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Wednesday, November 10, 2010

Designing the Business Portfolio

The third step in the strategic planning process is designing the business portfolio.

*  The business portfolio is a collection of businesses and products that make up the company.

*  The best business portfolio is the one that best fits the company's strengths and weaknesses to opportunities in the environment.

 

In order to design the business portfolio, the business must:

*  Analyse its current business portfolio and decide which business should receive more, less, or no investment.

*  Develop growth strategies for adding new products or businesses to the portfolio.