Strategy Formulation
Business Strategy
Yeo’s compete directly with one another at what is called the business level of strategic management. Competitors may be individual business units of a larger corporation or they may be stand- alone businesses. Because competition takes place at the business level, strategic management here is crucial to the overall success for Yeo’s . Accordingly, the concept of competitive advantage is both the focus of the three subsequent on strategy formulation.
There is three parts that reflect the three major considerations in formulating a business- level strategy. The first part is to discuss alternative competitive advantages (Overall cost leadership, differentiation and focus group) and the strength and limitation of each.
Yeo’s company has competitive advantage whenever it can attract customers and defend against competitive force better than its rivals. Successful competitive strategies usually involve building uniquely strong or distinctive edge over rivals. Some example of distinctive competencies are superior technology and product features, better manufacturing technology and skills, superior sales and distribution capabilities and better customer service and convenience.
Competitive strategy is about being different. It means deliberately choosing to perform activities differently or to perform different activities than rivals to deliver an unique mix of value. (Michael E. Porter).
The essence of strategy lies in creating tomorrow competitive advantages faster than competitor mimic the one you possess today. (Gary Hamel & C.K. Prahalad).
Overall cost leadership strategy
The classic cost leadership strategy involves offering a no-frills product aimed at the most typical customer in a large target market. Anything to do with cost which related to money example raw material is cheap, workers salary is low facilities that Yeo’s can bite with the competitor. Because cost can usually be lowered as a product become more standardized,
Yeo’s compete directly with one another at what is called the business level of strategic management. Competitors may be individual business units of a larger corporation or they may be stand- alone businesses. Because competition takes place at the business level, strategic management here is crucial to the overall success for Yeo’s . Accordingly, the concept of competitive advantage is both the focus of the three subsequent on strategy formulation.
There is three parts that reflect the three major considerations in formulating a business- level strategy. The first part is to discuss alternative competitive advantages (Overall cost leadership, differentiation and focus group) and the strength and limitation of each.
Yeo’s company has competitive advantage whenever it can attract customers and defend against competitive force better than its rivals. Successful competitive strategies usually involve building uniquely strong or distinctive edge over rivals. Some example of distinctive competencies are superior technology and product features, better manufacturing technology and skills, superior sales and distribution capabilities and better customer service and convenience.
Competitive strategy is about being different. It means deliberately choosing to perform activities differently or to perform different activities than rivals to deliver an unique mix of value. (Michael E. Porter).
The essence of strategy lies in creating tomorrow competitive advantages faster than competitor mimic the one you possess today. (Gary Hamel & C.K. Prahalad).
Overall cost leadership strategy
The classic cost leadership strategy involves offering a no-frills product aimed at the most typical customer in a large target market. Anything to do with cost which related to money example raw material is cheap, workers salary is low facilities that Yeo’s can bite with the competitor. Because cost can usually be lowered as a product become more standardized,