ABSTRACT
This chapter explores the formulation of strategy at the business and corporate levels and places both in the context of strategic direction and strategic method. Business-level strategy – that is, how an individual sport organization positions itself relative to its competitors – is explored in terms of the generic business-level strategies of low-cost leadership, differentiation, and focus. Strategic direction and the options of growth, stability, and defensive strategies are then explored. Within the growth strategic direction, there is a specific focus on market penetration, market development, product development, and diversification at the business level. At the corporate level, the growth direction strategies of concentration, diversification, and vertical integration are presented, while not discounting the options of stability and defensive strategies. Finally, where growth is the preferred strategic direction, we identify internal growth, mergers and acquisitions, and joint developments as potential strategic methods of growth. Opening and closing cases on the Resort Latitude Zero surf resort and Catapult Sports are presented to illustrate the material presented in the chapter.
