Introduction Due to the increased number of companies which has resulted into increased market competition, there has been consistent need for improving the business strategies. All the companies aim at maximizing returns. Competition is usually healthy in the business field because it requires continuous improvement which in the long run leads to increased profits and business expansion. To achieve this economic growth, proper strategies must be implemented. The strategy formulation and implementation is usually done by the managers. To do it to perfection, strategic thinking and team effectiveness are necessary. This essay seeks to identify aspects of strategic thinking that should be used in a team, evaluate the contribution of strategic thinking in team’ s effectiveness, identify key value adding characteristics that should be used in team process to develop strategic analysis, the routine and/or unique activities pursued and how they affect strategic thinking, identify areas that limit a team’s performance and deriving implications for challenges facing managers and the aforementioned MBA study group in particular in thinking and acting strategically in future. Strategic Thinking and team effectiveness Strategic thinking is usually useful in strategic planning, formulation and implementation. It usually involves thinking critically taking into account the past, present and the future. One usually predicts the aspects that are probable to occur in the future such as opportunities, risks and trends. This usually helps in taking opportunities in the market field as they arise so as to maximize profits and avoiding losses by implementing strategies to avoid it (Meadows, 2008). All these activities are not possible to be done by an individual. This thus brings in the idea of working as a team which is usually helpful in strategic formulation and implementation. Team work usually helps in improving creativity. This usually improves the output in that one is able to improve on strategic thinking. In the first instance, the results might not be that good but with time the team would improve and better results would be attained (Tjosvold and Kwok, 2004). One of the good aspects of a team is that the teamwork should be self governing. This removes the necessity of regular follow ups as the team members have the internal drive which give them the urge to perform better and better. The team should understand clearly their goals, identify their specific roles, build trust between them and accept each other despite of ones strength or weakness. This usually reduces the probability of conflicts and improves production due to good coordination between members. When working as a team, people usually speak their mind. When this happen, an answer from one person usually triggers the mind of other members and eventually very promising ideas emerge. In team work, communication is very essential and any doubt should be clarified. This ensures efficient performance of the duties and usually helps in time management. Thus being attentive is very necessary. Loyalty is very important as makes the team members to be at comfort when dealing with fellow members. The success or failure in teamwork is usuall