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MGMT256 Workforce Demography And Planning

tag 0 Download 3 Pages / 563 Words tag 28-06-2021
  • Course Code: MGMT256
  • University: Macquarie University
    icon is not sponsored or endorsed by this college or university

  • Country: Australia


Generic Strategies

  • Basis for Value Delivered to Customers:
  • Cost Leadership (Broad / Focused)
  • Offering products at lower prices than the competition
  • Differentiation (Broad / Focused)
  • Offering superior products with better performance which customers “value” and are willing to pay for
  • Integrated cost leadership/differentiation strategy
  • Target Market
  • Broad
  • Narrow / Niche Market

Business Level Strategies

  1. Cost leadership
  2. Differentiation
  3. Focused cost leadership
  4. Focused differentiation
  5. Integrated cost leadership/differentiation

How do we evaluate/predict if a strategic alternative is effective?

  • What is a strategic alternative?
  • What is effective?
  • In his continued effort to be the most cutting-edge designer in the fashion industry, Mugata developed a new line of clothing inspired “by the streetwalkers and hobos that surround us.”
  • Emphasizing unique products is typical of a company following a differentiation strategy; however, Mugata targeted a very specific set of customers.
  • By catering to a niche target market, Mugata went from a simple differentiation strategy to a focused differentiation.

A company is said to be stuck in the middle if it does not offer features that are unique enough to convince customers to buy its offerings and its prices are too high to effectively compete on based on price.

  • Companies that are stuck in the middle generally perform poorly because they lack a clear market or competitive pricing.
  • In many cases, companies become stuck in the middle not because executives fail to arrive at a well-defined strategy but because companies are simply outmaneuvered by their rivals.
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