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A Blank______ determines how an action taken by a particular unit of the firm will support the overall business unit strategy.Multiple choice question.business unitcorporate unitcorporate strategyfunctional strategy

Question

A Blank______ determines how an action taken by a particular unit of the firm will support the overall business unit strategy.Multiple choice question.business unitcorporate unitcorporate strategyfunctional strategy

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Solution

Sure, let's break down the question step by step to find the correct answer.

The question is asking about a type of strategy that determines how an action taken by a particular unit of the firm will support the overall business unit strategy.

  1. Business Unit: This refers to a division or segment of a company that operates as an individual entity. It has its own strategy but is not the type of strategy that supports the overall business unit strategy.

  2. Corporate Unit: This term is not commonly used in strategic management. It might refer to the overall corporate level, but it doesn't fit well in the context of the question.

  3. Corporate Strategy: This is the overall strategy for a company that defines the direction and scope of the organization as a whole. It is broader and not specific to supporting a particular business unit strategy.

  4. Functional Strategy: This refers to the specific strategies developed for different functions or departments within a business unit, such as marketing, finance, or operations. These strategies are designed to support the overall business unit strategy.

Given these definitions, the correct answer is:

Functional Strategy

A functional strategy determines how an action taken by a particular unit of the firm (such as marketing, finance, or operations) will support the overall business unit strategy.

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