Characteristics of Competitive Strategies

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					Characteristics of
        Competitive Strategies
How to Devise Your
 Sustainable Competitive
 Advantage ………................ Slide 3 – 7
Strategic Questions ……………. Slide 8 – 18
Guidelines for Planning ........ Slide 19 – 25




Table of Contents
How to Devise
Your Sustainable Competitive Advantage
                                Your Sustainable
   Identify your               Competitive Advantage
    Company’s capabilities
    that cannot be              Gives you the focal point of
                                your strategy
    duplicated by your
    competitors:
   Break them out into
    • Tangible capabilities
    • Intangible capabilities
Tangible                   Intangible

 Rights to intellectual      Strong Brands
  property                    Leadership
                              Tact & knowledge
 Exclusive licenses
                              Skills
 Statutory monopolies
                              Teamwork
                              Solid Organizational
                               Culture
                              Business processes that
                               are clearly defined
                              Strong Partnerships

Your Sustainable Competitive
Advantage
   Identify your Company’s       Your Sustainable
                                  Competitive Advantage
    capabilities that can be
    replicated by your            Gives you the focal point of
                                  your strategy
    competitors:
    •   Explicit knowledge
    •   Financial capabilities
    •   Marketing capabilities
    •   Non-exclusive licensure
    •   Technical capabilities
   Identify strategic ways   Your Sustainable
    to further develop:       Competitive Advantage
    • A stronger customer     Gives you the focal point of
      focus                   your strategy

    • A more dynamic
      strategy that is
      innovative
    • Competencies
    • Capabilities
    • Newly structured
      organizational
      procedures
Strategic Questions
& Variables
                                  Strategic
   What does the competitive     Questions to Ask
    environment look like
    globally?
   What have my competitors
    done over the past 3 years?
   What impact has my
    business had on my
    competitors over the past 3
    years?
   How can they attack me
    going forward?
   How can my business get an
    advantage over my
    competitors?
                          Strategic
   Your Competitive      Variables
    Strategies

   Winning & Retaining
    Customers

   Building Your
    Competitive
    Advantage
   Basic Requirements
    • Your strategy for staying
      alive

    • Your market leadership
      strategy

     • Targeting market leadership




Your Competitive
Strategies
   Customer Value Proposition
    • Low cost/benefit ratio
    • Create higher customer value
    • Create better customer positioning

   Marketing Strategy
    • Mass marketing
    • Product differentiation


Winning & Retaining
Customers
   Customer Satisfaction
    • Customer Service

    • Customer intimacy

    • Value innovation




Winning & Retaining
Customers
   Product/Service Innovation
    • New Attributes

    • New Line Extensions

    • New Product Categories

    • New Brands

    • Increased Speed


Winning & Retaining
Customers
   Strategic Growth Focus
    • Building Resources
    • Building Distinctive
      Capabilities

   Innovation
    • Linear
    • Systematic



Building Your Competitive
Advantage
   Technology Innovation
    • Incremental Innovation
    • Radical Innovation
    • Venture Strategies




Building Your Competitive
Advantage
   Process Innovation
    • Functional Improvements
    • Enterprise-wide Business
      Process Management




Building Your Competitive
Advantage
   Business Innovation
    • Perfecting the Traditional
      Business Model
    • Adaptability
     • Creating New Business
       Models




Building Your Competitive
Advantage
Guidelines for Planning
Which industry will help me achieve more of a competitive edge?
   An individual (the general
    public at large)

   A business

   A governmental agency

   Your co-worker




Identifying Your Customers
Retail & Wholesale Industries
Structural Analysis
                       Individual
                       Consumers Buy
   Department store   Retail
                       When the general public at large
                       buys goods, they usually buy them
   Gas station        from retail establishments.


   Internet

   Supermarket
                          Retail Consumers
   Other businesses      Buy Wholesale

   Government agencies

   Institutions

   Universities

   Hospitals
                      Retail
                      Establishment
   Goods             Purchases
                      Retail establishments and other
                      businesses will purchase goods
   Equipment         and services either for their own
                      use or for resale to consumers.

   Motor vehicles

   Office supplies
   Consumers of wholesale trade firms buy
    goods to make other products:
    • Equipment

    • Motor Vehicles

    • Office Supplies

    • Bicycle parts




Wholesale Trade Firms
Characteristics of Competitive
Strategies


    • Office Supplies

    • Bicycle parts




Wholesale Trade Firms
Characteristics of Competitive
Strategies
				
DOCUMENT INFO
Description: PowerPoint presentation describing how a company competes in a particular business & explains how a company can gain a competitive advantage using a distinctive way of competing.
This document is also part of a package Business Strategy Starter Kit 18 Documents Included