The three levels of strategy for a company are corporate, business and functional. Corporate strategy focuses on determining which businesses the company should be in. Business strategy develops competitive advantages within a businesses segment. Functional strategy operates at the level of marketing, operations and finance to ensure that each part of the company has strategies to support the business. For single-business companies, corporate strategy consists of continuously evaluating the benefits of remaining in a single business versus becoming active in complementary industries.

This forgets Network Level…

Macroeconomic Environment:

  • “Where am I going to compete?” – Corporate level
  • “With whom am I going to compete?” – Network level

Microeconomic Environment:

  • How am I going to compete? – Business level
  • How am I going to configure my internal resources? – Functional level
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