Corporate-Level Strategy

1
Corporate-Level Strategy
H
Industry Long Term Attractiveness
M
L
Str.
Avg.
Weak
Firms Competitive Position
2
Business Level Strategy
Source of Competitive Advantage
Cost
Uniqueness
Cost Leadership
Differen- tiation
Broad Target Market
Breadth of Competitive Scope
Focused Differen- tiation
Focused Low Cost
Narrow Target Market
3
Monsanto Major Business Units
4
Monsanto Corporate Strategy
5
Portfolio by Revenue

• Chemicals dominates
• NutraSweet smallest

6
Portfolio by Profit Volume

• Agriculture dominates
• Pharmaceuticals smallest

7
Portfolio by RD Outlay

• Pharmaceuticals most spent
• NutraSweet gets little

8
Portfolio by ROS

• Pharmaceuticals is loser
• NutraSweet most profitable

9
Portfolio by RD EfficiencyOp Income/RD

• Pharmaceuticals too risky
• Agriculture is rewarding bet
• Chemicals is rewarding bet

10
Corporate Strategy Recommendations
11
Monsanto Ag-Group Focus
12
Ag-Group Business-Level Strategy