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UNIT III

THE GENERIC STRATEGIC ALTERNATIVES – STABILITY, EXPANSION, RETRENCHMENT AND


COMBINATION STRATEGIES - BUSINESS LEVEL STRATEGY- STRATEGY IN THE GLOBAL
ENVIRONMENT-CORPORATE STRATEGY- VERTICAL INTEGRATIONDIVERSIFICATION AND
STRATEGIC ALLIANCES-BUILDING AND RESTRUCTURING THE CORPORATION- STRATEGIC
ANALYSIS AND CHOICE – MANAGING GROWTH - ENVIRONMENTAL THREAT AND OPPORTUNITY
PROFILE (ETOP) - ORGANIZATIONAL CAPABILITY PROFILE - STRATEGIC ADVANTAGE PROFILE -
CORPORATE PORTFOLIO ANALYSIS - SWOT ANALYSIS - GAP ANALYSIS - MC KINSEY'S 7S
FRAMEWORK - GE 9 CELL MODEL – DISTINCTIVE COMPETITIVENESS - SELECTION OF MATRIX -
BALANCE SCORE CARD-CASE STUDY.
CORPORATE STRATEGIES

• A corporate strategy is a long-term plan that outlines clear goals for a


company. While the objective of each goal may differ, the ultimate purpose of a
corporate strategy is to improve the company. A company's corporate strategy
may be to focus on sales, growth or leadership
WHAT IS A CORPORATE STRATEGY?

• A corporate strategy is a long-term plan that outlines clear goals for a


company. While the objective of each goal may differ, the ultimate purpose
of a corporate strategy is to improve the company. A company's corporate
strategy may be to focus on sales, growth or leadership.
TYPES OF CORPORATE STRATEGIES

• Growth
• A growth strategy is a plan or goal for the company to create considerable growth
in different areas. It could refer to overall growth, but it could also encompass only
specific areas, such as sales, revenue, following or company size. Companies can
accomplish growth strategies through concentration or diversification.
• Stability
• Stability strategies refer to a company staying within its current industry or market
because it's already succeeding in its current situation. This strategy maintains the
company's success by continuing practices that work for the company.
• Retrenchment
• The retrenchment strategy encourages the company to change paths to improve
the business. This might mean switching business models or changing markets.
The goal of this is to reduce or manage parts of the business that don't work for
the company.
• Reinvention
• Reinvention strategies are when a company reinvents, or redesigns, an aspect of
the business that may be old or irrelevant. The company might update it with new
designs, technologies or products
LIMITATION OF CORPORATES STRATEIES
STABILITY STRATEGIES
GROWTH STRATEGY MANAGING GROWTH
REASON TO PURSE GROWTH STRATEGY

CREATE STRENGTH
NECESSARY FOR SURVIAL
EMPLOYEES SATIFACTION
INCREASE PRODUCTIVITY
ISSUES INVOLVED IN GROWTH STRATEGY
TYPES OF GROWTH STRATEGY
INTENSIVE STRATEGY
CONCENTRATION STRATEGIES
TYPES OF CINCENTRATION STRATEGIES
MARKET PENETRATION
INTEGRATION STRATEGIES
REASON OF CORPORATE RESTRUCTURING

• TO GROW THE BUSINESS


• TO HAVE TECHNICAL ADVANCHEMENT
• TO DEAL WITH GOVERNMENT POLICY
• TO GAINADVANTAGES OF EXCHANGE RATE FLUCATION
• TO MAINTAIN ECONOMIC STABILITY
• TO REDUCE EPENT
PROCESS OF CORPORATE RESTRUCTURE
CORPORATE PORTFOLIO ANALYSIS
BCG MODEL
STRATEGIC ANALYSIS AND CHOICE
PROCESS OF STRATEGIC ANALSICS

• INDUSTRY ANALYSIS
• BUSINESS STRATEGY ANALYSIS
• STRATEGY EVALUCATION AND
RECOMMMACTION
ETOP PREPARATION
SWOT ANALYSIS
MC KINSEY 7’S FRAME WORK
•END

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