1. Understand the concept of Strategy, Strategic Management (SM), and Strategic Entrepreneurship (SE)

Chapter 1: Introduction to Strategy and Strategic Entrepreneurship Concepts

Let's listen to the intro video
https://youtu.be/ZYWIrJDp0HY

🎯 Learning Objectives

By the end of this chapter, you will be able to:

1. Understand the concept of Strategy, Strategic Management (SM), and Strategic Entrepreneurship (SE)

2. Discuss the origins of Strategic Entrepreneurship

3. Define Strategic Entrepreneurship

1. 4. Understand the intersection between strategic management and entrepreneurship
2. 5. Identify the driving forces that have led to their integration
3. 6. Explore the theoretical foundations of SE
4. 7. Analyze the entrepreneurship–strategic management interface
5. 8. Examine the integration of entrepreneurial and strategic actions
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1.1. 🌄 A Tale of Two Entrepreneurs

Kak Salmah sells nasi lemak by a busy roadside in Kuala Lumpur. Her sambal? Legendary. Her regulars? Loyal. Her mornings start at 4 a.m., her income supports her family, and her heart is in every packet she wraps. But in 2020, she noticed something: fewer customers.

Across the street, a food truck started offering "Nasi Lemak Fusion"—quinoa rice, plant-based anchovies, stylish biodegradable packaging, and they had an Instagram page with over 10,000 followers.

Kak Salmah didn’t lose because her food was bad.
She lost because someone else had a better strategy.

On the other side of the globe, Reed Hastings, the founder of Netflix, mailed DVDs to customers in a world dominated by Blockbuster. While others laughed, Reed quietly built infrastructure for online streaming before the world even cared.

He didn’t just start a business—he redefined an industry.

These two stories—Kak Salmah and Netflix—may seem unrelated. But they’re connected by the same truth:

💡 Entrepreneurship isn’t just about starting. It’s about starting smart.
That’s the core of Strategic Entrepreneurship (SE).

📌 So, What Is Strategy?

Let’s get real. Most people think “strategy” is just a fancy plan.

But strategy is about choices, priorities, and trade-offs. It’s not about doing everything. It’s about doing the right thing, at the right time, for the right people.

According to business guru Michael Porter:

“Strategy is the creation of a unique and valuable position, involving a different set of activities.”

That means:

• Some businesses serve many people with a narrow need (e.g., Jiffy Lube only changes oil).
• Some serve few people with deep needs (e.g., Porsche targets luxury buyers).
• Some serve everyone—but differently (e.g., IKEA designs its experience from end to end).
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Strategy is not luck. Strategy is design.

“Strategy is the creation of a unique and valuable position involving a distinct set of activities.” – Michael Porter

In Practice:
Strategy is a deliberate means for achieving a long-range goal. It answers how an organization will reach its vision and sustain its advantage.

Two Strategy Models:

Strategy is not just what you do, but how you uniquely align activities to create long-term value.

📘 1.2. Strategy vs. Strategic Management vs. Strategic Entrepreneurship

Strategic management makes sure your dream isn’t just an idea—it becomes a machine.
SE adds the spark of innovation to that machine.

🚀 Enter Strategic Entrepreneurship (SE)

So how do you create a business that’s both innovative and sustainable?

According to Hitt, Ireland, Camp & Sexton (2001):
"Strategic Entrepreneurship is entrepreneurial action taken with a strategic perspective."

It's what happens when:

• A founder spots a market opportunity (entrepreneurial thinking)
• And then builds systems to pursue that opportunity long-term (strategic thinking)
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• 🏆 Real-Life Success Story: Netflix (Global)

  Netflix started small: mailing DVDs while Blockbuster dominated.

  But Reed Hastings saw a trend—the internet was going to change everything. Instead of reacting, Netflix acted. They invested early in streaming, signed exclusive content deals, and refined their recommendation algorithm.

  Today, Netflix has disrupted the entire entertainment industry.

  🧠 Entrepreneurial move: Betting on digital delivery before it was popular
  ⚙️ Strategic move: Building tech infrastructure and content partnerships to scale

  That’s Strategic Entrepreneurship in action.

  
  

  
  

  🇲🇾 Local Hero: Bask Bear Coffee (Malaysia)

  In 2019, a Malaysian brand started shaking up the coffee scene—not by copying Starbucks, but by creating a uniquely local + digital strategy.

  Bask Bear Coffee launched as a ghost kitchen (no dine-in) brand during the pandemic. They focused on:

  • Malaysian flavors (Gula Melaka lattes!)
  • App delivery partnerships (GrabFood, Foodpanda)
  • Compact kitchens inside existing restaurants

  🧠 Entrepreneurial insight: Malaysians want premium coffee fast
  ⚙️ Strategic engine: Low overheads, digital orders, powerful local branding

  
  In less than two years, Bask Bear scaled to over 100 locations—without owning a single café space.

  This is what SE looks like in Malaysia: lean, local, and laser-focused.
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🔄 Strategy + Entrepreneurship = Survival + Growth

Here’s the truth:

Strategic Entrepreneurship is the sweet spot where:

• 1.  Innovation meets systems
• 2.  Vision meets execution

3.  Hustle meets sustainability

💥 Why It Matters to You

Whether you're a trainer, solopreneur, educator, or startup founder, ask yourself:

• Are you running on inspiration, or does structure back you?
• Do you chase trends, or create them?
• Is your business built to succeed, or to sustain success?

📚 The Academic Roots (for the curious)

SE isn’t just a buzzword—it’s been researched for decades.

They all concluded one thing: entrepreneurship and strategy are not separate—they’re intertwined.

🔁 Final Thought: Are You a Firestarter or an Architect?

Starting a business is like lighting a fire.
But keeping it burning—that takes strategy.

Kak Salmah can revive her business by:

• Selling on food delivery apps
• Branding her sambal as a bottled product
• Hosting viral TikTok cooking videos

She can go from roadside to regional—with the right strategy behind her fire.

✅ Reflection Questions for You

1. What’s your unique position in the market?
2. Are you making daily decisions that align with your long-term goals?

Where can you add strategy to your passion?

💬 Chapter 1 Summary:
Strategic Entrepreneurship is about dreaming like a founder and acting like a CEO.
The future belongs to those who don’t just start—but start strategically.

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