The document outlines the 4 step process of strategic choice: 1. Focusing on strategic alternatives by reducing options to feasible strategies through gap analysis. 2. Analyzing the alternatives using objective factors like market data and subjective factors like management perceptions. 3. Evaluating the alternatives by comparing them to objectives using strategic decision making techniques. 4. Choosing among the alternatives and contingencies by selecting the most suitable strategy and developing a blueprint for implementation.

1. Process of Strategic choice
Submit by:-
Krishangi purohit
Master of commerce(prev.)
Semester 2nd

2. Introduction
 Organization continually face the
challenge of exercising choice among
alternatives .Strategic choice is an
inalienable part of the decision making
process. The process of strategic
choice is essentially a decision making
process.

3. Strategic choice
 Continuous challenge of exercising
choice among the alternatives.
 Selection among the alternatives is a
DECISION MAKING PROCESS .
 Strategic choice can be defined as the
decision to select from the grand
strategies while taking into
consideration the firm’s objectives.

4. Process of strategic choice

5. Step 1: Focussing on strategic
alternatives
T1 T2TIME
P
E
R
F
O
R
M
A
N
C
E
Present
performance
Gap
Desired
performance
To reduce the no. of a
alternatives to a
manageable no. of
feasible strategies.
It can be done with GAP
ANALYSIS.

6. Step 2: Analysis the strategic
alternatives
The selected feasible alternatives have to undergo through
analysis and such an analysis rely on certain factors
OBJECTIVE FACTOR SUBJECTIVE FACTORS
Based on analytical
techniques
They are hard facts or data
to facilitate a strategic choice
E.g. market share, market
demand , cost etc
Based on personal judgement
collective information
E.g. Top level management
perception

7. Step 3: Evaluating the strategic
alternatives
 It basically involves bringing together the analysis
done on the basis of selection factors.
 There is no set procedure and strategist may use
any approach according to circumstances.
 We usually follow strategic decision making
process.
1. Setting up
of objectives
to be achieved
2. Identify the
alternative
ways
3. Each
alternative is
evaluated in
terms of
objective
4. Best is
choosen

8. Step 4: Choosing among the
strategic alternatives
 Evaluation leads to clear idea which
alternative is most suitable under the
existing conditions.
 One or more strategies are choosen
and a blue print is prepared under
which those strategies are operated.
 Contingency strategies are also
formulated in order to deal with
unforeseen situation.