strategies are used to help an organization achieve their goals and objectives in an effective approach. 2. The basis upon which an organization decides on a competitive strategy might provide is that according to Michael Porter positioning and structuring of an organization are the two basis upon which an organization decides on a competitive strategy. Therefore, Micheal Porter’s
What mean by a competitive advantage is an sustainable advantage over the competition, it is not just a short term advantage. The ability of a business to position itself in the market and also make sure that its operations, that is supporting activities are geared towards offering value to customer that can not be beaten by competition, that value might be through low prices supported by low costs or it could be that value is perceived to be really high because the products and services differentiate
EKIP 211: International Trade Relations Individual Assignment 24819336 N Nhlapo Question 1 a) Export subsidies Advantages: • Enables local producers to export more cheaply and profitable. Thus stimulating the country’s exports. • Encourages exports thus meaning an inflow of foreign reserves. This means greater income for the country. Disadvantages: • Export subsidies can cause inflation: since subsidies provided by government are based on costs, an increase in subsidy is directly
First is Transformational-Sustaining. It define existing categories. Typically, they will bring order-of-magnitude fundamental changes and improvements to a business. It also show to breakthroughs in market share, customer or consumer acceptance and level of profits. In 2009, P&G announced the wrinkle-reducing cream Olay Pro-X and launch a $40-a-bottle product in the depths of a recession. P&G lead because it believe the product a transformational-sustaining innovation will prove to be effective
Catatech currently have a sustainable competitive advantage? Why/why not? Catatech currently does not have a sustainable competitive advantage. This is so because they still have that old school mentality regarding business. There have been a few restraints such as implementing electronic commerce. The board and the CEO, Carlos Fernandez will need to be educated on how important e-commerce is on the future of their organization and how it can sustain competitive advantage. Since there is no official e-commerce
to formulate a particular economic policy solely relaying one of the two (macro or macro economy) branches of economy. Minimum Efficient Scale Minimum Efficient Scale is the lowest amount of production that a company can reach while taking full advantages of economic of scale with relation of supplies and costs. It correlates with the smallest production point at which the long-run total average costs are
Q1: Competitive advantages are conditions that enable an organization to deliver a good product with lower cost or in more desirable manners for clients. These conditions enable the gainful substance to create a larger number of offers or unrivaled edges that is competitors .comparative advantages are created from different factors ,there factors are the cost structure ,products, quality, brand ,network of distribution ,protected innovation and client support. As a nation, relying on one type of
Customers have global communication and also wider options with self service bookings. They have access to high-quality information, various offers, immediate order, express delivery and human personality. There are few disadvantages for the customers like incomplete web information, security level for payments is not satisfactory and certain services still need to be approached directly to the travel aggent. CONCLUSION: The Internet technology has became a dominating force
retail management. Retail strategy is a statement which identifies: (1) The target market of the retailor (2) The retailer’s plan of format to satisfy the needs of the target market, and (3) The base on which the retailer plans to establish an advantage on sustainable competitiveness. The target market is that segment of the market where the retailer plans
already made. One such framework is the so called Diamond Model introduced by Michael Porter in 1990. This essay tries to determine its advantages and disadvantages as a tool for the examination of firm’s home and host location decisions by focusing on two major MNEs: the world’s second-largest