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    Strategic Business Unit

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    Kushal Parekh
    This document discusses strategic business units (SBUs). It defines an SBU as a business unit within a company that is distinguishable from others by serving a defined external market. Key points: - SBUs act as independent subsystems and have high functional and decision-making autonomy. - SBUs allow corporate executives to focus on strategic issues while general managers focus on products and markets. - Advantages of SBUs include increased focus, control and responsiveness, while disadvantages include increased costs and potential infighting. - Common SBU models include the BCG Matrix and GE/McKinsey Matrix. The document provides Apple's SBUs as an example.

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    Strategic Business Unit

    Uploaded by

    Kushal Parekh
    560 views16 pages
    This document discusses strategic business units (SBUs). It defines an SBU as a business unit within a company that is distinguishable from others by serving a defined external market. Key points: - SBUs act as independent subsystems and have high functional and decision-making autonomy. - SBUs allow corporate executives to focus on strategic issues while general managers focus on products and markets. - Advantages of SBUs include increased focus, control and responsiveness, while disadvantages include increased costs and potential infighting. - Common SBU models include the BCG Matrix and GE/McKinsey Matrix. The document provides Apple's SBUs as an example.

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    This document discusses strategic business units (SBUs). It defines an SBU as a business unit within a company that is distinguishable from others by serving a defined external market. Key points: - SBUs act as independent subsystems and have high functional and decision-making autonomy. - SBUs allow corporate executives to focus on strategic issues while general managers focus on products and markets. - Advantages of SBUs include increased focus, control and responsiveness, while disadvantages include increased costs and potential infighting. - Common SBU models include the BCG Matrix and GE/McKinsey Matrix. The document provides Apple's SBUs as an example.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as PPTX, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    Download as pptx, pdf, or txt
    560 views16 pages

    Strategic Business Unit

    Uploaded by

    Kushal Parekh
    This document discusses strategic business units (SBUs). It defines an SBU as a business unit within a company that is distinguishable from others by serving a defined external market. Key points: - SBUs act as independent subsystems and have high functional and decision-making autonomy. - SBUs allow corporate executives to focus on strategic issues while general managers focus on products and markets. - Advantages of SBUs include increased focus, control and responsiveness, while disadvantages include increased costs and potential infighting. - Common SBU models include the BCG Matrix and GE/McKinsey Matrix. The document provides Apple's SBUs as an example.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as PPTX, PDF, TXT or read online from Scribd
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    Download as pptx, pdf, or txt
    of 16

    STRATEGIC BUSINESS UNIT (SBU)

    Presented By:- Sunil Bawaskar Srinivas Kuna Kushal Parekh Gaurav Shah Nilesh Phadtare Dipesh Karale Ashwini Markandeya

    SYNOPSIS
    Definition Characteristics Of SBU Advantages Disadvantages Models Of SBU Business Competitive Advantage Business Strategies Based On Specialisation

    DEFINITION
    Strategic Business Unit or SBU is understood as a business unit within the overall corporate identity which is distinguishable from other business because it serves as a defined external market where management can conduct strategic planning in relation to products and markets.

    CHARACTERISTICS OF SBU
    The strategic business unit (SBU) is a separate, specialized subsystem in the company, which acts as an independent company. SBUs are small businesses with a high functional and decision-making autonomy. SBU units may or may not need to work closely with companies, from which they have been separated. SBUs can be used to prepare the diversified company's strategy.

    ADVANTAGES

    Minimizes problems associated with sharing resources across functional areas

    Increases operational and strategic control, allowing corporate level executives to deal with strategic issues.

    Facilitates development for general managers

    Increased focus on products and markets

    Quick response to environmental change

    DISADVANTAGES
    Increased expenditure invited through doubling of operations, personnel, and investments

    Distortion of information

    Dysfunctional antagonism amongst divisions might detract from in general corporate performance

    Difficulty in maintaining a uniform corporate image

    Over emphasis on short term performance

    MODELS OF SBU
    The Boston Consultancy Group Matrix

    The General Electric Company/McKinsey Matrix

    EXAMPLES
    THE BCG MATRIX OF APPLE 1.STAR IPHONE

    3. CASH COWS- APPLE ITUNES

    2. QUESTION MARK MAC OS X LION

    4. DOGS - MACBOOK

    BUSINESS COMPETITIVE ADVANTAGE


    Porters Five Forces Model

    BUSINESS STRATEGIES BASED ON SPECIALISATION


    Marketing

    Finance

    International Business

    Human Resource

    THANK YOU

    ANY QUESTIONS ?

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