What is corporate strategy?

What is Corporate strategy
What is Corporate strategy

Corporate strategy is an area where you can look your future. Nowadays strategic planning gaining immense popularity among students all because of the hike in the demand of strategic planners to for the corporate strategy work. Big firms are in great need of corporate strategic planners. As we know work done with a proper strategy in any field will always flourish. For the growth of the company and achieving new heights, a corporate strategic planner is required. The strategic planner helps the company in the formation of good strategies and implementation of those strategies in a good way. This will bring capital to the company. The work is full of risk as planner helps the manager to decide where to invest money and where not.

If you guys want to be a corporate strategic planner, then start the hard work now. The scope is great in this field, but for that, your efforts need to be the best among the best. All who are doing management courses or finance courses are having great chances of becoming a corporate strategist. But you need to keep your academic score excellent, and for that purpose, you can take assignment help so that you don’t lag behind in your submission. A good assignment score will help you a lot in turning your grades excellent from good. Today in this blog you are going to get a good amount of information regarding corporate strategy.

So first have a look at the sections you are going to read in this blog:

  • What is Corporate Strategy?
  • Key Concepts Related to Corporate Strategy
  • Essential Components of Corporate Strategy?
  • Get an idea about Strategic planner
  • Planning to become a strategic planner?
  • Why students should take assignment help in corporate strategy subject

What is Corporate Strategy?

A corporate strategy is a collective approach in making a strategic decision by looking at all the work and businesses in a firm and making plans to gain profit. In simple words, corporate strategy is a tactical plan of a company to outperform its competitors. If a company wants to make a successful corporate strategy, then it should look at how all businesses run by company fit together or not. It is needful to determine how different businesses in an organization make an impact on each other. Corporate strategy is above the business strategy. In business strategy, the concern is with the strategic decision for a single business, but here in corporate strategy, strategies are for every business branch in an organization.

Key Concepts Related to Corporate Strategy

Key Concepts Related to Corporate Strategy.png

Corporate strategy has a number of fundamental concepts that are important to understand before making your career in corporate strategy. If you are planning to go ahead in this area then it is very important to understand these concepts or else you will face great difficulties. So let’s have a look at the key concepts of corporate strategy:

Company’s vision

It has both the values and the reason for the organization. Vision helps in providing the direction to the employees. It tells the employee how to behave and give the best output for the success of the company. Vision should be concise and gives a description of the company’s long term goals. It also tells the current situation of the organization.

Company’s value

Values are the beliefs that help in the operations of an organization. They show what elements are useful for the organization and reflect the vision of the company. Values are constant and do not change with time and are the building blocks of the company’s culture.

Company’s strategy

It concerns with the utilization of the available resources to achieve the goals. These strategies give direction for the future work activities of the company and help in generating more benefits.

Competitive strategy

These strategies are dependent on the weaknesses, capabilities, and strengths of a company in relation to the nature of the market. There are five factors on which competition level of an organization depends upon:

  • Bargaining power of buyers
  • A threat of substitute services and products
  • Bargaining power of supplier
  • A rivalry between the existing companies
  • A threat of new entrants into the industry

Policies of a company

Policies are the mirror of a company’s principles and ethics. Policies make a basic framework of the organization. It also indicates the working style of a company in the market. These policies are also related to business plans and targets which has to be achieved. It also helps the employee by clearing the vision of the company and how it has to be achieved.

Company’s turnover and growth

It tells about the financial condition of a company and sales trends presently. It also provides an idea to the managers in the company about the requirement of raising funds for a specific business and how it has to be done.

Essential Components of Corporate Strategy

components of corporate strategy.png

There are some important components of corporate strategy which needs to be focused by the leaders of the firm.

  1. Resource Allocation
  2. Designs of the Organization
  3. Managing of the Portfolio
  4. Strategic Tradeoffs

Below you will notice the detailed explanation of the four main components of the corporate strategy. 

Resource Allocation

In the allocation of resources the focus is mainly on two important resources, the first is people, and the other one is capital. In order to maximize the value of an organization, leaders should know where to allocate these two resources. Only good allocation of the above mentioned two resources will lead to future gains in an organization.

Keys factors which are related to allocation of resources are:


Selection of people is most important. Select the skillful employees who fulfill the requirements of the company. After hiring them, it is important to distribute them to the company judiciously.

  • Placing the leaders into the right business so that they can upgrade the value.
  • It is necessary to ensure that good talent is available in all the businesses in a company.


  • Allocation of capital in different businesses in order to earn a maximum risk-adjusted return.
  • Allocating capital between external projects and internal projects and analyzing external opportunities.

Designs of the Organization

This involves ensuring whether the company has a needful corporate structure and related system in a proper manner or not to gain maximum value. Leaders must consider the factors like corporate head office role, individual reporting structure, and business units.

