A strategy chart is a way of showing how a company might be operating if it were to break up into three segments: investment, strategy and wheel.
The strategy chart shows how the company would operate if it sold its entire business to one or more of the segments, for example, a pharmaceutical company that sells a range of drugs, a mining company that deals in minerals, and a construction company that builds buildings.
A company that invests in a strategy will focus on the investments that generate the most returns, whereas a company that makes the most money from a strategy would concentrate on the assets that deliver the most return.
A company that wants to buy the latest iPhone may also invest in a new handset, but it will not buy a share of Apple Inc. to do so.
A strategy is a process that a company uses to develop, test and deploy new products and services.
It is the business process that goes into designing, developing and manufacturing a product.
A wheel strategy is one that looks at the entire company and makes a plan to create the best possible outcome.
A wheel strategy looks at how to sell the company, while a investment strategy looks to create a sustainable business.