The 2 Strategic Domains of a Corporate Mission
A mission statement captures two inter-woven strategic domains:
1. The BUSINESS SCOPE, which summarizes the company's competitive space (the industry) into opportunities and threats (the outcomes say, from using Porter's 5 Forces Analysis
2. The CORE COMPETENCIES
, which summarize the company's own strengths and weaknesses (the outcomes, say from Porter's Value Chain Analysis
), further strengthened by the RESOURCE BASED VIEW THEORY
, popularized by C. K. Pralahad and Gary Hamel.
A good mission should rightly prompt an understanding of these 2 connected strategic elements, the external" and internal environments, and also offer an idea of what must be valuable in its resources' capabilities and uniqueness.
Source: Arnoldo C. Hax & Dean L. Wilde II, "The Delta Project: Discovering New Sources of Profitability in a Networked Economy", Palgrave 2001