Offensive Competitive Strategy

AAA

DEFINITION of 'Offensive Competitive Strategy'

A type of corporate strategy that consists of actively trying to pursue changes within the industry. Companies that are managed as offensive competitive generally invest heavily in technology and Research and Development (R&D) in an effort to stay ahead of the competition.

INVESTOPEDIA EXPLAINS 'Offensive Competitive Strategy'

Companies that actively look to acquire other firms to fuel growth are often deemed to be using an offensive competitive strategy. These firms are often regarded as higher risk than those that are defensive because they are more likely to be fully invested, which could prove problematic in the event of a market slowdown.

RELATED TERMS
  1. Aggressive Investment Strategy

    A portfolio management strategy that attempts to maximize returns ...
  2. Deep Assortment

    A retail merchandising strategy in which the retailer stocks ...
  3. Defensive Investment Strategy

    A conservative method of portfolio allocation and management ...
  4. Investing Style

    In the context of stock mutual fund investing, refers to using ...
  5. Category Killer

    Large companies that put less efficient and highly specialized ...
  6. Growth Stock

    Shares in a company whose earnings are expected to grow at an ...
Related Articles
  1. Economics Basics
    Economics

    Economics Basics

  2. Does perfect competition exist in the ...
    Investing

    Does perfect competition exist in the ...

  3. Great Company Or Growing Industry?
    Markets

    Great Company Or Growing Industry?

  4. Find Short-Sale Listings
    Investing

    Find Short-Sale Listings

comments powered by Disqus
Hot Definitions
  1. Repurchase Agreement - Repo

    A form of short-term borrowing for dealers in government securities.
  2. Correlation

    In the world of finance, a statistical measure of how two securities move in relation to each other. Correlations are used ...
  3. Letter Of Credit

    A letter from a bank guaranteeing that a buyer's payment to a seller will be received on time and for the correct amount. ...
  4. Due Diligence - DD

    1. An investigation or audit of a potential investment. Due diligence serves to confirm all material facts in regards to ...
  5. Certificate Of Deposit - CD

    A savings certificate entitling the bearer to receive interest. A CD bears a maturity date, a specified fixed interest rate ...
  6. Days Sales Of Inventory - DSI

    A financial measure of a company's performance that gives investors an idea of how long it takes a company to turn its inventory ...
Trading Center