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CHAPTER 7 Strategy Formulation: Corporate Strategy

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Amiable Prelly

on 16 January 2015

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Transcript of CHAPTER 7 Strategy Formulation: Corporate Strategy

CHAPTER 7 Strategy Formulation: Corporate Strategy
3 Key Issues –

Firm’s directional strategy

Firm’s portfolio strategy

Firm’s parenting strategy

Corporate Strategy
Corporate Directional Strategies
Directional Strategy –

Orientation toward growth Expansion, contraction, status quo
Concentration or diversification
Internal development or acquisitions, mergers, or alliances

Corporate Strategy
Directional Strategy

3 Grand Strategies:

Growth strategies
Stability strategies
Retrenchment strategies

Corporate Strategy
Corporate Strategy
Growth Strategies

External mechanisms:

Strategic alliances

Corporate Strategy
Growth Strategies

2 Basic forms


Corporate Strategy
Basic Concentration Strategies:

Vertical growth
Horizontal growth
Full transcript