Today\u2019s learning objectives<\/p>\n
Understanding the relationships between customers and business level strategy<\/p>\n
Explain why a business level strategy is important<\/p>\n
Understand different types of business level strategies<\/p>\n
Understand the risks and benefits of different business level strategies<\/p>\n
Business level strategy<\/p>\n
Business vs corporate level strategy<\/p>\n
How to compete in a specific product market?<\/p>\n
VS Which business to engage in?<\/p>\n
Every firm has a business level strategy<\/p>\n
ONE <\/p>\n
BUSINESS<\/p>\n
–<\/p>\n
LEVEL <\/p>\n
STRATEGY<\/p>\n
SEVERAL BUSINESS<\/p>\n
–<\/p>\n
LEVEL <\/p>\n
STRATEGIES<\/p>\n
A single<\/p>\n
–<\/p>\n
product market\/single geographic location firm employs <\/p>\n
one business<\/p>\n
–<\/p>\n
level strategy and one corporate<\/p>\n
–<\/p>\n
level strategy to <\/p>\n
identify what industry the firm will compete in. <\/p>\n
A diversified firm employs a separate business<\/p>\n
–<\/p>\n
level strategy for <\/p>\n
each product market area in which it competes and one or more <\/p>\n
corporate<\/p>\n
–<\/p>\n
level strategies dealing with product and\/or geographic <\/p>\n
diversity.<\/p>\n
ONE <\/p>\n
BUSINESS<\/p>\n
–<\/p>\n
LEVEL <\/p>\n
STRATEGY<\/p>\n
SEVERAL BUSINESS<\/p>\n
–<\/p>\n
LEVEL <\/p>\n
STRATEGIES<\/p>\n
A single<\/p>\n
–<\/p>\n
product market\/single geographic location firm employs <\/p>\n
one business<\/p>\n
–<\/p>\n
level strategy and one corporate<\/p>\n
–<\/p>\n
level strategy to <\/p>\n
identify what industry the firm will compete in. <\/p>\n
A diversified firm employs a separate business<\/p>\n
–<\/p>\n
level strategy for <\/p>\n
each product market area in which it competes and one or more <\/p>\n
corporate<\/p>\n
–<\/p>\n
level strategies dealing with product and\/or geographic <\/p>\n
diversity.<\/p>\n
What is business level strategy?<\/p>\n
Integrated and coordinated set of commitments and actions<\/p>\n
Build around core competencies in specific markets<\/p>\n
Remember the example of Foodstuff NZ (North and South Island)<\/p>\n
Retail<\/p>\n
New World<\/p>\n
PAK’nSAVE<\/p>\n
Four Square<\/p>\n
On the spot<\/p>\n
Raeward Fresh<\/p>\n
Wholesale<\/p>\n
Gilmours \u2022 Trents<\/p>\n
Retail (alcohol)<\/p>\n
Liquorland<\/p>\n
Henry\u2019s<\/p>\n
Brands<\/p>\n
Pams<\/p>\n
Value (formerly Budget)<\/p>\n
Customers are key<\/p>\n
Reach, richness, affiliation<\/p>\n
Who is the target customer?<\/p>\n
Segmentation and targeting <\/p>\n
What customer needs will be addressed?<\/p>\n
Product\/Service features\/benefits<\/p>\n
Value to the customer <\/p>\n
\u2022 How will customer needs be addressed?<\/p>\n
Leverage\/build core competencies <\/p>\n
Business-level strategies<\/p>\n
Lower cost (perform activities differently) vs different (perform different activities)<\/p>\n
Broad vs narrow focus<\/p>\n
Cost leadership<\/p>\n
Differentiation<\/p>\n
Focused cost leadership<\/p>\n
Focused differentiation<\/p>\n
Integrated<\/p>\n
Cost leadership<\/p>\n
Differentiation<\/p>\n
Focused cost leadership<\/p>\n
Focused differentiation<\/p>\n
Integrated<\/p>\n
Business models<\/p>\n
The framework of how an organisation creates, delivers and captures value<\/p>\n
Razor-blade<\/p>\n
Direct (Disintermediation)<\/p>\n
Advertising<\/p>\n
Brick and mortar<\/p>\n
Fermium<\/p>\n
Subscription<\/p>\n
Franchising<\/p>\n
Brokerage<\/p>\n
Customization<\/p>\n
Pay as you go<\/p>\n
Reverse razor blade<\/p>\n
ETC\u2026. Osterwalder, A. & Pigneur, Y. (2009) Business Model Generation. Hoboken, New Jersey: John Wiley & Sons. <\/p>\n
Cost leadership vs differentiation<\/p>\n
Focus<\/p>\n
Emphasis on a narrowly defined market segment\/customer group<\/p>\n
The WHO is more narrowly defined (segmentation\/targeting) <\/p>\n
Market niches at the periphery <\/p>\n
May become more central to the market over time<\/p>\n
Focused cost leadership <\/p>\n
Focused differentiation<\/p>\n
Next week<\/p>\n
Corporate level strategy<\/p>\n
Required reading: Chapter 6<\/p>\n
Required reading: To diversify or not to diversify<\/p>\n
Don\u2019t forget your preparation (poste one comment). <\/p>\n
8<\/p>\n
8<\/p>\n
4<\/p>\n
4<\/p>\n
4<\/p>\n
4<\/p>\n
4<\/p>\n
4<\/p>\n
8<\/p>\n
8<\/p>\n","protected":false},"excerpt":{"rendered":"
Today\u2019s learning objectives Understanding the relationships between customers and business level strategy Explain why a business level strategy is important Understand different types of business level strategies Understand the risks and benefits of different business level strategies Business level strategy Business vs corporate level strategy How to compete in a specific product market? VS Which […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[10],"class_list":["post-97868","post","type-post","status-publish","format-standard","hentry","category-research-paper-writing","tag-writing"],"_links":{"self":[{"href":"https:\/\/papersspot.com\/blog\/wp-json\/wp\/v2\/posts\/97868","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/papersspot.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/papersspot.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/papersspot.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/papersspot.com\/blog\/wp-json\/wp\/v2\/comments?post=97868"}],"version-history":[{"count":0,"href":"https:\/\/papersspot.com\/blog\/wp-json\/wp\/v2\/posts\/97868\/revisions"}],"wp:attachment":[{"href":"https:\/\/papersspot.com\/blog\/wp-json\/wp\/v2\/media?parent=97868"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/papersspot.com\/blog\/wp-json\/wp\/v2\/categories?post=97868"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/papersspot.com\/blog\/wp-json\/wp\/v2\/tags?post=97868"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}