Question

Explain the term strategy and the difference between Business and Corporate Strategies. Describe how you would craft a mission statement and explain the process to set-up your strategy. Discuss how strategic management has evolved since the 1950’s and where it might be in the next decade (2020-2030).

Answer 1

Strategy can be defined as a method or a level of planning that helps the business to achieve its goals or objectives. A strategy defines that how an organizational objectives can be achieved through the means or available resources. Talking about the business and corporate strategies, business strategies focus on how should we compete while business strategy focuses on within which business to compete. Also, the business level strategy is about how to create a customer base and sell products on higher profits while corporate strategy is used to decide when business needs to sell or purchase and which strategies to be used particularly.

Talking about the mission statement and process.

So, the vision of the company is to create a platform for the customer which is "one-stop end for seniors". Show the company objective is to provide services to different divisions such as entertainment, charity, IT sector, banking. It provides services by increasing or raising funds for these different divisions. It basically works for the owners by providing services to all these divisions and different lions and charging certain amounts of money for providing the services.

Discussing the evolution of strategic management since 1950, earlier the focus by top management was to budget planning and financial controlling through the tools of accounting like capital budgeting and financial planning. In 1960 and 1970 the companies started focusing on corporate planning buy initiating departments to plan growth and diversification and more often use forecasting tools. In late 1980 and 1990, the companies started taking strategic management as a different discipline source for growth. And after this, the evolution of strategic management has sustained as a big concept for growth and development. In the next decade 2020-2030, the companies will start taking strategic management as a priority to evolve and forecast the operations.