Corporate Strategy Analysis Discussion
Corporate Strategy Analysis Discussion
In week 3 the team discussed corporate strategy. We identified 4 companies being Coca-Cola, Southwest Airlines, VF Corporation and Xerox, with the information we had we determined their type of corporate strategies in today’s economy.
With the Coca-Cola Company the team agreed that the strategy used was Concentric Diversification. The reason we felt that the company used the strategy Concentric Diversification is because Coca-Cola develops products closely related to the core of their business which is carbonated drinks. With this strategy the company has ventured out to products along the same line of beverage with energy drinks and non-carbonated drinks. They have not ventured out very far away from the beverage streamline at all.
The next company the team discussed was Southwest airlines which is one the top companies when it comes to air travel. The team also came to the conclusion that the company is using the Concentric Diversification. The reason for this decision is similar to the Coca-Cola Company is that the airline has not stemmed away from the core product as in airline travel. I personally travel with Southwest Airlines all the time and although they have not changed the name as of yet but they purchased AirTran Airlines in 2010. So keeping along the same lines and not veering away from the core product again makes us feel that the strategy used was Concentric Diversification. Another aspect discussed is that the CEO of the company attempts to save a fuel cost and maintenance by keeping the same type of planes across the fleet in order to keep fares low for the customers.
The next company discussed was the VF Corporation. Which is a high volume producer of outdoor wear and accessories. With this particular company the team was up in the air on which strategy it felt was used between either Vertical Integration or Concentric Diversification. The reason being is that the VF Corporation has
In week 3 the team discussed corporate strategy. We identified 4 companies being Coca-Cola, Southwest Airlines, VF Corporation and Xerox, with the information we had we determined their type of corporate strategies in today’s economy.
With the Coca-Cola Company the team agreed that the strategy used was Concentric Diversification. The reason we felt that the company used the strategy Concentric Diversification is because Coca-Cola develops products closely related to the core of their business which is carbonated drinks. With this strategy the company has ventured out to products along the same line of beverage with energy drinks and non-carbonated drinks. They have not ventured out very far away from the beverage streamline at all.
The next company the team discussed was Southwest airlines which is one the top companies when it comes to air travel. The team also came to the conclusion that the company is using the Concentric Diversification. The reason for this decision is similar to the Coca-Cola Company is that the airline has not stemmed away from the core product as in airline travel. I personally travel with Southwest Airlines all the time and although they have not changed the name as of yet but they purchased AirTran Airlines in 2010. So keeping along the same lines and not veering away from the core product again makes us feel that the strategy used was Concentric Diversification. Another aspect discussed is that the CEO of the company attempts to save a fuel cost and maintenance by keeping the same type of planes across the fleet in order to keep fares low for the customers.
The next company discussed was the VF Corporation. Which is a high volume producer of outdoor wear and accessories. With this particular company the team was up in the air on which strategy it felt was used between either Vertical Integration or Concentric Diversification. The reason being is that the VF Corporation has