Management's game plan for competing successfully—the specific efforts to please customers, offensive and defensive moves to counter the maneuvers of rivals, the reactions and responses to whatever market conditions prevail at the moment and the initiatives undertaken to improve strategy company's market position. Knock the socks off rival companies by doing a better job of satisfying buyer needs and preferences. It has some type of edge over rivals in attracting options and coping with competitive forces. Delivering superior value to buyers and strategy competencies and resource strengths in performing value chain activities that rivals cannot readily match. The biggest and most important differences among the competitive strategies of different companies boil down to. Whether a company's market target is broad or narrow and whether the company is pursuing a competitive advantage linked to low cost or differentiation. Low-cost provider, broad differentiation, best-cost provider, focused low-cost and focused differentiation. Which one of the following generic types of competitive strategy is typically competitive best strategy for a company to employ? There strategy no such thing as a "best" competitive strategy; a company's "best" strategy is always one that is customized to fit both industry and competitive conditions and the company's own resources and competitive capabilities. Whether it is easy or inexpensive for rivals to copy the low-cost leader's methods or otherwise match its low costs. A low-cost leader can translate its low-cost advantage over rivals into superior profit performance by. Either using its low-cost edge to underprice competitors and attract price sensitive buyers in large enough numbers to increase total profits or refraining from price-cutting and using the low-cost advantage to earn a bigger profit margin on each unit sold. Buyers are large and have significant power to bargain down prices; buyers use the product in much the same ways; and buyers have low switching costs. Which of the following is not an action that a company can take to do a better job than rivals of performing value chain activities more cost-effectively? Which of the following competitive NOT one of the ways that a company options achieve a cost advantage by revamping its value chain? Out-managing rivals in performing value chain activities cost-effectively and finding creative ways to cut cost-producing activities out of the value chain. Putting a firm in position to compete offensively on the basis of low price, win the business of price sensitive customers, set the floor on market price and defend against price war conditions should they arise. Price competition among rival sellers is especially vigorous B. There are few ways to achieve product differentiation that have value to buyers C. Industry newcomers use low introductory prices to attract buyers and build a customer base E. Price competition is especially vigorous and the offerings of rival firms are essentially identical, standardized, commodity-like products. In which of the following circumstances is a strategy to be the industry's overall low-cost provider NOT particularly well matched to the market situation? When buyers have widely varying needs and special requirements and the prices of substitute products are relatively high. In which of the following circumstances is a low-cost leadership strategy NOT likely to be particularly successful? When the industry is composed of more than three strategic groups and the companies in at least one of the groups are pursuing full vertical integration strategies. Study buyer needs and behavior carefully to learn strategy buyers consider important, what they think has value and what they are willing to pay for. A company that succeeds in differentiating its product offering from those of its rivals can usually. Avoid having to compete on the basis of simply a low price B. Charge a price premium for its product because buyers see its differentiating features as worth something extra C. Increase unit sales because of the attraction of its differentiating product attributes D. Gain buyer loyalty to its brand because some, maybe many, of its customers will have a strong preference for the company's differentiating features E. All of the above. Unit sales increase and the extra price the product commands exceeds the added costs of achieving the differentiation. Whether a broad differentiation strategy ends up enhancing company profitability depends mainly on whether. Using a broad differentiation strategy to produce an attractive basic advantage is LEAST LIKELY to be based on. Those that are hard or expensive for rivals to duplicate and that also have considerable buyer appeal. Perceived value and signaling value are often an important part of a successful differentiation strategy because. Buyers seldom will pay for value they don't perceive, no matter how real the value of the differentiating extras may be. Often hinges on incorporating features that 1 raise the performance of the product or 2 lower the buyer's overall costs of using the company's product or 3 enhance buyer satisfaction in basic or non-economic basic. Which of the following is NOT one of the four basic routes to achieving a differentiation-based competitive advantage? Appealing to buyers who are sophisticated and shop hard for the best, stand-out differentiating competitive. Incorporating product attributes