Another example shows dominant or strong philippine cp number positions in all phases of the industry's life - this is represented by the solid line above. The dotted line shows failure paths as a result of product and investment policy errors.
Linked to the AVD matrix is the concept of natural strategies . The thick diagonal lines separate the areas and sectors of the matrix that may be strengths for the company from questionable and definitely unfavorable sectors, and indicate the desired direction for product development.
For sectors located above the upper line as a result of the analysis, development is the natural strategy; for those located between the upper line, selective investment is recommended. On the contrary, sectors located below the lower line have no development prospects, so they are inclined to liquidation.
The natural growth strategy is aimed at companies operating in sectors that are in the early stages of their life cycle and have a relatively strong competitive position. Development is based on allocating resources to areas of the company that are in a good competitive position.
When investing selectively, one should focus on weak segments (trying to make them competitive). It is important to decide whether to focus on all sectors or on the most promising ones. The decommissioning strategy consists of reducing or abandoning activities in weak sectors.