Porter has recommended three generic strategies: (a) Overall cost leadership, i.e., making units of a fairly standardized product and underpricing everybody else. (b) Differentiation, i.e., turning out something unique, an item whose quality, design, brand name, or reputation for service will command higher-than-average prices. (c) Focus, i.e., concentrating on a particular group of customers, geographic market, channel of distribution, or distinct segment of the product line.
What will be an ideal response?
To sustain competitive advantage, adequate changes in the strategy and parallel changes in the organization should be made. Companies have learned to make changes in the strategy but have been slow in making organizational changes. One major reason for the latter failure is the scale integration conflict. Scale requires expansion and aggregation of resources. Integration (vertical integration) requires linking differentiated functions and resources for maximum efficiency.
You might also like to view...
Standard costs are a useful management tool that can be used solely as a statistical device apart from the ledger or they can be incorporated in the accounts
Indicate whether the statement is true or false
A sculptor wishes to protect one of his original works. He may do so by applying for a:
A) copyright. B) patent. C) service mark registration. D) trademark registration.
The correct formulaic notation for the mean is…
Jake owns an old piece of exercise equipment. He has been using the equipment merely to hang his clothes on, so Jake decides to get rid of the thing. He takes the unused exercise machine to the landfill and throws it off the back of the truck. Maggie, a teenager, is at the landfill rummaging for useful items. Maggie sees the exercise equipment and decides it is just the thing to give her sister for Christmas, so she decides to take it home. As she is loading it into the back of her pickup truck, Jake stops and tries to get it back. The landfill owner sees the commotion and decides he would like to have the equipment as well. Who has the best rights in the exercise equipment?
A. they are all joint owners B. Maggie C. Jake D. the landfill owner