Corporate Level Strategy Analysis

Various levels of strategy formulation based on management team and organizational structure

First and foremost task in an organization is to set goals, main objective and purpose for its inception. For which it is important to identify the persons responsible for taking various decisions in an organization. It is believed that formulating of strategy is the responsibility of top level management or founder of an organization and his duties is to assign the task at various levels in order to achieve the main objective of an organization. The various levels based on management team and organizational structure include. However, it is considered useful to distinguish between the levels at which strategies are operated.

CORPORATE LEVEL MANAGEMENT:

They are production manager, human resource manager and marketing managers at various Divisions in an organization. Their main objective is to perform various tasks assigned by top level management and assigning tasks to their subordinates at different functional levels. Like allocation of resources among functional areas and coordination between them for achievement of corporate level objectives. These strategies operate within the overall organizational strategies, within the broad constraints and long term objectives set by the corporate level management. Business level strategy deals with ‘How’ to perform the task assigned by corporate level strategy within the organization.

This concept is concerned with the actions and the approaches crafted by management to produce successful performance in one specific line of business; the central business strategy issue is how to build a stronger long-term competitive

Accordingly a company should consider the various global strategies it can pursue. For example: multi-domestic, international, global and transnational that a company can adopt to compete in global market place. It should also consider the benefits and costs of strategic alliances between global competitors, the different entry modes that can be used to penetrate a foreign market and the role of host government policies. International level strategy: Due to globalization growth in international businesses have increased in the recent times, for which strategies need to be formulated at the global level or international level. Managers must be conscious about the markets, supplies, investors, locations, partners, and competitors across the globe. Successful businesses will take advantage of opportunities available to them. However Management needs to understand the similarities and differences across national boundaries, in order to utilize the opportunities and to deal with it. Global strategy is the competitive technique designed to help companies operate and compete effectively across national boundaries. Therefore it requires careful strategy formulation at various levels as per culture, tradition and norms of different countries to compete