Competitive Marketing Strategy

Competition is at core of success or failure of firm Competitive strategy is “the search for a favorable competitive position in an industry” Competitive strategy aims to establish profitable and sustainable position against forces that determine industry competition 2 central questions underlie choice of competitive strategy: 1 . Attractiveness of industry for long-term profitability and factors that determine it 2. Determinants of relative competitive position within an industry Industry attractiveness and competitive position are dynamic – they change Even long periods of stability can be abruptly ended by competitive moves

Both industry attractiveness and competitive position can be shaped by firm Competitive strategy not only respond to environment but also attempts to shape it in firm’s favor The Structural Analysis of Industries 1st fundamental determinant of firm’s profitability is industry attractiveness Rules of competition are embedded in 5 competitive forces: Entry of new competitors Threat of substitutes Bargaining power of buyers Bargaining power of suppliers Rivalry among existing competitors Collective strength of these 5 determines firm’s ability to earn ROI in excess of cost of UAPITA 5 forces determine profitability because they influence prices, costs and required investment – which are elements of ROI Buyer power and substitution threat influence prices that firms can charge Bargaining power of suppliers determines costs of raw materials Intensity of rivalry influences prices and costs of competing in product development, advertising, and sales force Threat of entry places limit on prices Competitive Marketing Strategy By shirtless industry 5 Forces Framework aims to raise odds of discovering desirable strategic innovation In tobacco industry, generic cigarettes are a threat. They increase price sensitivity of buyer trigger price competition -> erode high advertising barrier for new entrants Often firms make strategic choice without considering long-term consequences for industry structure, such industry ‘destroyers’ are usually: Second-tier firms searching for ways to overcome competitive disadvantage Firms that encountered serious problems and are searching for desperate solutions or ‘dumb’ competitors that don’t know their costs Industry Structure and Buyer Needs Satisfying buyer needs is important

Buyers must be willing to pay a price for a product that exceeds it’s cost of production Crucial question is whether firms can capture value for buyers Industry Structure and the Supply/Demand Balance If demand > supply = great profitability Generic Competitive Strategies Positioning determines whether firm’s profitability is above or below industry average Above-average performance over long-term is called sustainable competitive advantage Two basic types of competitive advantage a firm can possess: Low cost or Differentiation Cost advantage and differentiation stem from industry structure – result from firm’s ability to cope with IF better than rivals 3 generic strategies for achieving above- average performance in industry: Cost leadership Differentiation Focus Cost focus Differentiation focus Competitive advantage is at the heart of any strategy advantaged shall be “Being all things to all people is a recipe for strategic mediocrity and below-average performance” Cost Leadership Clearest of 3 generic strategies Fir. Simply sets out to be the low-cost producer in its industry Sources of cost advantage are varied, and may include: Economies of scale Proprietary technology Preferential access to raw materials

Other factors Low-cost producers typically sell standard, no-frills products Low-cost firm can’t ignore bases of differentiation – if it’s product is not perceived comparable or acceptable to buyers, they will be forced to discount prices well below competitors to gain sales, which may nullify benefits of favorable cost position Cost leader must achieve parity or proximity in bases of differentiation relative to its competitors Parity allows cost leader to translate cost advantage directly into higher profits Proximity means price discount necessary to achieve an acceptable market share doesn’t offset he cost advantage Firm seems to be unique in its industry along some dimensions that are widely valued by buyers Rewarded for its uniqueness with premium price Means of differentiation differ: Product Delivery system Marketing approach Firm will be above average if it can exceed extra costs incurred in being unique Can be more than one successful firm l.

Industry, unlike cost leadership Strategy rests on narrow competitive scope within industry Firm selects segment of industry and targets them to the exclusion of others In cost focus firm seeks cost advantage In differentiation focus, firm seeks differentiation Target segments must have buyers with unusual needs or production and delivery that best serve customers must differ Stuck in the Middle Firm that engages in many strategies but fails in all, is stuck in the middle – possesses no competitive advantage Stuck in the middle due to unwillingness to make choices about how to compete Pursuit of More Than One Generic Strategy But must be strictly separated Firm reaching both cost leadership and differentiation is amazing Sustainability Generic strategy only leads to above-average performance if it’s competitive

Calculate the price
Make an order in advance and get the best price
Pages (550 words)
*Price with a welcome 15% discount applied.
Pro tip: If you want to save more money and pay the lowest price, you need to set a more extended deadline.
We know how difficult it is to be a student these days. That's why our prices are one of the most affordable on the market, and there are no hidden fees.

Instead, we offer bonuses, discounts, and free services to make your experience outstanding.
How it works
Receive a 100% original paper that will pass Turnitin from a top essay writing service
step 1
Upload your instructions
Fill out the order form and provide paper details. You can even attach screenshots or add additional instructions later. If something is not clear or missing, the writer will contact you for clarification.
Pro service tips
How to get the most out of your experience with MyHomeworkGeeks
One writer throughout the entire course
If you like the writer, you can hire them again. Just copy & paste their ID on the order form ("Preferred Writer's ID" field). This way, your vocabulary will be uniform, and the writer will be aware of your needs.
The same paper from different writers
You can order essay or any other work from two different writers to choose the best one or give another version to a friend. This can be done through the add-on "Same paper from another writer."
Copy of sources used by the writer
Our college essay writers work with ScienceDirect and other databases. They can send you articles or materials used in PDF or through screenshots. Just tick the "Copy of sources" field on the order form.
See why 20k+ students have chosen us as their sole writing assistance provider
Check out the latest reviews and opinions submitted by real customers worldwide and make an informed decision.
Love this writer!!! Great work
Customer 452597, April 5th, 2021
English 101
IThank you
Customer 452631, April 6th, 2021
Business and administrative studies
Excellent job
Customer 452773, March 17th, 2023
Social Work and Human Services
Although it took 2 revisions I am satisfied but I did receive it late because of that.
Customer 452603, March 25th, 2021
Business and administrative studies
excellent paper
Customer 452773, March 3rd, 2023
Business and administrative studies
Customer 452773, March 3rd, 2023
Looks great and appreciate the help.
Customer 452675, April 26th, 2021
Criminal Justice
This has been the greatest help while I am recovering from an illness. Thank your team so much.
Customer 452671, May 2nd, 2021
I just need some minor alterations. Thanks.
Customer 452547, February 10th, 2021
Business and administrative studies
excellent work
Customer 452773, March 9th, 2023
Criminal Justice
The paper was not accused of plagiarism and was written very well. I will let you know the grade once it is graded. Thank you
Customer 452671, April 26th, 2021
Business and administrative studies
Excellent job
Customer 452773, March 9th, 2023
Customer reviews in total
Current satisfaction rate
3 pages
Average paper length
Customers referred by a friend
15% OFF your first order
Use a coupon FIRST15 and enjoy expert help with any task at the most affordable price.
Claim my 15% OFF Order in Chat

Sometimes it is hard to do all the work on your own

Let us help you get a good grade on your paper. Get professional help and free up your time for more important courses. Let us handle your;

  • Dissertations and Thesis
  • Essays
  • All Assignments

  • Research papers
  • Terms Papers
  • Online Classes


eskişehir escort
- Korsan taksi Antalya


eskişehir escort
- Korsan taksi Antalya