What are the common types of development strategies?

Development strategies mainly include three basic types: integration strategy, intensive strategy and diversification strategy.

1, integration strategy

Integration strategy refers to the enterprise's extending the depth and breadth of business along the vertical or horizontal direction of the business chain for products or businesses with advantages and growth potential, expanding the business scale and realizing enterprise growth. According to the business development direction, the integration strategy can be divided into vertical integration and horizontal integration.

2. Vertical integration strategy

Vertical integration strategy refers to the strategy that an enterprise extends and expands its existing business forward or backward along the product or business chain. The adoption of vertical integration strategy by enterprises is conducive to saving transaction costs with upstream and downstream enterprises in the market, controlling scarce resources, ensuring the quality of key inputs or acquiring new customers.

Extended data:

Development strategy theory:

1, development strategy theory is a strategic theoretical system about how enterprises develop. Under the guidance of traditional competitive strategy theory, enterprises are generally plagued and tortured by price wars, functional wars, advertising wars, promotion wars, service wars, category wars and other issues, and enterprises are facing stagnation, recession and even bankruptcy.

2. Enterprises find that the competitive strategy that used to be their magic weapon is no longer effective. Although everyone tried to establish a competitive advantage to beat their competitors and achieve rapid development, it backfired. The business families in their respective fields were fighting to the death, and everyone fell into a strange circle of unprofitable and stagnant enterprises, and finally there was a pattern of double defeat and multiple losses.

3. The defects of competitive strategy theory urge us to reflect on the essence of enterprise strategy. "?" This may be suitable for the ancient military strategy, but it is very inappropriate to transplant it to enterprises. Enterprises don't have to beat their competitors.

4. In strategic consultation, strategy has gradually formed a set of systematic development ideas, concepts and methodologies to help enterprises formulate strategies, get rid of the traps faced by enterprises such as price war, function war, advertising war, promotion war, service war and category war, and solve the problem of long-term slow growth, stagnation and even decline of enterprises.

Baidu Encyclopedia-Development Strategy