LONG-TERM/SHORT TERM PLANS The prescriptive approach regards strategy development as a systematized

and deterministic process where analysis of the organization, its performance and external environment leads to
the formation of a rational, long-term plan. On the other hand, an Emergent strategy is undertaken by an
organization that analyzes its environment constantly and implements its strategy simultaneously(Lynch,2000).

FEEDING TECHNIQUES which feed the prescriptive approach include Porter's heavily structured Five Forces
model for analyzing industry and Value Chain Analysis which highlights existing capabilities as a solid basis for
competitive advantage whereas Carr et al (2002) points out that the emergent approach to strategy formulation
has been characterized by trial, experimentation and discussion.”

OPTIMISATION/INNOVATION In contrast to the prescriptive approach which focuses on creating a fit

between established strengths and emerging opportunities, the emergent approach challenges the status quo by
intentionally creating a misfit between these factors. Hence, it is more suited to instigating positive,
transformational organizational change such as diversification or restructuring. Taking the pharmaceutical
industry as an example, Consumer satisfaction and value is attained, not from the physical representation of the
product, but from the knowledge that the product embodies as in the case of Viagra which is sold at £27 per pill.
What the customer pays is the knowledge that the pill embodies rather than physical transformation behind.

SIGNALING DISCIPLINE/ FLEXIBILITY Brown & Eisenhardt (1998) suggest that the prescriptive approach
has strengths such as signaling discipline and sophistication to stakeholders and providing a way of coordinating
tasks and laying out a resources roadmap for people to follow. However, Placet & Branch (2001) believe that as
the pace of change in the environment increases requiring a greater need for speed and flexibility, it is unlikely
that companies will successfully implement strategies based on a purely analytic approach.

COMPLEX/ SIMPLE WORLD With a deliberate approach to strategy, plans are developed through
approximating the world as a simple model. An emergent approach to strategy proposes that this approximation
is unrealistic that the world is a complex system, so strategy has to be formulated through experimentation
(Carr, Durant, & Downs, 2004). Yet, the prescriptive approach to planning falls short in allowing for any learned
elements to be absorbed into the strategy and so can limit an organizations ability to respond flexibly in today's
rapidly changing environment. Interestingly, Hamel and Prahalad pointed out that the most successful firms in
the world such as Microsoft and Apple Macintosh do not tie themselves down to mission, goals and objectives or
the predetermined plan. Lane & Down(2010) further argue that it has been further argued that the reason for
moving towards an emergent approach is due to the modern economic climate’s unpredictability; that where the
traditional models are less applicable new methods of strategy are developed.

UPPER MANAGEMENT/ LOWER LEVELS Chandler(1962) and Ansoff(1965) believed that upper management
should be responsible for conducting internal and external evaluations of the companies’ environment to
establish the most logical and resource based approach to strategy. It fails to complement modern organizational
cultures where employees at lower levels are included in the decision making process. Conversely, Grant (2002)
states that strategy development does not take place in a corporate vacuum, where decisions are made and
implemented from top level down. Instead it is, “…the result of multiple decisions made at many levels,
particularly within middle management. This is seen as a bottom-up process”.
INTERNAL ENVIRONMENT

Executives do not adhere to industrial convention are more adventurous --The level of participation of creative
thinkers --voice of members of the organisation at the bottom. Young people with flexible minds ready to
challenge and defy established procedures and create innovative solution listened with sensitivity executives
make some adjustments Momentum for change that starts at the bottom and makes its way to the executives
comprises a range of different views reflect self-interest and many not have the same purpose. Creation of
strategy incorporates diversity of thinking and unity of purpose journey into the unknown through trial and error,
broad cross-section of the company. The outcome can be a surprise, it may be positive or negative but
executives should only worry about missed opportunity of escaping incrementalism. For instance, Google’s
corporate culture is such that they believe that if they don’t make mistakes, they are not taking enough risks.
Some companies have made this fast-cycle experimentation and adjustment as a core competency. Google has
become famous for flinging new services such as Google base (Google free classified and product) and Google
talk (Instant messenger solution) into the market place. If a service shows signs of success, Google steps up the
investment. If it struggles, Google pulls the plugs and moves on to other opportunities. However, as discussed by
Adcroft (2011), when evaluating strategy theories the application should be considered. For example, an
emergent approach is much easier to implement in small companies where it is easier to make changes, whereas
in large organisations more deliberate planning may be required.

EXTERNAL ENVIRONMENT

Mintzberg highlights that realized strategy tends to be only 10 to 30 percent of the intended strategy. This is
mainly because unpredictable events, such as the introduction of new regulations or technologies, will regularly
act to force the original strategy off its course. Today’s business world is an increasingly complex, interconnected
environment where organizations conduct global business. It is characterized by rapid, unpredictable change
resulting in turmoil that impacts all levels of an organization. Traditional deliberate strategies, based on cycles of
stability and predictability, are no longer relevant for today's business environments. Emergent strategies have
been advocated as the solution. Emergent strategies are those strategies that have developed as part of a
"pattern in a stream of actions" and are divorced from any preconceived plan (Mintzberg, 1987; Hamel &
Prahalad, 2005). This strategy is the ability of the organization to be responsive to the environment in order to
maintain its competitive position. Bonnet and Yip (2009) refer to strategic agility, it is the ability an organization
has to constantly, "sense, assess and react to market conditions". They suggest that in today's turbulent markets
strategic agility is necessary rather than the idea of sustainable competitive advantage. A pure deliberate
strategy is when the organization proposes and then locks itself into a course of action toward a future
destination that it ultimately reaches. In contrast, the pure form of an emergent strategy lacks intention but
despite the lack of intention there is "order and consistency over time" (Mintzberg & Walters, 1985)
GOOGLE

Perhaps, a combination of SWOT and PEST analysis is the best framework to analyse the dynamic pacy
environment that Google finds itself.

In times of economic downturn, the world’s third largest PC manufacturer, Acer Inc. have dropped Windows
notebooks and replaced it with Android which in their opinion is cost saving and at the same time will enable the
PCs to run faster (Liedtke, 2009).

Google’s main competitors Microsoft and Yahoo merged together to increase their share of the search market. In
response to that, Google have acquired Google Earth, YouTube and the list goes on. They want to own publishing
platforms as well as organizing the world's information.

Google's core competency is based on the technology used in the search service, which is capable of building and
organizing a database that makes it possible for the Internet user to find practically any piece of information he
may be looking for. Google have been constantly refining their search engine so that understands what you mean
and gives you exactly what you want. (Reuters, 2009).

In addition to that, Google needs to be constantly up-to-date with and responsive to the legal environment.
Yahoo, Microsoft, and Amazon all joined in a court suit to block the court settlement of a 2005 copyright
infringement class-action suit that would give Google the right to digitize, host, and sell ads against millions of
published works (Myslewski, 2009). Microsoft filed a suit against Google in 2007 to stop the latter from Double
click merging. Yahoo also filed a suit in 2008 against Google for the latter to abandon the attempts to overcome
the objections of antitrust regulators. In 2009, Sourcetool a B2B search engine filed an antitrust suit against
Google accusing it of upping it ads rates unfairly.