Thesis, Graduate(Master in Management)--University of the Philippines Mindanao, December 2008

The electric power industry in the Philippines is becoming more deregulated after the passage of EPIRA law in 2001. Deregulation makes the industry more competitive and opt industry players to craft strategy in order to create value and stay in the business. This paper is intended towards determining and establishing the best possible business strategies TransCo-SEMA could have. Business strategy is created with the aim to make a business outperform others and create a sustainable competitive advantage. TransCo-SEMA is a district in Mindanao operating Southeastern Mindanao Area. It belongs to a National Corporation operating a POWER GRID throughout the country. The study uses a conceptual framework adapted from the Pearce and Robinson. This framework aims to give a comprehensive outline of the business strategy. The paper analyses the external and internal environment of the district and the resulting assessment was the basis of the strategic options. Options where then weighed quantitatively and then came up with the best applicable strategy. TransCo-SEMA?s internal evaluation resulted into nine (9) strengths that could be use to take advantage on opportunities and avoid threats and ten (10) weaknesses that needs careful attention. The analysis score shows that the district internally weak. Because TransCo-SEMA is a natural monopoly and has definitely a broad and captive market, its applicable generic strategy is Cost Reduction Strategy. From SWOT analysis and QSPM shows that Cost Reduction Strategy is the most appropriate strategy for the district followed by personnel development. To monitor successes of the strategy and to control factors that lag from the desired objectives the study employs Balanced Scoreboard method.