STRATEGIC VS. FINANCIAL OBJECTIVES

Pressures to opt for better near-term financial performance are pronounced when
- Firm is struggling financially
- Resource commitments for strategic moves will detract from bottom-line
- Proposed strategic moves are risky
A firm passing up opportunities to strengthen long-term gains for near-term financial gains risks
- Diluting its competitiveness
- Losing momentum in its markets
- Impairing its ability to stave off rivals’ challenges