In this paper authors have presented a case study of HIP Petrohemija company (Pan evo, Serbia) with the aim of generating feasible strategies for technological and economic development. The research philosophy is based on the critical realism, while the research methodology is qualitative. The paper begins with the introduction to the history of HIP Petrohemija, followed by the SWOT (Strengths, Weaknesses, Opportunities, & Threats) analysis, and the SWOT analysis results that were used to construct TOWS (Threats, Opportunities, Weaknesses, & Strengths) matrix. This procedure generated two feasible strategies, both of which are subjected to further tests. The three portfolio models: Boston Consulting Group (BCG) matrix, General Electric (GE) matrix, and Nine specimen standardized strategies were used to describe the current situation of HIP Petrohemija, needed steps for the company to produce more finalized products, i.e., polymers, as well as the actions aimed at minimizing losses. This however did not provide sufficient data for determining the appropriate strategy for the company. The dilemma was solved with the help of Ansoff matrix, which showed that merging with, in its value chain, the distributor, not with to the supplier will be more profitable for the HIP Petrohemija. Contemporary Porter’s models - Five Forces and Value Chain Analysis, further confirmed the advantage of this strategy. The last model used in this paper is the Competitors Differentiation Iceberg Model that answers what the core competence of HIP Petrohemija is, with the results indicating the high quality of finalized products. Finally, the authors conclude that both strategies that were generated by the analysis are feasible - the merging with the supplier of raw material, as well as the merging with the large distributor of finalized products, with the latter being more profitable in the case of HIP Petrohemija.