Chapter 9 Long-Term Objectives and Strategies 1. Understand the portfolio approach to strategic analysis and choice in multibusiness companies. The portfolio approach is important to comprehend to ensure that different companies doing different types of business can be able to allocate resources efficiently and accurately. It is important identify the best ways to establish and maintain an equilibrium in the cash inflow and outflow so that there can be better ways to deal with financial aspects of business. 2. Understand and use three different portfolio approaches to conduct strategic analysis and choice in multibusiness companies The three different portfolio approaches to conduct strategic analysis and choice in mutlibusiness companies are important to understand so that there can be choosing of at least one approach for being successful in business. There can also be choosing of more than one approach by organizational managers for fulfilling different purposes. The market growth rate is important to be identified and applied. The relative competitive position is also important to be identified and applied. 3. Identify the limitations and weaknesses of the various portfolio approaches The limitations as well as weaknesses of the various portfolio approaches are important to be identified to ensure that there can be proper channelization and utilization of portfolio approaches. Otherwise, there can be improper channelization and inaccurate or ineffective utilization of portfolio approaches with ignorance of the weaknesses and limitations. 4. Understand the synergy approach to strategic analysis and choice in multibusiness companies This is important because there can be this approach misunderstood or not understood completely for businesses. Any lack of understanding of this approach can lead to organizations being ineffective in managing and operating business in the long run in an efficient and effective manner. There can be difficulty in managing multiple businesses without development of thorough understanding of synergy.