1. Strategy Formulation Process Identify Core Competencies and Value-Creating Activities Identify Company Mission and Goals Formulate Strategies Production and Organizing Strategies

2. Define the Business Define Main Objectives Company Mission and Goals

3. Core Competencies and Value-Creating Activities BusinessEnvironments PrimaryActivities SupportActivities UniqueAbilities

4. International Strategies International Strategies Global Strategies Global Strategies Multinational Strategies Multinational Strategies

5. Combination Stability Corporate-Level Strategies Corporate-Level Strategies Retrenchment Growth

6. Business-Level Strategies Strategic Advantage Strategic Target DifferentiationDifferentiation Overall Cost Leadership Leadership FocusFocus Industrywide Particular Segment Only Uniqueness Perceived by the Customer Low Cost Position

7. Support Research & Development Human Resources Procurement Accounting & Finance Primary Manufacturing Marketing and Sales Customer Service Efficient Logistics Department-LevelStrategies

8. Production Considerations Capacity Planning Facilities Location Planning Facilities Layout Planning Process Planning

9. Organizational Structure CoordinationCoordination FlexibilityFlexibility

10. International Division Structure Headquarters PlanesDivision(domestic)TrainsDivision(domestic)InternationalDivisionAutomobilesDivision(domestic) PlanesDivision(France)TrainsDivision (United States) PlanesDivision(Brazil)

11. International Area Structure Headquarters AsiaDivisionAmericasDivision Middle East and Africa DivisionEuropeDivision Japan S. Korea China

12. Global Product Structure Headquarters TrainsDivision(domestic)TrainsDivision(Germany)TrainsDivision(Mexico)TrainsDivision(India) PlanesDivision(global)AutomobilesDivision(global)TrainsDivision(global)

13. Global Matrix Structure Headquarters AsiaDivisionAmericasDivisionEuropeDivision PlanesDivision TrainsDivision AutomobilesDivision

14. Sourcing of raw materials, parts, and components Manufacture and assembly of components and final products Sale of products Stage of production and sales Home country Abroad Both Home country Abroad Both Home country Abroad Both Location of sourcing, production, and sales Global Sourcing and Production Strategy