Corporate-level Strategies

Management can obtain an overall view of the corporate portfolio by placing the present an desired position of all business units on the matrix. Figure 4-13 illustrates the general corporate-level strategies available to an organization.

Generally, when a business unit is high on industry attractiveness and business strengths, the natural corporate-level strategy is to invest heavily and peruse a growth strategy. When attractiveness and business strengths are low, the strategy is normally to harvest or divest.

* Step 5: Forecasting of trends for each external factor. Several techniques for forecasting external factor will be described in Chapter 6.

* Step 6: Developing the desired position for each internal factors. This means determining what moves need to be made within each controllable factor to result in the desired competitive position.

* Step 7: Desired positioning of each business in the attractiveness-strength matrix. After forecasting industry attractiveness and the development of the business' strength, graphically representing the proper positioning of a business in the attractive- strength matrix may appear simple. In practice, Steps 6 and 7 are carried out simultaneously.

* Step 8: Formulation of strategies for each business. The analysis conducted so far has provided us with all the elements necessary for outlining the strategy to be pursued for developing each business.

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Strategic Decision Making Aids
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