Unformatted text preview: cedures to measure success in carrying out decisions Common Competitive Business Common Competitive Business Strategies
• There are three primary business strategies a company can choose from:
• Cost Leadership
Focus Cost Leadership
• This strategy is where we aim to be The lowest cost provider relative to our competitors in the same industry
• What are the disadvantages and advantages of Cost Leadership?
• Can you think of any companies that pursue a cost leadership strategy?
• What would be the HR priorities for a company following a Cost Leadership strategy? Cost Leadership
• To follow a Cost Leadership Strategy, you have to find ways to reduce your costs:
• Nonunion workforce
• Offshore manufacturing
• Produce/grow what you sell
• Work harder/faster
• Use older / secondhand technology
• Use economies of scale Differentiation
• This strategy is where we seek to build customer base by positioning services/ goods in a unique fashion
• It’s a Wrap – a clothing store in California that specializes in selling clothes and accessories from movies
• The Ice Hotel – in the Arctic Circle, Sweden…hotel made completely from ice “it’s not about comfort; it’s about an adventure”
• What would be the HR priorities for a company following a Differentiation business strategy? Focus
• This strategy is where we focus o...
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- Fall '13