Strategic Management Chapter 7: Corporate Strategies

1. Strategic ManagementChapter 7:Corporate Strategies Tyler Bruce Hunter Buckles Brooke Kavieff Ben Muse Eric Matthews Trevor Stricklan

2. 7.1Business Organizations Single- Business Coca-Cola Multiple- Business Pepsi

3. 7.1Corporate Strategic Decisions Moving an organization forward Keeping an organization as is Reversing an organization’s decline

4. 7.2Types of Growth Strategies Concentration Current and new products, markets Vertical Integration Supplier, Distributor Horizontal Integration Competitor integration Diversification New industries International Global Markets-combine strategies

5. 7.2Implementing Growth Strategy Merger Acquisitions Internal Development Strategic Partner

6. 7.3Stability Strategy Stability strategy is one in which an organization maintains its current size and current activities When is the stability strategy most appropriate? When and industry is in a period of upheaval An industry is facing little or no growth opportunities

7. 7.3Stability Strategy When is the stability strategy most appropriate? Rapid growth has occurred and “down time” is needed Industry is maturity stage Some small businesses Implementing the stability strategy Ford and “The Way Forward”

8. 7.4Organizational Renewal Strategies What are renewal strategies? What leads to performance declines? What are signs of declining performance?

9. 7.4Renewal Strategies Retrenchment: short-run, addresses organizational weaknesses causing performance decline Turnaround: used to serious performance problems

10. 7.4Implementing Renewal Strategies Cost Cutting Across the Board Selective Restructuring Sell off Spin off Liquidation Downsizing Bankruptcy

12. 7.5Corporate Strategy Evaluated and Changed Corporate Goals Efficiency, Effectiveness, and Productivity Measures Benchmarking Portfolio Analysis BCG McKinsey-GE Stoplight Product Market Evolution