Strategic business decisions essay sample

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Strategic business decisions

Strategic business decisions can influence company performance both positively and negatively. Decision making concerning Allstar medical corporation by different groups shows how different choices can lead to different consequences. Group Kings’ focus on sales force enabled it to improve sales results and increase stock price. The group increased sales force while effectively distributing it within different channels. It also enhanced indirect support including merchandisers, wholesale support, and detailers.

Detailers distribute promotional materials and free samples among pharmacists and physicians who then recommend Allstar’s medications to patients and hence, increase sales. Merchandisers help customers to make purchasing decisions. Thus, greater amounts of sales force ensured higher sales volumes and profits (Group Kings, n.d.; Kotler and Keller, 2012, pp. 520, 553-555).

Group E effectively distributed its promotion budget. The team focused on coupons to ensure consumer retention. It also followed competitors’ strategy assuming spending three times the amount of point-of-purchase on co-op. The strategy was used with regard to basic product and line extensions and resulted in sales growth. The team used both coupons and trial size with regard to Allright product. This unique strategy had positive sales results (Group E, n.d.). Group Queens’ line extension choices had limited success. In order to attract families, the team launched the child formula Allround+.

Next, it chose a 12-hour multi-capsule. Allright for mature families and young singles. However, Allright cannibalized Allround and negatively affected its sales volumes and Allstar’s stock price. Therefore, these indicators grew only slightly in year 8 compared to year 1 (Group Queens, n.d.; Kotler and Keller, 2012, p. 570). Thus, strategic choices regarding sales force, promotion budgets, and line extensions may determine changes in sales volumes, stock prices, and overall business success.


Group E. (n.d.). Final report. Group Kings. (n.d.). Pharmasim final strategy report. Group Queens. (n.d.). Final pharmasim paper.

Kotler, Ph., and Keller, K. L. (2012). Marketing Management (14th ed.). Upper Saddle River, NJ: Pearson Prentice …

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