Strategy Fit

/ˈstræt̬.ə.dʒi fit/

The inflection point a corporate startup reaches when it obtains certainty that the new value proposition and business model it designed aligns with its parent company’s business and/or innovation strategy.

Strategy fit can come in two forms: 1) The corporate startup’s business model fits the company’s search fields for future business opportunities (innovation thesis) in terms of self-disruption. In this case it might get ‘scaled from the edges’. Or  2) it can be aligned with today’s core business, meaning it will get management support from the business units, and will be able to leverage existing resources. The latter scenario is more common for corporate startups.