Size Up the Playing Field
Businesses can build a strategy based on the competition. Strategy is not a reaction, but a planned response and keen understanding of competitive pressures.
First, consider the sources of competition in your industry. Michael E. Porter, a Harvard Business School economist and researcher who focuses on strategy, pinpoints four key pressure points:
>Threat of new entrants
>Bargaining power of customers
>Threat of substitute products or services
>Bargaining power of suppliers
Within these areas, companies jockey for position among competitors, according to Porter. Therefore, a strategy is born when closely analyzing each source of competition. So, what determines bargaining power for suppliers? A solid understanding of each of these components helps build a strong strategy, recognize the biggest areas for growth or differentiation, and understand a company’s biggest strengths and weaknesses.
Building Personas for Customer Experience
Find out how creating customer personas can help transform the way your business interacts and frames client relations.
Nail the Next Presentation
Apply this four step guide to your next business pitch in order to land that partnership or loan.
Brand Culture: Your Secret Weapon for Greater Results
Companies must identify points of differentiation from which to gain marketplace advantage.
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