can you provide 4 response and keep them order, thanks 1. Isabel Wan – Marcus: You stated that “For instance, one of the key differentiation strategies is cost leadership in which the company provides the underlying goods or service at a price lower than the competitors. The underlying technique to sustain this competitive advantage must be in line with the resources at hand and the strengths and weaknesses of the company in terms of capabilities. ” Cost leadership is a good example. Do you have an example of a company that does well in terms of using the cost leadership approach?
2.Thomas-Creating and sustaining a viable strategy for our business is the primary responsibility for leadership today, and at the same time represents, more often than not, our most difficult challenge. Developing a sustainable strategy is the essence of management and leadership. Most companies today do not have a strategy and rather than focusing on a plan that will make their organization unique and different they focus on being the best. However, being the best is subjective, meaning that depending on what a consumer values as importance, typically, individual taste and preferences will ultimately determine for our customers who they think is best https://www.youtube.com/watch?v=DViVtgD0xwE.
A viable strategy will create value for their customers in a unique way. A company focused on strategy will have a well-founded understanding of the threats and opportunities that exists within their industry. Strategy involves learning about your customers, competition and stakeholders to build a base of knowledge and capabilities. A strategic organization may use the knowledge of their external environment to imitate their strongest competitors, or other successful companies to create a sustainable competitive advantage. A strategic thinking organization will use this knowledge to help them develop goods, services, and technology that offer their customers a unique differentiation that creates value (Hoskisson, 2013, p. 73).
Most external environments are complex and very volatile which makes them very difficult to comprehend for most organizations. The four elements involved in helping us understand our external environment are scanning, monitoring, forecasting, and assessing. Although, the process can be challenging it will help identify our opportunities and threats. An organization can achieve value when they accurately identifies their opportunities (Hoskisson, 2013 ).
When an organization gains an understanding surrounding the importance of strategy and their external environment they can develop goods and services that are unique and will provide value to their customers. This process is based on a clear understanding of the demographic, economic, political, sociocultural, technological, physical environment and global segments of our general environment. A company can only create a competitive advantage when that have completed an in depth analysis of what their customers want and what their competition is doing in the marketplace. Additionally, a company must understand all of the elements that are influencing their marketplace. Once they have gained this understanding, an organization can create goods, services, and technology that are unique, different, and provide value. (Hoskisson, 2013).
References
Hoskisson, R. E. (2013 ). Competing for Advantage. Mason: Cengage Learning.