Business Strategy
Business Strategy

Please can you respond to these ?


Ansoff's organizational growth matrix provided four directions in which the company can achieve growth. These directions are related to the development of either the product or the market and in some cases, both simultaneously. These strategies initiated from the attempt of companies to expand their power and/ or reduce their risks (Whittington et al., 2020). The strategies include market penetration, product development, market development and diversification 

These four strategies involve different degrees of risk where market penetration forms the less associated risk while diversification represents the highest degree of it. Therefore, it is usually achieved through “partnership or acquisition” to minimize risk (Loredana, 2017). However, diversification can increase profits if managers have “the right strategic focus” and hold “appropriate planning and implementation” (Pautler, 2003) where success can be measured creating synergies. The merger between Harris corporation and L3 Technologies in 2019 to form L3Harris the “sixth largest defense company in the U.S., and a top 10 defense company worldwide – with approximately $17 billion in revenue and 50,000 employees, including 20,000 engineers and scientists” is a notable example (, n.d). Since the merger, share prices have increased significantly as there was a lot of synergy for their all-domain mission systems. 


On the other hand, the “BCG matrix uses market share and market growth criteria for determining the attractiveness and balance of a business portfolio” where this strategy tool is considering the factors of market shares and market growth to determine which unit of the business to invest which one to sell and which one to shut down (Whittington et al.,2020). This matrix can support the future growth of the company through its prediction of action which enhances strategic management planning (Hossain and Kader,2020). 

Which merger or acquisition has failed, and could that have been avoided by applying Ansoff’s market/growth matrix more carefully? 


Hossain, H. and Kader, Md.A. (2020). An Analysis on BCG Growth Sharing Matrix. International Journal of Contemporary Research and Review. 11(10): p.p. 21899-21905. Available at: [Accessed on 13 February 2022]. 

L3Harris (n.d.) L3Harris Technologies Merger Successfully Completed; Board of Directors, Leadership and Organization Structure Announced | L3HarrisTM Fast Forward. Available at: [Accessed 13 February 2022]. 

Loredana, M.E. (2017) THE USE OF ANSOFF MATRIX IN THE FIELD OF BUSINESS. Constantin Brâncuşi” University of Târgu Jiu. Available at: [Accessed on 13 February 2022]. 

Pautler, P. (2003) The Effects of Mergers and Post-Merger Integration: A Review of Business Consulting Literature. Bureau of Economics Federal Trade Commission. Available at: [Accessed on 13 February 2022]. 

Whittingon, R., Regnér, P., Angwin, D. Johnson, G. & Scholes, K. (2020) Exploring Strategy. 12th edition. Harlow: Pearson. Available via Vitalsource Bookshelf. [Accessed 13 February 2022]. 

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