Discussion A
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PowerpointpresentationforCorporateStrategy-1.pptxCorporate Strategy
BUS 270
Strategy: 4th Component of the Final Paper
Identify the company’s:
corporate strategy,
competitive strategy,
or strategic initiatives
Corporate Strategy
Specifies what businesses a company is in or wants to be in, and what it wants to DO with those businesses
Types of Strategy
Growth Strategy – expands markets or products
Vs.
Concentration – grow focusing on primary business
Integration
Backward Vertical Integration – become the supplier
Vs.
Forward Vertical Integration – become the distributor
Diversification
Related Diversification – M&A with similar industry
Vs.
Unrelated Diversification–M&A with different industry
Stability & Renewal
Stability Strategy – maintain status quo during tumultuous times
Renewal Strategy – change or die. Cut costs & restructure operations
Retrenchment –short-run for minor problems
vs.
Turnaround – long-term change to eliminate major challenges
Competitive Advantage
Positional Advantages:
Cost Leadership – become the low cost producer
Vs.
Differentiation – become unique in a dimension
Focus – do one thing well. Typically quality
Vs.
Low Cost Focus – focus in a particular segment to be low cost provider
Functional Strategy
The company’s various departments use strategies to support competitive advantage.
Examples: Marketing Strategy R&D Strategy
Branding Strategy Customer Service Strategy
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