The chapter suggests that in high-technology companies the processes involved in strategic business exit and corporate transformation are driven by the evolving links of technology strategy, and substantive and generic corporate strategies. Technology strategy is likely to drive substantive as well as generic corporate strategies. As generic and substantive corporate strategies take shape, the relationships between these different strategies become reciprocal. Over time, misalignment between the technology strategy and substantive corporate strategy can occur as the environment changes. Generic corporate strategy may be a more enduring driver than substantive corporate strategy because it becomes embedded in the firm’s internal selection environment, and helps determine which new technological variations and associated business opportunities are selected and retained in a new substantive corporate strategy. A deeper understanding of the mechanisms by which technology strategy, and substantive and generic corporate strategies interact may add a critical dimension to the general manager’s role in high-technology companies.
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