This chapter discusses strategy formulation in the SME sector. It reveals some findings on the existence and nature of environmental analysis in the formulation of business strategies in the firms studied. The chapter also covers the discussion of the effective factors associated with the formulation and implementation of strategy in the studied firms. The strategy of a firm forms a comprehensive master plan stating how the firm will achieve its mission and objectives. Strategic vision is where all acquisitions begin. Management vision of the acquisition is shared with suppliers, customers, lenders and employees as a framework for planning, discussion, decisions and reactions to change. The most important of the three elements of corporate strategy are the available corporate resources. The different types of tangible resources consists of; financial, physical, human, and organizational resources. The third element of the corporate strategy framework is the organizational structure, systems and processes that the corporation has in place to manage its various businesses.