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Running head: BUSINESS STRATEGIES 1
1. . Amazon started producing and selling its own line of diapers. Backward
Integration
2. MillerCoors offers free delivery of Miller Lite in four U.S. cities for customers who
order through its online store. Market Penetration
3. Sears is closing about 235 stores annually. Retrenchment
4. The largest toymaker in the United States, Mattel, is struggling; therefore, it is
introducing flashier and more educative toys. Related Diversification
5. German power utility E.ON SE sold its Spanish assets to Australia’s Macquarie
Group and Kuwait’s sovereign-wealth fund for $3.1 billion.- Divestiture
6. Target Corporation is closing all of its 133 stores in Canada and China.-
Retrenchment
7. Coca-Cola recently axed 1,600 white-collar jobs globally as part of a cost-cutting
move.- Retrenchment
8. Nissan has totally revamped its Titan full-size pickup truck with new features and
options and style.- Product Development
9. General Motors just introduced a sports car version of its electric car, the Chevrolet
Volt, and is introducing an all-electric vehicle in 2017 called the Chevrolet Bolt,
capable of driving 200 miles without recharging.- Product Development
10. SolarWinds acquired Pingdom, Confio, and N-Able Technologies to obtain different
products and services since the solar business has slowed as oil prices have dropped.-
Unrelated Diversification
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BUSINESS STRATEGIES
11. Amazon Studios is branching out from television series to movies, with plans to
begin producing and acquiring original movies for theatrical release and video
streaming.- Related Diversification
12. ZF Friedrichshafen AG of Germany recently acquired TRW Automotive Holdings in
the United States to create the world’s second-largest auto-parts supplier behind
Germany’s Robert Bosch GmbH and ahead of Japan’s Denso Corp.- Horizontal
Integration
13. Southwest Airlines recently began flying outside the United States, with flights to the
various Caribbean, Central America, and Mexico destinations.- Market
Development
14. Amazon is pushing aggressively into the same-day grocery delivery service with its
AmazonFresh business along the west coast of the United States.- Forward
Integration
15. USPS has begun delivering groceries for Amazon.com within the AmazonFresh
grocery-delivery service, especially in San Francisco and other markets. - Backward
Integration
16. USPS also recently launched Access Point, a strategy that allows customers to pick
up their packages at dry cleaners, convenience stores, and pharmacies.-Market
Penetration
17. The huge food company General Mills recently acquired Annies’ Inc. for $820
million, paying a 37 percent premium for the firm, in order to expand its presence in
the rapidly growing organic and natural foods category. –Horizontal Integration
18. Google recently entered the hotel-booking industry by acquiring the firm called
Room 77 and expanding its ties with big hotel firms such as Hilton Worldwide
3
BUSINESS STRATEGIES
Holdings and Radisson Hotels that now offer virtual tours on Google. Google now
allows hotels to list their rooms on their site, in effect bypassing travel search sites
such as Priceline Group, Expedia, and TripAdvisor. – Unrelated Diversification
19. Google recently partnered with the medical firm Novartis to develop high-tech
contact lenses that monitor glucose levels and other body functions. – Unrelated
Diversification
20. Amazon recently entered the mobile payments business and is now competing with
PayPal, ApplePay, and all charge cards. - Related Diversification
21. The world’s largest furniture retailer, IKEA, recently diversified into the insurance
business, providing child, pregnancy, and home insurance products at its stores. -
Unrelated Diversification
22. Office Depot closed nearly 500 stores in the last three years. - Retrenchment
23. The drugmaker, Dendreon Corporation, recently filed for Chapter 11 bankruptcy. Its
major drug, Provenge, which treats prostate cancer, never gained traction in the
market.- Liquidation
24. Symantec Corporation, known for its antivirus software, recently split its $4.2 billion
cybersecurity business away from its $2.5 billion management information business,
making them two publicly traded companies.- Related Diversification
25. eBay recently split into two companies, with PayPal being one and the eBay
Marketplace segment being the other.- Related Diversification
