The basic premise of the strategy is that the head of profit occurs when the corporation provides advantageous positions in attractive industries, and has the economies of scale within the business units. The note is based on research that documents the importance of the industry, positioning and corporate parent effect on profitability. Studies show differences in the impact effects of high and low performers, as well as differences for firms that are in the process of achieving and maintaining performance. "Hide
by Anita M. McGahan 4 pages. Publication Date: August 26, 1996. Prod. #: 797039-PDF-ENG