Types of Strategic Decisions

Types of Strategic Decisions

1. Scope and Overall Direction:- The strategic decision mainly set the overall direction of the organization and deal in scope of the organization. for example the organization may decided that in next five year we want to capture 80% of market share is a strategic decision.

2. Major Investment and Resource Allocation:- The strategic decision also related to make investment in the existing business or in new operation.


3. Capabilities enhancement :- The strategic decision also analyze the organization capabilities and take necessary course of action to develop new capabilities or enhance the existing capabilities of the organization. for example the management may decide the establishment of a training institute to improve the skill of employees . The management may also decided to develop a reseach and development department to promote the innovation and creativity in the organization.