strategic-management

FIGURE 6-5
Example Strategy Profiles
FP
CP IP
SP
(+4,+4)
A financially strong firm that has achieved
major competitive advantages in a growing
and stable industry
FP
(–2,+4)
CP IP
SP
A firm that has achieved financial strength
in a stable industry that is not growing; the
firm has few competitive advantages
CP
CP
(–5,–1)
FP
FP
SP
(+5,–1)
SP
A firm with major competitive advantages
in a high-growth industry
A firm that has a very weak competitive
position in a negative growth, stable industry
IP
IP
Aggressive Profiles
Conservative Profiles
Competitive Profiles
Defensive Profiles
CHAPTER 6 • STRATEGY ANALYSIS AND CHOICE 183
A firm whose financial strength is a
dominating factor in the industry
SP
A firm that suffers from major competitive
disadvantages in an industry that is
technologically stable but declining in sales
CP
SP
An organization that is competing fairly
well in an unstable industry
CP
(–1,–5)
FP
CP IP
(–5,+2)
SP
FP
FP
FP
SP
(+1,+5)
CP IP
(+1,–4)
IP
IP
A financially troubled firm in a very
unstable industry
Source: Adapted from H. Rowe, R. Mason, and K. Dickel, Strategic Management and Business Policy: A Methodological Approach (Reading,
MA: Addison-Wesley Publishing Co. Inc., © 1982): 155.