As we progresses, we now discuss the financial component of a firm and just as how valuable it is as being different among rivals. With the following article that was provided, Profit from the Core by C. Zook, and J. Allen; The Shareholders vs. Stakeholders Debate from MIT Sloan Management Review; and Why Value Value? by T.E. Copeland, each will be explain on how it can be interrelated with Porter, Manning and CCA point of view.

In the Profit from the Core by C. Zook and J. Allen, they explained the idea that a company must be able to identify their assets to identify the core of the business to better perform, among the given assets are differentiated and strategic capabilities and critical product offerings which basically the same as what Porter has been pointing out, that a firm must have the capability to be different among their rival and perform a viable strategy to outperforms others. And likewise, Manning’s view that a company must be able to realize people as their valuable assets and therefore must be commended to ensure good productivity.

With Shareholders vs. Stakeholder, each theory: “shareholder theory – managers primarily have a duty to maximize shareholder returns, and stakeholder theory – a manager’s duty is to balance the shareholder’s financial interests against the interests of other stakeholders, … even if it reduces shareholder returns.”, shows that they differently value and respect the best interest of both side and they often conflict with each other but thy still show reciprocity.

Lastly, Why Value Value?, it is said by Thomas E. Copeland that “The Fundamental goal of all business is to maximize shareholders value” which simply means that by means of increasing the value of the company’s shareholder it collaborate in increasing the value of the company. With this maximization, the productivity of companies are looking positively. Thus it  creates job opportunity for people and company gives importance to their resources for further improvement and result to greater shareholder wealth creation.

In conclusion all this works hand in hand and they in turn give a company a competitive advantage over their rivals and put them in edge.

Correspondingly, in the handbook of Strategy and Management (2009) it is being illustrated that a company would have competitive advantage if they are able to identify the real source of firm’s above-normal earnings, likewise, Porter explains that to be able to get more out of their inputs they should eliminate wasted efforts, use technological advances and looking over their people or other means of resources.

The way that resource based view illustrate the idea that to be able to have the strategic resources and competitive advantage, a firm must realize not only their strength but also the barrier that can cause them to be imitated by other company.

As concluded it is obvious that the performance of the company can be from three forces that interacts simultaneously: the firms own asset base; the asset bases o competitors; ad constraints emanating from the broader industry and public policy environment.

Looking over how Manning view strateg, he stresses on the individuality of the components within and out of the company needed to project towards meeting its goals. The idea of Manning is very personal in nature, meaning, people comprise a company. It is people within the company that will determine how the company will progress by focusing people work value. How it “informs, focusses attention and effort, triggers fresh insights, lights up the imagination, energizes people, and inspires performance”.

With Porter, he focuses on the company in general and its position against its competitors. Porter stresses on the idea of competition by slowing the competition of the company against its major rivals by employing premium technology. He also presents the idea of trade-offs which would “create the need for choice and protect against repositioners and straddlers”.

With these point of view we can only distinguished Manning as a possible student of Porter.

Here I’d like to present an example on how the idea of Porter describes mapping a chain of factors that catapults the company to certain level unreachable by its competitors but not being totally unaware of the barrier that might hinder a company to reach the height of success it aims for. His idea with the value of chain shows that every aspect of the company (inner & outer environment) is an important component adds to whatever end the company aims to achieve. As for my paradigm, I’ll be using the Blackberry (1999), launched by Research in Motion (RIMM) a leading designer, manufacturer and marketer of innovative wireless solutions for the worldwide mobile communications market, as the focus of this commentary. Porter presented a set of “Generic Strategies and the Forces that strategically places the Blackberry product and Company to be on top of the highly competitive telecommunication and innovative market.

It highlights the primary activities that it intensively reaches out to its market by heavily promoting the line of telecommunication devices the company offers. Who better to endorse it than the Big Man on the White House “President Barack Obama” who shamelessly shows how equipped and capable the device is to cater to his socio-political obligations to name a few. At the same time the cutting edge technology it features combining style and function. The device boasts several features combining cell phone, computer/web/internet, iPod, and TV function into one for both personal and business purposes.

From the Generic strategies that Porter has established: the Blackberry employs the Focus Generic Strategy and by comparing it into the five industry forces it shows how the company strategically places itself in the market. The Focus strategy that Blackberry uses narrows their target market and even with entry of new threats, the company is not intimidated because they know that they have an edge and unique quality that cannot be comparable to other competitors and alike, same goes to other substitute that lately have enter the market that offers lower cost. The buyer power is also controlled by the company because there are few alternatives that offer almost but never alike features of Blackberry.

With this Porter’s principle would really evaluate how company should perform in and around their competitors to be able to outsmart and be unique in terms of technology and knowledge to attract market and to get a better result in terms of the target margin.