Ppt2

Corporate Strategy Decisions & Marketing Implications

PPT IIProf. S.Venkat

Discussion Questions

1. In defining their strategies, should companies pursue broadly or narrowly defined missions?

2. What are the advantages of each approach?

Exhibit 2.2

Characteristics of Effective Corporate Mission Statements

Broad SpecificFunctionalBased on customer needs

Transportation business

Long-distance transportation for large-volume producers of low-value, low-density products

PhysicalBased on existing products or technology

Railroad business

Long-haul, coal carrying railroad

Source: Adapted from Strategy Formulation: Analytical Concepts, by C. W. Hofer and D. Schendel. Copyright © by West Publishing Company. All rights reserved.

Discussion Question

3. What are some common performance dimensions and measures used to specify corporate objectives?

Discussion Question4. What characteristics do you want in a

corporate objective/goal?

Objectives• Components:– A performance dimension or attribute sought– A measure or index for evaluating progress– A target or hurdle level to be achieved– A time frame within which the target is to be

accomplished• SMART– Specific – Measurable – Attainable – Relevant – Time-bound

Discussion Question

5. What kind of company resources provide the foundation for effective competitive and marketing strategies?

Discussion Question• Examples:–Highly developed information systems– Extensive market research operations–Co-operative long-term relationships with

customers–Brand name–Co-operative alliances with suppliers

Discussion Question

6. Ansoff says there are four strategies for growing a business. - What are their merits and drawbacks?

- Can you think of examples for each strategy?

Discussion Question

7. What models can we use at the corporate level to help in resource allocation decisions?

Boston Consulting Group Matrix

General Electric Business Screen

Discussion Question

8. Where do potential synergies lie at the corporate level?

Discussion Question

• Synergies at the corporate levels may be:–Knowledge-based–Corporate identity–Shared resources