The Strategy Palette is one of the more recent and probably the most recognized framework for selecting the appropriate strategy approach. The framework’s use of dichotomous variables with low and high values makes it simple and easy to understand. It does not stop at identifying the strategy approaches, instead further linking them with the relevant strategy tools. BCG also has an interactive website for the strategy tools providing a short description of the tool, its author(s), and the original reference. The linking of the various strategy tools to strategy approaches allows for the creation of a strategy toolbox for each approach that can be used by strategists []. Moreover, the book provides several case studies and vignettes to explicate the strategy approaches.

The shaping strategy approach is most suitable for environments which are unpredictable but malleable. These environments usually exist in new industries where there are no established leaders or rules of competition. Many companies can enter these low barrier industries and introduce innovative business models, products, and services. Mature markets may also be ready to be disrupted if they are overserving major customer segments or not serving customers. The disruption is usually through business model innovation.

Finally, the book and its accompanying website cover strategy tools and link them to the five strategy approaches, creating five strategy toolboxes. This is a good development but one with insufficient coverage of the available strategy tools. In my research on strategy tools covering the same period (-), I identified over strategy tools. Some of these strategy tools include backcasting [], business wargaming [], assumption-based planning [], strategy under uncertainty [], the three horizons framework [], strategy diamond [], portfolio of initiatives [], strategy as active waiting [], the strategy tripod framework [], and capabilities-driven strategy []. BCG’s narrow coverage of strategy tools combined with fewer strategy approaches results in limited and incomplete strategy toolboxes and consequently, inadequate strategy guidance.

The renewal strategy approach seeks to ensure the company survives the harsh environment it has found itself in because of a misfit between its strategy and environment, or because it is being subjected to a major external or internal disturbance. Regardless of the factors which have caused the hardship, companies need to, in the short term, first ensure their viability by pursuing a defensive strategy which reduces costs, gets rid of unattractive businesses or products, conserves capital, and saves and frees up resources. Afterwards, they should pursue one of the four strategies mentioned above for the long-term. Therefore, this strategy approach is only temporary in nature.

Second, the mapping logic of the strategy approaches to the strategy space is questionable, as it assumes that the different states of the strategy space can only be served by one strategy approach. Mapping exercises are different from typology constructions which require mutually exclusive and comprehensively exhaustive (MECE) categories []. Strategy approaches do not have to be mutually exclusive (ME) in their coverage of the strategy space, but they should be comprehensively exhaustive (CE). For instance, the visionary strategy approach and most of the related tools associated with it, which are prescribed to predictable and malleable environments, can also be used in environments characterized by unpredictability and malleability.