What is it about?

Shoaling can be considered a unique business strategy, because it enables a large firm to operate with the nimbleness of a smaller firm or it can allow small firms to effectively rally their resources against large rivals. A shoaling strategy, on the one hand, reduces the opportunity cost of not exploiting emerging market opportunities and, on the other hand, reduces the investment risk that accrues due to large‐scale integration. A shoaling form enables multipronged competitive strategies, permitting a firm to develop unique or optimal strategy for each rival it encounters in the respective market or region.

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Why is it important?

Strategy has been articulated as generic approaches (content) or organizational effectiveness (process outcomes). But very rarely as formation. This article presents strategy as unique formation(s) or enacted through modular forms, alliances, teams enabling multi-pronged competitive strategies, and both innovation and cost effectiveness.

Perspectives

Shoaling can be considered a unique business strategy, because it enables a large firm to operate with the nimbleness of a smaller firm or it can allow small firms to effectively rally their resources against large rivals. A shoaling strategy, on the one hand, reduces the opportunity cost of not exploiting emerging market opportunities and, on the other hand, reduces the investment risk that accrues due to large‐scale integration. A shoaling form enables multipronged competitive strategies, permitting a firm to develop unique or optimal strategy for each rival it encounters in the respective market or region.

Dr Senthil Kumar Muthusamy
Slippery Rock University

Read the Original

This page is a summary of: Shoaling (School of Fish) As Competitive Strategy, Strategic Change, November 2015, Wiley,
DOI: 10.1002/jsc.2036.
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