Relationship Between Mission Statement and Scope of Business: Evidence From Finland
Review of Business & Finance Studies, v. 7 (1) p. 69-78
10 Pages Posted: 29 Jan 2016
Date Written: 2016
The purpose of this study is to investigate the connection of a business’ mission statement to its corporate strategy. The literature review presents the concepts of the core competence, the mission statement, focus strategy and competitive advantage. The findings of the literature review indicate that these concepts have consistent contextual linkages and can be placed in the perspectives of the balanced scorecard. The case study reveals the complexities and details that illustrate the role of the mission statement, focus strategy and competitive advantage. Empirical evidence is presented from Neste Oy which aimed for growth with new products and customers, but failed to diversify. The results of this study are useful for those who are involved in the strategy process, want to define a mission statement and succeed with diversification.
Keywords: Strategic Management, Core Competence, Mission Statement, Diversification, Competitive Advantage
JEL Classification: L1, N7
Suggested Citation: Suggested Citation