Coporate trategy of Strategic management.docxVIP

Definition: a corporate-level strategy specifies actions a firm takes to gain a competitive advantage by selecting and managing a group of different businesses competing in different product markets. The reason to use corporate-level strategy: Why do the firms use corporate-level strategy? Typically, a diversification strategy is used to increase the firm’s value by improving its overall performance. Value is created either through related diversification or through unrelated diversification when the strategy allows a company’s businesses to increase revenues or reduce costs while implementi