Critical thinking 3:
Corporate Strategy for Diversification
Diversification strategies raise a wide range of strategic management issues. For this assignment, select a KSA company whose strategy includes or included diversification and explore its motives, competitive advantage, and strategic planning based on the topics from Chapter 12 and the assigned reading.
Identify and provide company strategic details and consider what circumstances existed that motivated this company to diversify.
What mode of diversification did the company adopt? How does this relate to their resources and capabilities?
What are the benefits of diversification in this industry and how significant are they in the shape and growth of the industry?
Discuss the implications of the strategy chosen for the:
Management systems, and
Allocation of decision making within the diversified firm.