Factors responsible for the organizational design are:

Head office (centralized vs. decentralized)

  • Shaping what amount of self-rule to give business units.
  • Influence on the strategy of business units.

Structure of the Company (reporting)

  • Deciding how to make decisions. Whether they should be top down or bottom up.
  • Understanding how to divide large initiatives into minor projects.
  • Making equilibrium between risk and return by dividing work and tasks.
  • Determining the correct delegation of authority.
  • Creating good governance structures.
  • Making various structures for reporting.

Managing of the Portfolio

Management of the portfolio is a way of making the correct decisions related to investment mix and policy, asset allocation, matching investments to objectives, and balancing risk against performance. Management of portfolio is all about identifying the strengths, opportunities, weaknesses, and threats in the choice of domestic vs. international, debt vs. equity growth vs. safety, and many other trade-offs that come in the attempt to increase return at a given appetite for risk.

The Key Elements for the management of portfolio are:

Asset Allocation

Long term mixture of assets is the main key to effective portfolio management. This is based on the knowledge of assets, and the leader should know that different types of assets are more volatile than others and do not move in concert.


The only constant thing in investment is that every time you cannot predict the winners and losers. So the cautious approach is spreading the risk and reward within an asset. You cannot identify which sector will outperform another, so the best way is to spread your investment in different assets.


It is a method where a portfolio returns to its original target allocation annually.

Corporate Strategy related to portfolio management includes:

  • Investment decision in different business.
  • Shaping the range of vertical integration the company should encompass.
  • Managing risk with the help of diversification and minimizing the association of results across businesses.
  • Generating strategic options by seeding new opportunities, where investment could be heavy.
  • Monitor the competitive landscape and ensure the portfolio is well balanced relative to trends in the market.

Strategic Tradeoffs

Strategic tradeoffs are one of the most challenging parts of the corporate strategy. It is balancing the tradeoffs between return and risk in the firm. It is substituting one strategic priority for another.

Below I have mentioned the main factors for strategic tradeoffs, let’s have a look at them:

Managing risk

  • Risk depends on the strategies one chooses for the business 
  • True product differentiation, this strategy is a high-risk strategy which can result in a market leadership position or complete destruction.
  • Copy cat strategy is adopted by various companies. In this companies look out what other risk takers are doing and modifying from them slightly.
  • Knowing strategies and associated risks are of vital importance.

Generating returns

  • When one creates higher risk strategies then return can also be higher.
  • Higher risk strategies help in creating the opportunity of maximum rates of return. Above example of cost leadership or true product differentiation are the best to provide the maximum return in the long run if  one executes them well.
  • It is good to have an appropriate number of business options in the portfolio. More business option can become big bets when strategy develops in future.


  • Structure of incentives has a crucial role in identifying amount of risk and how much return managers will get.
  • It is necessary to keep responsibilities and return generation apart so that each can be attained to the required level.

Get an idea about Strategic planner

Do you know the people who do all strategic work for a firm or organization? If not then I would tell you, they are strategic planners. Their work is in association with the management staff of the company.  Strategic planners guide managers in planning policies and implementation of the same for the growth of the company. Their role is a crucial one in any company as they are the designer of the path which leads to profit and success for the company.

Some main roles of strategic planners:

  • Evaluation and analyzing the internal plans in a business which includes financial forecasting, analyzing of feasibility, analyzing the competition, and analyzing the market.
  • Strategic planner keeps noting the progress of the relationship with the vendor, expanding the business geographically and also supply chain issues.
  • Decisions by strategic planners are based on intuitions and instincts. These instincts are developed with years of working experience and knowledge in the field.

Are you planning to become a strategic planner?

Do you want to be a successful strategic planner, or want to make a career in this field then you must have some powerful skills to excel in this area.  Let’s have a look at them:

  • If you want to excel in the area of strategic planning then first you should have a good hand with the subjects like finance and budgeting.
  • You must be good at marketing concepts. Your market evaluation skills should be high, dealing with customer and knowledge of technology should be good.
  • You need to be thorough in the study of the market. This will help you and company to grow more.

You all can become pro in corporate strategy subject, but for that, you have to perform outstandingly in the academics. You can take online assignment help if you find yourself stuck at any topic. Experts have in-depth knowledge and skills to take you out from the mud.


So moving towards conclusion lets have recall of all the section which we have discussed in this blog.

First and foremost thing is the understanding of corporate strategy. I explained this in the first section of the blog. Then I moved to key concepts of corporate strategy. These concepts are the basics of corporate strategy and very useful for students who want to pursue their career in it. Third section deals with the components of the corporate strategy. Here I have explained four main components which are resource allocation, designs of the organization, managing the portfolio, strategic tradeoffs. The next section provides information related to the strategic planner. Then you can see the skills required for becoming a strategic planner.

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