Three Types Of Business Strategy And Corporate Level Strategy

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organizations. In that case, business develops the product and business is managed by the organization. Thus the organization has to manage products through business unit so that the product can be competitive and can contribute to decided objectives of the organization. 2.2.4.1 Corporate level strategy Corporate level strategy is directly linked to the business. It decided the type of business in which the organization should compete and to develop portfolio of various products under that business. Corporate level strategy focuses on: • Reach: The corporate level strategy should deal with issues which are the responsibilities of corporate. The issues can be related to:  Defining short term and long terms goals and objectives of the organization…show more content…
Michael Porter, which were cost leadership, differentiation and focus. These strategies can be implemented on SBU level to establish competitive advantage against competitors. 2.2.4.3 Functional level strategy The functional level of the organization is the ground level at which divisions are operated. The issues of functional level can be of value chain or business processes. The functional level strategies can be for marketing, finance, human resource, IT, operations, R&D etc departments. The strategy may include linking all the departments and dividing resources amongst them for optimization. Using this strategy, business can be executed effectively and efficiently. Functional level strategies give their inputs to business unit and corporate strategies such as sharing information of available resources so that the higher level strategies can be defined accurately. Once higher level strategy is clearly created and shared, the functional departments convert it into action-plans and make the established strategy a success. 2.2.5 Types of…show more content…
An emergent strategy is an unplanned strategy that emerges because of sudden opportunities and difficulties. In some cases emergent strategies bring about calamities. In the mid-1980s, FedEx digressed from its expected strategy's attention on package delivery to gain by a rising innovative technology: fax machines. The firm built up a service called as ZapMail that included documents being sent electronically by means of fax machines between FedEx workplaces and after that being delivered to clients' workplaces. FedEx officials trusted that ZapMail would be a win on the bases that it decreased the delivery time of a document from overnight to only two or three hours. Tragically, in any case, the ZapMail framework had numerous specialized issues that baffled clients. Far more terrible, FedEx neglected to foresee that numerous organizations would essentially buy their own particular fax machines. ZapMail was close down a little while later, and FedEx lost a huge number of dollars due to its failed emergent strategy. All things considered, FedEx had committed an expensive error by wandering outside of the domain that was fundamental to its proposed strategy: package

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