Question

What is the primary role of functional area strategies?

A. To add relevant details to the hows of a company's overall business strategy by specifying what actions, approaches, and practices will be employed in managing particular functions within a business.
B. To set forth targets to be pursued in areas such as R&D, production, sales, marketing, Human Resources, customer service, and finance.
C. To unify the company's various operating level strategies.
D. To create compatible degrees of strategic intent among the company's different business functions.
E. To specify how to build and strengthen the skills, expertise, and competencies needed to execute operating level strategies successfully.

Answer 1

Functional area strategies are designed to detail the specific actions and practices that different departments within a company will employ to support the overall business strategy, ensuring alignment with the company's core competencies and objectives.

Step-by-step explanation:

The primary role of functional area strategies is essentially to provide the granular, tactical details that support the execution of a company's overall business strategy. By answering the 'how' at a functional level, these strategies ensure that the various departments within a company such as R&D, production, sales, marketing, Human Resources, and customer service are all working towards common objectives in alignment with the broader business goals.

This focused approach on core competencies enables a firm to perform efficiently and effectively, targeting excellence in the specific areas that contribute most directly to its success.