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Business Jargons

A Business Encyclopedia

No-Change Strategy

Definition: The No-Change Strategy, as the name itself suggests, is the stability strategy followed when an organization aims at maintaining the present business definition. Simply, the decision of not doing anything new and continuing with the existing business operations and the practices referred to as a no-change strategy.

When the environment seems to be stable, i.e. no threats from the competitors, no economic disturbances, no change in the strengths and weaknesses, a firm may decide to continue with its present position. Therefore, by analyzing both the internal and external environments, a firm may decide to continue with its present strategy.

The no-change strategy does not imply that no decision has been taken by the firm, however, taking no decision can sometimes be a decision itself. There should be a clear distinction between the firms which are inactive and do not want to make changes in their strategies and the ones which consciously decides to continue with their present business definition by scrutinizing both the internal and external conditions.

Generally, the small or mid-sized firms catering to the needs of a niche market, which is limited in scope, rely on the no-change strategy. This stability strategy is suitable till no new threats emerge in the market, and the firm feels the need to alter its present position.

Related terms:

  1. Business Strategy
  2. Liquidation Strategy
  3. Retrenchment Strategy
  4. Pause/Proceed with Caution Strategy
  5. Change Agent

Reader Interactions

Comments

  1. nemu says

    March 5, 2019 at 12:50 am

    please give some examples of the company who adopted no change strategy ?

    Reply

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