About the Authors iii

Preface V

1 What Is Business Strategy? 1

2 Analysis of the External Environment: Opportunities and Threats 17

3 Internal Analysis: Strengths, Weaknesses, and Competitive Advantage 42

4 Cost Advantage 58

5 Differentiation Advantage 76

6 Corporate Strategy 95

7 Vertical Integration and Outsourcing 115

8 Strategic Alliances 130

9 International Strategy 149

10 Innovative Strategies that Change the Nature of Competition 172

11 Competitive Strategy and Sustainability 189

12 Implementing Strategy 210

13 Corporate Governance and Ethics 228

14 Strategy and Society 244

Appendix A Data Sources for Analysis 259

Appendix B 20 Valuable Financial Ratios for Strategic Analysis 269

Glossary 272

Index 278

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