors, a good strategy is better equipped to anticipate challenges, seize opportunities, and adapt to changes in the external environment. Ignoring external threats can leave an organization vulnerable to unexpected shocks or disruptions that could derail its plans. For example, a company that fails to consider the competitive landscape may find itself outmaneuvered by a rival with a more strategic approach. Similarly, failing to capitalize on external opportunities can mean missing out on potential growth or innovation that could propel the organization forward. By contrast, a good strategy is proactive in seeking out and responding to external threats and opportunities. It is agile and flexible, able to adjust course in response to changing circumstances and leverage external factors to its advantage. This requires a deep understanding of the external environment and a willingness to adapt and evolve in light of new information.- A strategy that ignores external threats and opportunities is inherently flawed, as it fails to account for the dynamic and unpredictable nature of the external environment. By contrast, a good strategy embraces these factors, using them to inform and shape its approach in order to achieve long-term success.
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