Business Strategy


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Business Strategy

The plans and actions that firms devise to compete in a given product/market scope or setting and asks the question “How do we compete within an industry?” is a business strategy. It focuses on improving the competitive position of a company’s business unit’s products or services within the specific industry or market segment that the company or business unit serves.

It can be:

A)   Competitive – battling against all competitors for advantage which includes Low-cost leadership, Differentiation and Focus strategies; and/or

B)   Cooperative – working with one or more competitors to gain advantage against other competitors which is also known as  Strategic alliances.

 

Eg: Wet grinder companies like Shantha and Sowbhagya seeks differentiation in a targeted market segment.


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