13 Main Characteristics of Corporate Strategy (General)

In general, a corporate strategy has the following characteristics:

1. It is generally long range in nature, though it is valid for short-range situations.

2. It is action oriented and is more specific than objectives.

3. It is multi-dimensional and integrated.

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4. It is formulated at the top management level, though middle and lower level managers are associated in their formulation and in designing sub-strategies.

5. It is generally meant to cope with a competitive and complex environment.

6. It flows out of the goals and objectives of the enterprise and is meant to translate them into realities.


7. It is concerned with perceiving opportunities and threats and seizing initiatives to cope with them.

8. It is concerned with the deployment of limited organisational resources in the best possible manner.

9. It provides unified criteria to managers in the function of decision making.

10.It is intended to handle complexity and reduce uncertainty of the environment.


11.It is meant to fill in the need of organisations for a sense of dynamic direction, focus and cohesiveness.

12.It is formulated at the corporate, divisional and functional level.

13.It includes the determination of business lines, expansion and growth, vertical and horizontal integration, diversification, takeovers and mergers, new investment and divestment areas, R&D projects, and so on.

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