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This is to produce two new cars; an off-road vehicle and a versatile crossover vehicle.
This is considered to be a strategic decision because:
It is very unstructured ? meaning that it is not a routine decision to make e.g. ordering a new batch of stock. Decisions like this are made infrequently.
Chief executives and chairmen of the company make these kinds of decisions. BMW chairman Helmut Panke, described the two new cars as "Totally different to anything BMW has offered in the past"1. This quote shows that the decision is risky, as it is something different to what is usually offered, and shows that it can either have a large positive or negative effect on the company, depending on the success of the two cars...
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