Corporate strategy is distinct from business strategy, which asks 'How do we compete in this business?'

The goal of corporate strategy is to make the whole (the corporation) worth more than the sum of its parts (the individual businesses).

This is achieved by creating a 'parenting advantage' or 'synergy'.

Value can be created by managing the portfolio (BCG Matrix), transferring skills, or sharing activities between business units.

A key risk is the 'conglomerate discount,' where the market values a company at less than the sum of its parts because the parent adds no value.

Disney is a classic example of a successful corporate strategy, sharing IP across its movie, streaming, parks, and product divisions.