Strategic Management and Michael Porter

Strategic Management and Michael Porter

Over the last several decades, there have been a number of business strategies introduced. These are designed to help firms become more competitive and increase their profit margins. One of the more prominent thinkers is Michael Porter. However, some individual believe that his ideas and reputation are unfounded. This is because his philosophies are generally not used by a host of business professors. To fully understand what is taking place requires examining the article titled Strategic Management and Michael Porter. This will be accomplished by focusing on: key ideas from the article, analyzing its strengths / weaknesses and commenting about these areas. Once this happens, is when Michael Porter's contribution to the field of business management will be evident.

The Key Ideas

In the article Harfield (2003) believes that Michael Porter is receiving more credit than he actually provides to modern business philosophy. This was accomplished after conducting an extensive review of: the Strategic Management Journal, Academy of Management Journal, Academy of Management Review, Journal of Management Studies, Organization Studies, and Advances in Strategic Management. Every single one of these scholarly sources is showing how Porter is not a major contributor. Instead, they are focused on introducing new theories and using other philosophies to improve a firm's competitiveness. (Harfield, 2003)

As a result, Harfield thinks that Porter's ideas are a myth. Evidence of this can be seen with him saying, "Strategic management, strategy and competitive strategy all seem to meet the criteria of a myth. This means that strategy is the word of choice, even though it has a range of interpretations. Practical guidance abounds in the literature, but somehow the new and improved models keep the field in constant motion." This is illustrating how the author thinks that the entire field of business strategy is nothing more than a fantasy. Therefore, anyone who is focusing on these areas is effectively wasting their time. (Harfield, 2003)

The Strengths and Weaknesses of these Ideas

The strengths of these ideas are that Harfield is showing how business strategy must not rely on one philosophy. Instead, there needs to be an approach that is using various tools in conjunction with each other. Moreover, entrepreneurs must have greater amounts of flexibility in dealing with a host of challenges. (Harfield, 2003)

In the case of weaknesses, Harfield is making Porter out to be a con artist. This is simply not true. If his ideas did not work, why are so many successful organizations using these principles? The fact that they are embracing them is a sign of their ability to create positive changes inside a firm. (Harfield, 2003)

Comments about these Areas

As a result, Harfield has a point in that there should not be an overreliance on Michael Porter's theories. Instead, everyone needs to use different ideas in conjunction with each other. However, the fact that he believes business strategy is a myth is misguided. This is because new ideas are always used by firms to help improve competitiveness. The actuality that they are successful is a sign of how this approach works. (Harfield, 2003)