Business Strategy in Four Clear Steps

A solid strategy is the foundation of a well-run business. Yet sometimes, the roadmap is unclear—like the 2026 strategy canvas I recently received from a company I've invested in. Other times, the suggested process seems so complex and exhausting that small or medium-sized businesses struggle to find the time or resources to work through it.

I prefer to keep things as simple as possible, and my goal here is to do just that. In this post, I'll share a four-step process to help you make strategic decisions. This process is robust enough for many small and medium-sized business scenarios yet simple enough to follow.

Four clear steps to get a solid business strategy:

Set a clear, concrete desired outcome.
Formulate the different paths (strategies) to get you there.
Define macro tactics for each strategy.
Outline specific tactics and allocate resources to each.

Working through these steps in order is essential since each builds on the previous one. Below, I've illustrated what these steps could look like, using an example (though it's not an exhaustive list of all possibilities).

Desired outcome:

Expand into the French market and achieve sales of €10 million within 12 months while maintaining a 30% net gross margin.

Possible strategies:

Grant market rights to selected partners.
Distribute through third-party retailers.
Use direct sales channels.

Macro tactics for the strategy of granting market rights to partners:

Assemble a project team responsible for the strategy.
Research and test product-market fit.
Develop a partner profile and create a potential partner list.
Attend key trade fairs in France.
Use offline and online business-to-business advertising.

Tactics for attending selected trade fairs in France:

Research relevant trade fairs and create a shortlist.
Crosscheck which fairs potential partners are most likely to visit.
Develop visuals for brand presentations at the fairs.
Calculate investment for each fair.

In a real-world plan, you would have more strategies and additional macro tactics and tactics.

How to implement the process

How you approach the process matters just as much as the process itself. I recommend dedicating significant time to discussing the desired outcome. Only when you're clear on what you want to achieve can you choose the right actions. It's essential to be as specific as possible, framing the desired outcome.

Avoid the temptation to favor one option too soon when working through the strategies. Instead, develop the macro tactics and tactics for each path. At this stage, allocating money and human resources to each tactic is crucial. This is when it becomes clear whether you can execute your plans.

Once you have an overview of all possible paths, it's time to decide where to focus. I recommend giving your team 60–90 minutes to reflect and formulate their thoughts individually. Afterward, have each member present their considerations to the group. There's no right or wrong at this stage—questions should come from a place of curiosity.

In the final meeting, the team will discuss and agree on which strategy to focus on and establish the cadence of follow-up meetings to monitor progress. Each follow-up meeting should result in adjustments to the macro tactics and tactics as lessons from actions taken start to surface.

Four key questions to test the strength of your plan:

Are the selected tactics the right ones to succeed with the macro tactic?
Are the macro tactics the right ones to succeed with the strategy?
Have we selected the best strategies to achieve our desired outcome?
Have we selected the right desired outcome to work on (working on the wrong desired outcome is a common occurrence)?

With practice, this clear four-step process can become your go-to method for setting the strategy in your business. You might consider engaging a business coach or consultant for the first couple of runs so that you can focus on participation rather than facilitation. An external facilitator will help you refine the process and provide insights on what works and what could be done differently.

Although this approach requires more upfront work than a quick decision, it will save you time, money, and opportunity costs in the long run.

For more insights into simple frameworks, I recommend the book Paid to Think, which has influenced how I think about strategy in a straightforward, actionable way. Despite taking multiple strategy courses, this four-step process is the most effective approach for many strategic decisions.

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