When running a business it’s important to have a corporate strategy to help guide your way. But what exactly is a corporate strategy you ask? Well, we’re here to tell you.

A company’s corporate strategy is its overall plan set by upper management to achieve the goals of the business. A solid corporate strategy is in accordance with business goals, takes into account shareholder approach and shareholder value, uses any and all corporate resources that are necessary, and is executed through smaller, tactical plans.

Many companies opt to hire a business management consultant or corporate strategy consulting firm to help implement a successful corporate strategy.

An example of when a strong corporate strategy is needed is when a large company has a solid domestic following and decides to take its mission international. A corporate strategy would be developed to accomplish this goal. Conversely, a struggling, smaller company might need a survival corporate strategy to get itself back on its feet. This could include shutting down international efforts and focusing more on target markets or creating a new direction for the company entirely.

Having an effective corporate strategy is crucial to any organization’s success. Having one that is weak or not right for the company’s goals can be one of the fastest ways to a business’ demise.

In its rawest definition, a corporate strategy is the overall scope and direction of a corporation and the way in which that corporation’s business operations work together to achieve a set of particular goals.

Sometimes the right corporate strategy can be achieved in-house by taking a closer look at business practices and conducting a thorough self-evaluation, but the fastest way to get your organization on the right track is to hire a professional corporate strategy consulting firm. Doing so can be one of the best investments any company could make.