Method of forming strategic alternatives for the development of subsidiaries and choosing the optimal strategy for each of them

Abstract

The article examines the methodology for the formation of strategic alternatives to the activities of a subsidiary and the choice of a strategy for its development, operating in a narrow market segment and included in an integrated structure. The proposed methodology should differ from the methodology for developing an autonomous operating enterprise, since the main task of a subsidiary is to obtain additional competitive advantages to the existing ones mainly by entering an integrated structure, which can be provided by a competitive strategy focused on costs or differentiation. The possibility of implementing a benchmark strategy of concentrated and diversified growth is considered. An expanded scheme for the formation of alternative development strategies for subsidiaries in the form of a combination of growth strategies and competitive strategies in their classical definition is presented. After the formation of alternative strategies of the subsidiary, the main task is to select the optimal development strategy for the enterprise from among the alternative, which will allow, by establishing relationships between the enterprises, to obtain the maximum possible competitive advantages. The authors have worked out the technique of choosing the optimal strategy for the development of a subsidiary from among alternative strategies to maximize competitive advantages