Assignment

Of
Marketing Management
(MKT301)

Submitted by:
Redwan Afrid Avin
ID: 19104022
BRAC Business School

Submitted to:
Ms. Tania Akter
Lecturer
BRAC Business School

Submission Date:
12 July, 2020
An example of SBU would be PNG.
SBU(Strategic Business Unit) is a unit of the company that has a separate mission and objectives

and that can be planned independently from other company businesses. For example, company

division, a product line within a division, or sometimes a single product or brand.

An SBU is responsible for its products, services ‘and markets and, therefore, it is also responsible

for developing its strategy. Generally, an SBU is independent in it is business, operations, has its

managerial resources and has all its assets under its control.

For example, PNG has 21 business units for the production of textile products, ceramics,

pharmaceutical products, etc. Each of these units is treated as an SBU. They, however, work under

the Tesla corporate management. In a diversified company, all the business-units constitute its

business portfolio. Each business-unit or SBU is treated as a standalone profit center. Their

corporate strategy for each SBU is set in such a way that it becomes consistent with the resource

capabilities of the overall company. They treat their each unit as an SBU because they believe that

their SBUs have these certain characteristics:

• A unique Business Mission

• An identifiable set of competitors

• Their SBU strategic manager can make or implement a strategic decision relatively

independent of other SBUs

• Crucial operating decisions are made within the SBU.