Question

Subject: Competitive strategy

How companies evaluate their competition, the type of environment they compete in and a couple techniques to use in creating a Competitive Strategy. Discuss the importance of a Competitive Strategy and provide an example of a Competitive Strategy that a company uses. Write at least 300 words.

Answer 1

Competitive strategy is performing to achieve the long term growth in the market and keep achieving maximum market share. Companies must evaluate their competitions through identifying competitors, collecting the information about the major competitors and their products and proper detailing about competitors strengths and weaknesses. Companies can work on analyzing competitors market share, price structure, attractive offerings, new product development and understanding the attractive sales practice of competitors employees. Companies should know about the major competitors and their attractive products that are most acceptable in the market and understanding the competitors' product positioning in the market.

Companies should work on a price leadership strategy to gain a competitive advantage in the market and offering a quality product at a minimum price. Price leadership is a unique and most effective competitive strategy that acceptable by the manufacturer to gain the market opportunities.

Product differentiation strategy is also a unique practice that attracts the market and the uniqueness of products always differentiates the product in the market and attracts the customers. Companies can differentiate their products through product design, unique features, price structure, etc.

Competitive strategy is attracting the customers, acquiring the market, increasing the profit margin and leading the market. Competitive strategy is key for the success of every organization and effective in achieving sustainable growth in the market. Competitive strategy is a long term strategy that implements in the market to achieve maximum growth and dominate the market.

Competitive strategy that companies are using to achieve maximum market share and growth like low price with a good quality product, differentiating products in the market and defining how our product is unique and different against the competitor's products. Many companies are using defensive strategy in the market and creating distance with competitors and this strategy is much close to product differentiation strategy.

Examples Apple Inc products like iPhones, Macbook and Ipad feature that completely different in the market.