Corporate strategy vertical integration diversification and strategic alliances
Diversification Strategies Creating Additional Value Through Synergetic Integration of a New Business Into the Existing One.
Porters 5 Forces TutorialThe two principal objectives of diversification are. Forms and Means of Diversification.
Diversification typically takes one of three forms: Vertical integration — along your value chain Horizontal diversification — moving into new industry Geographical diversification — open up new markets Means of achieving diversification include internal development, acquisitions , strategic alliances , and joint ventures.
As each route has its own set of issues, benefits, and limitations, various forms and means of diversification can be mixed and matched to create a range of options.
Strategic Management - Selected Questions and Answers
Capitalize on Your Core Competencies. Any core competence that meets the following three requirements provides a viable basis for your corporation to create or strengthen a new strategic business unit SBU 2: The core competence must translate into a meaningful competitive advantage.
DIVERSIFICATION STRATEGIES. Strategic Management, Business Innovation, Corporate Strategies - Creating Additional Value Through Synergetic Integration of a New Business Into the Existing One
The new business unit must have enough similarity to existing businesses to benefit from your corporation's core competencies. The bundle of competencies should be difficult for competition to imitate.
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Two Types of Diversification. Three Forms of Diversification.