MGM465-0801A-05 Business Strategy - Phase 2 Discussion Board - Essay Example

Able Corporation is in the business power tool industry. In order to learn about the industry the managerial staff of the company can study the competition to perform benchmarking research and compare the business, functional, corporate and operating strategies utilize by these companies. This report describes the business strategies used by Black & Decker, Makita and Bosch. It also provides a discussion of forecasting techniques that can be utilized by Able to better determine the future demand for its products.

Bosch Corporation is a Spaniard company that employees over 261,300 people globally which in 2006 generated over 43.6 billion euros in revenues (Bosch, 2008). The company is divided into three divisions: automobile technology, industrial technology, and consumer goods and building technology. The consumer goods and building technology includes the power tools line of business. The much is much more sophisticated than Able Corporation and has evolved its business by having a variety of business lines.

Bosch utilizes a diversified product aligned with it core business. The company has been able to grow by expanding beyond its local market into international waters. Currently the firm is established in 50 countries around the world. Bosch utilized an international expansion plan of creating whole-owned subsidiaries in targeted international markets. The company looked to established themselves and expand its operation in regions where the economic outlook for the future is bright. In the Asian-Pacific region the economy is expected to grow at twice the rate in comparison with Europe & America until the year 2015 (Annual Report: Bosch, 2006).

This is the type of valuable qualitative data that helps executive make strategic decision about the future that will pay dividends in the future financial results of a company. Heavy investing in research & development (R&D) is a strategic choice that has enabled this company used innovation to create