Smith knows that a firm’s generic strategy should be the centerpiece of a firm’s strategic plan. Based on a compilation of research and documents, Smith makes four observations about the North Winery and their strategic planning process.
1. North Winery’s price and cost forecasts account for future changes in the structure of the French wine industry.
2. North Winery places each of its business units into one of three categories: build, hold, or harvest.
3. North Winery uses market share as the key measure of their competitive position.
Which observation(s) least likely support the conclusion that the North Winery’s strategic planning process is guided and informed by their generic competitive strategy?
A) Observations 2 and 3.
B) Observation 2 only.
C) Observations 1 and 3.