1. What are the different types of strategies? What are the differences among these strategies? How do you determine which type of strategy is most appropriate for an organization?
2. What are strategic objectives? What is the purpose of strategic objectives? What makes an effective strategic objective? What are some examples of strategic objectives one with which you are familiar?
3. Review the 7 criteria for preparing long-term objectives. If you are familiar with the strategic objectives of an organization, do the objectives comply with the 7 criteria?
The response addresses the queries posted in 1269 words with references.
// Strategy formation is one of the most critical decisions taken in organization. This paper puts up few queries regarding the strategy formation. The first questions deals with types of strategies and their differences. Before describing the strategy formation or types, we have to first learn what we mean by 'strategy'. Then, I will define the kinds of strategy. Like this//
Strategy: Types & Objectives
Strategy: Corporate strategy is basically the growth design of the firm and spells out the growth objectives of the firm like direction, extent, pace and timing of the firm's growth.
A typical business firm considers three types of strategies, i.e. at business level, at functional level and at corporate level. Corporate strategy typically fits within the three main categories: stability, growth and expansion. Business strategy fits within the overall categories of competitive or cooperative strategy. Functional strategy is concerned with developing and nurturing a distinctive competence (Wheelen & Hunger, 2004).]
The corporate strategy is the most important strategy among all. There are four generic categories of the corporate strategy:
Stability Strategy: According to this strategy, the firm stays with its current businesses and product markets, maintains the existing level of effort and is satisfied with incremental growth.
Expansion Strategy: The firm following this strategy seeks significant growth. This growth may be within the current business, may be by entering new business that are related to the existing businesses or by entering new businesses that are not related to the existing businesses.
Divestment Strategy: The firm following this strategy retrenches some of the activities in a given business or drops the business through sell out or liquidation.
Combination Strategy: The firm following this strategy combines the above strategic alternatives in some permutation / combination so as to suit the specific requirement of the firm (Ramaswamy & Namakumari, 2007).
Among all the above strategies, the most appropriate strategy for a firm is Expansion strategy. As all the firms seek a sizeable growth, they try to grow by exploiting the ...
This response explains the types of strategy, strategic objectives, and criteria of long term objectives in 1269 words with six APA references.