Strategies for weak and crisis-ridden businesses
What are the strategies for weak and crisis-ridden businesses?
Expert
Strategies for weak and crisis-ridden businesses are as given below:
A firm within an also-ran or declining competitive position has four fundamental strategic options:
a. Offensive turnaround strategy: When it can come up along with the financial resources, this can launch an offensive turnaround strategy keyed either to new differentiation themes or to low cost.
b. Fortify-and-defend strategy– By using variations of its present strategy and struggle hard to maintain sales, profitability and market share as well as competitive position at current levels
c. Rapid-exit strategy– Excuse of the business either by selling out to other firm or through closing down operations when a buyer cannot be determined.
d. Slow-exit or End-game strategy– maintaining reinvestment to bare bones smallest and taking actions to maximize short-term cash flows within preparation in order to market exit.
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