Running a business today is more complicated than it used to be. In the past, companies could pick one clear strategy, stick to it, and grow steadily. Now, things move fast, markets change quickly, and advice on strategy is everywhere and often conflicting.
Some say that you should find a “blue ocean” where there’s no competition. Others say that’s unrealistic, and you should focus on being flexible. Some push for being the first to market, while others say it’s better to follow fast and improve on what’s already out there.
It’s no wonder many business leaders feel overwhelmed. Some jump from one strategy to another. Others give up on strategy altogether. But ignoring strategy isn’t the answer. The real solution is understanding that there’s no one-size-fits-all approach anymore.
The Old Way: Pick a Niche and Dominate
The traditional strategy taught in business schools is simple: Find a profitable niche, build a strong plan, and grow your business by doing it better than anyone else. This still works in some cases but stable markets are harder to find nowadays.
So, companies are turning to other types of strategies that are better suited to today’s fast-changing world.
New Ways to Think About Strategy
Here are five modern strategy types that businesses are using today:
1. Adaptive Strategy: Try lots of small ideas, see what works, and scale up the winners. This is popular in tech and retail.
Example: A clothing brand releases small batches of new designs. If they sell well via their pop-up stores, they quickly make more.
2. Visionary Strategy: Create a bold new idea and build a market around it. This takes creativity and confidence.
Example: A startup reimagines navigation not just as a way to get from A to B, but as a lifestyle app. It helps users discover hiking trails, scenic routes, and outdoor adventures—turning everyday travel into an experience.
3. Shaping Strategy: Work with partners to build new markets together. It’s about collaboration, not competition.
Example: A transport company teams up with local councils, tech companies, and urban planners to develop smart urban mobility solutions. Together, they’re creating better ways to move around, such as real-time traffic updates, making the city more connected and commuter-friendly.
4. Renewal Strategy: For businesses on the brink, this means cutting costs, focusing on what works, and investing in new growth areas.
Example: A newspaper company sells off its print division and invests in digital media.
5. Ambidextrous Strategy: Run different strategies at the same time. One part of the business focuses on efficiency, while another explores new ideas.
Example: A global company has one team improving current products and another team working on disruptive innovations.
The Problem: Strategy Conflicts
Using multiple strategies sounds smart, but it can cause problems. Different strategies need different ways of working. One team might want to reduce variation to cut costs, while another wants to increase variation to test new ideas. This can lead to confusion, wasted resources, and internal conflict.
Managers may resist change, especially if their reputation is tied to the old strategy. And if teams aren’t aligned, the business can end up pulling in opposite directions.
The Solution: Strategic Coherence
To make multiple strategies work together, businesses need strategic coherence, i.e. a clear plan for how different strategies fit together.
Here’s how to do it:
- Assign strategies to the right teams or divisions. Don’t mix them up.
- Get leadership buy-in. Everyone needs to understand why different strategies are being used.
- Build a flexible culture. Encourage both efficiency and innovation.
- Set clear goals and metrics for each strategy so teams know what success looks like.
Strategy today isn’t about picking one perfect plan. It’s about being smart, flexible, and willing to adapt. The best companies don’t just follow one strategy, they know how to mix and match, shift gears when needed, and stay focused even in a fast-changing world.
If your business feels stuck or confused about strategy, you’re not alone. But with the right mindset and structure, you can turn complexity into a competitive advantage.