Strategy refers to the basic goals and objectives of the organisation, the major programmes of action chosen to reach these goals and objectives and major pattern of resource allocation used to relate the organisation to its environment. According to Chandler, "Strategy is the determination of the basic long-term goals and objectives of an enterprise and the adoption of courses of [...]
Financial strategy of an organisation is essentially concerned with procurement and utilization of funds. The basic purpose is to ensure adequate and regular supply of funds fulfilling the present and future requirements of the business enterprise. Financial strategy deals with areas such as financial resources, analysis of cost structure, estimating profit potential, accounting functions and so on. In short, financial [...]
In simple terms, a retrenchment strategy involves the abandonment of those products or services, which are no longer profitable for the organization. It also includes withdrawal of the business from those markets where even sustenance is difficult. For example, a corporate hospital may decide to focus only on specialized treatments, and thus, realize higher revenues. Besides, a retrenchment strategy also [...]