Reference no: EM132225328

A corporate-level strategy is a plan of action that involves choosing in which industries and countries a company should invest its resources. In choosing a corporate-level strategy, manager asks, “ How should the growth and development of our company be managed to increase its ability to create value for customers (and thus increase its performance and make money) over the long run?” Managers of effective organization actively seek new opportunities to use a company’s resources to create new improved goods and services. The principal corporate-level strategies that managers use to help a company grow and keep it at the top of its industry, or to help it retrench and reorganize to stop its decline, are (1) concentration of single industry, (2) vertical integration, (3) diversification, (4) international expansion. An organization will benefit from pursuing any of these strategies only when the strategy helps further increase the value of the organization’s goods and services so more customers buy them. This exercise will give you apportunity to choose among these strategies by recognizing the situations in which each is most appropriate. Roll over each company name to read a description and decide which type of strategy they use. Then, match the company name to the appropriate place on the chart. Or match section A to B section A. (1) concentration in a single industry. (2) forward vertical integration. (3) backward vertical integration. (4) related diversification. (5) unrelated diversification. B. (1) apple opened stores to sell the computers and other electronic devices it makes. (2) GAllo wines opened a new division to make the bottles it would use for the wines it produces. (3) coca-cola buys a company that makes artificial sweeteners that it will use to produce its sugar-free beverage. (4) Eggo waffles buys a syrup- producing company to increase its market share in the breakfast foods industry. (5) kraft foods acquires a toy manufacturing company. (6) Campbell sold Godva chocolates and invested the money in its core soups business. (7) NiKe reinvests profits into sportswear product development. (8) REdken manufactures shampoo, rinse, and other hair products. It buys a company that manufactures blow dryers, curling irons, and flat irons. (9) McDoland’s buys chicken ranches to provide eggs to its restaurants.