Strategic Management

Solution Preview

The response addresses the queries posted in 1501 words with references.

//Business organizations pursue various strategies in order to achieve high growth. Different organizations pursue different strategies depending upon their business requirements. This paper is basically concerned with assessing the corporate level strategy of unrelated diversification, as pursued by UTC corporation and the extent to which it is successful in pursuing such strategy//.

In this competitive business environment, businesses are adopting various strategies in order to achieve higher growth. In the process, they are expanding their business globally by adopting various strategies such as mergers, acquisitions, amalgamations, etc. Even the companies are eying to expand their operations globally. In the process of expansion, they adopt various corporate strategies, such as diversifying their business to the same as well as different lines of business from the existing business carried on by them.

United Technologies Corporation (UTC) is Hartford based company, which has owned a wide variety of companies that operate in different lines of business and industry. The different lines of business, which form the part of UTC, enable the company in creating values in the major activities performed by the organization. One of the most important ways through which the unrelated diversification strategy of UTC helps in creating value for the organization is the development of a unique multi business model by the CEO of the company George David (Hill & Jones, 2008).

The multi business model, as developed by the company, has proved to be successful in one of its business of developing elevators. Such model has enabled the company to increase its overall profitability from the business of manufacturing elevators. The business of elevator has been proved to be a disaster. As such, the company has adopted one of its TQM experts in order to assess the main reason behind the failure of its elevator business initially. The entire process of manufacturing the elevator has been analyzed by the TQM experts, along with the managers, designers and the production workers.

This has enabled the company to identify the main reason behind the collapse of its elevator in the market. As such, the company has redesigned its entire process of manufacturing elevators and has achieved success in the market. The success formula for the particular business of manufacturing elevators has been applied ...