What is the purpose of a corporate strategy?

The purpose of a corporate strategy is to achieve business goals through planned activities. Corporate strategy serves as the framework for decision-making within an organization, guiding it toward its long-term objectives. It encompasses the overall plan for managing the business, including resource allocation, market positioning, and the development of competitive advantages.

A well-defined corporate strategy ensures that all sections of the organization are aligned and working towards common goals, facilitating coordinated actions across different departments. This alignment allows a business to respond effectively to market changes and opportunities, which is critical for its growth and sustainability.

In contrast, while outlining employee roles, describing financial forecasts, and evaluating competitors may all be important aspects of a business's operational or strategic planning, they do not encompass the broader purpose of a corporate strategy. These elements often fall under more specific categories within the overall strategy but do not alone define the comprehensive, goal-oriented nature of corporate strategy.