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Grand Strategy

The document discusses the Grand Strategy Selection Matrix, which analyzes an organization's position based on market growth and competitive position. It places companies into one of four quadrants. The matrix shows that Huawei is positioned in the first quadrant, indicating strong competitive position in a rapidly growing market. Appropriate strategies for this position include forward integration, backward integration, horizontal integration, market penetration, market development, product development, and related diversification. The interpretation is that Huawei should leverage its strong position to continue growing.

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Yousab Kaldas
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135 views3 pages

Grand Strategy

The document discusses the Grand Strategy Selection Matrix, which analyzes an organization's position based on market growth and competitive position. It places companies into one of four quadrants. The matrix shows that Huawei is positioned in the first quadrant, indicating strong competitive position in a rapidly growing market. Appropriate strategies for this position include forward integration, backward integration, horizontal integration, market penetration, market development, product development, and related diversification. The interpretation is that Huawei should leverage its strong position to continue growing.

Uploaded by

Yousab Kaldas
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
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Grand Strategy Matrix:

The Grand Strategy Selection Matrix has become an effective tool in devising alternative
strategies. The matrix is based on the following four important elements:

 Rapid market growth


 Slow market growth
 Strong competitive position
 Weak competitive position

The above four elements form a four quadrant matrix wherein every organization can be.
With the result, the matrix can be adapted to choose the best strategy based on the
current growth and competitive state. Each quadrant suggests possible strategy for an
organization based on its position as follows:
The following chart shows Huawei position in the Grand Strategy Matrix:

Huawei position in Quadrant I of the Grand Strategy Selection Matrix indicates that the
following strategies would be appropriate:

Strategy Definition
Gaining ownership or increased control over distributors or
Forward Integration
retailers
Backward Integration Seeking ownership or increased control of a firm’s suppliers
Horizontal Integration Seeking ownership or increased control over competitors
Seeking increased market share for present products or
Market Penetration services in present markets through greater marketing
efforts
Introducing present products or services into new geographic
Market Development
area
Seeking increased sales by improving present products or
Product Development
services or developing new ones
Related
Adding new but related products or services
Diversification

Grand Strategy Matrix interpretation:


Huawei has a strong competitive position in a growing industry and Huawei should
continue using this strong competitive position to increase its growth rate.

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