The Processes of Generating Corporate Strategic Options and Selecting Strategic Alternatives

Abstract

            The objectives of this academic article are to review and to explain the process of generating corporate strategic options and the process of selecting strategic alternatives according to academic principle. An author has compiled all relevant contexts from textbooks and he has included his own views for better understanding about generating strategic options which cannot only finish at the stage of SWOT analysis and matching factors inside SWOT analysis, but the process of generating strategic options and the process of selecting strategic can be also run and categorized into three main stages as follows. Firstly, “The Input Stage” is generated into three matrices: “Internal Factor Evaluation matrix” (IFE matrix), “External Factor Evaluation matrix (EFE matrix), and Competitive Profile matrix (CP matrix). Secondly, “Matching Stage” is generated into four matrices: “Threat, Opportunity, Weakness and Strength” matrix (TOWS matrix), “Strategic Position and Action Evaluation” matrix (SPACE matrix), “Boston Consultant Group” matrix (BCG matrix) and “Internal – External” Matrix (IE matrix). Finally, after strategic alternatives were created, the leaders of the organizations need to make their decisions to select the most appropriate strategic alternatives from the second stage in order to deliver the optimum results by employing “Quantitative Strategic Planning” matrix (QSP matrix).