Scribd
Upload
18 views

DIFFERENT-BUSINESS-STRATEGIES

The document outlines different levels of strategy within an organization: Corporate, Business, and Functional. Corporate strategies focus on overall organizational goals, including growth, stability, and renewal, while Business-level strategies determine competitive approaches for strategic business units. Functional-level strategies aim to enhance operational effectiveness across various departments such as manufacturing and marketing.

Uploaded by

Marielle Ace Gole Cruz
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
18 views

DIFFERENT-BUSINESS-STRATEGIES

The document outlines different levels of strategy within an organization: Corporate, Business, and Functional. Corporate strategies focus on overall organizational goals, including growth, stability, and renewal, while Business-level strategies determine competitive approaches for strategic business units. Functional-level strategies aim to enhance operational effectiveness across various departments such as manufacturing and marketing.

Uploaded by

Marielle Ace Gole Cruz
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
You are on page 1/ 12

DIFFERENT LEVELS OF

STRATEGY
Corporate

Operational Business

Functional
DIFFERENT LEVELS OF
STRATEGY:

Corporate

In
cre
level

as
e
th
Business

er
es
level

p
on
si b
ili
Operational or

ty
functional level
CORPORATE LEVEL:
• Top management’s overall plan for
the entire organization and its
strategic business units.
• Corporate level strategy occupies
the heights level of DECISION
MAKING.
• the nature of the decisions tends to
be value oriented, conceptual than
the Business level, and
Operational or Functional level.
Types of Corporate Strategies:

◦Growth: expansion into new products and


markets.
◦Stability: maintenance of the status of the
organization.
◦Renewal: redirection of the firm into new
markets.
CORPORATE LEVEL STRATERGY
 Growth Strategy
◦ Seeking to increase the organization’s business by
expansion into new products and markets.
 Types of Growth Strategies
◦ Concentration
◦ Vertical integration
◦ Horizontal integration
◦ Diversification
GROWTH STRATERGIES:
 Concentration: Focusing on a primary line of
business and increasing the number of products offered
or markets served.
 Vertical Integration: 1). Backward vertical

integration.
2). Forward vertical
integration.
 Horizontal Integration: Combining operations with

another competitor in the same industry to increase


competitive strengths.
GROWTH STRATERGIES(cont’d)
 Diversification:
1). Related Diversification: Expanding
by merging with firms in different, but
related industries.
2). Unrelated Diversification: Growing
by merging with firms in unrelated
industries where higher financial returns
are possible.
CORPORATE LEVEL STRATERGY(cont’d)
 Stability Strategy: A strategy that seeks to
maintain the status with the uncertainty of the
environment, when the industry is experiencing slow-
or no-growth conditions.

 Renewal Strategy: Developing strategies to


counter organization weaknesses that are leading to
performance declines.
Business-Level Strategies:
 A strategy that seeks to determine how
an organization should compete in each
of its SBUs (strategic business units).

 At Business-level ALLOCATION of re-


sources among Functional-level an
COORDINATE with the Corporate
level to the ACHIEVEMENT of the
Corporate level OBJECTIVES.
Business-Level Strategies(cont’d)
 Cost leadership: Attaining, then using the lowest
total cost basis as a competitive advantage.

 Differentiation: Using product features or services to


distinguish the firm’s offerings from its competitors.

 Market focus: Concentrating competitively on


a specific market segment.
Functional-Level Strategies:
 Focus is on improving the
effectiveness of operations
within a company.
 Which is done by:

◦ Manufacturing
◦ Marketing
◦ Materials management
◦ Research and development
◦ Human resources
THANK YOU
TO INCREASE THE PROFIT, CO-ORDINATION
AMONG LEVELS ARE IMPORTANT....

You might also like