Strategy is said to encompass three areas:
1) Perspective strategy: the investigation of the nature of the market, industry. and
environmental structures, and the development of informational tools.
2) Optimizing strategy: the process of fitting the organizational programs into the
industry structure and the way in which the resources can be utilized to maximum
benefit.
3) Prospective strategy: the means of dealing with change, either expected or
unexpected, and a plan for adjusting to new environmental developments. Guidelines
are provided to minimize potential errors in strategy formulation.