Generate, Evaluate, Select strategies

What are IE's strategies?

- Grow and build - Hold and maintain - Harvest or divest

What strategies are recommended for cash-cows in BCG Matrix?

- Product development - Diversification - Retrenchment - Divestiture

What strategies are recommended for dogs in BCG Matrix?

- Retrenchment (Nedskärning) - Divestiture (Avyttring) - Liquidation

What is a SWOT matrix? Describe the idea of the different strategies.

A matrix to match between organisations opportunities, threats, strength and weaknesses. SO - Use strength to take advantage of opportunities WO - Use opportunities to improve internal weaknesses. ST - Use strengths to avoid or reduce impact of external threats. WT - Strategy to reduce internal weakness and avoid external threats

What strategy-categories is in the SPACE matrix? Give example of strategies in each category.

Conservative - Market penetration, Market development, Product development, Related diversification. Agressive - Backward, forward, horizontal integration. Market penetration, market development, Product development, Diversification (related or unrelated) Defensive - Retrenchment, Diversiture, Liquidation Competitive - Backward, forward, horizontal integration. Market penetration, Market development, Product development.

How differ the IE (Internal-External) matrix from BCG matrix?

IE presents divisions relation in External and Internal score. Is divided in 9 cells and therefore have different strategies.

What three stages is in the comprehensive strategy formulation framework? What matrix's i used in each stage?

Input stage - EFE Matrix, IFE Matrix, CPM. Matching stage - SWOT, SPACE, BCG, IE, Grand Strategy matrix Decision Stage - QSPM (Quantita

What strategies are recommended for Stars in BCG Matrix?

Integration and Intensive strategies.

What internal/external dimension is used on SPACE matrix axis?

Internal - Financial position, Competitive position External - Industry position, stability position.

What dimensions is used in the Grand Strategy Matrix?

Market growth rate Competitive position

What matrix is used in the Decision stage of the comprehensive strategy formulation matrix.

Quantitative Strategic Planning Matrix (QSPM)

What categories do BCG have? Descibe them and give quadrant location.

Question marks - low relative market share position, high growth industry (upper right) Stars - High relative market share, high industry growth. (upper left) Cash cows - high relative market share, low-growth industry. (Lower left) Dogs - low relative market share, low growth industry. (Lower right)

What axis does the BCG matrix have and how are they defined?

Relative market share position - Ratio of divisions market share compared to market share of industry's largest rival firm. Industry sales growth rate - Average annual increase in revenues for all companies in that industry.

What are the piecharts size and how large the piece representing in BCG Matrix?

Size = Volume of revenue Pie-piece size = percent of profits

Why are the upper right quadrant called "Question Marks" in BCG Matrix and what is to be done there?

The organisation have to decide whether to strengthen them with intensive strategy or to sell them.

What is the Quantitative Strategic Planning Matrix used for?

Used as a tool for selecting strategies.