4. Cost leadership:
An integrated set of actions designed to
produce or deliver goods or services at the
lowest cost, relative to competitors with
features that are acceptable to customers.
relatively standardized products
features acceptable to many customers
lowest competitive price
5. IT REQUIRES AN ORGANIZATION TO
PURSUE:
Aggressive construction of efficient-scale facilities.
cost reduction from experience.
avoidance of marginal customer accounts.
cost minimization in areas like R&D, services , sales
force , and advertising.
6. 0%
6%
12%
5%
6%
71%
NOKIA SAMSUNG HTC
RIM APPLE OTHERS
Sales
NOKIA
4% SAMSUNG
12%
HTC
32%
10% RIM
11% APPLE
OTHERS
31%
7. DIFFERENTIATION
Value provided by unique features and
value characteristics
Ways of differentiate:
CREATIVITY
CUSTOMIZING PRODUCTS TO SUIT
CONSUMER SPECIFIC REQUIREMENTS
MARKETING ABILITIES
RELIABILITY
8. Lunched in 2001 association with Glenn Kerr
Tokyo R&D
43% share of Indian 150cc segment
High capacity
Sporty & stylish
9. FOCUS STRATEGIES
A focus strategy must exploit a narrow
target’s differences from the balance of the
industry by:
Isolating a particular buyer group
Isolating a unique segment of a product line
Concentrating on a particular geographic market
finding their “niche”
15. ORGANIZATIONAL MULTIDOMESTIC GLOBAL INTERNATIONAL
CHARECTERISTIC
CONFIGURATION Decentralized & Centralized & core
OF nationally globally scaled competencies
ASSETS&CAPABILI sufficient centralized
TIES
ROLE OF Sensing & Implementing Adapting &
OVERSIES exploiting local parent company leveraging parent
OPERATIONS opportunities strategies company
competences
DEVELOPMENT&DI Knowledge Knowledge Knowledge
FUSION OF developed & developed & developed at the
KNOWLEDGE retained with each retained at the centre &
unit centre transferred to
overseas units