Sunday, 27 October 2013

GENERIC STRATEGY

Broad cost-leadership

This generic strategy compete to serve their customer with lower price than other rivals. The business targets are broad, serving the customers with low profit per unit, and offer many kinds of products or services.
  • Air Asia
  • Tesco
  • Mydin
  • Giant
  • McDonald
  • Google
  • Coca Cola
  • Proton
common features in these product :
  1. Many kinds of products and/or services
  2. Offering the lowest price to compete with rivals
  3. attract a broad spectrum of buyers
Focused cost-leadership
This generic strategy concentrate on a narrow buyer segment and outcompeting rivals on costs thus being able to serve niche members at a lower price. They may serve one kind of service or product.

  • Perodua
  • Digi
  • Kamdar
  • KFC
  • Subway
 common features in these product :
  1. Focusing on their own product or service.
  2. available to a specific group of people
Broad Differentiation
This generic strategy aim to serve many people with various types of product or services to differentiate the company product offering from rivals and appeal to a broad spectrum of buyers 
All of these are offering many kinds of products or services in their industry. They sell at reasonable prices providing variety of products and services according to the customers’ needs and wants.
  • Malaysia Airlines;
  • Honda
  • IKEA
  • Kia Motor
  • Avon
  • Old-Town Kopitiam
  • Toyota
  • Rolls Royce
  • Al-Ikhsan 
common features in these product :
  1. Many kind of products
  2. Different types of products and services.
  3. Targeting a broad market target.
Focused Differentiation
Concentrating on a narrow buyer segment and outcompeting rivals with a product offering that meets the specific tastes and requirement of niche members better than the product offerings of rivals.
  • Bonia
  • JW Marriot
  • Louis Vuitton
  • Porsche
common features in these product :
         I.                                I.            Luxury product offer
                  II.            Focusing on a narrow target market
                III.            Exclusiveness styles
                IV.            High price

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