Five Competitive Strategies

In this course, you will understand what distinguishes each of the five generic strategies and why some of these strategies work better in certain kinds of industry and competitive conditions than in others. A competitive strategy concerns the specifics of management’s game plan for competing successfully and securing a competitive advantage over rivals in the marketplace. A company’s competitive strategy with its specific efforts to please customers, strengthen its market position, counter the maneuvers of rivals, respond to shifting market conditions, and achieve a particular competitive advantage. The two biggest factors that distinguish one competitive strategy from another boil down to whether a company’s market target is broad or narrow, and whether the company is pursuing a competitive advantage linked to lower costs or differentiation. It is important to understand what distinguishes each of the five generic strategies and why some of these strategies work better in certain kinds of industry and competitive conditions than in others.