A study on the diversification strategy and decentralization strategy of SMEs
Moon-Jun Kim · KBM Journal · 2021
This study tried to emphasize the importance of decision-making for the advancement of differentiated competitive strategies based on decentralization strategies rather than continuous diversification strategies and an approach based on dichotomous resolution of competitive strategies as the basic starting point for the organizational competitiveness of SMEs. In the sense of diversification of diversification strategy and competition strategy, this means the importance of re-establishing a plan to upgrade the sustainability management system through decentralization. Therefore, it is a decentralization strategy, which is the third variable that judges the level of various resources possessed in an organization based on diversification and competition strategies. In other words, the relationship between diversification strategy and resource holding, competition strategy and resource holding level is proven, and as a result, it should be determined as the main criterion through decentralization at the organizational and business division level according to the company''s diversification strategy and resource holding level. In addition, for the sustainable management of the organization, it is considered as a decision-making method for the right decentralization strategy to consider various strategies, competitive strategies, and resource holding levels along with decision-making on decentralization through additional analysis. For sustainable management of SMEs, how to improve the interconnection between corporate-level research capability and business-level research execution capability is a key issue for corporate survival and growth. Therefore, this study emphasized that the various strategic activities carried out by a company should be executed in a complex and closely interconnected relationship with both the company level factors and the level factors for each business division.