MGMT

Assignment 6

This assignment covers chapter nine, Corporate-Level Strategy: Horizontal Integration, Vertical Integration, and Strategic Outsourcing, and chapter ten, Corporate-Level Strategy: Related and Unrelated Diversification.

Chapter 9 Questions

1. Who makes strategies at the corporate level, and how this strategy  is made? How would an organization with a multi-business model form their strategies? What would they target?
2. Why would a company leverage horizontal integration as a strategy? What are the advantages and disadvantages of horizontal integration ?
3. Why would a company leverage vertical integration as a strategy? What are the advantages and disadvantages of vertical integration? When companies vertically disintegrate and why?
4. What is strategic outsourcing? Describe why a company would explore this option as an alternative to vertical integration. What are the potential advantages and disadvantages of strategic outsourcing.

Chapter 10 Questions

1. Why do companies diversify? When do companies consider diversification? What are the advantages of diversification.
2. Describe related and unrelated diversification, and why a company would choose one diversification method or the other.
3. Describe what can cause diversification to fail.
4. When seeking to enter a new industry, some companies decide to acquire another company. Describe the advantages and disadvantages a company may face when exploring acquisition to enter a new industry.