Diversified companies need two levels of startegic planning. On the first leveleach distinct product line facesquestions about how it can best serve its customers. Then at the corporate level quite a different set of questions arises about how to combine the various operating units into an optimum overal pattern. Of course, single-line companies do not have the second tier (although the very search for a second line may well require this dualty), but for the large number of corporations that do operate distinct businesses, separate strategic planning is crucial.