The Concept of Corporate Strategy

Abstract

Abstract Corporate 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, and the nature of the economic and noneconomic contribution it intends to make to its shareholders, employees, customers, and communities. In an organization of any size or diversity, ‘corporate strategy’ usually applies to the whole enterprise, while ‘business strategy,’ less comprehensive, defines the choice of product or service and market of individual businesses within the firm. Business strategy, that is, is the determination of how a company will compete in a given business and position itself among its competitors.