2. He outline the three main
strategic options open to
organization that wish to
achieve a sustainable
competitive advantage.
Michael Porter (1980’s)
Generic Competitive Strategies
6. GENERIC COMPETITIVE STRATEGIES
Two main ways of
achieving this:
• Increasing profits by reducing costs, while
charging industry – average prices.
• Increasing market share by
charging lower prices.
7. GENERIC COMPETITIVE STRATEGIES
Risks in adapting
this:
• Not unique to one company or
institution.
• Other institutions can copy your
reduction strategies.
9. GENERIC COMPETITIVE STRATEGIES
Differentiation
Strategy
• Students nationwide acknowledge the
superiority of the differentiated education,
which is based on extensive research,
educational planning, high quality teaching
and intensive student support.
11. GENERIC COMPETITIVE STRATEGIES
This strategy fail for
several reasons:
• Attributes that are easy and quickly copied
• Buyers see little value in the unique attributes
• Overspending on efforts to differentiate