Variety-Based Positioning – Do what you do best- specialise in it- differentiate by unique activities, innovation, faster and cheaper, meet subset of needs Needs-Based Positioning – Do everything, but only for a particular group of customers, ikea Access-Based Positioning – Go where your customers are, customer needs are similar Productivity frontier-the maximum value that a company can create at a given cost, using the best available Strategy: company can outperform rivals only if it can establish a difference set of activitie competition based on operational effectiveness by productivity frontier absolute improvement in operational effectiveness and no relative improvement for anyone competitors fall into a growth trap can imitate best practices which shifts frontier outward and effectively raises the bar for everyone (need to outperform) causing mutual destruction diminishing returns, static or declining prices, and pressures on costs making hard to grow
