1. Business Strategy This is the pattern of decisions and actions that are taken by business to achieve its goals. The implications for the human financial and production resources are also examined. To be successful the strategy must be related to the firms strengths and opportunities within the marketplace. The diagram shows how strategy is formulated:

2. Hierarchy of Strategy

3. The Strategic Planning Process

4. Evaluating Strategy All firms have strategy. Even if it’s not written down, it is shown in their pattern of behaviour Some argue strategic planning is a waste of time in today’s ever changing environment Strategies must be S.M.A.R.T. Constant reviewing and monitoring is vital Success can be measured via: - Profit - Return on capital - Volumes - Costs - Qualitative factors.