Strategy as action: From Porter to anti-Porter

Abstract

In the post-crisis era, new concepts are emerging, while some old and dysfunctional ones are being discarded. Strategy is about making series of decisions that drive corporate action under specific coupling with company's environment and context. Because decisions are actions, the strategy itself is action, not just a description of action. In the world of traditional strategy, descriptions (information) have replaced action (knowledge), and talk has replaced walk. We start from the premise that strategy is what company does, and what company does is its strategy. One cannot run a company just on descriptions and framed mission statements. The role of customers is crucial: the customer shapes strategy and triggers corporate action. Without respecting the customer, there is no viable strategy. This is why we label the action-based strategic thinking as "Anti-Porter": consumers do not want tradeoffs and thus truly effective strategy cannot be rooted in Porter's tradeoffs.