Differentiation Strategy
Differentiation Strategy ate University
Williams
Strategic Management, Section 003
Instructor
March 6, 2014
Abstract
To succeed in today 's environment, businesses need to lead through increased complexity and volatility, drive operational excellence and enable collaboration across enterprise functions, develop higher quality leadership and talent, manage amidst constant change and unlock new possibilities grounded in data. There are many ways in which a company can differentiate itself from the competition.
Today, one of the most successful firms to use differentiation strategy is International Business Machines (IBM). “Product differentiation may derive from a variety of factors, namely product quality, product features, durability, reliability, exceptional product design, reliability, being easy to repair, and style. The quality of a product covers quality performance and conformance. Quality performance refers to the level in which product characteristics operate, that is to say, whether the product is produced from low-level, average, high, or super performance. IBM 's product differentiation strategy is based on the quality of performance.” IBM is fundamentally a different company when compared to several years ago. It has transitioned, from its traditional role as a hardware builder, into a provider of systems integration/services and software. IBM is an American multinational technology and consulting corporation with headquarters in Armonk, New York, and the United States. IBM also manufactures computer hardware and software, infrastructure, consulting and hosting services, and nanotechnology. Towards the end of the 1990s years, the corporation realized that remaining competitive would require a move to different ranges of activities and services that would provide additional value to clients. With these changes, IBM decided to focus on expanding higher value-add areas such as mainframe and servers. To
Williams
Strategic Management, Section 003
Instructor
March 6, 2014
Abstract
To succeed in today 's environment, businesses need to lead through increased complexity and volatility, drive operational excellence and enable collaboration across enterprise functions, develop higher quality leadership and talent, manage amidst constant change and unlock new possibilities grounded in data. There are many ways in which a company can differentiate itself from the competition.
Today, one of the most successful firms to use differentiation strategy is International Business Machines (IBM). “Product differentiation may derive from a variety of factors, namely product quality, product features, durability, reliability, exceptional product design, reliability, being easy to repair, and style. The quality of a product covers quality performance and conformance. Quality performance refers to the level in which product characteristics operate, that is to say, whether the product is produced from low-level, average, high, or super performance. IBM 's product differentiation strategy is based on the quality of performance.” IBM is fundamentally a different company when compared to several years ago. It has transitioned, from its traditional role as a hardware builder, into a provider of systems integration/services and software. IBM is an American multinational technology and consulting corporation with headquarters in Armonk, New York, and the United States. IBM also manufactures computer hardware and software, infrastructure, consulting and hosting services, and nanotechnology. Towards the end of the 1990s years, the corporation realized that remaining competitive would require a move to different ranges of activities and services that would provide additional value to clients. With these changes, IBM decided to focus on expanding higher value-add areas such as mainframe and servers. To
References: "Strategy, Innovation and Entrepreneurship: : IBM 's Successful Differentiation Strategy." Strategy, Innovation and Entrepreneurship: : IBM 's Successful Differentiation Strategy. N.p., n.d. Web. 07 Mar. 2014. "Strategy and Analytics." IBM. N.p., n.d. Web. 07 Mar. 2014.