Industry Structure in Developing Company's Long-Term Business Strategy

8 Pages Posted: 19 Nov 2018

See all articles by Vesna Sesar

Vesna Sesar

University North

Krešimir Buntak

University North

Ivana Martinčević

University North

Saša Bogović

Phoenix Pharmacia

Date Written: September 6, 2018

Abstract

Strategic controlling has become an imperative in business planning and determining company’s long-term goals. Companies use different managerial tools in their planning process in order to determine possible threats and opportunities in their business environment. The goal of the paper is to present a case study of one pharmaceutical Croatian company using the model INDUSTRUCT, which is utilized for analysing industrial environment, which is, develop based on the Porter's five forces model. Although recent research results show that companies in Croatia use more often operational tools in their business rather than strategic tools this model shows the simplicity of its use and easiness of analyse. Focus of the research is highly competitive rivalry in pharmaceutical industry characterized with the big threats from supplier, buyers, substitutes, as well as newcomers. In such highly competitive industry, companies must constantly rethink their strategies and use tools that will help them detect threats and opportunities hiding in their environment.

Keywords: management strategy, INDUSTRUCT, Porter’s five forces, controlling

JEL Classification: M21, M49, L10

Suggested Citation

Sesar, Vesna and Buntak, Krešimir and Martinčević, Ivana and Bogović, Saša, Industry Structure in Developing Company's Long-Term Business Strategy (September 6, 2018). 2018 ENTRENOVA Conference Proceedings. Available at SSRN: https://ssrn.com/abstract=3283102 or http://dx.doi.org/10.2139/ssrn.3283102

Vesna Sesar (Contact Author)

University North ( email )

Koprivnica
Croatia

Krešimir Buntak

University North ( email )

Koprivnica
Croatia

Ivana Martinčević

University North ( email )

Koprivnica
Croatia

Saša Bogović

Phoenix Pharmacia ( email )

Croatia

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