CHOOSING A BUSINESS- LEVEL STRATEGY

Cost Leadership and Differentiation
1. With technological developments, companies have found it easier to obtain the benefits of both strategies
2. A company can also reduce both production and marketing costs if it limits the number of models in the product line
Focus Strategy
1. This ability also gives the focuser power over its buyers
2. A focused company is a specialized differentiator or a cost leader
3. Higher costs can also reduce profitability
Stuck in the Middle
1. Choosing a business- level strategy successfully means giving serious attention to all elements of the competitive plan
2. Quite commonly, a focuser gets stuck in the middle when it becomes over- confident and starts to act like a broad differentiator

Resource summary

	Created by Kevin Wong about 4 years ago