2001 Volume 31 Issue 4 Pages 119-130
SMBP(Strategic Management by Policy)has been already applied to the differential type of business such as Canon copier business. This paper studies the applicability of SMBP to the scale merit type of business, i.e.LSI, mobile phone, LCD which is growing rapidly and needs sufficient cash flow, because the initial investment cost is very high.In this paper new framework and evaluation indicators of business profitability for SMBP to be applied to the scale merit type of business are proposed in consideration of reducing business risk. Finally above SMBP framework and evaluation method are verified to be useful for the scale merit type of business through the case study of mobile phone business.
