PM018(07)

5. This refers to efficiency gains through applying the organisation’s existing resources or competences to new markets or services.
6. The value-adding effect of a head office to individual business units.
7. This refers to the benefits gained where activities or assets complement each other so that their combined effect is greater than the sum of the parts.
9. This refers to development into activities concerned with the inputs into the company’s current business.
11. This involves expanding into products or services with relationships to the existing business.
13. This is concerned with how far an organisation should be diversified in terms of products and markets.
14. This is the set of corporate-level managerial competences applied across the portfolio of businesses.
16. This involves a business increasing the range of products or markets served by an organisation.
17. This implies increasing share of current markets with the current product range.
18. This is where organisations deliver modified or new products (or services) to existing markets.

1. This describes entering activities where the organisation is its own supplier or customer.
2. This uses market share and market growth criteria for determining the attractiveness and balance of a business portfolio.
3. This is the process by which activities previously carried out internally are subcontracted to external suppliers.
4. This refers to development into activities concerned with the outputs of a company’s current business.
8. This operates as an active investor in a way that shareholders in the stock market are either too dispersed or too inexpert to be able to do.
10. This involves diversifying into products or services with no relationships to existing businesses.
12. This is a corporate parent seeking to enhance value for business units by managing synergies across business units.
15. This is involves offering existing products to new markets.