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CA Intermediate · Financial Management and Strategic Management · Introduction to Strategic Management

A strategy team at Infosys sets the company's overall direction, decides which industries to compete in and allocates resources across business units. At which level of strategy is this activity carried out?

This is corporate level strategy. The top management decides the overall direction, which industries the firm competes in and how resources are allocated among business units. Business level strategy deals with competing in a single business, while functional and operational levels focus on departmental implementation.

  1. AFunctional level strategy
  2. BBusiness level strategy
  3. CCorporate level strategyCorrect
  4. DOperational level strategy

Explanation

Corporate level strategy decides the businesses the firm should be in and how resources are allocated among them. Business level strategy concerns how to compete within one business, and functional strategy concerns departmental implementation. The described activity spans industries and units, so it is corporate level.

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