Types of Strategies
Forward
Integration
Vertical Backward
Integration Integration
Strategies
Horizontal
Integration
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Vertical Integration Strategies
Forward Gaining ownership or increased
Integration control over distributors or retailers
Backward Seeking ownership or increased
Integration control of a firms suppliers
Horizontal Seeking ownership or increased
Integration control over competitors
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Types of Strategies
Market
Penetration
Intensive Market
Strategies Development
Product
Development
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Intensive Strategies
Seeking increased market share for
Market present products or services in
Penetration present markets through greater
marketing efforts
Market Introducing present products or
Development services into new geographic areas
Seeking increased sales by
Product
improving present products or
Development services or developing new ones
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Publishing as Prentice Hall
Types of Strategies
Related
Diversification
Diversification
Strategies
Unrelated
Diversification
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Diversification Strategies
Related Adding new but related products or
Diversification services
Unrelated
Adding new, unrelated products or
Diversification services
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Types of Strategies
Retrenchment
Defensive Divestiture
Strategies
Liquidation
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Defensive Strategies
Regrouping through cost and asset
Retrenchment reduction to reverse declining sales
and profit
Divestiture Selling a division or part of an
organization
Selling all of a companys assets, in
Liquidation parts, for their tangible worth
Copyright 2011 Pearson Education, Inc. Ch 5 -8
Publishing as Prentice Hall