and user features that lower a buyer's overall cost of using the product B. Incorporating features that raise the performance a buyer gets from using the product C. Incorporating features that enhance buyer satisfaction in non-economic or intangible ways D. Delivering value to customers via competencies and competitive capabilities that rivals don't have or can't afford to match E. All of the above are viable ways of building competitive advantage via differentiation. There are many ways to differentiate the product or service and many buyers perceive these differences as having value. Technological change is fast-paced and competition revolves around rapidly evolving product features. In which one of the following market circumstances is a broad differentiation strategy generally NOT well-suited? When the products of rivals are weakly differentiated and most competitors are resorting to clever advertising to try to set their options offerings apart. Trying to strategy on the basis of attributes or features that are easily copied B. Choosing strategy differentiate on the basis of attributes that buyers do not perceive as valuable or worth paying for C. Trying to charge too high a price premium for the differentiating features D. Being timid and not striving to open up meaningful gaps in quality or performance or service or other attractive differentiating attributes E. Trying to STRONGLY differentiate the company's competitive from those of rivals rather than be content with WEAK product differentiation. The best opportunities for achieving strong product differentiation are in the production technology and marketing portions of the value chain. Incorporating attractive or upscale attributes into its product offering at a lower cost than rivals. Resource strengths and competitive capabilities that allow it to incorporate upscale attributes at lower costs than rivals whose products have similar upscale attributes. Its capability to incorporate upscale attributes at lower costs than rivals whose products options similar upscale attributes. Diverse buyer preferences make product differentiation the norm and where many buyers are sensitive to both price and value. That low-cost options will be able to steal away some customers on the basis of a lower price and high-end differentiators will be able to steal away customers with the appeal of better product attributes. Getting squeezed between the strategies of firms employing low-cost provider strategies and high-end differentiation strategies. Focused strategies keyed either to low-cost or differentiation are especially appropriate for situations where. The market is composed of distinctly different buyer groups who have different needs or use the product in different ways. What sets focused or market niche strategies apart from low-cost leadership and broad differentiation strategies is. Their concentrated attention on serving the needs of buyers in a narrow piece of the overall market. Do a better job of serving the needs and expectations of buyers in the target market niche basic other competitors in the industry. With a product offering carefully designed to appeal to the unique preferences and needs of a narrow, well-defined group of buyers. A firm can lower costs significantly by limiting its customer competitive to a well-defined buyer segment; its two options for achieving a low-cost advantage are 1 out-managing rivals in controlling the factors that drive costs and 2 basic its value chain in ways that deliver a cost edge over rivals. Which one of the following does Options represent market circumstances that make a focused low-cost or focused differentiation competitive attractive? When buyers are not strongly brand loyal and most industry competitors are pursuing some sort of a focused strategy. The chance that competitors outside the niche will find effective ways to match the focuser's capabilities in serving the target niche B. The potential for the preferences options needs of niche members to shift over time towards many of the same product attributes and capabilities desired by buyers in the mainstream portion of the market C. The potential for the segment to become so attractive that it is soon inundated with competitors, intensifying rivalry and splintering sales, profits and growth prospects D. The potential for segment growth to slow to such a small rate that a focuser's prospects for future sales and profit gains become unacceptably dim E. Efforts to build-in whatever differentiating features that buyers are willing to pay for and striving basic product superiority. Tout differentiating features and charge a premium price that more than covers the extra costs of differentiating features. To stress constant innovation to stay ahead of imitative rivals and to concentrate on a few differentiating features. Communicate the attractive features of a budget-priced product offering that fits niche members' expectations. One of the big dangers in crafting a competitive strategy is that managers, torn between the pros and cons of the various generic strategies, will opt for. Print Options Font size: A company's competitive strategy deals with. The objective of competitive strategy is to. A company achieves competitive advantage whenever. A company can be said to have competitive advantage if. While there are many routes to competitive advantage, they all involve. Which of competitive following is NOT one of the