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IE Business School

Foundations of Strategy

Strategy is a complex field and intrinsically related to economics. In this first week of this course you will learn the basic logic of how firms and markets function by using economic logic from a distinctly strategic perspective. The economic logics discussed in the first week have shaped the field of strategic analysis from very early on. Porter’s Five Forces – probably the most well-known strategic analysis tool – directly builds on the notion of market structures and helps us to get a deeper understand of how the competitive environment affects the ability of firms to generate true economic profits. In this week, we´ll look at how Porter's Five Forces are related to market structures, economies of scale, and begin to touch on how firms leverage these to create competitive advantage. Week three, we will move away from exclusively considering the external structure of an industry as the source of competitive advantage and instead focus our view on the internal resources and capabilities within firms – and the associated “resource based view” to look at how internal resources and capabilities play out in competitive situations. Looking through the lens of the five forces at the industry, or through that of the resource-based view at firm internal resources and capabilities, feels a bit like swings of a pendulum – and, indeed, strategic theory and practice over the last decades has veered from a near-exclusive focus on the environment to being entranced by firms’ core capabilities. However, to get the full picture of where your firm stands (and where it and its industry may move) requires us to consider both of these perspectives! In this final week we will work on this crucial integration by building our understanding of what a competitive advantage truly is – and what distinct forms it can take.

Status: Market Analysis
Status: Business Process
BeginnerCourse9 hours

Featured reviews

PK

5.0Reviewed Sep 16, 2024

Good course to brush up the basic strategy methodology

KD

5.0Reviewed Mar 6, 2025

A course that gives the strategy essential basics in the simple and persuavasive language of Prof. Carl.

MM

5.0Reviewed Feb 12, 2025

Professor Carl Kock has a real energy to him! I enjoyed this course:)

IA

5.0Reviewed Jul 26, 2023

Very nice course! Practical exercises, clear explanations, rather dynamic. Fully recommend!

AM

5.0Reviewed Aug 28, 2023

Amazingly well-put course, the instructor is an excellent teacher and communicator.

MK

5.0Reviewed Jan 3, 2025

This course is the perfect introduction you need if you are starting to learn about business strategy. I really enjoyed and as well gained a lot from taking the course

SN

4.0Reviewed Oct 6, 2022

t​ranscripts were not always correct. I also was not able to access one assignment that was in week 3.

EB

5.0Reviewed Jan 26, 2024

Great content and examples given to make it easy to understand and align to your own business.

MA

5.0Reviewed Jul 26, 2025

extremely good course, the instructor explain the concept perfectly

HR

5.0Reviewed May 1, 2024

amazing and very useful course in growing one's career graph professional

YR

5.0Reviewed Feb 4, 2024

Sangat menarik, pembelajarannya disampaikan dari basis, membuat saya jadi lebih paham

RF

5.0Reviewed Aug 17, 2023

Excelente curso sobre estrategia. Te permite ver como generar valor en las empresas y a desarrollar una visión estratégica del negocio para anticiparte a los cambios.

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