Corporate Political Strategy Formulation: A Model of Approach, Participation, and Strategy Decisions

In this article we examine two general approaches to political action (transactional and relational), two levels of participation (individual and collective), and three types of generic political strategies (information, financial incentive, and constituency building), thus presenting a comprehensive taxonomy of political strategies. In addition, we identify firm and institutional variables that affect the likelihood of making specific decisions within the formulation model. The result is a decision-tree model of political strategy formulation that integrates and extends prior diffused work.