Asset Acquisition Strategy

The video tutorial discusses organizational strategies, focusing on growth-based strategies like asset acquisition. It explains how organizations can grow by acquiring assets from other businesses, either horizontally or vertically within the value chain. The tutorial highlights the importance of aligning these strategies with the organization's mission, vision, and values.

What is the primary focus of organizational strategy?

• To determine the internal processes of an organization

• To create a detailed marketing plan

• To position the organization in the marketplace and manage external perceptions

• To establish the financial goals of the organization

Which of the following is NOT a type of organizational strategy?

• Retrenchment

• Growth

• Stability

• Innovation

What does asset acquisition involve in a growth-based strategy?

• Increasing market share through advertising

• Developing new products internally

• Improving customer service

• Buying the major assets of another business

How is asset acquisition different from organic growth?

• It focuses on improving existing products

• It involves acquiring assets rather than competing

• It is based on increasing production efficiency

• It relies on customer feedback

What is a characteristic of horizontal integration in asset acquisition?

• Developing new technology

• Acquiring a new customer base

• Merging with a competitor at the same value chain level

• Combining with a supplier