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Corporate parenting is a type of business strategy that views a corporation in terms of resources and capabilities in an effort to develop business unit value, and align those business units. In corporate parenting, strategy is developed by focusing on core competencies of the parent corporation as well as through the value created through this relationship.
Over the next three weeks, you will perform a Corporate Parenting Analysis specific to your topical area for your case study. This Corporate Parenting Analysis will become "Appendix B" for your case study.
Additional guidance for this Corporate Parenting Analysis is as follows:
• Analyze the strategic factors of each business unit or level of management• Analyze potential areas of performance improvement• Analyze the organizational alignment of each business unit or level of management• Analyze the main business functions, to include: finance, marketing, operations, and human resources. • The analysis should be suitable for review by a senior business executive demonstrating evidence of logical analysis, reasoned judgment, attention to organizational ethics, and value creation.• Please be sure to include your recommendations for action in your narrative.
The long-term cash-making capability of the company
Division Y has annual operating profit of £40 million after charging £6 million for the development cost of a new product which has been launched and is expected to last this year
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