Definition Of Business Level Strategy

These outcomes are as varied as the approaches that corporations implement in the spirit of business level strategies.

Definition of business level strategy. Corporate level strategy is a long range action oriented integrated and comprehensive plan formulated by the top management. A business level strategy definition can be summarized as a detailed outline which incorporates a company s policies goals and actions with the focus on being how to deliver value to customers while maintaining a competitive advantage. A strategy of this type will address all key elements of the business operation with various portions of the process aimed at maintaining excellent customer support to clients providing quality. A business level strategy is a carefully designed methodology that aids companies in implementing and carrying through with actions designed to meet the financial and other goals set by that business.

Functional level strategy applies at the department level and ensures that the corporate level strategy and business level strategy are implemented in the day to day operations of the company. Business level strategy theory states that there are essentially three strategies you as an organization can use to win in the marketplace. So for example you aim for the middle of the road in terms of price but include an added component higher quality novel feature that justifies the higher price. You aim to add value to your products and services so they re more attractive than those offered by your competitors.

Cost leadership focus or differentiation. The fundamental tenet to this business level strategy is simple. This level is dominated by measuring the progress toward achieving specific objectives and by implementing projects that define the actions that will. This strategy allows flexibility in both price and added value.

Strategy is the pattern of decisions in a company that determines and reveals its objectives purposes or goals produces the principal policies and plans for achieving those goals and defines the range of business the company is to pursue the kind of economic and human organization it is or intends to be. An integrated business level strategy combines the ideas of low cost and differentiation into one common goal. The five types of business level strategies are as follows. The differentiation strategy what it is.

It is used to ascertain business lines expansion and growth takeovers and mergers diversification integration new areas for investment and divestment and so forth. Which one you choose with depend on market conditions and your unique set of core competencies. Here is a mature and classic definition of business strategy from kenneth andrews. The business strategy is a detailed plan outlined on how to deliver value to customer at the same time positioning itself as having a competitive advantage over the competitor.