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Pavitar Parkash Singh, Lovely Professional University Unit 8: Business Level Strategies

Unit 8: Business Level Strategies Notes

CONTENTS
Objectives

Introduction
8.1 Industry Structure

8.2 Positioning of the Firm
8.3 Generic Strategies

8.3.1 Risks in Competitive Strategies
8.3.2 Critical Assessment of Generic Strategies

8.3.3 Comment on Porter’s Generic Strategies
8.4 Business Tactics

8.5 Summary
8.6 Keywords

8.7 Self Assessment
8.8 Review Questions

8.9 Further Readings

Objectives

After studying this unit, you will be able to:
Define industry structure

Describe the positioning of firm
Discuss the generic strategies
Identify the business tactics

Introduction

Each business should have its own business strategy. A business strategy is basically a competitive
strategy and is concerned more with how a business competes successfully in the chosen market.
The strategic decisions at business-level revolve around choice of products and markets, meeting
the needs of customers, protecting market share, gaining advantage over competitors, exploiting
or creating new opportunities and earning profit at the business unit level. In short, a business
strategy outlines the competitive posture of its operations in the industry.
Business strategy is guided by the direction set by the corporate strategy. It takes the cue from
the priorities set by the corporate strategy. It translates the direction and intent generated at the
corporate level into objectives and strategies for individual business units.

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