TAKAYUKI KITO is a graduate of Tokyo University Law School and a former Roland Berger employee with extensive experience in business strategy planning and execution assistance. Kito has published and lectured on brand and global strategies.

KEISUKE YAMABE is a graduate of Hitotsubashi University Business School and a former Roland Berger employee with extensive experience in planning and execution of company-wide strategies in industries such as restaurant and service, automobile, aviation, consumer goods, and construction.

Preface 10

Prologue What is a Business Strategy?

Story 0 Help Me, Senpai! 13

1 What is a “Strategy”? 26

2 The Many Pitfalls of a Business Strategy 34

3 Preparations to Build the Corect Strategy 39

4 Create a “Dynamic” Strategy! 45

Step 1 Analyze the Situation

Story 1 Knowing Your Enemy is Knowing Yourself 50

1 The Essentials of Situation Analysis 74

2 OT Analysis 83

3 SW Analysis 99

4 Organizing SWOT 113

Step 2 Forming Strategic Options

Story 2 How to Save a Company in Trouble? 118

1 What Are Strategic Options? 140

2 Make Objectives and Issues Clear 142

3 Lay Out the Strategic Options 1: Growing Potentials for the Pre-Established Company 154

4 Lay Out the Strategic Options 2: Options for the Newly Established Businesses 167

5 Lay Out the Strategic Options 3: Improve Profit 177

6 Summerizing Strategic Options 181

Step 3 Review and Select Options

Story 3 All for One, One for All 186

1 Reviewing Options 206

2 Reviewing and Selecting Options 1: Rationality 209

3 Reviewing and Selecting Options 2: Feasability 215

4 Reviewing and Selecting Options 3: The Intents and Expectations of the Parties Involved 225

Step 4 How to Translate Options into Plans and Actions

Story 4 What Becomes of a Strategy 232

1 How to Translate Strategic Options into a Plan 252

2 How to Apply Strategy to Execution 254

3 How to Apply Strategic Options into Action 258

4 Create a Plan of Action 263

5 How to “Execute” with Certainty 269

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