Apply Porter's Model for Formulating Strategies to the Following Situation

question 48

Essay

Apply Porter's model for formulating strategies to the following situation: Quebecor Printing is a Canadian-based commercial printing company that is expanding, acquiring ailing printing companies, and moving into international markets. They have completed more than 100 mergers and buyouts since 1972, and have focused on customized service by using "selective binding" to print, for example, two dozen versions of Reader's Digest for urban and regional markets. [Hint: Use the example given to explain the aspect of Porter's model that you choose to illustrate.]

---

Definitions:

Decentralized Units

Subdivisions within a larger organization that operate with a degree of autonomy, often making their own decisions and managing their own operations.

Authority

Authority refers to the power or right given to an individual or organization to make decisions, direct others, and enforce obedience.

Profit Margin

A financial metric indicating the percentage of income left over from revenues after accounting for costs and expenses.

Activity Base

A measure used to allocate costs to activities, such as units produced, hours worked, or miles driven.