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* * * * * * * * * * * * * * * ? 2007 Prentice Hall, Inc. All rights reserved. 8–* Growth Strategies (cont’d) Renewal Strategies Developing strategies to counter organization weaknesses that are leading to performance declines. Retrenchment: focusing of eliminating non-critical weaknesses and restoring strengths to overcome current performance problems. Turnaround: addressing critical long-term performance problems through the use of strong cost elimination measures and large-scale organizational restructuring solutions. Evaluation only. Created with Aspose.Slides for .NET 3.5 Client Profile 5.2.0.0. Copyright 2004-2011 Aspose Pty Ltd. ? 2007 Prentice Hall, Inc. All rights reserved. 8–* Corporate Portfolio Analysis Managers manage portfolio (or collection) of businesses using a corporate portfolio matrix such as the BCG Matrix. BCG Matrix Developed by the Boston Consulting Group Considers market share and industry growth rate Classifies firms as: Cash cows: low growth rate, high market share Stars: high growth rate, high market share Question marks: high growth rate, low market share Dogs: low growth rate, low market share Evaluation only. Created with Aspose.Slides for .NET 3.5 Client Profile 5.2.0.0. Copyright 2004-2011 Aspose Pty Ltd. ? 2007 Prentice Hall, Inc. All rights reserved. 8–* Exhibit 8–5 The BCG Matrix Evaluation only. Created with Aspose.Slides for .NET 3.5 Client Profile 5.2.0.0. Copyright 2004-2011 Aspose Pty Ltd. ? 2007 Prentice Hall, Inc. All rights reserved. 8–* Business or Competitive Strategy Business (or Competitive) Strategy A strategy focused on how an organization should compete in each of its SBUs (strategic business units). Evaluation only. Created with Aspose.Slides for .NET 3.5 Client Profile 5.2.0.0. Copyright 2004-2011 Aspose Pty Ltd. ? 2007 Prentice Hall, Inc. All rights reserved. 8–* The Role of Competitive Advantage Competitive Advantage An organization’s distinctive competitive edge. Quality as a Competitive Advantage Differe
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