Strategic Emphasis and Competitive Strategy
- 2. Strategic Planning Strategic planning is a process that helps organizations answer three specific questions that are critical for any company that are critical for any company that operates in a competitive business arena: Who are we? Where are we going? Strategic Emphasis How will we get there? Competitive Strategy
- 3. 5 Potential Areas of Strategic Emphasis Product / services Raw material Technology Competency Customer
- 4. Product-Based Strategic Emphasis New Product Development Product Design Input, conversion and output process Product Quality Continual improvement of process and product quality Service quality Product marketing
- 5. Competency-Based Strategic Emphasis Low cost relating to competenc ies Efficient input, conversion and output process (as applicable) High capacity relating to the competenc ies Strong substitute marketing Flexbility relating to the application of the competenc ies
- 6. Customer-Based Strategic Emphasis Brand Loyalty Custom er relation Ongoin g custom er researc h Ongoin g custom er commu nication Custom er needs analysi s Respon se to changin g custom er needs Custom er focus
- 7. Technology-Based Strategic Emphasis Proprietary Rights to the technology Applied Research Application Marketing Flexibility in the application of technology Formation and Operation of Strategic Partnership
- 8. Raw Material-Based Strategic Emphasis Access to & control sufficient supply of Raw Materials Capability of securing Raw material Input, conversion, and output processes Flexibility
- 9. Competitive Strategy Strategic planning process answers three questions: 1. Who are we? 2. Where are we going? Strategic Emphasis 3. How will we get there? Competitive Strategy
- 10. Selecting a Competitive Strategy 1. Low cost/broad scope 2. Differentiation/broad scope 3. Low-cost/narrow scope (niche) 4. Differentiation/narrow scope (niche)