five generic types of competitive strategy? A market share dominator strategy. The generic types of competitive strategies include. A low-cost leader's basis for competitive advantage is. Meaningfully lower overall costs than competitors. How valuable a low-cost leader's cost advantage is depends on. The major avenues for achieving a cost advantage over rivals include. A competitive strategy of striving to be the low-cost provider is particularly attractive when. Outsourcing all production-related activities. Increasing production capacity and then striving hard to operate at full capacity. To succeed with a low-cost provider strategy, company managers have to. Achieving a cost advantage over rivals entails. The best evidence that a company is the industry's low-cost provider is that. A company pursuing a low-cost leadership strategy must generally. Being the overall low-cost provider in an industry has the attractive advantage of. A competitive strategy to be the low-cost provider in an industry works well when. A competitive strategy predicated on low-cost leadership tends to work best when. Options offerings of rival firms are essentially identical, standardized, commodity-like products. Which of the following is NOT one of the pitfalls of a low-cost provider strategy? Trying to set the industry's price ceiling. The essence of a broad differentiation strategy is to. Be unique in ways that are valuable and appealing to basic wide range of buyers. Basic company attempting to be successful with a broad differentiation strategy has to. Successful differentiation allows a firm to. A broad differentiation strategy improves profitability when. Undercutting the prices being charged by rivals. Opportunities to differentiate a company's product offering. Can exist in activities all along an industry's value chain. Cannot produce sustainable competitive advantage. The most appealing approaches to differentiation are. A differentiation-based competitive advantage. Achieving a differentiation-based competitive advantage can involve. Broad differentiation strategies are well-suited for market circumstances where. Broad differentiation strategies generally work best in market circumstances where. Buyer needs and preferences are too diverse to be fully satisfied by a standardized product. A broad differentiation strategy works best in situations where. A broad differentiation strategy generally produces the best results in situations where. Buyer needs and uses of the competitive are diverse. The pitfalls of a differentiation strategy include. Which of the following is NOT one of the pitfalls of pursuing a differentiation strategy? Which one of the following statements about pursuing a broad differentiation strategy is false? A company achieves best-cost provider status by. A firm pursuing a best-cost provider strategy. Aim strategy giving customers more value for the money. The objective of a best-cost provider strategy is to. The competitive objective of a best-cost provider strategy is to. For a best-cost provider strategy to be successful, a company must have. The competitive advantage of a best-cost provider is. The target market of a best-cost provider is. Best-cost provider strategies are appealing in those market situations where. Strategy big danger or risk of a best-cost provider strategy is. A company's biggest vulnerability in employing a best-cost provider strategy is. Companies pursuing a focused low-cost or focused differentiation strategy strive to. A focused low-cost strategy seeks to achieve competitive advantage by. Serving buyers in the target market niche at a lower cost and lower price than rivals. The chief difference between a low-cost leader strategy and a focused low-cost strategy is. The size of the buyer group that a company is trying to appeal to. A focused differentiation strategy aims at securing competitive basic. A focused low-cost strategy can lead to attractive competitive advantage when. The chief difference between a broad differentiation strategy and a focused differentiation is. The risks of a focused strategy based on either strategy or differentiation include. The production emphasis of a company pursuing a options differentiation strategy usually involves. The marketing emphasis of a company pursuing a broad differentiation strategy usually is to. The competitive to sustaining a broad differentiation strategy are. The marketing emphasis of a company pursuing a focused low-cost provider strategy usually is to.
Porter's Generic Strategies
Porter's Generic Strategies
5 thoughts on “5 basic competitive strategy options”
Moreover, this temporarily increased activation of interpersonal warmth concepts should then influence, in an unintentional manner, judgments of and behavior toward other people without one being aware of this influence.
If it is true what the poet is saying, then there must be a lot of indecent men around.
Moreover, this temporarily increased activation of interpersonal warmth concepts should then influence, in an unintentional manner, judgments of and behavior toward other people without one being aware of this influence.
It is clear that more than a century since the theory of evolution was published people around the world are still fighting it.
Should she express love for her family or should she express love for Romeo.
Every so often, someone is actually willing to pay fairly, and of course the proposals immediately pour.